Education and training key segments and markets detailed

 
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Global Education & Training Industry

 

The global education and training industry is going through a period of rapid development. Market expansion is being fuelled by demand for test preparation, e-learning and foreign education, reports MindPower Solutions. Due to globalization and a rising level of private participation, customers availing of education and training services are demanding high-value education services.

 

Widespread adoption of internet means that e-education continues to record strong growth and still holds significant exploitable potential. The trend towards studying outside of one’s home country remains a solid driver of market growth, despite difficulties caused by the economic recession. Growing awareness in emerging markets is also contributing to demand, and these markets hold significant growth potential.

 

Key Market Segments

 

  • The world e-learning industry is expected to exceed $107 billion by 2015, according to Global Industry Analysts. Market growth will be fuelled by falling operational costs, simplified training processes, flexible learning solutions and demand for workforce training. The US and the EU hold a combined 70% share of the global e-learning market. Other factors contributing to market expansion include internet penetration, falling telecommunication costs and the need for companies to gain a competitive advantage over rival companies through corporate training. Asia-Pacific is the region recording the highest rate of growth, predicted to see over 20% growth in revenue generated through 2015.

 

  • The world private tutoring market is expected to exceed $100 billion by 2017, reports Global Industry Analysts. Market growth is fuelled by parental demand for supplementary education for school children to make up for shortcomings in the formal education system.

 

  • Global state spending on training continues to rise as governments seek to optimize various sectors, such as defense, through high-quality training. Government spending on unmanned aerial vehicle UAV flight training and simulation was around $375 million last year, reports Visiongain. Apart from UAV flight training, other important sectors of government training include military simulation and virtual training, which is a market that reached close to $8.8 billion in 2011, reports Visiongain. This segment is expected to record strong growth over the next decade.

 

 

Regional Market Share

 

  • India’s third-level education system is one of the world’s largest. With economic growth exceeding 8% over the years to come, education will continue to play an important role in the country’s growth, according to RNCOS. The number of students enrolled in higher education exceeded 14.5 million in 2011, and enrollments are forecast to record yearly growth of more than 11% through 2014.

 

  • Brazil’s higher education industry ranks fifth in the world, reports RNCOS. Current undergraduate enrollments are low, with between 30 and 40 students vying for first year places on average, and climbing as high as 200 competing candidates for some courses.

 

  • Saudi Arabia is the most densely populated country in the Gulf, with more than 50% of its 27 million population aged under 25, according to RNCOS. Third-level student enrollments are expected to increase by almost 10% between 2010 and 2014. Growth is fuelled by government spending, with a budget for education and manpower training of close to $40 billion in 2010. Most students who study abroad are studying in the US.

 

 

Market Outlook

 

Following the economic recession, investment in education and training is recovering, with governments eager to promote themselves as knowledge-based economies, and individuals eager to equip themselves with training and education to remain employable.

 

There has been an increasing shift in the way people learn from more traditional methods to more flexible learning formats, like e-education. This segment continues to hold high potential for growth thanks to its accessibility, which allows potential students to benefit without having to physically attend classes and the possibility of fitting study into a schedule to be able to work at the same time. E-education is also increasingly popular with businesses to train their workforces to remain competitive.

 

Private tutoring is also set to continue witnessing growing demand as parents more strapped for time than for money in dual-income households seek ways to supplement their children’s formal education.

 

 

Leading Industry Associations

 

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