According to the latest report from IMARC Group, the global E-learning market reached USD 342.4 billion in 2024 and is expected to grow to USD 682.3 billion by 2033, with a compound annual growth rate (CAGR) of 8.0% during the 2025–2033 period.
However, many educational businesses still wonder whether they can truly benefit from this sector. This article will explain how an E-learning system can support educational enterprises.
1. What is an E-Learning System?
E-Learning System or Electronic Learning System is considered as a form of learning platform via the Internet. For businesses, the system can help manage their lesson contents such as teaching materials, tests, or also administrators can count the number of learners, the process of learners through this platform called Learning Management System (LMS).
For users, there are, nowadays, many people who choose this form because they can utilize their time to share and earn knowledge anywhere in the world. All teachers and learners will attend through devices including Smart Phone, PCs, Tablets,… as long as it is able to connect the network.
2. Type of E-Learning System
When building an E-learning system, there are 2 types of E-learning systems including a Cloud-based E-learning System, and intranet type. So let’s slide down to see how each type is different.
Cloud-based E-learning system
This is a computer-based platform that provides an E-learning system to clients via the internet. For this cloud-based E-learning system, businesses will depend on third-party to enable learners and teachers to approach lessons, which means that your business doesn’t have a server, or doesn’t manage complicated backend.
More exactly, businesses’ learners will have the necessary documents from providers. For example, your E-learning system will include teaching documents, information of learners,.. that will be hosted on a shared platform called E-learning system on the cloud . And you pay an amount of money per monthly, quarterly, or yearly for a license and the number of users to third-party.
The benefits of an E-learning system on the cloud
- Businesses do not worry about Technics, because cloud-based E-learning system providers will take care of details including users & administrative support problems, engineering updates.
- Easy-to-access is a benefit of E-learning system on the cloud, it means that learners can go to learn anytime, anywhere with connecting the internet.
- Budget-saving is a value for businesses using the cloud computing since they do not recruit more in-house IT staff to take care of the E-learning system.
Although this is useful, businesses must rely so much on third-party to customize any functions. Another point to consider when apply this type of E-learning is that there are some confidential contents like playbooks for sales which are not allowed to publish by the third party.
For those learning material, it’s strongly recommended not to put them on Cloud base E-learning system cause it’s high risk to leak these confidential information
Or E-learning system vendors don’t have suitable contents, it means that businesses must spend more time and money to design and create content.
Intranet Type
Intranet type is the best suitable solution for businesses when they want to build a private online learning system. This means that businesses will own an on-premise system, and manage it.
Businesses can take advantage of this type:
- They can design lecture materials, and course outline
- Updating the materials for teaching materials
- The capacity of learners are large
- Businesses customize every section of the system
But The system requires businesses to have an expert team, so that they can manage systems with ease.
3. How much does the E-Learning System cost to develop?
3.1. Cost of Implementing a Cloud-Based E-Learning System (Cloud-based LMS)
For small and medium-sized enterprises (SMEs), using a cloud-based E-Learning system offers a flexible and cost-effective solution. There are two common pricing models:
Pay-per-learner model:
Annual costs range from $2,000 to $10,000 for SMEs.
The cost depends on the number of users and the included features.
Example: For 50 users, the annual cost may be around $5,000.
Pay-per-active-user model:
Charges are only applied to users who are actively engaged during the billing cycle.
Suitable for businesses with irregular or seasonal training needs.
Offers flexible pricing, helping to optimize the budget.
Note on additional costs:
Initial setup fees: May include installation, admin training, and system customization.
Customization fees: Costs will increase if integration with existing systems or the development of special features is required.
3.2. Cost of Implementing an Internal E-Learning System (Intranet LMS)
For businesses that require complete control over their E-Learning system and data, deploying an internal system is a suitable option. Implementation costs vary depending on scale and customization levels:
Small businesses (fewer than 250 employees):
Initial implementation cost: $15,000 to $30,000.
This includes software, deployment, and basic features.
Medium businesses (250–1,000 employees):
Implementation cost: $30,000 to $100,000.
Includes advanced features and higher customization capabilities.
Large businesses (over 1,000 employees):
Implementation cost: $100,000 to $500,000+.
Suitable for organizations with complex requirements and deep system integration needs.
Additional costs:
Annual maintenance fees: Usually about 10% of the initial implementation cost, covering system updates and technical support.
Customization costs: Depend on the complexity of the specifically developed features.
Note: E-Learning implementation costs can vary depending on the provider, specific requirements, and the level of customization. Therefore, it is essential to contact vendors directly for detailed quotations.
If you need support in choosing or implementing an E-Learning system tailored to your business needs, please contact us for a detailed consultation.
4. What Benefits Does an E-Learning System Bring to Educational Businesses?
As of 2024, the online education market in Japan reached approximately $4.5 billion and is projected to grow to $9.4 billion by 2033, with a compound annual growth rate (CAGR) of around 8.4% during the 2025–2033 period.
This growth is driven by the demand for flexible learning, technological advancement, and government support policies.
This is a prime opportunity for educational businesses to invest in E-Learning systems, thanks to the following benefits:
- Expand Global Training Reach
E-Learning helps businesses overcome geographical barriers by offering courses to learners anywhere in the world. This is especially beneficial for learners in developing countries, who can access knowledge from top universities without the need to study abroad.
- Optimize Management and Improve Business Efficiency
E-Learning systems enable businesses to monitor detailed data on learner numbers, progress, tuition, and profitability. These insights support decision-making, improve training quality, and help optimize business strategies.
- Reduce Operational Costs
Compared to traditional training models, E-Learning significantly reduces costs related to facilities, personnel, and printed materials. This is especially important when businesses need to optimize budgets while maintaining training quality.
- Diversify Products and Business Models
Businesses can design a variety of learning packages—from short courses to in-depth training programs—suitable for diverse learner needs. This opens up opportunities to increase revenue and expand market share.
- Enhance Content Quality Based on Feedback
Through learner feedback, businesses can continuously improve their training content, ensuring the curriculum remains up-to-date and aligned with real-world needs.
Investing in an E-Learning system not only helps educational businesses adapt to digital trends but also opens the door to sustainable growth in the future.
If you need assistance in building or upgrading your E-Learning system, feel free to contact us for expert consultation.
We hope this information provides a comprehensive overview of E-Learning for your business. Stay tuned to BAP for the latest updates and insights.
We are an offshore software development company with a proven track record in building E-Learning systems. Backed by our experience and professional team, we are confident in our ability to support any business in creating an efficient and tailored E-Learning platform.
If you have any questions, please don’t hesitate to reach out to us!
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