1 thought on “2021 Education Industry Analysis-Part 1”

  1. It is said that in the previous part, the development of the education industry is in full swing now. I do n’t want to take express, but I really recognize that each student needs to develop self. , They all provide an opportunity.

    The article is divided into the upper and lower parts. The first one shares the following questions:

    What kind of user value does the industry provide? Who is the core user of the industry? How does the business model make money? What will happen in the future?

    The next part of the sharing:

    What is the market and competition? What are the key factors of driving the development of the industry? What are the sources of the industrial chain to the terminal?

    1. What user value does the industry provide?

    The core needs of education are to convey knowledge and quality training. The online education industry broke the restrictions on time and space and broke the original market -level relationship. Due to the epidemic in 2020, the entire external environment and users were forced to accept the online class model.

    Id the value of the user, which largely solves the problem of lack of high -quality educational resources, that is, the fairness of education.

    Except for the adjustment of the class time and there is no restrictions on the space, the price of the online education product is also lower than the traditional educational institution.

    In general, the coverage of intellectual products will be greatly improved.

    2, who are the core users of the industry?

    The largest user features different from other industries are that educational buyers below K12 are not users. Therefore, for the education industry enterprises, parents and children are two types of users. They must not only solve the pain points of parents, but also need to solve the fun of children at low age and test education.

    k12 online education industry users distributed. Among them, the main user groups are in third- and fourth -tier cities, and the main users come from the sinking market. However, the actual heavy users who are currently paid are parents of the post -70s. They are basically in the first -tier cities, undergraduate or university undergraduate degree or above. The sinking market will be the main combat force zone in the later period.

    Education investment mainly depends on the disposable income of the family. The layering of the disposable income of the family determines the layering of the teaching and training industry. As far as third- and fourth -tier cities are concerned, some users are mainly characterized by low income, but there is no other cost pressure, especially for rent and mortgage. Their needs are the intellectual transmission of high -quality education, and the quality of service is not high. Suitable for such user bases to focus on price and standardized product services;

    Ittae users have good income and more disposable amounts. I hope that their children can be more personalized, localized, personalized Have requests. For institutional strength, whether teachers are well -known teachers, personalized teaching, and high requirements for hardware facilities. For such users, they focus on considering teachers and personalization; prices are not its core factor.

    The education and guidance of parents also need to be prompted in the class, and the child’s willingness also becomes the considering measure of the parent.

    Mura Disciplinary counseling is mainly to let children master knowledge points and skills and consolidate their children’s learning effects. According to the report of K12 user insight in 2020, it can be seen that parents of primary school students pay more attention to their children’s learning methods. The main problem of elementary school students is that the concentration is not long and the age is low. With the improvement of children’s age and the demand for discipline counseling sharply, especially at the key year when entering junior high school, junior high school, high school, high school, and high school, parents are more anxious.

    3, how to make money in the industry?

    Poujia first familiar with the cost structure of the education industry.

    Profit = benefits-cost, income = the number of paid users X customer unit price, how do you come to the number of paid households? It is divided into two categories of users, one is an old user, and the parents who have signed up for the reporting class. The main indicator data is the renewal rate. What such users can contribute mainly to the introduction to help enterprises grow and continue to report again.

    . The other type is new users. New users who have entered through market and channels through experience curriculum transformation, experience courses accounted for 70%of the important degree of contribution to the conversion rate almost. The main indicators of new users are the conversion rate.

    The factors involved in the unit unit price are mainly teachers, education financing, and company cost and scale.

    The current industry is divided into Prek, K12, and vocational education. The classifications at different stages are similar. PREK can be divided into discipline education, quality education, and general education. Circuit, tool support, etc. Professional education is supplemented by other language counseling, as well as some tool type products, such as Dictionary dictionary.

    What is it to make money?

    ) Online 1V1 mode: This mode requires a large number of teachers. At present, it mainly uses VIPKID and 51Talk as a one -on -one counseling. At present, the main source of students is the high -income user of Xiacheng market. The main requirements are Pei You and Makeup. The way of profit is to reduce the cost of the teacher or increase the unit price of the customer, and the other is to increase the renewal rate of students. External competition is an AI interactive course. This is just the beginning of the curiosity. Of course, I think the company can also expand AI education courses. If the teacher’s cost is reduced, the quality of the teacher’s loss rate will be reduced.

    ) Online small classes: Small classes mainly depend on the capacity of the class. The greater the profit rate, the greater the profit margin, but the growth rate of the increase after more than a certain number of people decreases more. In addition, the cost of teachers is also one of the factors.

    3) Online large classes: mainly due to the large number of people, the high cost of obtaining the customer, and one of the important indicators of the renewal rate. , Reducing customer acquisition costs, finding traffic depression, and increasing the key indicators of entry -class conversion rates and working overtime renewal rates can increase corporate income.

    It also has a large class and small class counseling. This type of model is a model that has been profitable.

    4, what will happen in the future?

    The overall trend:

    K12 industry, the policy suppression is rising slowly; the market situation and policies of quality education are more supportive. The supply industry of teachers’ training is rising and developing. The online industry is developing rapidly.

    Enterprise development:

    The company focus on product delivery experience and data support capabilities. The product delivery experience on the one hand is that the software and research strength also need to continue to accumulate. In addition, in terms of traffic, on the one hand, looking for traffic depression, on the other hand, finding high -quality channels on the launch channels.

    The future online education will still be the supply side driver, and the supply -side personnel need to be replenished urgently. AI is also expanding the direction. The company’s organizational structure, teachers, and content research and development capabilities determine the long -term competitiveness of the company.

    The core logic of the Internet industry is traffic, and trading scenarios can migrate each other. However, the uniqueness of education and training is that each transaction requires specific scenes. It is difficult to migrate between different scenarios and consumers with educational training. Therefore, online education will return more to the essence of education. Education as the content industry, the supply of high -quality content is the core competitiveness.

    above, I hope to give you some help.

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