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  • 72 Essential LMS & eLearning Statistics: 2019 Market Share & Data Analysis

72 Essential LMS & eLearning Statistics: 2019 Market Share & Data Analysis

Category: B2B News

In this fast-paced world where almost everything changes at lightning speed, today’s newest technology may become outdated after a few days or weeks. The same is true with what we learned in school, some of which could likely be irrelevant or totally obsolete by the time we started our first jobs! This breakneck speed of change is one of the reasons why the learning management systems and eLearning platform market is among the busiest in the technology industry nowadays.

The LMS space itself is peppered with disruptive technologies–AI, VR, mobile, big data–hence, the need to keep pace with the trends. To help you out, we have prepared these learning management systems and eLearning statistics. They include market figures, software adoption and uses, effects on businesses and schools, and key industry trends, critical information that will provide you with valuable insights, whether you’re a vendor, administrator, instructor or learner.

lms statistics

1. LMS & eLearning Software Market Statistics

The learning management system market size is expected to be among the biggest in the entire technology industry in the immediate future. With more than 700 LMS vendors in the market today, the digital learning landscape is likely to become more exciting and intense in terms of competition and upcoming technological breakthroughs.

  • As more and more companies embrace technology-based learning solutions, the worldwide LMS and eLearning market will increase to USD 15.72 billion by 2021, due to a steady 5% growth over the last 3 years. (MarketsandMarkets)
  • By 2022, the learning management system market will balloon to USD 19.05 billion, based on a forecasted 5-year 24% CAGR. (Zion Market Research)
  • It is predicted that by 2023, the worldwide LMS market size will reach USD 22.4 billion. (MarketsAndMarkets)
  • The Asia-Pacific region is estimated to grow at the highest CAGR from 2018 to 2023. (Research and Markets)
  • Large companies–those with high technology spending to provide employees an accessible and standard training environment–comprise 30% of global LMS buyers. (Docebo)
  • Primary participants in LMS platforms are C-Level Executives at 65% and Managers at 35% (Research and Markets)
  • Mobile learning market is estimated to grow to $38 billion in 2020 (Docebo)

Global LMS and eLearning Market Growth, 2021-2023 (in $B)

US$ Billion

2021

2022

2023

Sources: Markets & Markets, Zion Market Research

Designed by

The major growth drivers behind the ongoing LMS market boom include the rising adoption of digital learning, numerous government initiatives for LMS growth, the expanding use of AI and machine learning (ML) in both academic and corporate learning setups, and Bring Your Own Device (BYOD) policy and enterprise mobility. Likewise, open learning platforms like Moodle are also spearheading the popularity of online courses. Today, we have dozens of Moodle alternatives that let administrators deep-configure their LMS system via open API.

2. LMS Software Adoption and Uses Statistics

At the rate the gamut of learning management system research and development initiatives is driving new technological innovations, it’s probable that many companies will invest more of their L&D dollars into a learning management system, which not only delivers and tracks training but also provides effective results. The same goes for schools worldwide, where administrators are increasingly collaborating with their IT departments in choosing the best LMS for their institutions.

  • For the past 16 years, small businesses have increased their use of e-learning by 900%, making online learning as the new normal. (SmallBizTrends)
  • Among businesses that use LMS systems, 74% of employees take advantage of the BYOD policy as this enables learning at the comfort of their own device. (Tech Pro Research)
  • As adults spend up to five hours daily watching videos, 98% of organizations worldwide are using video-based training programs in their digital learning approaches. (Ambient Insight)
  • Among college students who had the option to choose between online and on-ground learning, almost 60% selected online learning. (Learning House and Aslanian Market Research)
  • By 2020, 98% of small businesses are planning to use LMS to fulfill their learning requirements. (SmallBizTrends)
  • To fill-up their skills gaps and reach their full capacity, numerous companies have invested more money into L&D in 2018. (Forbes)
  • The overwhelming majority of students use mobile devices not only to search for their online program of study (87%) but also to complete online coursework (67%). (Learning House and Aslanian Market Research)
  • Taking advantage of LMS platforms offerings, Google has enrolled 80,000 of its employees in Udacity’s HTML5 course. (Extension Engine)
  • Nearly 70% of learning and development (L&D) teams state that they feel pressure to measure the impact for learning from leadership, 2019 (learning age)
  • 38% of respondents state that there is much more pressure in 2019 to measure learning than in 2018 (learning age)
  • 96% of respondents want to measure learning, however, only 50% are evaluating learning based on ROI, organizational impact, and job performance (learning age)
  • Only 14% of respondents feel that they are measuring digital learning impacts effectively (learning age)
  • 53% consider their measurement of digital learning impact to be ineffective (learning age)
  • A surprising 33% admit they don’t measure their digital learning impact at all (learning age)
  • 32% of respondents in the US and UK feel they are unqualified for their jobs with 33% fearing their bosses and colleagues think the same, December 2018
  • 52% in both countries report that they have colleagues who are not qualified for their jobs. December 2018 (Docebo)
  • 48% of respondents do not believe that their organizational cultures are not conducive to social learning (learning age)
  • Only 23% of L&D teams believe that they have the skills to facilitate social learning (learning age)
  • 70% to 90% of all workplace learning happens informally, 2019 (Docebo)
  • 87% of employees believe that it is essential to share knowledge socially, 2019 (Docebo)
  • Around 60% of companies use some form of social learning, 2019 (Docebo)
  • Social learning has 75:1 ROI ratio compared to formal web-based formal training, 2019 (Docebo)

