Technological advancement and the rise in information communication technology has greatly enhanced the learning processes in today’s world. Online tutoring space has become quite popular in the education field in recent years and is growing rapidly. There are already a large number of people – students and parents alike- who are accessing online tutoring services like they would a normal traditional offline tutoring, in fact, many are already favoring online over offline tutoring.
What is worth noticing is that the online tutoring business which started only some few years ago, has grown so tremendously over a short period of time into an industry worth billions.
What are the Current Size and Growth Rate of Online Tutoring Market?
According to Global Industry Analysts, Inc. (GIA) the market share of global online tutoring is expected to exceed a whopping $102.8 billion by the year 2018. It was around the value of 63.57 billion in 2016. This would be an incredible rise from 6 percent CAGR (Compound Annual Growth Rate) in 2016 to 12.75 percent CAGR. According to Technavio, it will reach about 14 percent CAGR during 2017 to 2021
The Reason Behind The Rapid Rise of Online Tutoring
The simplicity and advantages that online tutoring offers such as easy access, the fact of it being global- that is, student from any parts of the world have the choice to choose from experts in any corner of the world- makes it such a liberating educational choice much suited in his era.
There are several reasons as to why online tutoring is increasing at such a high rate. Students can get tutors in the comfort of their room without having to step a foot out of their house; professional tutors on all types of subjects and under any topic can be accessed online; students can use them according to their own needs. It could be for those who need additional tutoring for specialization or those looking for a bit of extra knowledge they couldn’t get from classroom teaching.
Online tutoring is a saver for many students who for different reasons are unable to get help or access offline. From improving grades to making it through entrance test or global competitive exams online tutoring has been providing help to students across the globe.
According to GIA, this huge rise in online tutoring is due to the education system’s failure in catering to the student’s needs along with the growing competition in the field of education. The competitive scenario has also made securing admissions to good colleges so tough and the traditional classroom system is not enough to prepare for it anymore. There is also the increase desire of parents to make their children have the best quality education in addition to classroom teachings. Also, with the ever increasing digitalization and technological adoption in our day to day life, students these days often prefer to learn in an up-to-date technology-aided environment. Technavio says that this online tutoring market will thrive even more until the year 2021.
Competition and Major Players in the Online Tutoring Market
The online tutoring market in itself is a very competitive one which will get even more competitive in the coming years due to increase in service providers, technological innovations, diversity without border, etc. Some of the main vendors in online tutoring market as shown by Technavio are ClubZ! Tutoring, Fleet Education Services, Huntington learning Centre and GoAssignmentHelp.
Trends Impacting Online Tutoring Market
With challenges caused by competition among players, vendors have to come up with strategies to sell their brands in order to gain more customers. Most common trends include the effort to expand learning centers, come up with advanced ideas and learning methods by focusing on specific needs according to the target customers and also by forming collaborations and partnerships with other players. There is also the need for researching the market as well as the target customer, gaining insights into customer needs and the competitors’ performance so as to win in the fierce competition.
Top Subjects and Geographical Area in Terms of Market Share
In terms of subjects, the maximum share was held by STEM (Science Technology Engineering Math) as in 2016 and is expected to dominate in the coming years too.
Geography wise, Asia is leading the online tutoring market while Europe will continue to grow as one of the fastest in this market for a few years. GIA research says that Asia, Europe and United States alone make up more than 90 percent of the global online tutoring market of which South Korea is projected to make up about 15 percent of the market by 2012; Also, India is leading in offering affordable professional online tutoring.
Modern day students are extremely busy trying to really live life by actively engaging in so many things. They are also under lots of pressure to excel in live as well as to perform well in academics. With the rise in expectations and yet with not enough time and resources they often fail to deliver their best. Online tutoring services provide a highly customized learning opportunity to students removing all the major problems faced in traditional learning. The ever-demanding world is only going to make sure the trend is going to increase along with the demand for online tutoring space. Thus, in the years to come, the market prospect of online tutoring can only be expected to go in one direction, that is up!