How The eLearning Industry Has Fared During The COVID-19 Pandemic
Within a year of its deadly presence, COVID-19 has infected close to 50 million people worldwide and claimed the lives of almost one and a quarter-million people. Perhaps the biggest impact COVID-19 has made is on the economy worldwide because of the lockdown imposed to contain the spread of the virus.
General Impact Of COVID-19
Millions of people have lost their jobs. Industries like travel, restaurant, manufacturing, automobile, transport, small industries, etc., have felt the biggest hit due to lockdown. According to a feature published by the World Bank in June 2020, the baseline forecast predicts a decline of 5.2% in global GDP. This is by far the biggest recession in recent decades. It projects advanced economies to be shrunk by 7%.
COVID-19 has a two-way impact on industries: first, of course, how industries operate, forcing people to work remotely wherever possible, and second a cascading impact on cost-cutting and loss of business among related industries.
Opportunities For eLearning Companies
However, COVID-19 has opened up new opportunities for some industries as well. Popularly being termed as the “new normal,” remote working has been at its highest. This is creating a huge opportunity for technology-enabled service providers. The remote and distant mode of working is booming. One of the biggest beneficiaries of this paradigm shift is the eLearning industry. The eLearning industry is at an all-time surge for business opportunities. With distance learning becoming the new normal, eLearning is becoming the preferred mode of learning.
Content and technology support providers in the education and training industry are perhaps the biggest beneficiaries of the lockdown imposed due to the outbreak of COVID-19. Educational institutes and corporations are shifting more and more toward technology-enabled learning, increasing the demand for Learning Management Systems, eLearning content creation, technology management, and support.
The surge in the business of eLearning can be seen in the world, including India. eLearning companies are now the center of attention for investors and money inflow has been at an all-time high.
Due to its innate nature of anytime, anywhere learning, eLearning is equipped with the best tool to counter the outbreak of COVID-19—socially distant, still connected, and functional. While the entire industry was quickly realizing the true potential and benefits of eLearning, the lockdown has catapulted the adoption of eLearning even where it was struggling to penetrate. With teaching and training moving online, the demand for online content and platforms is going to increase at a rate never seen before.
This surge in business opportunities can be readily seen where so many start-ups are rising to the occasion and seizing the market by storm. Innovations in learning technology are at its best now.
The Downside For eLearning Service Providers
Behind all the sunshine, there are cloudy areas as well. While the academic and educational sector of eLearning is booming, the corporate sector is also facing some heat due to declining economic growth. Industries that are hit by the lockdown are struggling to survive and there is a huge budget cut for new hires and training. They are spending only on bare essentials, and the first impact is on the training budget.
This is in turn resulting in revenue loss for the companies working in the corporate sector of eLearning. Many eLearning service providers have reported a decline in business from their corporate clients who were forced to cut the training budget due to reduced business.
The overall impact on the eLearning industry can be said to be largely positive, opening up many fronts and opportunities. This is an era of adaptation and technology. Understanding the market trend and demand is key to survive and thrive in this competitive world.
The biggest advantage that eLearning companies have is that their nature enables them to work remotely. With people working remotely from home, eLearning companies are able to save huge expenditures on office space, maintenance, infrastructure and logistics, and other expenses that come with a physical office. This can allow companies to offer their services at even more competitive prices and grow the business.
There is definitely an opportunity to seize the market and capitalize on the booming business of eLearning. COVID-19 has definitely been a game-changer for the eLearning industry, more in a positive than negative way.
Adapted from elearningindustry.com/