Barriers to LMS adoption, 2019 (Docebo)

  • 52% report that the inability of LMS platforms to integrate with other digital systems is a barrier to satisfaction
  • While 51% cite poor user experience and 44% the cost of LMS technology as the big barrier.
  • 24% not satisfied with LMS platforms that have limited or no mobile capabilities at all
  • 67% of LMS users want LMS providers to make their LMS functionality more complete
  • 66% of LMS users want LMS providers to improve their customer and technical support

Plans for LMS adoption (Docebo)

  • 30% of L&D professionals plan to incorporate games and simulations in their e-learning program for 2020
  • 93% are developing live online learning to their program in 2020
  • 33% want to develop MOOCs in 2020
  • 64% want to include open resources for their digital learning programs in 2020
  • 35% want user-generated content to be included in learning programs in 2020
  • 58% are planning to introduce enterprise social networks to help learning in 2020

 

The bulk of the learning management system data we’ve analyzed indicates that the adoption and usage of LMS and eLearning technologies is likely to further accelerate. Looking back, it is almost 30 years since the very first LMS was used by the UK’s Open University in 1990. From web learning and on-demand learning, LMS technology had undergone numerous changes and advancements to reach today’s generation of digital learning tools that support learning anytime, anywhere.

3. LMS Impact on Business and Academe Statistics

The benefits of digital learning technology are compelling and extensive. It provides organizations the convenience of organizing eLearning content in a single place and gives learners unlimited access to LMS materials. It removes the cumbersome tasks of manual tracking of learner performance and progress, including the usual high cost of L&D. With new innovations emerging regularly, the rich features of LMS platforms are likely to further expand.

  • Learning innovation delivers over 9% improvement in organizational growth, transformation, profit, and productivity. (Towards Maturity)
  • For students who have experienced both in-person and virtual classrooms, 85% feel that learning online is as good or better than attending courses on campus. (Learning House and Aslanian Market Research)
  • In 2019, more and more organizations are expected to embrace personalized training strategies. (Forbes)
  • 72% of organizations worldwide say that eLearning helps them gain competitive advantage, while over 40% of Fortune 500 companies are extensively using eLearning in their operations. (eLearningIndustry)
  • In 2018, while 93% of L&D professionals prefer to use LMS to boost employee engagement, only 27% were able to successfully do so. (Learning Technologies)
  • Compared to instructor-led training, eLearning uses 40%-60% less employee time, which allows organizations to cut the time staff are away from their jobs, including removing the need for travel. (Dashe & Thomson)
  • In a survey on how modern workers learn, 94% prefer learning at their own pace, 91% say that collaboration is the most useful to help them learn, and 76% get their motivation to learn online from the need to do their jobs better / faster. (TowardsMaturity)
  • 82% report that Reporting Analytics is an important platform feature in LMS programs to improve their digital approach for business learning, while 90% state that Learner Engagement is the most important feature (e.learning age)
  • 24% of academic respondents state that improving customer experience and engagement is their primary concern, 2018 (Ovum)
  • 67% of academic institutions in a study are still in the planning or trailing phase when it comes to deploying analytics for different LMS processes, 2018 (Ovum)
  • Researchers and practitioners predict the next step for LMS is to become a “next-generation digital learning environment” (NGDLE) that focuses on teaching and learning rather than administrative purposes. Also, these NGDLEs are digital ecosystems that meet unique institutional needs. (Ovum)
  • Spending for enterprise video in the education industry is predicted to grow from $1.5 billion in 2017 to $3.1 billion in 2022 (Ovum)
  • In 2017, 53% of institutions use two to five lecture capture platforms across campuses. This complicates how video materials are being stored and shared. (Ovum)
  • Educational Institutions are slowly moving to the cloud with overall spending of $1.4 billion in 2018 to a predicted $3.2 billion in 2022 (Ovum)
  • 68% of employees prefer to learn at work, 58% prefer to learn at their own pace, and 49% prefer to learn at the point of need, 2019 (Docebo)
  • 73% of adults consider themselves as lifelong learners, while 63% of working adults are professional learners, 2019 (Docebo)
  • 37% of organizations are looking to replace their LMS platforms; 43% of large organizations, 38% of mid-size organizations, and 26% of small organizations want to replace their LMS platforms (Docebo)
  • Skilled and motivated workers can make sales rollouts faster by 22%; they can also help reduce time spent on searching for sales content by 35% (Docebo)
  • 92% of executives identified soft skills training as the most essential skill set to develop through talent development programs, 2019 (Docebo)

