A recent report by Google and KPMG, highlighted the growth opportunity for the online education industry in India. According to the report – “Online Education in India 2021“, Indian online education market is expected to see a growth of 8 times and has a potential to touch $1.96 Billions from where it stands now i.e. $247 Millions.
With over 1.4 Million schools and 227 Million enrolled students in 36000 higher education institutes, India has one of the largest higher education system in the world. Infact, India is the second largest market for e-learning after US. However, there is still a lot of potential for further development in the education system.
The growth in the next years will be backed by a phenomenal rise in the paid user base for online education. The paid user base is expected to grow from the current base of 1.57 million users to 9.5 million users at a CAGR of 44%. Traditional education systems like classrooms, tuition etc. are slowly loosing their importance to more convenient, personalized and agile learning solutions offered through blended and completely online leaning modes.
Primarily there are five major business categories which are growing at a rapid pace in Indian Edtech sector. These include primary and secondary supplement education, test preparation, reskilling and online certifications, higher education and language & casual learning.
Online platforms providers initially served as the enablers by connecting prospective students and content providers. In recent times, the platform providers have played the role of content providers and curators. In the current ecosystem, the students are charged by the type of courses/subscriptions and nature of access on the platform.
Key factors leading to growth of online education:
With a significant increase in the total internet users population from 2011 to 2016 with overall penetration of 31% in 2016. Approx 409 million internet users are likely to grow to approx 735 million by 2021. This growth has been supported by exponential rise in the smart phone users that reached to 290 million in 2016.
- Low cost alternative – Online courses offered a lost cost alternative as compared to the traditional classroom courses.
- Quality education to potential students – Open courses and distance learning is expected to rise to around 10 million at around 10% CAGR.
- Govt initiatives to drive adoption to online education – Indian Govt has launched inititatives like Skill INdia, Digital India, SWAYAM, E-Basta, Rashtriya Madhyamaik Shiksha Abhiyan (RMSA).
- Young Population – With nearly 46% of the total population between the 15-40 age group, with a higher aspiration and lower income is good target market.
Application of Gamification:
Gamification is the exercise of applying game mechanics for fun, competition, collaboration and rewards in non-game situations. It is employed to enhance the learners engagement throughout the world across different stages of education, including formal education and training.
Gamification has started to gain popularity among Indian education providers. It has the potential to make the process of learning interesting for students and address the issue of high dropouts in online learning courses.
Check out the complete report here.