Purdue Slashes Tuition Fees For Its Online MBA

In yet another sign of how cluttered and competitive the Online MBA market has become, Purdue University is making deep cuts in the tuition rates for its Online MBA program. The university’s Mitch Daniels School of Business is slashing tuition rates by more than 40% for students who enroll in the program this fall.

For residents of Indiana, Purdue is cutting the full cost of its online MBA by 42% to $34,944 from $60,000. That discount amounts to a $728 cost per credit, down from $1,250 for the 48-credit-hour degree.

For non-residents, Purdue is dropping the total cost of the degree to $35,904 from roughly $62,000. The price cut reflects a per credit hour cost of $748, down from nearly $1,300. Further tuition discounts also are available for Purdue alumni, university employees and military veterans.

THE ONLINE MBA MARKET: TOO MANY SCHOOLS CHASING TOO FEW STUDENTS

The price change for the 100% online MBA at Purdue is yet more proof that the space has become cluttered with too many business schools chasing too few online MBA students. In the past five years, the number of online MBA programs has exploded by nearly a third, according to one recent study. In 2018 there were 555 online MBA programs. By 2023, that number had jumped to 732. The vast majority of these programs are at local and regional business schools and are largely commoditized with little differentiation.

Not surprisingly, that explosive growth in online MBA education has caused the average enrollment per program to decline to 182 in 2023 from 215 in 2018. Enrollment per program reached a peak during the pandemic when it hit a record 315-student average per program in 2020. It also has driven the average cost of an online MBA program down to just $31,500.

Fully featured online MBAs, with on-campus and off-campus immersions, at highly ranked business schools cost far more. Indiana University’s Kelley School of Business, often ranked among the world’s very best online MBA offerings, now costs $94,944. Purdue’s 100% online MBA program is unranked by Poets&Quants and U.S. News & World Report.

‘STUDENTS ARE ALWAYS SEARCHING FOR QUALITY AND VALUE’

In making the announcement, Purdue put a different spin on the tuition reduction. “This strategy reflects the university’s long-term investment in online graduate education and dedication to excellence and value at scale,” said Daniels Dean Jim Bullard in a statement. “The outstanding instructional insights that the degree is well known for will now be available to a larger group of current and future professionals. We are looking forward to seeing even more high-caliber Daniels graduates in the market driving success for themselves and their firms.”

“Students are always searching for quality and value, and our online MBA provides both academic excellence and superior return on investment,” added Dilip Chhajed, associate dean for master’s and online programs. “The program provides balance, allowing students to complete their courses online at their own pace, while creating a community of faculty and students from around the globe. A career coach will provide one-on-one guidance to further students’ educational and career goals.”

The Daniels School says that graduates of its online MBA program have seen an average salary increase of more than $23,000 after earning their degrees. More than half moved into roles with a higher responsibility in their current organization or a new company, and 76% report having the ability to implement meaningful changes in their organization.

ONLINE STUDENTS CAN CHOOSE AMONG FOUR THEMES TO CUSTOMIZE THE PROGRAM

Chhajed said the program’s updated pricing is consistent with Purdue’s commitment to accessibility and excellence, reflecting the value the Daniels School provides and its dedication to the university’s land-grant mission. “By aligning our tuition structure with this mission, we are opening the door for more professionals across Indiana and beyond to benefit from a premier, high-impact MBA experience,” he said. “This new pricing underscores our goal to deliver world-class business education while remaining an affordable institution that empowers individuals, strengthens communities and drives economic growth.”

The Purdue Online MBA provides students with four themes: finance and economics, supply chain management, leadership, and analytics. Each theme has different specializations, allowing students to customize the program best for them and make the degree as relevant as possible to their needs and to align with their career goals. The program can be completed in as few as two years and there are three program starts each calendar year.

While program instruction is fully remote, the Purdue online MBA also offers a variety of co-curricular and in-person programming options. A hybrid summer offering, Leadership With Empathy, gives participants the opportunity to hone their presentation skills and become more effective communicators. Along with the virtual classroom component of the course, students have the opportunity to come to West Lafayette to participate in on-campus lectures and activities. Students will get the full Purdue experience by exploring the campus, touring athletic facilities, and learning about school traditions.

PURDUE ONLINE MBA STUDENTS CAN DO A STINT AT THE WASHINGTON CAMPUS

Students also may participate during the summer in The Washington Campus, an educational and professional development course ranging from one to five days in the nation’s capital. Instructors include policy and public affairs experts; political and government leaders; and other key players from business, think tanks and NGOs. Participants learn how government and public policy affects their organizations and industries, and how they can ethically and effectively influence the public policy process.

Another immersion offering is available in the fall at Gettysburg, site of one of the Civil War’s key battles. Associate professor Brad Alge leads undergraduate, graduate and online students through a course that focuses on leadership, followership and organizational effectiveness, rather than military history. Classes are held at the David Wills House, where President Abraham Lincoln stayed before delivering the Gettysburg Address.

Social events for online students will be held in Indianapolis and Chicago during the 2025-26 academic year.

DON’T MISS: INSIDE PURDUE’S REIMAGINED DANIELS SCHOOL or HAVE ONLINE MBA PROGRAMS JUMPED THE SHARK?