Research on India
Source:- Education for all
K-12 Market in India, 2012
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The Market Size
The primary or secondary education also known as the K- 12 market sizes up-to approximately 20 billion USD. Factors Contributing: a) Total number of students below age 20 is b) Indias GDP is 1.3 Trillion c) Governments estimated budget 3.8% of GDP Total Market size for education = 3.8% of 1.3 Trillion USD which comes out to 49 billion USD 2/5th of spending on K-12 estimated from per capita GDP expenditure ( 19.6 billion USD )
Source : World Bank 2012
ITC, Digital pedagogy and Technology Infrastructure play an important part of the market
Digital Textbooks in Indian education market Test Preparation Products Educational CD-ROMs Vocational Training Material USD 2 billion
USD 1.7 billion USD 120 Million USD 1.4 billion
Penetration in the Indian Market
IT Infrastructure outsourcing in Government Schools:Number of Government schools
Computer penetration in schools < 13% ( as of 2011 )
Total Number of Government Schools - 950,000 Educomp ( Revenue USD 1.7 Billion ), Everonn and
NIIT the major market players contributing less than
1.5% of the total market Potential Market Size - 5 Billion USD
Penetration in Government Schools Revenue Growth through IT in Government schools
Competitors Analysis
Technology and Pedagogical support in Private Schools Company Limited addressable market of < 75,000 schools The potential is around 6.5 billion USD Largely untapped market as the four players together contribute to < 2,000 schools. Educomp NIIT Class Teacher Sales Force 100+ <50 10
Sales force forms an integral reason for market share.
Educomp Smart class growth rates
The I-slate can potentially maximize market entry by leveraging the form-factor of tablets and span itself through businesses of Multimedia, ICT in Government schools majorly the lower segment which is highly untapped
Growth and Value Proposition
The key proposition is simple enough: use technology to deliver top quality standardized learning at low cost independent of the physical location of the student. It is a thought that has been at the core of technology-aided learning.
Given the low market penetration ( less than 5% of private schools ) and growing acceptability of such products, we expect the nascent market to keep growing swiftly ( ~60% CAGR over FY08-12E). The tablet market in India is growing tremendously from 85,000 units in 2010-2011 to an expected to 475,000 units in the year 2011-2012.
References
http://www.smechannels.com/edocs/resource/124201230447.pdf http://www.oifc.in/Sectors/Education http://www.everonn.com/images/credit_suisse_111207.pdf http://myopen-window.blogspot.in/2009/05/indian-educationmarket-manipal-k-12.html http://www.insead.edu/facultyresearch/centres/global_private_eq uity_initiative/students/documents/PEPaperIndianEducationSector.pdf http://www.educomp.com/DataImages/Downloads/Education%20S ector%20-%20Jan09.pdf http://www.stockmarketsreview.com/recommendations/educomp_ solutions_4qfy2010_performance_highlights_and_results_update_ 20100528%20%20_10300/ http://www.smechannels.com/edocs/resource/124201230447.pdf
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