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What is the most recent global market size for corporate education?
Introduction
We were unable to determine an exact figure for the global market size for corporate education. However, based on information from trusted sources, the most recent global market size for corporate education in 2016 was estimated to range between $130 billion to $359 billion. According to the latest market study released by Technavio, the global corporate workforce development training market is expected to grow at a compound annual growth rate (CAGR) of more than 13% through 2021.
It should also be noted here that while the request asks for the value of the corporate education market, all sources found define the industry as either Coporate Learning and Development Market or Corporate Training Market. Based on this information it can be assumed that these terms refer to the corporate education market.
Segments of the market
Vendors offer "workforce development training programs" utilizing an online learning platform. Online learning programs offered by vendors can cover "business language skills, cross cultural skills, and communication skills."
Some "industry-related technical training" requires "instructor-led training" face to face in a classroom. The advantage to instructor-led training is that it allows for role-play type training taking place so that employees can get firsthand experience in certain situations.
A blended learning platform allows corporations to combine online learning programs with instructor-led learning programs, taking advantage of the best aspects of each of the types of corporate education.
50% instructor-led classroom
9% instructor-led online
5% instructor-led remote
19% self-paced online
2% self-paced non-networked computer
4% self-paced print
2% mobile technology
1% non-computer technology
Industry Market size for Corporate Education
Forbes has reported that spending on corporate education is skyrocketing. The U.S. is leading with "$70 billion from a total of $130 billion worldwide." And most recently, TrainingIndustry.com reported in 2016 that global spending on corporate education was $359.3 billion.
That $359.3 billion spent on corporate education globally is typically allocated in the following way:
61% on internal resources
12% on tuition reimbursement
21% on employee courses and course ware
2% on customer education
4% on learning services and technologies
It has been shown that companies that spend more on the education of their employees continue to do better in the long run. This article highlights "ATD’s 2016 State of the Industry report indicating that organizations averaged 33.5 hours of training, spending approximately $1,252 per employee." Corporate education keeps employees "engaged and motivated" and raises the retention rate of employees in an organization directly correlating to lower costs (of hiring) for organizations.
Conclusion
It was not possible to determine whether the exact market size of the industry is $130 billion as reported by Forbes or $359 billion as reported by Trainingindustry.com and Administrate.com. The global market size for corporate education has been estimated as $130-$359 billion as we have found supporting sources for both these figures.