The global online language learning market is predicted to grow at an annual rate of 18.7% from 2021 to 2027, reaching $21.2 billion by 2027, according to a new market research analysis.
“Online Language Learning Market by Product (SaaS, Apps, Tutoring), Mode (Consumer, Government, K-12, Corporate), Language (English, German, Japanese, Korean, Mandarin Chinese) and Geography – Global Forecast to 2027″, published by Meticulous Research®, reveals that “the online language learning market is changing at a rapid pace due to the globalization of the economy and adoption of cost-efficient technology-based products.”
“The growth in this market is majorly driven by the globalization and growing need for communication across borders, growing E-learning market, COVID-19 impact, and penetration of artificial intelligence in e-learning. Further, the increasing spending on the education sector, rising internet and mobile phone user base, and preference for multilingual employees by multinational companies provide huge growth opportunities for the players operating in the overall online language learning market. In addition, the flexible pricing structure and introduction of wearable technologies are the key recent trends in this market.”
COVID-19’s Impact on the Online Language Learning Market
The COVID-19 pandemic has had a significant impact on educational systems and enterprises throughout the world. As the number of cases increased, governments throughout the world imposed near-total shutdown of all schools and workplaces in order to stem the spread. According to the United Nations Educational, Scientific, and Cultural Organization (UNESCO), countrywide closures affected more than 60% of the world’s student population, with 1.72 billion students affected by the pandemic as of June 2020. As a result of these restrictions, the online language learning market is witnessing a number of innovations and free subscription-based apps from firms looking to expand their user base. For example, in reaction to the coronavirus and school cancellations, a British site made online language learning sessions available to children offering a variety of popular Spanish-language courses for free, including health and professional development.
Further, in the middle of the pandemic, corporate executives are forced to make decisions that have both short and long-term implications. The firms’ main priority during the pandemic was to cease operations and eliminate non-essential business travel in order to safeguard their staff and prevent the spread. In addition, most businesses now enable employees to work from home, which is unavoidable in the present economic climate. Professionals were able to brush up on their language skills and improve their professional talents during this period. As a result, the pandemic marked a turning point in the online language learning sector, with stronger growth projected in the coming 12 months.
In 2021, the English language is expected to hold the largest share of the entire online language learning industry. Growing globalization, awareness of the need to improve English language abilities, preference for English over other languages, and establishment of English as the global language are all key factors boosting English language adoption and demand. However, due to rising economic links with China and the geographic development of Chinese enterprises in many countries, Chinese is expected to increase at the quickest CAGR throughout the projected period.
Based on our historical understanding of the worldwide language travel business, the forecasts likely overstate the share of English language learning in the whole market. However, the patterns we frequently find in this regard reflect just those students who travel for language study, and we can accept that this constitutes only a small percentage of all language learners globally (i.e., less than 1%).
It is estimated that there are around 1.8 billion language learners globally, with somewhat more than 1.4 billion learning English for work, school, or pleasure.
The software as a service sector is expected to have the greatest proportion of the global online language learning market, and it is also expected to expand at the quickest CAGR throughout the forecast period. Reduced capital investment, quick deployment, and increased use of SaaS-based management systems in most enterprises are all aspects that contribute to this segment’s substantial share.
Online language learning market
The consumer segment is expected to have the greatest proportion of the entire online language learning market based on mode. Growing acceptance of online language learning applications, the availability of short and long-term price plans, and lower internet data costs contribute to the segment’s rise. However, due to the increasing acceptance of digital technologies in the education sector and government efforts and expenditures to foster digitalization in education, the K-12 category is expected to expand at the fastest CAGR over the projection period.
The research also contains an in-depth analysis of the important strategic advances made by the industry’s leading players over the last four years (2016-2020). In recent years, the online language learning sector has seen a number of new product introductions. For example, Rosetta Stone Inc. (US) offered Rosetta Stone unlimited tuition in March 2020. It consists of a group of students partnered with a native-language instructor. Likewise, Busuu Ltd (UK) introduced the Grammar Review Training Tool in November 2019, but only iOS users learning English, French, German, Italian, or Spanish may use the AI-powered grammar practice app for now.