Learning Management System (LMS) Market by Component (Solution, Services) by Deployment Mode (Cloud, On-premises) by User Type (Academic, Corporate): Growth, Future Prospects & Competitive Analysis, 2015 - 2027

The global Learning Management System (LMS) market is anticipated to cross market size of USD 27.8 billion in 2027 from USD 13.4 billion in 2020. The global market is estimated to grow at a CAGR of over 13.5% during the forecast period.

 Software that is specifically designed to manage, create, and distribute the delivery of educational content is referred to as a learning management system and abbreviated as LMS. It can either be a cloud-based platform hosted by a software firm or a stand-alone product hosted on the company server. It makes life easier for those who are in charge of training and development as it enables them to identify & assess individual and organizational learning goals, track progress towards meeting these goals and collect & present data in order to supervise the process of learning.

Key Market Drivers and Restraints

Here, the key features triggering as well as limiting the growth of the global learning management system (LMS) market will be covered. Moreover, factors that will lead to challenges and opportunities for the global market to determine the revenue generation will also be covered.

Low adoption rate of learning management system (LMS) in underdeveloped countries may hamper the growth of the market

The prime factor restraining the growth of the global learning management system (LMS) market is the low adoption rate of the market in underdeveloped countries due to a dearth of IT infrastructure. Most of the countries in the Middle East and Africa as well as Latin America are not technologically advanced in digital content. In addition to this, other related issues such as poor compatibility of devices, lack of technical support, lack of knowledge related to LMS solutions, and slow internet connections are also some of the factors that are holding back the use of LMS in these countries.

North America to account for the maximum share in the global market

Geographically, the global learning management system (LMS) market is split into six regions with all key economies relating to it. Credence Research offers comprehensive insight on every region included in the global market. North America contributed for the maximum share in the global learning management system (LMS) market with over 38% share in 2020.

Global learning management system (LMS) market is dominated by service component

Based on the component, the global market is split into solutions and services. Among these, the component segment contributes to the largest share in the market. This is attributed to the growing demand for consulting and support services from several end-users. With the development in the technology, SaaS (Software-as-a-Service) platform will improve the learning management platform infrastructure. Also, the chief functions of support services such as content management and performance management will boost the growth of the market in this segment.

Cloud to lead the global market in terms of deployment mode

Rise in the adoption of cloud-based technology is witnessed across several industries as well as educational institutes as with cost-effective service infrastructure, it provides better flexibility to trainers and learners. In addition to this, the integration of IoT-based tools will increase the adoption of the cloud in several organizations including small-size enterprises.

Among the end-users, academic is dominating the global market

The academic segment includes academic institutions such as private tutorials, universities, schools, and colleges. The key factor boosting the growth of the market in this region is the current covid-19 pandemic situation which has led to shutdown of the academic institutions and boosted the e-learning platforms.  Using LMS platforms, the user is facilitated with the process of teaching and learning through video, voice, and data sharing. Moreover, growing use of smart devices in the younger generation is adding to the growth of the market.

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