Online Tutoring Services Market Size, Share & Trends Analysis Report By Tutoring Type, By Course Type (Language, STEM), By Duration, By Tutoring Style, By End-user, By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global online tutoring service market size was valued at USD 7.69 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 14.9% from 2023 to 2030.The rapid adoption of smartphones is one of the significant factors driving the adoption of online tutoring services worldwide as it enables learning to take place irrespective of geographical location. For instance, in January 2023, BYJU'S., an Indian multinational educational technology company, launched a one-on-one home tutoring pilot program. The program already hosted nearly 650 classes with approximately 100 teachers. This new launch intends to access a new target group in the K-12 market.

A rapid surge in the adoption of online learning methods has been witnessed owing to benefits such as improved focus, convenience, and cost-effectiveness. The market is expected to demonstrate considerable growth over the forecast period owing to the massive adoption of these services by school students and corporate professionals. Furthermore, online learning enables both learners and tutors to enhance their productivity and efficiency.

The partnerships and collaborations among mobile app developers and content providers have led to the introduction of smart learning solutions. For instance, in November 2021, Vedantu, one of the prominent companies offering online tutoring and LIVE online learning, collaborated with the visual communications platform Canva to create India's first-ever design challenge. Both companies intend to celebrate the creativity, curiosity, and discovery of children and teachers all across the country through this collaboration.

The continuous technological advancements and enhancements in portable communication devices’ connectivity are some of the other factors driving the adoption of online learning methods. Government support for digital teaching in developing countries is encouraging universities and schools to offer online learning sessions. For instance, in February 2022, The Department of South Australia's Learning+ initiative provided students at local schools with free one-on-one online tutoring with qualified, trained teachers after school and on weekends. This initiative aims to improve learning outcomes for kids who participate. 

Virtual learning solution providers have leveraged the COVID-19 pandemic as a prominent opportunity to deal with their distance learning policy. Moreover, governments worldwide are recommending online teaching and learning solutions and offering free portals for online tutorials. For instance, in February 2021, the Indian Government launched NEAT 2.0, an AI-driven common online learning platform.

This platform would offer students who do not have access to the appropriate platform to develop skills following their talents. With the help of NEAT 2.0, many EdTech platforms would be now available in a single platform, allowing them to reach a larger audience across the country and providing students a personalized learning according to their needs.

Tutoring Type Insights

The on-demand segment led the market in 2022, accounting for over 76% share of the global revenue. The coronavirus pandemic has also surged the growth of on-demand online tutoring due to the nationwide school closure. For instance, in December 2021, Nepal Government launched an e-learning portal, “Sikai Chautari,” an open library for Nepal students from classes 1 to 10. This platform is available in Nepali and English language.

Besides, in February 2022, Ontario Government invested in one-to-one digital tutoring to support learning for teachers and students and the expansion of online tutoring through Eureka Tech.org. and Mathify.Furthermore, on-demand tutoring combined with analytics applications helps tutors and content providers obtain real-time information on the learner’s progress. Thus, the rapidly growing adoption of customized and personalized learning is triggering the on-demand tutoring market’s growth positively.  

Structured online tutoring involves real-time interaction between the students and the tutor. The segment is anticipated to register a significant CAGR over the forecast period. The growth of the segment can be attributed to the growing prominence of live teaching sessions via videoconferencing. For instance, in February 2023, Varsity Tutors, a Nerdy Inc. company, announced the release of two new products AI-Generated Chat Tutoring and AI-Generated Lesson Plan Creator. The new products will be used for live tutoring sessions.

Tutoring Style Insights

The subject tutoring segment dominated the market and accounted for more than 79% global revenue share in 2022. Subject tutoring is a one-of-a-kind way to augment the classroom in a tailored, private setting where students can learn at their own pace. Private Prep instructors offer a wide range of services, including study habits, homework assistance, and test-taking advice online and in person.

For instance, in February 2022, TutorMe, LLC, an online tutoring platform, partnered with Blackboard Inc (Ferguson Florissant School District) to provide around 11,000 K-12 students with online tutoring services, including on-demand expertise, personalized learning, and giving advice or solving doubt in person or online.

The test preparation service segment is predicted to foresee significant growth in the coming years.  The significant number of standard admission tests administered by most universities in the U.S. explains the growing demand for test preparation services. Furthermore, new and creative exam preparation courses assist the segment's growth. In test preparation, adaptive learning is critical for determining the assessment's effectiveness.

