Market Research
Industry Description |
R & O will enter the edtech and educational measurement market in order to address the gap between small-scale classroom-based assessment applications (e.g., GoFormative, Kahoot, Learnosity, Duolingo) and large-scale testing services (e.g., Pearson, College Board, Educational Testing Services). These two markets are confronted with similar problems, yet neither have addressed the underlying issues. Small-scale classroom-based assessment applications provide high-level design and user-interface, yet lack statistical expertise associated with educational measurement and psychometrics to validate classroom instruments used in day-to-day teaching and learning practices. On the other hand, large scale testing services, by-and-large, primarily focus their statistical expertise in validating high-stakes summative assessments (e.g., SAT, ACT, GRE, LSAT, GMAT), rather than designing a broad validation framework accessible to classroom teachers. Our company will provide a series of broad, and flexible, web-based assessment design platforms and applications enabling assessment validation through statistical modeling. |
Market Outlook & Projections |
Since 2014, the edtech market, broadly defined, has achieved a compound annual growth rate of nearly 9%, and is expected to grow to $43 billion by 2019 (Technavio, 2016). The US edtech market is comprised of three primary segments. The K-12 market, which comprises nearly 46% of the total market, spends over $8.3 billion on edtech services and products annually (Wan, 2018). Postsecondary four-year institutions, comprising nearly 54% of the market, spent over $6.6 billion in 2015 (Technavio, 2016; Forbes, 2017). The global market for all digital services in education is projected to be worth $130 billion by 2025 (Frost & Sullivan, 2016). |
Market Size |
In the US in 2018, there were 15,00 edtech decision-makers (i.e., those responsible for procuring edtech services and products) at the school-district level, 3,500 at the postsecondary level, and 1,500 at 2-year post-secondary level (Australian Trade and Investment Commission, 2018). The current edtech market is comprised of 1,500 companies, and approximately 150,000 applications (Technavio, 2016). In 2016, the market for educational applications was comprised of: 40% pre-primary education, 39% primary and secondary education, and 21% post-secondary. |