16 May 2022
The education field has been known for its cumbersome nature over the past decades. But now, it implements all current solutions at a rapid pace. Therefore, the education technology industry evolved, and there are no signs of slowing down. During the last ten years, Edtech was turning into a huge multi-billion market for large and small businesses all over the globe, so the current market value is $127 billion (according to Grand View Research).
As George Couros said, technology can revolutionise the world if it winds up in the right hands. We offer to learn more about the Edtech landscape and the most promising niches in 2022.
What Drives the Edtech Industry
The field of educational technology introduces many cutting-edge technologies every year, which attracts the attention of investors and enterprises. This rapid growth has also been possible due to three critical phenomena.
COVID-19
The global pandemic and the massive transition of people online have led to a total increase in demand for eLearning.
And the importance of the pandemic in this regard cannot be overstated. Over 1.5 billion learners worldwide were forced to learn online, and the entire educational system began to use products of Edtech companies in the shortest possible time. Despite the easing of restrictions, the coronavirus impact is still strongly felt.
But will education technology continue to boom after the whole world returns to normality? The Grand View Research report shows that the rising trend will remain stable with an 18.1% growth rate every year, and the market value is expected to reach $285.2 billion by 2027.
Global Edtech Challenges
The education field has traditional roots, so it is full of obstacles. But there are also some opportunities that the Edtech industry provides.
- Full accessibility
- Low costs of education
- High-quality remote learning
- Learning opportunities for enterprises
And the best Edtech companies in the world can make the most of these opportunities and drive changes in the entire industry.
The Overall Digitisation
The transition to digital solutions increases the learning effectiveness and reduces the volume of routine tasks performed manually. Plus, process automation will benefit both corporate training programs and online schools.
For example, some educational systems provide the content to a large audience (EdX, Udemy, Coursera, Skillshare, Masterclass, etc.), organise group interactions (Zoom, Google Meet, Microsoft Teams, and many others), provide analytics (BrightBytes, Civitas Learning) and so forth.
There are not all drivers of such a skyrocketing industry that affects the whole world. Learn more about the latest education trends here.
Top 4 Promising Niches
The first step when creating an Edtech product is selecting the market niche. Of course, you should follow the current trends to attract investors and potential customers. Let’s find out the four most promising fields to fill in 2022.
Prekindergarten (Pre-K)
More countries implement compulsory early childhood education, but the coronavirus pandemic nearly ruined those plans. However, the authorities quickly found a way out of the situation. They decided to dive deeper into the aspects of educational technology.
And now, kids can learn letters, vocabulary, numbers, and life skills via cutting-edge and engaging apps for handheld devices. Many of these impactful tools provide AI and VR functions that help to fulfil Pre-K children’s needs.
Bootcamps
There are short learning programs (mostly IT) about six months long and aim to prepare experts for new professions. For example, many large enterprises organise bootcamps to find new talents and improve staff qualifications. Further, students don’t need to pay for the participation until getting hired in the desired position.
This Edtech niche is currently in very high demand. According to the data provided by the US Bureau of Labour, the employment of software and QA specialists will grow by 22% until 2030. Another survey from Switchup states that 68% of bootcamp graduates find jobs in the required position within six months.
Advanced Teacher Training
Many training programmes are very difficult to implement in a digital environment. It is all because of the lack of teachers, especially those with a PhD degree. In the US alone, only 1,2% of professionals over the age of 25 have a doctorate to take the position of the department head or dean. Moreover, an enormous amount of teachers decide to change a profession or even retire, so Edtech platforms are becoming popular among people all over the world to train prospective teachers.
Therefore, authorities worldwide try to implement educational technology for teaching and learning. More colleges and universities offer online Doctor of Education (EdD) courses about 32-months long, allowing to save up to 3 years of training. As a result, the entire industry gets in-demand teachers and specialised instructors.
Simulations
This niche has been paving the way for learning programs for a wide audience, from Pre-K to enterprise employees. Students can solve real-life problems and improve their competencies via fascinating 3D games and simulations. It is very different from the traditional approach, where students are not so much involved in the learning process.
Users can interact with game characters to get valuable information and earn points for the completed tasks. Students can also do them again if they make many mistakes; gamification provides a huge margin for error.
Learning Management Systems
LMS gathers instruments that allow you to deliver educational materials and track and report student-related data. Moreover, it ensures quality communication between teachers and students during an e-course.
Learning management systems provides flexible learning conditions for K-12 and post-secondary students, but there are some unique solutions. Babystep is an LMS for those who aim to implement the cutting-edge approach to parenting. This platform connects parents with experts to provide informative consultations worldwide. Babystep combines social network features and innovative Edtech websites, making it a great solution for new parents.
What Edtech Will Face in the Future
Holon IQ surveyed educational leaders to hear what they think about the future of learning technologies. They expressed different opinions. About 50% of executives are confident in the rapid development of this area or staying the same, while the remaining 50% are not. But, looking at the current situation, some findings are essential for newcomers.
High Dependence on Infrastructure
About 1.3 billion school-age children (according to UNICEF) have no internet access at home, affecting the quality of online education. This fact raises doubts about the speedy introduction and further use of emerging Edtech instruments in educational institutions around the world.
Therefore, the new technology adoption depends on Edtech startups and requires a comprehensive review of the current system by all stakeholders.
Expanding the Market by Increasing Digital Literacy
As of now, millions of people learned to use video conferencing apps, learning management systems and cloud services when the lockdown occurred.
Hence, a group of potential customers of Edtech products formed, and this factor will increase the market volume in the following years. It will also affect other spheres that require the use of educational technology.
Fast Adaptation
Modern realities prove that success is achieved by those who can adapt to new conditions as fast as possible. And hundreds of enterprises decided to automate their workflow and transform the business logic with the best Edtech solutions.
Sometimes businesses face pressure and budget cuts while trying to adapt to the new reality. But the proper strategy will make them winners over competitors.
Irreversibility
Many students and teachers have already experienced the benefits of top digital products. Therefore, sooner or later, learning will become fully automated. First, we talk about schools and universities that do not have access to advanced educational technologies in many countries. In any case, startups are ready to conquer the education field.
Wrap Up
Edtech in 2022 goes global, so it evolves rapidly and attracts a lot of attention from venture capitalists. Therefore, it is vital to know about the latest trends and new niches to develop a successful and in-demand product. As for now, Pre-K, bootcamps, LMS, and other fields are hugely popular, and more solutions emerge to fulfil customer needs and requirements.
But it is almost impossible to cover the entire market with your modern educational technology. And it is even harder to predict in what direction the Edtech field will develop and what will interest students in the coming years.
However, it can be challenging for some enterprises to navigate new conditions, so they need to be fully prepared for the new reality with a ready-made strategy. At Rocketech, we know how to deliver first-class products that can interest the audience. We assign a dedicated team to your project so it will be completely focused on your project. And if you are ready to enter the market with a reliable digital solution, contact us.