E-learning market in Vietnam still untapped

The e-learning market in Vietnam is said by many insiders to not yet be fully tapped.

Investment in e-learning in Vietnam was first made in 2011 when the Internet began to thrive in the country, mainly in the two areas of English language training and practice for the university entrance exams. Over the past few years, it has reached an annual growth rate of more than 44 percent, according to a local survey conducted in 2013.

However, according to DeltaViet, a local provider of e-learning services, an estimated value of the current online education market in Vietnam is just about 1 trillion VND (roughly 50 million U.S. dollars) compared to more than 30 billion U.S. dollars globally.

E-learning in Vietnam is currently seeing three prominent trends: e-learning for 12th graders who are preparing for the university entrance exams, bachelor's degree training provided by private universities or private companies, and foreign language teaching.

Education experts said that online education requires a high level of investment in infrastructure and teachers, more than traditional education models where students have to attend classes. This is a hindrance for the development of this sector, although e- learning is still considered a market with high potential.

An e-learning investor estimated that with Vietnam's population of more than 90 million (as of the end of 2013), and with 30 percent of them using the Internet, if in a year, there are 20,000 users and the fee for each lecture is 10,000 VND (0.5 cents), then the annual revenue per each lecture is 200 million VND (10,000 U.S. dollars). Profits are forecast to continue increasing in the coming years.

Nguyen Van Quynh, 38, head of the marketing and business section of the CMC Software Solutions Company in Hanoi, told Xinhua that most e-learning trainees are adults who have been working and then need to take online intensive courses to improve their professional skills, or take new courses on skills that would serve their current job.

"Many offices, companies and organizations in Vietnam now prefer e-learning courses to provide their employees with improved vocational skills. Learning this way will save time and money for both employers and employees," Quynh said.

He said the companies often buy software packages on specific subjects for their staff to download onto their computers or laptops, from which they can learn whenever is convenient for them. The most favored subjects are those on banking, insurance, accounting, goods shipping and English.

Nguyen Thi Thanh Hoa, 29, an employee of the Vietnam Bank for Investment and Development Bac Ninh Province's Branch, told Xinhua that she has been on an e-learning course on banking payment for a month.

"The course will last for three months, and the fee is only one- tenth compared to that of the similar traditional training course. I have to pay 400,000 VND (20 U.S. dollars) for the course, rather than 4 million VND (200 U.S. dollars) for a traditional course," Hoa said.

She also said e-learning did not affect her routine job at the office, because she could learn it during her free time, both in the office or at home, from her laptop. In addition, she could adjust the learning speed, fast or slow, depending on her capability.

Linh Nguyen, 25, who graduated from an American college in information technology (IT), told Xinhua that when he applied for a job at a media company in Vietnam, the employer requested him to acquire more certificates that would be specifically useful to his would-be job.

"The job is so inviting, so I immediately took two online courses for the required certificates, and I got them after two months, with a charge of less than 150 U.S. dollars," Linh said, adding that he took the courses at the same time when he worked as a probationer for his current company.

However, both Hoa and Linh said that the most difficulties that they faced with when taking e-learning courses were that they had to try themselves to overcome any problems, compared to traditional classes where they could receive support from their teachers or classmates.

Data from TOPICA Education Group revealed that there are about 3-5 million Vietnamese people taking e-learning courses, and the number is expected to soar in the coming decade.

Educationalists said in the current fast developing digital era, e-learning will be a prime choice of many Vietnamese people, however it cannot be replaced by the traditional education system.