Presentation Highlighting the Effects of Recession on eLearning & the Future Growth of eLearning.

1. eLearning
Though Recession And
Future Growth

2. eLearning came into
being through its
early predecessors in the
form of CBT &
then WBT.
It took off mainly due to
its potential to save
costs, the inherent
advantages in centralizing
content, the reduction in
logistics costs, ease in
maintenance of content
and uniformity in content
delivery.

3. It soon caught on and
became an important
part of the ‘learning
strategy’.
It not only helped companies
save costs on a recurring
basis but also helped
improve organizations’
performance.

4. The size of the e-learning
Western
market in
Europe was $358mn
in 2003*.
Image Courtesy: http://www.flickr.com/photos/robdeman/2390666040/
*Source: 'European Corporate e-Learning Market Forecast and Analysis, 2003 - 07‘, by IDC

5. In 2007, the U.S.
eLearning market
was $17.5 bn*, while the
corporate market for Self-
paced eLearning was
$5.2 bn#.
*Source: "eLearning: A Global Strategic Business Report,“ by Global Industry Analysts
#Source: Ambient Insight's 2008-2013 US Corporate Market Forecast

6. Thus, as an
industry, eLearning had
witnessed significant
growth over the years.
The global market for self-
paced eLearning products
and services had reached US
$ 27.1 billion in 2009*.
Read more
*Source: Ambient Insight Report

7. THE
ECONOMIC DOWNTURN
Read more

8. There was promising growth on one hand and recession on the other.
Recession threatened to disrupt the continuity of
growth and momentum of the eLearning industry.
Image Courtesy: http://www.flickr.com/photos/toddography/12034661/

9. From the companies
point of view -
tremendous pressures were
put to save on costs &
to generate more value
at the same cost.
There was mix of cost
pressure and need to keep
an eye on training to survive
and grow beyond the
recession phase.

10. THE
SECOND WAVE
OF eLEARNING
Read more

11. There has been an increase
in demand for eLearning
primarily to compensate
for the budget cuts and
to reduce overall
training costs.
While this is proving and will
continue to prove a booster in
terms of revenue growth for
learning solutions providers, it
also has the potential to erode
the true value to some extent.

12. This second wave could
have a pull-back
effect, potentially.
Over the past few years, as
the industry was
maturing, the focus was
slowly moving towards
producing learning solutions
that impact performance and
dollar numbers.

13. THE
DOWNSIDE

14. This could lead to a surge in
solutions which are good from a
cost perspective but not
from a ‘learning’
perspective.
This is because with the focus on
finding the cheapest solution, other
important parameters may get
overlooked.

15. Companies will realize
that the real cost of
bad eLearning is much
higher than good
eLearning.
Cost of bad sales training
Read more

16. As more such
solutions are adopted
by companies, it would take
another level of
effort to evangelize
and educate customers
on the true value
and potential of
eLearning.

17. THE
BRIGHT SIDE
Read more

18. More companies are now able to produce better
quality
eLearning at costs lower than before – striking the
right balance.

19. So companies can work with
limited budgets and still
create good eLearning.
This can be done by
focusing on critical
learning needs &
areas, and designing
solutions that engage the
mind, encourage
reflection, and induce
behavior change.

20. Companies are also
pushing technology
innovation to
develop advanced
solutions.

21. THE
FUTURE
Read more

22. The demand for eLearning is
growing at a 5
year
compound annual
growth rate (CAGR) of
12.8% and revenues will reach
$49.6 billion by 2014*.
*Source: Ambient Insight Report

23. North America will
continue to be the biggest
market.

24. The compound
annual growth
rate in Asia is a very
healthy 33.5%*.
By 2014, Asia (which
includes Australia and
New Zealand in this
report) would overtake
Western Europe to
become the second
largest market after
North America.
*Source: Ambient Insight Report

25. The size of e-learning market in India is expected to grow from the
$27 million (in 2008) to $280 million by 2012.
*Source: Report by brokerage firm CLSA Asia Pacific Markets

26. East Europe is
second fastest in
growth terms at
23.0%*.
Vibrant outsourcing
hubs have come up in
countries such as
Belarus and the
Ukraine.
Image Courtesy: http://upload.wikimedia.org/wikipedia/commons/7/74/Easterneurope-map.png
*Source: Ambient Insight Report

27. The demand for local
content in each
region is increasing.
This is due to resistance in
regional markets to
content that has been
translated but not
localized.
Source: Ambient Insight Report

28. 100% of primary and secondary
schools in Korea & Singapore offer
some type of online education already*.
*Source: Ambient Insight Report

29. New tool and learning platform suppliers are entering
the market at a steady rate in each region even in more
mature markets like North America.

30. Adoption of self-paced eLearning is now wide spread across
buying segments.
North America where corporate are still the top buyers, will
see academic buyers emerge as top buyers in next five years.
Source: Ambient Insight Report

31. ….And the demand for eLearning Solutions
will continue to grow.
Image Courtesy: http://www.flickr.com/photos/feverblue/3980021169/

32. Upside Learning Solutions Pvt. Ltd
www.upsidelearning.com
Email : info@upsidelearning.com
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