Sales Training Industry In India,Technical Training Market in India

1. India Corporate Training Market Forecasts To 2020 : Ken Research

3. How The India Corporate Training Market Is Positioned? • The market for corporate training has witnessed positive technological advances which had significantly altered the training methodology across organizations. E-learning has eased the conduction of training programs for geographically diversified teams. Also, organizations have showcased greater inclination towards blended modules from the traditional instructor-led classroom trainings. Company budget allocation towards corporate training has seen an increment from being ~% five years ago to approximately ~% of the overall company cost currently. Larger organizations and MNCs spend around ~% of their overall cost on corporate training programs. Training programs has evolved from being just a tool for employee skill upgradation to a medium for developing strategic initiatives to streamline business goals. The corporate training market in India scaled at a CAGR of ~% between the periods FY’2010-FY’2015 to register

4. Which Segments Have Driven Changes In Corporate Training Market? • IT/ITES accounted for a massive ~% of the revenue generation in the market in FY’2015. The nature of the work itself requires specialized trainings and the continuous development in software applications have further widened the requirements. IT companies in India have been allocating 3-4 months of training at an average cost of INR ~ per enrollee. Telecom has been one of the fastest growing sectors in India, expanding at the rate of ~% per year and has emanated as one of the major consumer base accounting for around ~% of the overall revenue generation in the market.

5. What Is The Decision Making Process Of Hiring A Corporate Training Firm • Ideally, the private organizations filter and favor the companies that have substantial expertise in the domain in terms of years of service and the magnitude of programs they have handled in past. Program content and pricing are the other two critical factors that are taken into consideration. Organizations are quite inquisitive about the training modules, which the corporate training companies offer. Queries such as mode of training, course content, and possession of assessment tools are quite common to be considered before short listing any corporate training provider in India. • In case of government organizations, pricing stand as the major eliminating factor. Generally, the competing organizations in the tender process are mostly well-established and have almost similar credibility making the pricing module a critical parameter in the final selection. Clientele and program duration also forms a considerable weightage in the final decision making. Government projects generally happen at a larger scale, therefore a past experience would certainly give the company an edge in the selection process undertaken by government authorities. Duration of the program is critical in case of training programs that need to be conducted at least on an urgent basis

6. What Business Model Is Being Followed In The Market • The corporate training companies in India have several revenue streams that help the company sustain their operations. Primarily, there are three major sources that help the companies generate business in the market. Initially, there are clients who may collaborate for a long term association for round the year requirements. This source brings in repeat business for the company and they may even bring other businesses through positive recommendations. • Secondly, there are marketing and sales freelancers who act as brokers and cold call companies for collaborations. They may charge ~% of the business that they bring in for the concerned training company. Open workshops are held by the companies to market a new module or a course being conducted by them may interest prospective clients and bring some new contracts. Open workshops also act as a revenue source for the company as the seats are chargeable at an average rate of INR ~ per seat. With regards to average cost of engagement for a program, the charges may be on a per day basis or per candidate basis. Per day charges may range from INR ~ to INR ~ depending on the batch size and the training module. There are some other training houses that charge on per facilitator basis. The charges per trainer may range between INR ~ depending upon the course structure, batch size and the duration of the program.

7. How Is The Corporate Training Market Valued In The Future? • Hyderabad, Chennai and Bangalore are projected to witness major growth in the training and development segment. Hyderabad has come out of a bad suppression and is witnessing a sizable manpower allocation. Chennai would pick up in the wake of growing manufacturing sector. The mushrooming start-up culture in Bangalore would be the major push factor in the city. The volume of middle management and younger managers seeking training in India is expected to rise significantly in the next 2-3 years. There will be a huge market for companies that focus on trainings which are personalised, interactive and provide entertainment value alongside the process of training. The corporate training market is poised to grow at a CAGR of ~% till FY’2020. The Indian IT industry has a size of USD 119 billion currently and around 180,000 new employees got added in the last year. With the industry and employee size magnifying at a glaring rate, the IT training companies have a huge opportunity to position themselves and consolidate leverage their earnings.

8. How Is The Competition Structured In India Corporate Training Market? • Low cost of investment and lack of entry barriers for incumbents has led to high fragmentation and therefore competition in the market. Overall, the market can be categorized into 3 sorts of players based on the employee size. The smaller players generally yield an annual turnover of INR ~ crore, while the medium and large size companies churn out an average annual revenue of INR ~ crore and ~ crore respectively. NIIT and Manipal Global are the market leaders currently with possession of ~% and ~% of the market shares respectively. While NIIT has been in the market for quite long and is a popular brand owing to its strong marketing activities and extensive presence across the country, Manipal is a dominant player in the BFSI segment. Manipal’s strategic collaborations with major private and public banks to facilitate laters’ executive recruitments has made the company a reliable name in the BFSI domain. The top 5 players accounted for ~% of the market share in FY’2015 while the rest each market player should have chalked out ~% of the market share at most.

9. Company Profile Of Major And Emerging Players In The Market • The company profiles have extensive coverage of the key business indicators of the major as well as emerging companies. The parameters include detailed company overview, the business USP, business strategies implemented by the firms, developments and future plans.

10. Key Factors Considered In The Report • Comprehensive analysis of the India corporate training market and its segments • Listed major players and their positioning in the market • Identified major industry developments in last few years and assessed the future growth of the industry • Investment model analysis to understand cost and profitability aspects of a typical corporate training firm.

11. Disclaimer • The research reports provided by Ken Research are for the personal information of the authorized recipient and is not for public distribution and should not be reproduced or redistributed without prior permission. None of this material may be used for any commercial or public use until unless authorized by Ken Research. The report will only be used as per the license rights authorized by Ken Research. • The information provided in the research documents is from publicly available data and other sources, which are reliable. Efforts are made to try and ensure accuracy of data. With respect to documents available, neither the company nor any of its employees makes any warranty, express or implied, including the warranties of merchantability and fitness for a particular purpose, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use will not infringe privately owned rights.

12. Source:https://www.kenresearch.com/education-and-recruitment/education/india-corporate-training-market-report/34609-99.htmlSource:https://www.kenresearch.com/education-and-recruitment/education/india-corporate-training-market-report/34609-99.html • Contact: Ken ResearchAnkur Gupta, Head Marketing & CommunicationsAnkur@kenresearch.com+91-9015378249 • Website : www.kenresearch.com

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