These assessments help tutors in determining a student's learning capacity. For instance, in January 2023, FEV Tutor launched a new free guide named Activating Effective Test Prep with High-Impact Tutoring: Best Practices for Implementation. The guide supports test preparation through high-impact tutoring and assists teachers in providing their students with the finest test preparation support.

End-user Insights

The K-12 segment led the market in 2022, accounting for over 56% share of the global revenue.The high share can be attributed to the K-12 segment offering microlearning in which major subjects are broken down into small chunks like texts, audio, videos, and infographics.

Microlearning is characterized by bite-sized teaching modules, quizzes, short-term teaching assignments, and just-in-time information delivery, and it has grown in popularity among K-12 students. For instance, in October 2022, Littera Education Inc., a prominent player in K-12 high-impact tutoring, acquired GoBoard and Tutor Matching Service. The acquisition intends to deliver customized tutoring solutions for K-12 and higher education students.

The higher education segment is predicted to foresee significant growth in the coming years. Students are becoming more aware of entrance exam preparation. For instance, students in India enroll in online tutoring programs to prepare for exams like the Common Admission Test (CAT) and the Indian Institute of Technology- Joint Entrance Exam (IIT-JEE). One of the main elements that attract students to these services is their ease of accessibility.

Furthermore, these firms create updated curricula to reflect current courses and exam papers, resulting in a surge in demand for online tutoring services. Students will be encouraged to choose online education if reliable and robust internet connections and smart gadgets are available. For instance, in September 2021, BYJU’S, an online tutoring company, acquired Gradeup, an online exam preparation platform.

This acquisition would let BYJU’S learners get access to prepare themselves for PG entrance exams and Government jobs. This would further expand and scale their business by offering high-level entrance exams. For another instance, in July 2021, Vedantu, an ed-tech business, acquired a majority stake in Pedagogy, an AI-enabled individualized learning platform. Pedagogy converts physical books into interactive information for competitive exams and gives students online courses and interactive digital books.

Duration Insights

The long-term courses segment dominated the market and accounted for more than 71% share of the global revenue in 2022. The coronavirus outbreak has also brought vast opportunities for long-term courses in the online tutoring services market. Several academic organizations and students have realized the advantages of online learning since the lockdown began. This high share of the segment can be attributed to the fact that long-term courses hold significant value.

It enables the learners to gain in-depth knowledge about the reskilling course and deliver higher efficiency. Also, long-term courses have been adopted for continuous developments in learning methods for under-resourced students. For instance, in January 2022, Udemy, Inc., an online education platform, expanded its corporate learning platform with various new features such as skill assessments, hands-on labs, information technology, data analytics, and software development. Further, it has more than 50 million students to choose from over 150,000 courses taught by experienced professors in various 65+ languages.

The short-term courses segment is anticipated to register the highest CAGR over the forecast period. The segment growth can be attributed to the increasing popularity of short-term diploma courses with on-demand tutoring patterns. For instance, Alison, an Ireland-based free online education platform, offers short-term certificate and diploma courses of average duration of 2 to 3 hours and 8 to 10 hours, respectively. It provides a wide variety of course types on multiple subjects with on-demand tutoring types and has over 11 million users worldwide.

Course Type Insights

The Science, Technology, Engineering, and Mathematics (STEM) courses segment dominated the market and accounted for more than 63% share of the global revenue in 2022. Some school districts have formed partnerships with digital learning platforms to offer local educational broadcasts focused on different STEM course grade levels.For instance, in January 2022, Vedantu, an interactive online tutoring platform for students, influenced over 40 million students in more than 500 cities worldwide.

The platform functions as a knowledge network, allowing any learner to 'tap' into a teacher directly and learn in a personalized manner. The platform also provides live sessions for kids in grades 6 to 12 and competitive examinations like NEET, IIT-JEE, Commerce, ICSE, CBSE, and state exams.This high share of the segment can be attributed to the prominence of online learning methods among high school students. Numerous EdTech firms are working on providing STEM courses to middle and high school students.

The other courses segment is expected to showcase lucrative growth over the forecast period. The other segment courses includes tutorials and courses on lifestyle, skill trades, marketing, business, finance, and music. It is anticipated to register a noticeable growth rate over the forecast period. The segment growth can be attributed to the growing prominence of short-term diploma courses in coding and business-related subjects among corporate professionals.

