The latest iteration of the annual survey of prospective business school students conducted by the Graduate Management Admission Council (GMAC) found interest in business masters degrees rose between 2023 and 2024. The increase correlated with a similar-sized decline in demand for MBA programs—though the MBA remained the most popular worldwide.
The 2025 Prospective Students Survey quizzed 4,912 professionals aiming to apply to business school—93% planned to enroll within two years—with respondents hailing from 147 countries. It noted that growth in the popularity of business masters degrees was likely influenced by increasing numbers of degrees in highly specialized areas being offered by business schools around the world.
MBA vs masters: Age driving change in demand
GMAC data revealed prospective students’ interest in enrolling in masters degrees grew by 8% in 2024. By contrast, demand for MBA programs fell by 9%. However, across all aspiring business school students, the majority (52%) still preferred to study an MBA.
The report highlighted a link between increasing demand for masters degrees and the growing number of specialized programs on offer at business schools. These degrees provide students with the chance to explore highly relevant topics such as artificial intelligence (AI), sustainability, and data science. It also noted that changes in the survey methodology could have impacted results.
Changes in program preferences varied across different age groups of survey respondents. Both older and younger participants were central in driving the shift in favor of masters degrees.
Among those aged 22 or younger, interest in all non-MBA masters degree types— including finance, management, international business, and other programs—rose from 58% in 2023 to 70% the following year. While candidates in this age group are typically less likely to consider an MBA in the short term, they can represent future MBA applicants.
Older prospective students aged between 31 and 39 demonstrated a similar shift, with their interest in all masters types growing from 19% to 34% in 2024. The same was true for respondents aged 40 and above, whose interest in masters degrees rose from 26% to 43%. Older prospective students are typically more likely to consider MBA programs than those at the start of their careers.
Among the core age groups where prospective students tend to apply for MBA programs, interest in the program remained relatively stable. For 23 to 24 year olds, interest in MBAs fell marginally from 53% in 2023 to 47% the following year. Meanwhile, for those aged 25 to 30, the percentage of respondents interested in studying MBA degrees was 73% in 2023 and 69% in 2024.
MBA vs masters: Interests differ among men and women
The survey also explored the influence of factors such as gender and location on prospective students’ preferred programs types.
The report showed male respondents were more likely to show interest in MBA programs than their female counterparts, with 55% citing the MBA as their preference versus 49% of female participants.
Millennial survey respondents were similarly inclined toward the more advanced degree. In total 67% of millennials said they favored MBAs, while this figure was considerably lower among younger Gen Z participants (47%).
Candidates who would be among the first generation in their family to enroll at business school were also marginally more likely to favor masters degrees over MBAs, with a percentage split of 51% for masters and 49% for MBAs. This contrasted slightly with non-first-generation candidates for whom the MBA was the most popular degree with 54%.
The report additionally highlighted that geographical location had an impact on candidates’ program preferences in some cases.
While year-on-year demand for the MBA remained constant in Canada, Latin America, and Central and South Asia, participants based in the US were significantly less likely to show a preference for enrolling in an MBA compared to previous years.
The 2024 data indicated that demand for full-time MBAs among US respondents fell from 50% to 35% compared with the previous year, while interest in professional MBAs also fell from 29% to 22%. Demand for all business masters programs in the US therefore rose by 22%.
Along with degree preferences, the report highlighted a growing shift towards prospective students favoring in-person programs. This was likely a reflection of the developing trend towards companies forcing employees to return to the office, it said.
Elsewhere, data indicated that future business school students were highly aware of companies' ethical and sustainability practices when it comes to considering career paths post-graduation.
