India Corporate Training Market Forecasts to 2020 - Incremental Allocation of Training Budgets in MSMEs and PPP in Skill Development Initiatives to Propel Growth" which provides a comprehensive analysis of the corporate training market in India. The report covers various aspects such as overall size of India corporate training market, segmentation on the basis of demand from major sectors, training services, industry, mode of learning, training demand from level of employees, major cities, demand for open and customized learning, different learning tools, learning modes, demand from small medium and large organizations, and demand from MNCs and domestic organizations.

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.


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12.  Source: https://www.kenresearch.com/education-and-
recruitment/education/india-corporate-training-
market-report/34609-99.html
 Contact:
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Ankur@kenresearch.com
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 Website : www.kenresearch.com

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