For instance, in March 2022, Amazon stated that it is expanding upskilling possibilities for hourly workers in the United States by collaborating with over 140 universities and colleges to offer fully funded college tuition. The statement is part of the firm's continuous improvements to Career Choice - an Amazon upskilling program aimed to assist frontline employees in developing skills for future success at Amazon or anywhere.

Regional Insights

North America dominated the market and accounted for over 36% share of the global revenue in 2022. In the U.S., there is a considerable gap between students from privileged and disadvantaged backgrounds. This high share of the region can be attributed to the availability of a large customer base and well-established ICT solution providers.For instance, in January 2022, Chegg Inc., a U.S.-based EdTech platform, launched a new feature, “Learn with Chegg,” to deliver personalized learning.

Under this feature, the students would be able to organize their study by benefiting themselves with the various offering by Chegg, such as practice problems, flashcards, expert support, writing support, and other AI-enabled features. The region is characterized by the presence of an enormous pool of service providers, including ArborBridge; Chegg Inc.; Club Z! Inc.; and Kaplan, Inc. The South American market is also expected to witness high growth over the forecast period. The growth of the regional market can be attributed to the adoption of innovative technologies in the region, including microlearning, massive open online courses (MOOCs), and personalized literacy programs.   

The Asia Pacific region is anticipated to witness significant growth in the online tutoring industry owing to the presence of developing economies such as India. Government-led strategic developments, such as government-funded projects for education in rural areas, are expected to promote the adoption of online tutoring services.

For instance, in January 2022, the Internet and Mobile Association of India (IAMAI) launched an e-learning platform India EdTech Consortium (IEC). This platform would provide affordable and quality education from its best faculties and instructors to ensure that all students get an advantage. Companies like Great learning, Vedantu, upGrad, BYJU’S, TOPPR, Careers 360, Times Edutech & Events Ltd, and Unacademy have joined the IEC.

Increasing investments in virtual education firms are significant factors driving the regional market growth. For instance, in November 2021, Middle East and North Africa (MENA) had approximately 100 million school children, with modern resources such as online tutoring programs helping students continue to advance their knowledge. If the area continues devoting itself to educational innovation, the present generation of students will get what it takes to revolutionize MENA and bridge the existing gaps of poverty and inequality.

Key Companies & Market Share Insights

The key vendors focus on expanding their customer base and global reach to gain a competitive edge. The key players are expected to focus on advancing their platform via cutting-edge technological developments to expand their footprints in the unreached market. Therefore, they undertake various strategic initiatives such as mergers & acquisitions, partnerships, and collaborations with other key players.

For instance, in October 2021, Scaler Academy, a technology-driven upskilling platform, announced the acquisition of Coding Minutes, an online tutoring platform for USD 1 million in cash. The platform offers short-duration courses that include Algorithms, Data Structures Programming Languages such as C++, Python, Java, Version Control Systems, Machine Learning, Competitive Programming, and Data Science.

In September 2021, BYJU’S partnered with NITI Aayog for the aspirational districts to provide tech-driven learning programs for free. Partnering with NITI Aayog would benefit the students from the aspirational district to get a quality education with educational content from BYJU’S Learning app for three- years and an initiative towards education for all.Some prominent players in the global online tutoring services market include:

• Ambow Education

• ArborBridge

• Beijing Magic Ears Technology Co., Ltd

• BYJU'S

• Chegg Inc.

• Club Z! Inc.

• iTutorGroup

• Qkids Teacher

• Varsity Tutors

• Vedantu

Online Tutoring Services Market Report Scope

Global Online Tutoring Services Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global online tutoring services market report based on tutoring type, course type, duration, tutoring style, end-user, and region:

• Tutoring Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Structured Tutoring

  • On-demand Tutoring

• Course Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Language Courses

  • Science, Technology, Engineering, And Mathematics (STEM) Courses

  • Others

• Duration Outlook (Revenue, USD Million, 2017 - 2030)

  • Short-term Courses

  • Long-term Courses

• Tutoring Style Outlook (Revenue, USD Million, 2017 - 2030)

  • Test Preparation Service

  • Subject Tutoring Service

    • Remediation

    • Maintenance

    • Support

    • Enrichment

• End-user Outlook (Revenue, USD Million, 2017 - 2030)

  • K-12

  • Higher Education

  • Others

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • U.K.

    • Germany

    • France

  • Asia Pacific

    • China

    • Japan

    • India

  • South America

    • Brazil

  • Middle East & Africa (MEA)