Online education market to be $1.96 bn by 2021: Google, KPMG

High growth in education search queries is now coming in from tier 2 and 3 cities such as Patna, Guwahati, Aligarh and Kota

GN Bureau | May 31, 2017


#online learning   #Google   #KPMG   #online education industry  


Capturing the growing influence of the internet on the education industry in India, Google and KPMG have released a joint report titled, ‘Online Education in India: 2021. The report reveals that the online education industry will grow at a healthy rate of eight times, to become a USD1.96 billion industry by 2021. 
 
The report is based on a comprehensive market research conducted by KPMG, along with a primary research and combined with insights from Google search. The report finds that the paid user base will grow six from 1.6 million users in 2016 to 9.6 million users in 2021, said a press release.
 
The report reveals that over the last two years, there has been a two times growth in online searches for education and a three times growth in searches from a mobile device. Also, 44 percent of education searches are now coming from beyond the top 6 metros and there has been a four times growth in education content consumption on YouTube in the last one year.
 
Highlighting the segment-wise growth in the online education space, the report highlights that reskilling and online certification is currently the largest. In 2016, it was valued at USD 93 million, and is expected to grow at a CAGR of 38 percent to reach 463 million by 2021. As per the report, the primary and secondary education category has the largest addressable audience with a student base of around 260 million when compared to the other categories.
 
Owing to this, the primary and secondary supplementary education segment was the second largest category in 2016, and will grow at a CAGR of 60 percent to reach USD773 million, making it the largest category in 2021. The test preparation which is a small segment as of today is likely to grow at an impressive CAGR of 64 percent to become a USD 515 million category in 2021.
 
Speaking about the key findings of the report, Nitin Bawankule, industry director, Google India said, “The online education segment is set to become a multi-billion dollar opportunity in India. There are many factors driving this growth including the perceived convenience, increased reach and personalisation offered by online channels. It is also interesting to note, that high growth in education search queries is now coming in from tier 2 and 3 cities such as Patna, Guwahati, Aligarh and Kota – which points to the opportunities that growing penetration of smartphones and improving quality of internet have opened up.”
 
Talking about the future of the online education industry in India, Sreedhar Prasad, partner, KPMG India said, “There are several evolving trends in the Indian online education segment that are contributing to the growth opportunities ahead. These include emergence of hybrid learning channels, continuous need for working professionals to learn new skills as well as emergence of technologies such as big data and artificial intelligence that is enabling online education vendors to design customised content. At the same time, it will be critical for players to deliver differentiated offerings for consumers to see continued value in online education channels.
 
The report is based on a primary qualitative and quantitative research that covered over 3,600 respondents across 27 geographies including metro and non-metros to understand the growth of consumer paid online education market in India by 2021. The respondents are in the age group of 16-45 years, both male and females, who are online/offline course takers/intenders and parents of primary/secondary courses. Insights from the primary research have then been combined with KPMG India’s proprietary sizing model as well as Google search trends and KPMG India’s industry intelligence.
 

Comments

 

Other News

On a personal note: Javed Jaffrey

After his much-appreciated debut in Meri Jung in 1985, Javed Jaffrey inspired a new generation of dancers. He then turned from dance to comedy. The versatile actor constantly changes his styles and his live, film, TV and radio appearances always promise novelty and surprise. In 2014 he joined the Aam A

Allegations against CJI: Inquiry will strengthen the independence of the judiciary

Yes, we must stand rock solid with the judiciary and the judges. We must protect the independence of the judiciary too. What does this mean in the present context of a very serious charge of sexual harassment levelled by a former employee of the court against the CJI?  We are told that there is a larg

“Managing data is challenging”

The Centre for Railway Information Systems (CRIS) is a society set up by the railways ministry in July 1986 to provide IT related services to the Indian Railways. CRIS deals in a gamut of functions, like passenger ticketing, freight operations, train dispatching and control, crew management, e-procurement,

A boost to those who need it most

What are 600 million people? Almost twice the population of the US. What are 500 million people? About three-fourth of the population of Europe. Why are we talking about these numbers? Well, because as per a study by Sandhya Krishnan and Neeraj Hatekar (‘Rise of New Middle Class in India and Its

Expanding Eureka!

Abright yellow van with figures of children playing with a whirligig, a Newton’s cradle, a magnetic compass rolls into the Government Higher Primary School in Kittaganahalli, on the outskirts of Bengaluru. Students in the playground leave what they are doing and mill about it in excitement. For they

The spark in the classroom

Not many children dream of starting an idyllic school of their own when they grow up. But Ramji Raghavan, founder of the Agastya International Foundation – which fosters the creative learning of science in stude



Current Issue

Current Issue

Video

CM Nitish’s convoy attacked in Buxar

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter