Online education is revolutionizing the way people learn, and it's more accessible than ever before, especially in developing countries. This niche is gaining popularity, and the numbers prove it. According to Statista, the global online education market was valued at $101 billion in 2019, with projections indicating that it will surpass $370 billion by 2026. Furthermore, the COVID-19 pandemic has accelerated the shift towards online education, with millions of students worldwide turning to e-learning as a result of school closures.
If there is a business that is looking to make a difference and start a profitable business in the education industry, it's the right moment to make it. Julia Ponomareva, an expert in international business development for IT startups and EdTech companies and Forbes Council Member, repeatedly featured in Forbes, has shown that success is possible with the right strategy. Julia boasts over 20 years of professional experience working with various countries and regions worldwide, including top IT corporations like Asus, HP, and Kaspersky Lab. Additionally, she has launched her own startup in the UK and played a key role in introducing GetCourse, a no-code builder platform for content creators, to the Indian market. Now, she shares her experience and tips for aspiring entrepreneurs who want to make a difference in developing countries.
Julia believes that the process of starting an online school is universally the same, regardless of the region or country. Here are the steps:
Analyze the market
Find your niche
Learn your competitors
Analyze the target audience
Test the idea
Set up a product line and pricing
Develop marketing strategy and sales funnel
Create content for your courses
Sell and scale your online business
On the other hand, it is crucial to take into account the local features that affect all stages of launching an online school in each market. Julia suggests starting by analyzing the country's market where you plan to start a business. For an online school, it is recommended to consider the level of internet penetration, the development of offline and online education, and the most popular niches in the country.
During a market analysis discussion, Julia suggested a method that she and her colleagues at GetCourse used to enter new markets. The approach involves:
1. Select a region or country and analyze the market using tips above.
2. Conducting CustDev interviews with local experts and potential users to gain insights into their preferences and needs.
3. Arrange for payment acceptance methods that align with local practices, as different countries have their preferred methods.
4. Launch a minimum valuable product (MVP) can then be launched, such as a landing page with paid traffic on Facebook or Instagram, and a simple sales funnel to test the market's demand.
5. Once the first payments are received, they should be refunded, and the results analyzed.
6. If the test is successful, and users show an interest in the product, a full-scale launch can be deployed.
It is important to note that developing an online course is not necessary initially. Instead, the focus should be on testing the idea and selling it. Only after securing some paid users should the product's development begin.
As for niches, In developing countries and regions such as Latin America's countries, India, Indonesia the most popular niches are those that offer skills to make money or teach people how to earn money. This is because in developing countries, people strive to improve their social status through education and earnings. On the other hand, in developed countries, basic needs are already covered. Therefore, when planning to start an online school in a developing country, it is essential to study the skills and professions that are in high demand.
For instance, GetCourse's client in Brazil, https://cursoid.com.br, is a well-known school that prepares students for ENEM, an exam required for university admission. The school generates several thousand dollars in revenue per month using only organic traffic from social networks. Preparing for exams, learning languages, and obtaining professions are the most relevant niches for launching an online project in developing countries. Julia confirms that this is especially true for India, based on her experience. In this country the following niches are the most popular:
Primary and secondary supplemental education
Test preparation
Reskilling and certification
Higher education language
Casual Learning
However, there are exceptions to the rule. For instance, one of GetCourse's clients, Evgenia Ermilova's sculpture painting school, sells drawing lessons successfully to the Indian and Indonesian markets. The online school generates over $20K a month by using Evgenia's Instagram and Facebook pages and Instagram paid traffic. By employing a simple sales funnel that sends leads from ads to the website and offering courses with an average price of $200, the school generates significant revenue.
In countries like Turkey or India, purchasing power is much lower than in developed countries like the United States. The average cost of online courses in India and Turkey ranges between $10 and $50, and it may require an effort to sell courses for this cost by connecting with a sales team. Conversely, in the USA, it is easier to sell a course for $300 by leading a client from advertising to the landing page and offering them to purchase without "warming up" the audience.
At the same time, it cannot be denied that the cost of paid traffic, which is often the main source of potential customers, will be lower in Turkey and India but much more expensive in the USA. For instance, in India, the cost per lead (CPL) can be as low as $1, while in the USA, a lead for a similar product can cost over $20.
Also, when it comes to cultural approaches, it's essential to consider the target audience's preferences. When it comes to studying, there is a difference between India and the USA. In India, students prefer 1:1 tutoring with a teacher, whereas, in the USA, students are more inclined towards self-study. This is a crucial factor to consider while creating a business model for an online school. In India, more teachers may need to be hired for the online project, while in the USA, pre-recorded lessons can be sold for self-study without the need for additional teachers.
In conclusion, opening an online school in a developing country can be a profitable and impactful business venture if you analyze the market well and take into account local specifics. With Julia's experience and tips, anyone can launch an online school successfully and make a difference in people's lives. Remember to keep the target audience's preferences in mind, price courses reasonably, and focus on driving traffic to your courses using various marketing channels.
