Top Drivers Bolstering the Demand for Learning Management System (LMS)

The learning management system or LMS is considered to be an essential tool in the field of eLearning as all online training modules and courses are built upon it. It also reduces the risk of losing crucial data and makes the course development process easier. Besides, it can track the learner’s progress and help in improving performance. As per a report by Fortune Business Insights™, the market for learning management systems is projected to grow from USD 13.38 billion in 2021 to USD 44.49 billion in 2028 at a CAGR of 18.7% in the forecast period.

Fortune Business Insights™ Presents Top 2 Drivers of the Market for Learning Management Systems:

1. High Demand for Innovative Employee Training Services to Spur Growth

Nowadays, a wide range of industries, such as automobile, healthcare, retail, and finance are constantly adopting learning management systems to meet the evolving needs of employees. This is happening as today’s tech-savvy generation is seeking information at their fingertips and is demanding to stay updated with new policies and regulations. This management system is helping employees to meet regulatory needs by offering company-specific eLearning solutions. Recent norms, such as Section 508, SCORM, AICC, and Tin Can have compelled organizations to train their employees on their safety guidelines, culture, and policies. Hence, they are utilizing compliance management systems to develop novel courses that include animations, scenarios, and illustrations to enhance employee engagement. According to the Workforce Learning Report, 2018, published by LinkedIn Learning, 94% of employees would remain in a particular company for a long term if it invests more in career development materials.

In March 2021, for instance, Docebo Inc., a software solution provider based in the U.S. introduced Docebo Learning Suite, its latest multi-product learning technology suite. It would help in addressing the challenges associated with the entire learning lifecycle- right from content generation and learning impact measurement to driving businesses. As per Claudio Erba, the company’s CEO, “We are aiming to develop a stronger learning suite for the future so that our clients get access to a one-stop-shop as per their learning requirements.”

Furthermore, in March 2021, Unlock: Learn, a provider of cloud-based LMS solutions bagged a spot on the ‘Best LMS Software for Remote Working for 2021’ list. The company won because of the presence of multiple features on its software, including AI-enabled chatbots, a learner-centric UI design, and automated reporting. The software solution has also helped several companies to enhance their overall productivity by keeping up with the rapid shift towards a remote-first culture.

2. Closure of Educational Institutes amid COVID-19 Pandemic to Propel Growth

The outbreak of the COVID-19 pandemic has brought the entire world to a standstill since the beginning of 2020. Schools, colleges, and other educational institutes have shut down their campuses temporarily to prevent transmission of the coronavirus and prioritize the safety of teachers and students. UNESCO mentioned that the pandemic has severely affected around 1.2 billion students in 143 countries globally. Therefore, numerous educational institutes are inclining towards online learning platforms at a fast pace for conducting virtual classes. They are investing huge sums in LMS for providing effective educational tools and online lectures amid this difficult phase so that students can continue their studies without obstacles.

In May 2021, for instance, the University of New Mexico selected Canvas, a reliable and open web-based software solution as its future Learning Management System. Though the full transition is likely to take place by the summer of 2022, a pilot program of the software will soon be rolled out. The university had been utilizing Blackboard Learn, which had certain limitations. Canvas, on the other hand, is cloud-based and also easy to use.

Similarly, Open LMS, a Moodle-based eLearning solution provider collaborated with K16 Solutions, one of the leading players in the EdTech industry in May 2021. It would enable both companies to deliver cost-effective, quick, and accurate LMS migration services. The Managing Director of Open LMS, Phill Miller said, “We aim to provide the best learning experience to students by adopting cutting-edge learning technology available in the market. This partnership would help educational institutions to easily migrate their course content to our software. Additionally, they can eliminate various issues related to streamlining the entire process.”

Will LMS Include Power-Packed Content Catalogues and Smaller Chapters in the Future?

Earlier, people who were not so enthusiastic about asynchronous communication quickly adopted online learning because of the COVID-19 pandemic. At present, companies and educational institutes are heavily relying on LMS for delivering access to learning solutions anywhere and anytime. In the future, this management system can provide easy interaction for users with the learning content. In September 2020, Cornerstone stated that users need to find a particular chapter quickly without the requirement of multiple searches, and hence, content needs to be smaller. Content catalogs in LMS are expected to be more power-packed in the upcoming years.