Udemy is a massive online learning platform and inspires millions of students, and professionals every day to increase their skills through its various arranged coursework into videos, text notes, models, and assignments tests.
Apart from this, Udemy owns 155K courses, 480M Course enrolments, 70K Instructors, 40M Learners, 115M Minutes of video, 65+ Languages, and 7,000+ Enterprise customers, along with 80% of Fortune 100 companies have trusted Udemy for their employee up skilling. Udemy is a cloud-based LMS (learning management system) that is not only inspiring young talents to grow but its business model is also impacting business owners to launch their own e-learning solutions.
When we are talking about SaaS LMS, there are many professionals who are still confused about how the ELearning Industry can be benefitted from the SaaS LMS. As said above, this online learning platform has motivated many people and they have begun to look for ways to develop their eLearning app like Udemy.
Keeping this in mind, we are sharing the best ways through which you can too have the same e-Learning platform like Udemy and can also inspire people around you by offering diversified learning to them.
What is Udemy and Its Business Model?
Udemy is not a new name in the online learning community. It was curated with the help of a dedicated software development team, in order to provide a platform to those people who are eager to learn new skills and want to reach the heights of success. As said above there is a vast library of courses ranging from learning foreign languages to coding. All the courses are perfectly curated by academicians who own a broad knowledge base. Udemy also offers free courses from beginners to expert level to encourage learners across the globe. You can access Udemy on your Android, iOS, website, and even on Apple TV.
Because of its soaring popularity, many developers and business entities are looking for IT consultation services, who can help them to get the same learning platform packages. We can’t ignore the fact how well, this learning platform has emerged and offered plenty of opportunities for those who want to learn something new.
But before proceeding ahead, it is vital to understand more about Udemy, isn’t it? Indeed!
As we know, Udemy is the learning management system platform that manages learning and training models for many learners. Basically, LMS is a cloud-based system that helps users to register for one or more courses and authenticate themselves along with taking assessments on the completion of the specific enrolled courses. Let’s talk about some statistics that indicate the success of the e-learning sector according to ThinkImpact.
Online Education Market Size:
- It has been estimated that by 2026, the online learning market would be worth $375 billion. (Worldwide)
- Additionally, it is predicted that by 2024, the US eLearning business will grow by $21.64 billion.
- Furthermore, it is evident that the US holds about 34% of the e-Learning market platforms.
- Back in 2019, the North American LMS business was valued at $3.97 billion.
- From 2020 to 2026, the online learning industry and eLearning segment are likely to expand with a CAGR of 32.1%.
This is where the rise of the e-Learning platform elevated and many professionals are looking to introduce their own online learning app in the market. Head towards the method of how Udemy generates revenues.
Udemy Business Models:
We have shared the business model below, you can choose them for your e-Learning solution but make sure you are taking help from IT professional services, as they will help you to understand every bit of the product development.
Primarily, Udemy owns a marketplace business model, which means that Udemy manages the services of various instructors and sells them on its website. Now, Udemy will only act as a mediator as it doesn’t own services or items that are listed on the website. As far as the cost it is decided by the instructor only and the Udemy charges the commissions for helping the instructors by providing a reliable platform with a broad range of audience.
As we know, eBay and Amazon sell the products and connect the buyers and sellers together under one roof. Similarly, this is how Udemy works.
Udemy Working Pattern:
This is the important factor to consider when you want to build your own app like Udemy because learning the working platform will help you to adopt various ideas for your dream project. But make sure you are taking help from the enterprise mobility solutions to create efficient business processes and also add value to your business. Basically, Udemy focuses on the primary four-factor that is listed below.
- Affordable Education
You can drive an affordable education pattern to your e-Learning platform as its course starts from $9 to $200. Not only this, students and learners across the globe can also avail various coupons and seasonal offers to make themselves enrolled in the courses. The mode of payment can also be selected in the paid course.
Do you remember we were talking about the broad range of courses Udemy offers to improve your skills and competencies by enrolling in a wide variety of areas. Whether it’s about technology or you want to learn more about music or the arts, there is always everything for everyone on Udemy.
Udemy offers consistency to its learners to choose what and when to study without disturbing their schedule. Additionally, there is no set time limit for students, hence they learn as per their suitable pace. You can too opt for this amazing feature with the hybrid app development company
Every online learning platform must have the option to give certificates on the completion of courses. This boosts the confidence and your students try to get enrolled in more courses in order to get the certification. Apart from this, these certificates can be saved in multiple formats and you can share them with your friends and families.
Understanding Udemy’s Revenue Sources:
As we know Udemy offers both free and free courses to its students. In addition to this, it also creates content on-demand and the paid course fees are depending on the instructors. As said many organizations are relying on Udemy for employee upskilling. Let’s understand its revenue structure below:
- Udemy Pro (Monthly Membership)
This is a monthly subscription service that was launched in 2019 for students who want to get IT certifications. The cost of Udemy Pro is $19.99 per month.
