Overview

Learning curve: Demand will recover, but competition from language software looms

The Language Instruction industry market report contains strategic analysis of the key drivers influencing the industry. Save hours of time on research and prospecting using IBISWorld’s standardized, up-to-date reports on thousands of industries. Our industry research provides growth and profit forecasts for a five-year outlook period, presented in a clear and user-friendly format.

REPORT SNAPSHOT

Industry Threats & Opportunities

  • The industry faces rising competition from colleges’ in-house language training programs
  • To compete with language software, industry schools are offering more computer-related courses
  • Colleges will compete with the industry with their own in-house training programs
  • Industry Analysis & Industry Trends

    The Language Instruction industry is one of the smallest industries in the education sector. During the beginning of the sluggish economic recovery, individuals had more time to spend on leisure activities. Instead of traveling abroad, consumers used the time to develop new talents and increase job skills, such as learning a new language. Since then, international travel activity has picked up as economic growth accelerated, benefitting the industry. Over the next five years, industry operators will face rising competition from educational institutions that offer in-house intensive English programs for international students. In response, industry operators are anticipated to expand online language programs, which allow greater flexibility than traditional schools.

    Industry Report - Industry Analysis Chapter

    The Language Instruction industry is one of the smallest in the education sector, estimated to compose only 2.8% of sector revenue in 2016. While many sectors remained depressed through the start of the economic recovery, education, particularly vocational and skill-based education, experienced a growth period as unemployed people took to schools to bolster technical abilities and job skills. As the recovery has quicken, both corporate and consumer spending have rebounded. Over the five years to 2016, per capita disposable income and international travel by US residents are expected to grow at annualized rates of 1.6% and 2.4%, respectively, leading to solid industry growth. As a result, IBISWorld anticipates revenue to increase at an annualized rate of 4.5% to $1.9 bi

    Additional Insights for the Language Instruction Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Language Instruction Industry are

  • Easy access for clients
  • Provision of a related range of goods/services ("one-stop shop")
  • Ability to alter goods and services produced in favor of market conditions
  • IBISWorld analysts also discuss how external factors such as Corporate profit and Number of immigrants in the Language Instruction industry impact industry performance..

    shopping_cartVIEW PURCHASE OPTIONS

    Look under the hood?

    Download a FREE sample report

    Industry Products

    What is the Language Instruction Industry?

    Language schools offer language instruction ranging from conversational skills for personal enrichment to intensive training courses for career or educational opportunities. Schools teach foreign languages, sign language and English as a second language. This industry does not include language instruction software.

    Industry Products
    Foreign language instruction
    English language instruction
    Sign language instruction
    Industry Activities
    English language instruction
    Other language instruction
    Sign language instruction

    Table of Contents

    About this Industry
    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry at a Glance
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Industry Performance
    Executive Summary
    Key External Drivers
  • Corporate profit
  • Number of immigrants
  • International trips by US residents
  • Time spent on leisure and sports
  • Per capita disposable income

  • Current Performance
  • International travel rebounds
  • Rising competition from software
  • International students
  • Chart: Revenue Growth

  • Industry Outlook
  • Competition impedes opportunity
  • Profitability declines slowly
  • Table: Language Instruction Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Language Instruction Industry Lifecycle vs The Economy

  • Products & Markets
    Supply Chains
    Key Buying Industries
  • Finance and Insurance
  • Educational Services
  • Public Administration
  • Consumers

  • Key Selling Industries
  • Book Stores
  • Computer Stores
  • Internet Hosting
  • Office Supply Stores

  • Products & Services
  • Foreign language instruction
  • English language instruction
  • Sign language instruction
  • Chart: Language Instruction Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Consumers
  • Corporations
  • Government
  • Chart: Major Market Segmentation for the Language Instruction Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Competitive Landscape
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesRent and utilities, marketing and depreciationOther
  • Chart: Cost Structure Benchmarking – Sector vs Language Instruction

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Language Instruction Industry

  • Industry Globalization
    Major Companies
    BerlitzRosetta Stone Inc.
  • Table: Berlitz - financial performance
  • Table: Rosetta Stone Inc. - financial performance

  • Operating Conditions
    Capital Intensity
  • Chart: Level of Capital Intensity for the Language Instruction Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Key Statistics
    Table: Industry Data for the Language Instruction Industry
    Includes:
  • Industry Revenue (2007-2021)
  • Industry Gross Product (2007-2021)
  • Establishments (2007-2021)
  • Businesses (2007-2021)
  • Employment (2007-2021)
  • Wages (2007-2021)
  • International trips by US residents (2007-2021)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Jargon & Glossary
    Blended Learning
  • Combines computer- or online-based lessons with traditional face-to-face training.
  • Intensive English Program (Iep)
  • Course program offered by colleges designed for non-English-speakers who want to pursue higher education or employment in the United States.
  • Outbound Tourism
  • Tourism leaving from the United States to foreign countries.
  • Why buy this report?

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Language Instruction:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Language Instruction market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Language Instruction, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Join IBISWorld today

    Contact Us

    Want to speak to a representative? Call us.

    clear