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Page 1: © This is a licensed product of AM Mindpower Solutions and … · Higher Education Market Size, FY’2008-FY’2011 3.3.2. Non-Formal Market Size and Projections FY’2008-FY’2017

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TABLE OF CONTENTS

1. Indian Education Market Introduction

1.1. Industry Overview

1.2. Indian Education Industry Structure

2. Indian Education Market Size, FY’2008-FY’2011

2.1. By Total Fee Spent on Education, FY’2008-FY’2011

3. Indian Education Market Segmentation, FY’2008-FY’2011

3.1. By Age Group, FY’2011

3.2. By Gender

3.3. By Type of Education

3.3.1. Formal Education Market Size and Projections, FY’2008-FY’2017

3.3.1.1. Formal Education Market Segmentation, FY’2008-FY’2017

K-12 Market Size and Future Projections By Value, FY’2008-FY’2017

Higher Education Market Size, FY’2008-FY’2011

3.3.2. Non-Formal Market Size and Projections FY’2008-FY’2017

3.3.2.1. Non Formal Education Market Segmentation

Pre-School Market Size By Value FY’2008-FY’2017

Market Share of Major Players in Pre- School Market, FY’2009- FY’2011

ICT Market Size and Future Projections By Value, FY’2008- FY’2017

Market Share of Major Players in ICT Market, FY’2011

Tution/Coaching Market Size and Future Projections By Value, FY’2008-FY’2017

Skill Development Market Size and Future Projections by Value, FY’2008-FY’2017

4. Indian Education Market Trends and Development

Fast Growing Indian E-Learning Market Set for Consolidation

Government Expenditure on Education Set to Increase

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Focus on technology and IT Infrastructure in K-12 Segment

Supplementary Teaching and Teacher Training

Development of Virtual and Technology Enabled Learning Solution

Technology Driving Education Industry Growth

Preference for Private Education

5. Indian Education Market Future Outlook and Projections, FY’2012-FY’2017

6. Indian Education Market Company Profiles

6.1. Everonn Systems India Limited

Company Overview

Business Strategies

Financial Performance

6.2. Educomp Solution Limited

Company Overview

Business Strategies

Financial Performance

6.3. NIIT

Company Overview

Business Strategies

Financial Performance

7. Appendix

7.1. Market Definition

7.2. Market Abbreviation

7.3. Research Methodology

Data Collection Methods

Approach

Variables (Dependent and Independent)

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Multifactor Based Sensitivity Model

7.4. Disclaimer

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LIST OF FIGURES

Figure 1: Indian Education Market Structure

Figure 2: Indian Education Market Size on the Basis of Total Fee Spent on Education in USD Million in FY’2008-FY’2011

Figure 3: Indian Formal Education Market Size and Future Projections on the Basis of Total Fee Spent on Education in USD Million in FY’2008-FY’2017

Figure 4: K-12 Market Size and Future Projections on the Basis of Total Fee Spent on Education in USD Million, FY’2008-FY’2017

Figure 5: Total Number of Enrollments in Private Schools in K-12 in FY’2008-FY’2011

Figure 6: Indian Higher Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million, FY’2008-FY’2017

Figure 7: Indian Non Formal Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY’2011

Figure 8: Indian Pre School Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY‘2017

Figure 9: Number of Pre School Enrollments in Units, FY’2008-FY‘2011

Figure 10: Market Share of Major Players in Indian Pre-school Market on the Basis of Revenue in Percentage, 2009

Figure 11: Market Share of Major Players in Indian Pre-school Market on the Basis of Revenue in Percentage, 2011

Figure 12: Indian ICT Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY'2017

Figure 13: Market Share of Major Players in ICT Market on the Basis of Sales in Percentage, 2011

Figure 14: Indian Tuition/Coaching Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY’2017

Figure 15: Indian Skill development Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY’2017

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Figure 16: Indian Skill Development Market Segmentation by Type of Training on the Basis of Sales in Percentage, FY’2008-FY’2011