Impact of e-Learning Innovation on Organizations, 2018

9%

Improvement in organizational growth, transformation, profit, & productivity

72%

Organizations that gain competitive advantage

40%

Fortune 500 companies that extensively use eLearning in their operations

Source: TowardsMaturity & eLearningIndustry

Designed by

The learning management system market share in large enterprises and SMBs is in continuous flux, as businesses regardless of their size are increasingly expanding their use of digital learning modalities. The same goes for educational institutions, whose expanding use of the different types of LMS solutions is also paving the way for new levels of academic excellence. 

4. LMS Technology Statistics

As the competitive space for technology-based learning continues to expand faster, staying on top of the latest LMS developments and trends have become more important than before. Likewise, the need for LMS vendors to continually reinvent themselves had never been more demanding today than it was before.  

  • As videos will compose 80% of Internet traffic worldwide, video-based learning is increasing because it is engaging, easy to absorb, and can effectively hold the learner’s attention. (eLearningLearning)
  • Companies are choosing the “agile business” learning platform, which are LMS solutions that are configurable, customizable, and deployable in a matter of days, and have integrated content development tools that streamline the creation and delivery of targeted content to multiple learner groups. (TalentedLearning)
  • AI drives automated and personalized learning, including enabling L&D practitioners to focus more on learning program enhancements rather than engaging in repetitive tasks. (Docebo)
  • AR/VR is considered by L&D professionals as the most practical and immersive approach to teach learners how to perform actual tasks in a safe environment. (eLearning Industry)
  • Learner biometrics will provide real-time learning feedback for both organizations and the academe, for purposes such as market research, consumerism, and analytics. (TeachThought)
  • Advanced technologies like AI and machine learning help enhance the learning process such as by analyzing performance data, test responses, etc. to determine trends and created automated actions/insights for learners and stakeholders. (eLearning Industry)
  • 82% report that Reporting Analytics is an important platform feature in LMS programs to improve their digital approach for business learning (e.learning age)
  • 64% of learners find it important to have training materials accessible via mobile, 2019 (Docebo)
  • 46% of learners use mobile learning before they go to sleep at night, 2019 (Docebo)
  • Many advocate a more modern learning platform that is not just designed for training management but is designed to cater to interactive learning practices with exponential evolution (Docebo)
  • L&D is now entering its third generation where it will be driven by AI and will see more personalization and automation (Docebo)
  • In 2021, 50% of enterprises will have a learning assistant for employees and even customers who need training (Aragon Research)
  • By 2021, 30% of learning analytics will tie performance with the knowledge level of participants (Aragon Research)

From big data learning management system and AR/VR to specialized market segments, cloud-hosted LMS, and new protocols, these are only some of the major current and future developments that will affect the training industry throughout 2019 and beyond.

Tips on getting the best LMS software

Having an LMS solution is only as good as having a strategy that nurtures a culture of self-directed learning in an organization, whether in business or in the academe. A learning culture made efficient by LMS is critical to developing relevant, timely skills, which help learners to be more ready and empowered to take on new challenges.

Without doubt, organizations that are able to provide learners with the correct LMS tools to facilitate efficient skills development as they perform their daily tasks are most likely to succeed in the current highly competitive market environment. To future-proof your choice of an LMS, ask yourself these:

  1. Does the LMS have video support? As mentioned above, after taking over the Internet, videos are also conquering the LMS sphere. So in case you’re still not using this form of rich, highly-engaging media, it’s high time for you to do so to capitalize on the vast benefits that video learning materials bring.
  2. Does it make room for the possibility of AR/VR integration? It is suggested that businesses, especially those in heavy industries or engaged in handling hazardous materials, to start integrating AR/VR in their training sessions as these technologies do not only allow learners to safely train in hostile environments, they’re also notably immersive and economical.
  3. Am I abreast of new technologies? Well, you are after reading this guide. This collection of essential industry statistics and trends reflects today’s learning systems landscape–extensive, deep, and highly complex. The more informed you are, the better your choice of the best LMS platform for your business or school.

Amidst a plethora of LMS solutions in the market at present, it is suggested that businesses searching the best LMS for your business to conduct some research first before making a buying decision to ensure success. 

By Louie Andre

B2B & SaaS market analyst and senior writer for FinancesOnline. He is most interested in project management solutions, believing all businesses are a work in progress. No stranger to small business hiccups and drama, having been involved in a few internet startups. Prior to his for-profit ventures, he has had managed corporate communications for a Kansas City-based Children International unit.

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