Self-paced e-learning: Key market research findings
- Lack of product differentiation drives market growth
- Increasing demand for skill development
- Key vendors – 2U, Blackboard, NIIT, and Pearson
Technavio’s market research analysts expect the global self-paced e-learning market to grow at a CAGR of over 2% between 2016 and 2020. The lack of differentiation of e-learning products is the primary driving force behind growth in the market. Customers generally opt for lower priced products owing to the presence of nearly identical e-learning products. This implies that the price has power over brand equity. There is high competition in the market due to the presence of numerous learning management system (LMS) suppliers in the market offering essentially the same product. During 2015, the Americas accounted for almost 45% of the market share to dominate the global self-paced e-learning market. This region is the biggest consumer of self-paced e-learning products and services and is also highest revenue contributor to the market. Within the Americas, the US is the biggest market for self-paced e-learning products.
The new market research from Technavio presents a breakdown and analysis of the self-paced e-learning segments based on product.
“The rise in demand for skill-development is an ongoing trend in the market. The increased competition in the market is making it essential for employees to gain competitive advantage through enhanced skills. Employees are increasingly focusing on identifying the skill requirements for their respective jobs and taking up self-paced e-learning courses beyond their regular professional commitments. As for students, such courses can improve their employability prospects. As a result, self-paced e-learning solution providers are attempting to provide courses that are industry-specific,” says Jhansi Mary, Lead Analyst, Education, Technavio Research.
The services segment dominated the global self-paced e-learning market in 2015 by occupying more than 62% of the market space. Service providers help distribute course materials and enable teachers or trainers to design and deliver assessments and collect feedback from students. The three categories within this segment include portals, learning and content management service, and other professional services such as content distribution, consulting, web integration, and IT network services. The promising prospects of improvements in the IT infrastructure sector is expected to fuel growth in this segment during the forecast period.
The key vendors in the market include 2U, Blackboard, NIIT, and Pearson. The market is highly fragmented with the presence of small and large vendors. Established players in the market are offering online courses in varied topics and are exploring untapped markets to extend their market reach. However, substitute products such as social learning and m-learning are posing a tough challenge for pure play self-paced e-learning course providers.
A more detailed analysis is available in the Technavio report, Global Self-paced E-learning Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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