Figure 17: Indian E-learning Education Market Size in USD Million in FY’2008-FY’-2012

Figure 18: Indian Education Market Future Projections on the Basis of Total Fee Spent on Education in USD Million in FY’2012-FY’2017

Figure 19: Everonn Revenue in Million, FY’2008-FY’2011

Figure 20: Educomp Revenue in Million, FY’2008-FY’2011

Figure 21: NIIT Revenue, FY’2006-FY’2011

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LIST OF TABLES

Table 1: Segment-wise Distribution of Budget allocation on Education in Percentage in FY’2009-FY’-2011

Table 2: Enrollment levels in Schools on the Basis of Age Group in 2011

Table 3: Enrollment levels in Schools on the Basis of Gender in 2011

Table 4: Indian Higher and Professional Education Institutes in FY’2009-FY’2011

Table 5: Indian Colleges and Enrollments at Beginning of the Year in FY’2009-FY’2011

Table 6: Class-Wise % of Children Attending Paid Tuition Classes by School Type 2007, 2009, 2010 and 2011

Table 7: Indian Skill Development Market Segmentation by Type of Training on the Basis of Sales in USD Million, FY’2008-FY’2011

Table 8: Future projection of Indian Skill Development Market by Type of Training on the Basis of Sales in USD Million, FY’2012-FY’2017

Table 9: Recent Venture Capital/ Private Equity Investments and M&A Activities in E-Learning Segment in India, 2010-2011

Table 10: Correlation Matrix of Indian Education Industry

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1. INDIAN EDUCATION MARKET INTRODUCTION

INDUSTRY OVERVIEW

India is one of the largest education systems globally and has a network of more than ~ million schools and ~ higher education institutions. India's population in the age group of ~ years constitutes ~ of the total population………

Table: Segment-wise Distribution of Budget allocation on Education in Percentage in FY’2009-FY’-2011

Particulars FY’08-09 FY’09-10 FY’10-11

Elementary Education

Secondary Education

Adult Education

Higher Education (Including Technical & Other)

Total

INDIAN EDUCATION MARKET SIZE, FY’2008-FY’2011

BY TOTAL FEE SPENT ON EDUCATION, FY’2008-FY’2011

Private sector has a strong hold in education industry starting from pre-schools to universities. Formal education market includes K-12 private schools market and higher education industry.

Indian education market grew at a CAGR of ~ % from USD ~ million in FY’2008 to USD ~ million in FY’2011………

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Figure: Indian Education Market Size on the Basis of Total Fee Spent on Education in USD Million in FY’2008-FY’2011

INDIAN EDUCATION MARKET SEGMENTATION, FY’2008-FY’2011

BY AGE GROUP, FY’2011

In the Indian education market around ~ % of the total students attend government schools, ~ % goes in to private schools and ~ % school age population do not have access to schools......

Table Enrollment levels in Schools on the Basis of Age Group in 2011

Age Group Government Private Out of School Other

(05 to 07) years

(08 to 10) years

(11 to 13) years

(14 to 16) years

(6 to 14) years

0.05,000.0

10,000.015,000.020,000.025,000.030,000.035,000.040,000.045,000.0

FY'07-08 FY'08-09 FY'09-10 FY'10-11

USD

Mill

ion

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BY GENDER

In 2011, the ratio of male candidate was high in attending the private schools while more percentage of female candidates was enrolled in government schools…….

Table 1: Enrollment levels in Schools on the Basis of Gender in 2011

Gender Government Private Out of School Other

Female

Male

BY TYPE OF EDUCATION

FORMAL EDUCATION MARKET SIZE AND PROJECTIONS, FY’2008-FY’2017

Formal education can be categorized into K-12 and higher education. Formal education is regulated by Ministry of Human Resource Development. Formal education is the center of India’s education market and has the largest share in the education system………

Figure: Indian Formal Education Market Size and Future Projections on the Basis of Total Fee Spent on Education in USD Million in FY’2008-FY’2017

