After-school tutoring vendors to focus on niche segments to gain market shares, says Technavio

Renewable energy


After-school tutoring market in China: Key market research findings

  • Skill gap in English proficiency drives market growth
  • The secondary education segment accounts for a majority of the market’s revenue
  • Key vendors – CDEL, New Oriental Education and Technology, Xueda Education, and TAL Education

Technavio’s market research analysts predict the after-school tutoring market in China to grow at a CAGR of around 12% between 2016 and 2020. The growth of the market is fueled by the presence of an unaddressed skill gap with respect to English proficiency. English proficiency in students is a deciding factor for getting admission to colleges in China and abroad. Though the English language was made mandatory in all primary schools, teaching hours and the curriculum allotted for the subject by schools are less compared with other core courses like mathematics and Chinese. As a result, the demand for academic English that mainly caters to higher education students who attend programs taught in English is on a rise.

The new market research report from Technavio presents a breakdown and analysis of the after-school tutoring segments based on the end user.

“The market is currently witnessing increased digitization efforts to improve K-12 education. Since the K-12 sector is quite decentralized and accommodates multiple public and private schools with different customization needs, the adoption of test preparation materials will increase. Additionally, government initiatives to standardize K-12 education in public, as well as private schools, are leading to an increase in the number of student enrollments in schools. Tutoring service providers need to maintain a strong relationship with universities and schools to source tutors and course content,” says Jhansi Mary, Lead Analyst, Education, Technavio Research.

In 2020, the secondary school students segment will continue to dominate the market by accounting for more than 59% of the overall market revenue. Vendors in the Chinese after-school tutoring market provide free counseling and resources for parents to assist them in guiding their child’s academic progress. Vendors also provide platforms such as blogs, where ideas and tips on diverse topics can be shared among students and parents. Companies like New Oriental Education and Technology Group have specific programs such as U-Can, which specifically focus on high school students.

The key vendors in the after-school tutoring market in China include CDEL, New Oriental Education and Technology, Xueda Education, and TAL Education. The level of competition among vendors has intensified as they are focusing on niche areas such as IT, healthcare, banking and financial services, and insurance sectors. The vendors are also focused on delivering their products through multiple distribution channels and designing specific products for pre-K-12 schools, as well as for students who need special care and attention. Partnerships with technology service providers have gained momentum and are driven by the need to capitalize on online delivery platforms.

A more detailed analysis is available in the Technavio report, After-school Tutoring Market in China 2016-2020.

We can customize reports by other regions and specific segments upon request.

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