The corporate learning industry was worth nearly $333 billion in 2019, and will grow by an estimated CAGR of 9.7% between 2021 and 2027, ultimately reaching a value of some $417 billion, according to a report by Allied Market Research.
Concerns about skills are driving the growth, as employers seek to align the capabilities of their workforce with business needs, and offer training programs that will attract candidates. Performance and experience also benefit when organizations offer strong learning programs, the researcher noted.Worries about skills are driving growth in the corporate learning business, while online solutions provide more options for employers in the midst of Covid-19. #HR #HRTech Click To Tweet
In addition, learning programs have been able to continue even in the midst of the Covd-19 pandemic, since a growing proportion of courses have become available online. (Of course, organizations that relied on offline learning had to scramble as the number of remote workers grew.)
In-Person Learning Still in Vogue
Still, the report said face-to-face training will continue to be the industry’s largest segment in 2027. This traditional approach to learning is embedded in many corporate cultures and offers “clear advantages” over other methods, it said.
Virtual learning, on the other hand, will grow more quickly during the forecast, showing an estimated CAGR of 16.4%. Even if in-person may be more effective, virtual programs can be offered at less cost while offering more scheduling flexibility, the report explained.
In terms of subject matter, AMR said technical training contributed more than 25% of global training market revenue in 2019 and will continue leading the segment through 2027. Soft skills training will grow more quickly, however, at a CAGR of 11% as both employers and employees put more stock in abilities such as active listening, critical thinking and empathy.
North America was home to the largest share of the training business and 2019. However, the report expects the market in Latin America, Middle East and Africa to grow by 11.1% CAGR during the study period.