0.0

10,000.0

20,000.0

30,000.0

40,000.0

50,000.0

60,000.0

USD

Mill

ion

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FORMAL EDUCATION MARKET SEGMENTATION, FY’2008-FY’2017

K-12 MARKET SIZE AND FUTURE PROJECTIONS BY VALUE, FY’2008-FY’2017

Schools, globally known as K-12 (Kindergarten to 12th grade), come under the purview of formal education. After Pre-school, students enter in the K-12 generally at the age of ~ years and they finish their K-12 studies at the age of 17 years……………

Figure: K-12 Market Size and Future Projections on the Basis of Total Fee Spent on Education in USD Million, FY’2008-FY’2017

Figure: Total Number of Enrollments in Private Schools in K-12 in FY’2008-FY’2011

0.05,000.0

10,000.015,000.020,000.025,000.030,000.035,000.040,000.045,000.0

USD

Mill

ion

87,000,000

88,000,000

89,000,000

90,000,000

91,000,000

92,000,000

FY'07-08 FY'08-09 FY'09-10 FY'10-11

Num

ber

of E

nrol

lmen

ts

(Uni

ts)

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HIGHER EDUCATION MARKET SIZE, FY’2008-FY’2011

The globalization has brought rapid developments in Indian education market, largely driven by private participation. However, the increased capacity falls significantly short of the needs of the country. Higher education institutes targets the age group of above ~ years and are governed by university grant commission (UGC). Higher education covers graduate, diploma, professional courses and post graduation courses……………

Figure: Indian Higher Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million, FY’2008-FY’2017

NON-FORMAL MARKET SIZE AND PROJECTIONS FY’2008-FY’2017

The Non-formal education includes preschools (~ years), coaching classes, multimedia/ IT to schools and colleges, vocational training and the books market. Non-formal segments are not regulated in India………...

0.02,000.04,000.06,000.08,000.0

10,000.012,000.014,000.016,000.0

USD

Mill

ion

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Figure: Indian Non Formal Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY’2011

NON FORMAL EDUCATION MARKET SEGMENTATION

PRE-SCHOOL MARKET SIZE BY VALUE FY’2008-FY’2017

Playschools generally known as pre-schools teach the kids in the age groups of ~ years. Increasing awareness among parents about the benefits of a quality preschool education has been increasing the number of students in pre-school in turn schools are changing considerable amount of fee from parents……………..

Figure: Indian Pre School Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY‘2017

0.0

5,000.0

10,000.0

15,000.0

20,000.0

USD

Mill

ion

0.0200.0400.0600.0800.0

1,000.01,200.01,400.01,600.0

USD

Mill

ion

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Figure: Number of Pre School Enrollments in Units, FY’2008-FY‘2011

MARKET SHARE OF MAJOR PLAYERS IN PRE- SCHOOL MARKET, FY’2009-FY’2011

Indian Pre-school market is highly fragmented market with 11 major chains such as KidZee, Euro Kids, Apple Kids, Shemrock, Kangaroo Kids, Tree House, Podar Jumbo Kids, Mother’s Pride, DRS Kids and Sunshine. Pre-school market is growing at a rapid rate where KidZee is the dominant player and accounts for around ~ % pre- school market followed by Euro Kids and Apple Kids with ~ % and ~ % market share in 2011.

Figure: Market Share of Major Players in Indian Pre-school Market on the Basis of Revenue in Percentage, 2011

2,000,000

2,100,000

2,200,000

2,300,000

2,400,000

2,500,000

2,600,000

2,700,000

FY'07-08 FY'08-09 FY'09-10 FY'10-11

Uni

ts

KidZee

Euro Kids

Apple Kids

Shemrock

Kangaroo Kids

Treehouse

Others

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ICT MARKET SIZE AND FUTURE PROJECTIONS BY VALUE, FY’2008- FY’2017

The Indian government is encouraging IT education in schools. Public-private partnerships in education has gained wider acceptance………..

Figure: Indian ICT Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY'2017

MARKET SHARE OF MAJOR PLAYERS IN ICT MARKET, FY’2011

Indian ICT market is the concentrated market amongst few players such as Educomp, Everonn and NIIT Ltd…………….

