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The language e-learning industry – part 3: Language learning market (II)

marina-tognetti-portratt An important benefit of language learning is the appreciation of cultural diversity and an increase of more pluralistic society.  Germany has taken this initiative for its citizens, by trying to address the school dropout rates which are more than double for immigrant children which is currently at 16% and 7.3% for native German students.  Germany has decided to inject $243 million USD of its 2009 budget for publically funded language courses geared towards both immigrant parents and children. (Gmanews.tv)

Much of the current $83 billion USD spent today in language training is heavily fragmented and offered in a variety of forms.  Within these arenas there are several methods and concepts that are presented as viable and promising ways to learn a language; however there is no clear accepted method to learn a second language; however Rosetta Stone is considered as one the most popular methods in acquiring a language today. ( Time.com ; Top 10 reviews )As a result there are several companies and individuals offering various solutions in order to learn a second language, from schools, private teachers, software, and online aids.

language-arts-reading-material

The e-learning market encompasses all types of learning from MBA degrees to courses in Web Design. Although the language acquisition market maybe significantly large at $83 billion USD, the current language training spending within the e-learning market is still marginal. 

Globally the e-learning market is approximated to be $50 billion USD, and is on pace to exceed $69 billion USD by 2015, and currently represents the fastest growing segment in the global education market which is valued at $2.3 trillion USD.  The largest e-learning market is in the US with over 60% market share, versus Europe only having 15%.( Karlkapp Blogpost; Clomedia ; Hezel.com ).
Although India currently has an internet penetration rate of 4%, and its e-learning market is valued at $27 million USD, it is positioning itself for extreme and rapid growth, forecasts suggest a market of up to ten times its current value resulting in a market size of $280 million USD by 2012 ( Karlkapp Blogpost )

Within the e-learning market, the current language training leaders include Rosetta Stone, which has forecasted revenues of $248 million USD for 2009, TellMeMore by Auralog which earned $31 million USD in 2008 ( Washington Bizjournals.com; Toplanguagejobs.co.uk) These two players account for approximately over 16% of the market, while the rest of the market is flooded with various alternative solutions.

Marina

Explore posts in the same categories: Language Facts

28 Comments on “The language e-learning industry – part 3: Language learning market (II)”

  1. Klara Says:

    The origin of languages is as baffling as man’s. Since time immemorial, man encountered misunderstanding due to language barriers. As most of us know (from our science and sociology studies), languages resulted as man adapted to his new environment. But how the articulations were taken and formed remained a puzzle to me; so varied that it’s impossible to use them as means of communication.

    Now, we are still faced with the same dilemma. But with man’s unending search for wisdom, his exercise as the supreme animal of the universe, we see at present the “Work of Man, A Gift from God”__ The Evolution of Technology

    Through this, man can easily access himself to anything he opts to do. In the field of languages, a linguist or any one who hungers for any language is no longer far fetched. It’s easily done through e-learning. And Myngle is in it and it’s in the right track.

    Today, as Marina reported, we can see the domino effect of language acquisition because many believe that languages learned locally or internationally connect each one in every aspect.

    I am saluting those individuals, groups, and companies that designed this marvelous system for understanding and appreciating the individuality and culture of each nation. For them, business is maybe the core, but the learners and teachers see it in a wider horizon.

  2. marina Says:

    Hi Klara,

    nice way of saying this, and in fact there is an increasing awareness about languages and cultures, accepting each other diversity and nurturing it. It is by being exposed to different people that you become more and more aware of these differences and get to appreciate them.

    I have had the fortune to travel a lot in my life, meet many people and bring back with me something of each of them, something that is the result of culture and language amongst others, and leave behind something of mine.
    I believe and hope that Myngle can provide a bit of the same even when people are not in the position to travel: put them in contact and learn from other people on the other side of the world. And give teachers the chance to earn by doing what they love most.

    I have heard many beautiful stories already from people that have joined Myngle, teachers like you, students… people feel connected, people who appreciate each other, people who love to teach and others eager to learn…

    Thank you Klara for having been always so supportive, right from the beginning, through the ups & downs typical of a new venture.
    You saw the long term direction we are looking at…

    Even a marathon starts with just one step,

    Marina

  3. Clive Says:

    Dear Marina,

    Firstly I must congratulate you on your website, and the series of articles about the language market. Highly informative and very interesting.

    I wonder if you can point me in the right direction. I am looking for market information specific to the children’s market. Whilst I can find data relating to the older student/adult language learning market, is there a good reference that will give me figures relating to the market for children under 12-years?

    Thank you.

    Clive.

  4. Andrew Says:

    Hi marina

    Your reports are very interesting. I do market research on the language training industry here in France and am looking for global data, since with distance learning, local is becoming global. Namely : who are the top 20 e-learning providers today, what are their revenues and who are the top language training networks and what their estimated revenues might be. Any sources you can point out would be very welcome.

    I’m a little puzzled by your description of the two top global e-learning providers being Rosetta Stone and Tell Me More : for Rosetta Stone you’re right, though their revenues in the US are currently in freefall, but Tell Me more’s revenue is estimated at around 27 million dollars (the company announced 21 M euros for 2011 unchanged versus 2008) whereas GlobalEnglish’s revenue is estimated at between $35 and $40 million today with Englishtown not very far behind (around $30 M).

    What do you think ?
    Kindly, Andrew

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  6. Melhores Piadas Says:

    I think e-learning is a trend we will see more and more. Also, learning languages from social media by meeting people around the world through the internet is a pattern I see more.

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