Impact of the COVID-19 Outbreak on the Learning Management System (LMS) Market
The COVID-19 pandemic, which broke out in Wuhan, China, has rapidly spread across the globe affecting several industry verticals. Industry stakeholders have fallen prey to severe financial losses due to the lockdowns enforced worldwide to prevent the further spread of the infection. The outbreak of COVID-19, followed by global lockdown, has changed the way most industries operate, including the education industry. Over 1,540 million students across the globe have been affected mainly due to the closure of educational institutions. Educational initiatives have been affected, which in turn has led to a rise in dropout rates. However, the education industry has been compelled to move on with the help of remote learning methods due to the extended lockdown. According to a US survey, higher education leaders and practitioners have revealed that over 90% of institutions for higher education have adopted online platforms to facilitate distance education. Technology giants have rolled out their platforms such as Microsoft Teams, Google Classroom, AMIGO, and so on.
Furthermore, governments have also taken up several initiatives to boost online learning technology, helping students and teachers connect through online learning platforms. For instance, recently, the Government of India launched a mobile application called- Vidya Daan, and Amity University has launched its learning management system (LMS). Amigo LMS offers various helpful features such as bulk course creation and easy backup, collaborative tools and activities, course authoring tools as per the four-quadrant approach, course delivery, and advanced embedded resources. Several video conferencing platforms are enabling students and teaching staff to conduct online teaching/learning sessions during the lockdown without hampering the students’ curriculum and other academic activities.
On the other hand, the lack of essential infrastructure for accessing online learning platforms at remote places has led to a significant rise in the dropout rate. According to UNESCO, over 74% of total students worldwide are girls, and out of these, about 110 million girls stay in remote and minimally developed regions. The least developed regions are facing higher dropout rates for girls when compared to the boys, which is mainly due to the prioritization of boys’ education. This situation is hence expected to take back 20 years in terms of achievements made through various initiatives to promote girls’ education.
Lastly, according to the MRFR analysis, a large number of EdTech companies have been developing creative content to provide an enriched learning experience, and these companies are competing using various strategic approaches such as pricing, content volume, content quality, variety of features, advancements in cloud infrastructure, customized content delivery, and so on. Additionally, the increasing demand for cost-effective training solutions is expected to contribute to the growth of the learning management system market during the review period.