- Instructor Revenue Share
This is commission-based revenue and all the courses are curated by the instructors who are selling their courses online. Whenever the course gets sold, Udemy receives a revenue share and it gets splits between the instructors and Udemy.
- Udemy for Business
Udemy also focuses on business-to-business revenue streams with 5 thousand courses that are guided by fifteen hundred instructors on Udemy for business platforms. Many big platforms such as Booking.com, Volkswagen, Adidas, and Lyft have trained their employees through the online learning platform. If you own a team of 5 – 20 users it will cost you US $360 / user/yr (plus applicable taxes) on the other hand, for enterprises with more than 21 users it depends on the custom pricing.
- Paid Acquisition
Another way of Udemy revenue generation is the paid advertisement. Udemy focuses on instructors’ sales by showcasing their talents on various platforms such as Facebook, Google, and many more. Now, if any students get enrolled through these paid channels, Udemy will charge 74% of commissions and on other hand, instructors have the freedom to choose their paid channel to share their course.
Features To Add In Your eLearning App
This important factor that you must pay attention to is the features that your eLearning app should have. It is an important factor in the development process and it must encompass all the crucial features including the interactive website or app layout. Make sure that you are also taking help from UI UX development services for a better design.
However, we have classified the features into three categories, i.e. students, teachers, and general feature panel.
- Clear Course Categories
This is the vital part because your students must understand what courses you are offering them along with paid and free course packages.
- Diverse Courses
Udemy offers a wide range of courses for everyone, no matter whether it is about learning music or science, Udemy has everything you need. You can drive the same idea from this in order to understand how well you can showcase the courses for your learners. The best on demand mobile app development can help you here!
- Feedbacks and Reviews
This feature will help you to understand your students in a more precise way, such as what kind of learning they want from you. They can also share feedback for the specific courses and also leave their review behind. Through this, your students can feel a personalized experience.
- Easy Sign-Up
You can take help from the efficient mobile application services platform to integrate social media profiles with your e-Learning app. This will simplify registration methods and your students can sign up easily.
- Payment Integration
As we said, along with free courses, paid learning should also be there along with the multiple payment integration because if your learner wants to get enrolled in the paid courses, they can make payment easily. However, we would suggest you go check with QA software testing services.
- Multiple Language
If you want to frag global users to your e-Learning website or app make sure you are offering multiple language options so that users can get enrolled in the courses as per the convenience and their preferred language.
- Refund Policy
There are many e-Learning websites that offer a money-back guarantee if students do not wish to get enrolled anymore, they only charge a minimal amount or registration fee. You can also own this feature with a money-back policy so that your students can assure you are delivering quality content on your portal.
- Push Notifications
This is an important feature as both students and teachers can receive important updates on the new courses, discounts, deals, and much more.
- Customer Support
You can go with a chatbot development company, to offer round-the-clock customer services to your clients. Effective customer assistance is significant as it will not only help your customer but also drive better customer relationships that will be proven better for your business.
- Course Recommendation
Every sector is adapting the fast-paced technologies in the workflow. Hence, you can also get in touch with the eLearning Software Development team to integrate Artificial Intelligence with your learning portal. This will help your learner with smart suggestions and course recommendations that may interest your students. Additionally, your learners can also get enrolled in multiple courses as per the recommendations.
Filter feature will help students to sort the subjects according to their preference and requirements. They can understand the free and paid course along with categorizing the subject according to their choice.
- Sleek Dashboard
The teacher’s feature is straightforward and on the spot with the intuitive dashboard that will help instructors to keep an eye on the online activities of learners. Additionally, they can also give ratings to the students who have enrolled in the paid course from the same dashboard.
In addition to this, Dashboard can also help instructors to understand the traffic and conversion rate of their specifically designed courses. All these can be done on a single dashboard without creating any confusion.
How Much Does eLearning App Development Costs?
Basically, your customized e-learning portal depends on several determinants such as geographic area, layout, configuration, development, including SMEs, project management teams, and even experienced software developers.
But, we can give you an approx. idea for an e-learning app with basic specifications. If you want to go with a single platform (Android or iOS), the range would be between $8000 to $30,000. On the other hand, advanced online learning apps with integration and analytics will lie between $35000 to $70,000.
You can also ask the dedicated software development team for better cost accuracy.
Make sure before proceeding ahead you are conducting market research with a clear insight of competitors to understand how your product will work in the market. Apart from this, it is also crucial to understand your targeted audience to have a better vision of your app development. The next step you must contemplate is to recognize how well your product should look like including the perfect layout and other designs. All these components will help you to run in a long race!