TVE: Key market research findings
- Multichannel delivery of education drives market growth
- The US is the dominant shareholder in the market
- Key vendors—Acumen Global Training, CfPA, EduCo, and SAP
Technavio’s market research analysts predict the TVE market in North America to grow at a CAGR of more than 4% between 2016 and 2020. The multichannel delivery of technical and vocational education (TVE) by vendors is the primary driver for growth in this market. Vendors are introducing new training programs such as mobile learning, gamification, and blended learning owing to the advent of the Internet. Training institutions in the market are focusing on facilitating training of students through mobile devices such as tablets, iPads, and smartphones. The US is the dominant shareholder in the TVE market in North America with a revenue of more than $87 billion in 2015. Increased spending on education and the development of the Common Core State Standards initiative by The National Governors Association Center for Best Practices and the Council of Chief State School Officers (CCSSO) are some of the factors fueling the growth of the TVE market in the US during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the TVE segments based on the product.
“A rise in the demand for middle-skill among millennial workers in an ongoing trend in the market. According to the National Skills Coalition of the US, more than 50% of job openings in the coming years are predicted to be in the middle-skill areas, which require TVE instead of conventional education such as high school diplomas or bachelor’s degree. Middle-skill jobs include profiles such as technicians, police, electricians, firefighters, plumbers, welders, dental hygienists, respiratory therapists, and radiologic technicians. It is imperative for job seekers in the region to acquire employability skills as these jobs not outsourceable. As a result, there has been an increase in the demand for private training institutes, which is expected to boost the growth prospects for this market,” Jhansi Mary, Lead Analyst, Education, Technavio Research.
In 2015, the science, technology, engineering, and mathematics (STEM) TVE segment was the largest contributor to the market in North America by accounting for almost 49% of the overall market share. The increased investments in TVE spurred by the deficiency of skilled workforce and rise in skill gaps in the region is the fundamental driving force behind the booming of this segment. Vendors are hiring instructors with relevant industry experience in an attempt to encourage more students to enroll in training programs, which is expected to reflect positively on the growth of STEM TVE market in North America.
The key vendors in the market are Acumen Global Training, CfPA, EduCo, and SAP. The market is highly fragmented with the presence of many training providers. In this market, the vendors specialize in training programs that cater to different sectors like IT, healthcare, hospitality and tourism, accountancy skills, and others. The market is becoming complicated due to the presence of private training providers and specialized providers that focus on emerging training needs.
A more detailed analysis is available in the Technavio report, TVE market in North America 2016-2020.
We can customize reports by other regions and specific segments upon request.
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