TUTION/COACHING MARKET SIZE AND FUTURE PROJECTIONS BY VALUE, FY’2008-FY’2017

The students appearing for competitive examination generally prefer to prepare for test through coaching classes and private tuition. Test preparation has been in existence for quite some time for taking any competitive exams. Mostly the preparation starts during classes 11 and 12 for engineering and other competitive exams. In 2011, about ~ students appeared for the IIT-JEE exam, while as many as ~ students appeared for the CAT exam…………

0.0100.0200.0300.0400.0500.0600.0700.0

USD

Mill

ion

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Figure: Indian Tuition/Coaching Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY’2017

SKILL DEVELOPMENT MARKET SIZE AND FUTURE PROJECTIONS BY VALUE, FY’2008-FY’2017

Skill development includes multimedia, books, child skill enhancement, IT training and teacher training. Skill development market has grown at a CAGR of ~ % from ~ million in FY’2008 to USD ~ million in FY’2011. This growth in skill development market has been majorly contributed by books and child skill development market…….

Figure: Indian Skill development Education Market Size and Future Projections on the Basis of Total Fee Spent in USD Million in FY’2008-FY’2017

0.0

2,000.0

4,000.0

6,000.0

8,000.0

10,000.0

12,000.0

USD

Mill

ion

0.0

1,000.0

2,000.0

3,000.0

4,000.0

5,000.0

6,000.0

7,000.0

USD

Mill

ion

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Figure: Indian Skill Development Market Segmentation by Type of Training on the Basis of Sales in Percentage, FY’2008-FY’2011

INDIAN EDUCATION MARKET TRENDS AND DEVELOPMENTS

FAST GROWING INDIAN E-LEARNING MARKET SET FOR CONSOLIDATION

The Indian e-learning market was recorded to be around USD ~ million in 2011. The e-learning market is growing at a rapid pace (growth of ~% in the last 3 years) with the growing competition…

Currently, there are more ~ e-learning companies operating in India among which more than ~ players have just started in the last 3 years. These companies have not yet achieved scale and traction in alluring more students and professionals to their platform…

Figure: Indian E-learning Education Market Size in USD Million in FY’2008-FY’-2012

0.0%10.0%20.0%30.0%40.0%50.0%60.0%70.0%80.0%90.0%

100.0%

FY'07-08 FY'08-09 FY'09-10 FY'10-11

Perc

enta

ge

Books Child skill enhancement Multimedia Teacher Training

0.050.0

100.0150.0200.0250.0300.0350.0400.0450.0500.0

FY'07-08 FY'08-09 FY'09-10 FY'10-11 FY'11-12E

USD

Mill

ion

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Table 2: Recent Venture Capital/ Private Equity Investments and M&A Activities in E-Learning Segment in India, 2010-2011

Date Target Company Acquirer/ Investor Stake Acquired (%)

Deal Value (INR Crore)

INDIAN EDUCATION MARKET FUTURE OUTLOOK AND PROJECTIONS, FY’2012-FY’2017

The future of the Indian education market is expected to grow remarkably due to several factors such as, rising personal disposable income, willingness to spend on education, increasing number of enrollments, surging government spending and also the emerging middle class segment………

Figure: Indian Education Market Future Projections on the Basis of Total Fee Spent on Education in USD Million in FY’2012-FY’2017

0.0

10,000.0

20,000.0

30,000.0

40,000.0

50,000.0

60,000.0

70,000.0

80,000.0

FY'11-12 FY'12-13 FY'13-14 FY'14-15 FY'15-16 FY'16-17

USD

Mill

ion

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DISCLAIMER

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The report also includes analysis and views expressed by our research team. The research reports are purely for information purposes. The opinions expressed are our current opinions as of the date appearing in the material and may be subject to change from time to time without notice. Investors should not solely rely on the information contained in the research documents and must make investment decisions based on their own investment objectives, risk profile and financial position. The recipients of this material should take their own professional advice before acting on this information.

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