AOL @ SCHOOL launches as a separate offering from the flagship AOL service

Internet Strategies for Education Markets: The Heller Report, Dec, 1999

AOL (Dulles, VA) wants a deeper reach into schools for a number of reasons, but the ease with which they can acquire new customers through a school service became a key driver for creating AOL@SCHOOL. This new offering is not an area of AOL; it's a completely distinct and free service. As a web site (www.school.aol.com), its content can be accessed through any browser. If people choose to use AOL@SCHOOL's free client software (to be released in April) they gain access to additional tools such as parental controls, email, instant messaging, chat and AOL live events.

Mark Nixon, executive director of education, says that this is a student-centric offering. It features six portals for primary (K-2), elementary (3-5), middle school, high school, teachers and administrators. AOL NetFind Kids Only and AOL Research & Learn will remain active channels on the AOL Network. AOL's users will also be able to access AOL@SCHOOL from the flagship service.

The Secret to Getting Linked

Subject area links are defined not by AOL or AOL@SCHOOL but by the American Association of School Administrators. AASA worked with AOL to define criteria for selecting sites, to review sites and to write a description of how the site could be used on the classroom. Resources are also selected by their appropriateness for the age categories. When a user searches on AOL@SCHOOL, results come back in two tabs: the first has only material from the AASA approved sites, the second searches the entire web. Optional filtering controls or pre-existing filters in the school can limit access to the entire web.

AASA plans a quarterly review of sites, and Nixon says that review of sites is likely to expand to other associations. The American Association of Secondary School Principals, for example, could focus on sites for that age group.

AOL@SCHOOL will also link to content partners. Because this is a separate service from AOL, the partnerships do not follow the model of content providers purchasing exclusivity. Instead, AOL@SCHOOL is making numerous content agreements that have no associated fees. Boxer Learning (Charlottesville, VA) for example, is making a portion of their subscription-based math content available for free, and AOL@SCHOOL lists that in their highlights area and links directly to the free area of Boxer Learning's site. AOL is also linking to Highwired.Net's (Cambridge, MA) national student newspaper, even though Highwired. Net competes with an AOL partner for free home-page services to schools. AOL@SCHOOL will be providing home page services through Family Education Network (Boston, MA). Nixon calls this practice of isolating a single offering from a site "culdesaccing." Of course, because AOL@SCHOOL links out to sites, users can find their way into areas other that the selected resource.

Content providers are also getting in front of the AOL@SCHOOL audience by agreeing to make custom content for the service. Highwired.Net and Boxer Learning, for example, will be working to find ways to integrate math projects with key news stories, say a shuttle launch. Again, this is a no fee contract. The vendors supply the content, and AOL@SCHOOL supplies the link. Nixon believes the approach will give small companies with strong content unprecedented access to the more than 19 million subscribers in the AOL audience.

Sponsorship, E-commerce Revenue

AOL@SCHOOL can be offered as a free service, says Nixon, through sponsorships. A box in the upper-right hand corner recognizes strategic partners who will provide funds. Content partners can also purchase a box that sits beneath the sponsor box. Both are non-clickable and strictly for brand and image. Nixon adds that there can not be any control of advertisements on pages the service links to, but the AASA review takes these into consideration. Costs of offering AOL@SCHOOL are also considerably lower than the AOL flagship product because AOL@SCHOOL does not provide the infrastructure for accessing online services.

E-commerce is strictly limited to teacher and administrative portals, not students. Nixon hopes to tap into the $5 to $1,500 per year that teachers spend out of their own pocket. Convenience and discounts are intended to bring in not only typical teacher supply vendors but also stores such as Michaels, a crafts store, and other vendors of interest to teachers. The current e-commerce section is primarily a prototype with a handful of vendors for software, computers, books, music, videos and office supplies. Nixon says he is working with vendors so that they can handle the purchase order needs of schools. Users will make purchases from vendor sites, and AOL@SCHOOL will receive a transaction fee.

On the Horizon, a Parent Portal, Higher Education and More

Nixon points out that the left hand column listing the various portals on AOL@SCHOOL has lots of room for expansion. A portal for parents is on the drawing board now, and that will also include e-commerce. Nixon has already had many potential partners expressing interest in that.