PUBLISHER: Verified Market Research | PRODUCT CODE: 1846019
PUBLISHER: Verified Market Research | PRODUCT CODE: 1846019
The rising demand for individualized learning solutions, increased acceptance of digital learning platforms, and a growing need for cost-effective and scalable education solutions are likely to boost the adaptive learning software market. According to the analyst from Verified Market Research, the adaptive learning software market is estimated to reach a valuation of USD 19937.22 Million by 2031 over the forecast subjugating around USD 3855.47 Million valued in 2024.
The market for adaptive learning software is expected to grow significantly as businesses and educational institutions increasingly use modern technology like machine learning and artificial intelligence to create individualized learning experiences that increase engagement and retention. It enables the market to grow at a CAGR of 22.8% from 2024 to 2031.
Adaptive Learning Software Market: Definition/ Overview
Adaptive Learning Software is a technology-driven educational strategy that personalizes learning experiences by using algorithms and artificial intelligence to tailor content and exams to each student's performance and needs. This program continuously examines a learner's comprehension and skills, allowing it to give tailored resources and exercises that target specific knowledge gaps or develop their learning at their speed. Adaptive learning software has a wide range of applications in K-12 education, higher education, and corporate training, where it improves student engagement and involvement by providing personalized learning routes. In educational settings, it can support differentiated instruction, allowing teachers to efficiently meet the diverse requirements of their students.
The growing digitalization of education is a major driver of the adaptive learning software market. According to the EDUCAUSE Horizon Report 2023, 95% of higher education institutions now provide some type of online learning. According to the US Department of Education, between 2019 and 2023, the number of K-12 pupils enrolled in at least one digital learning course climbed by 323 percent. The increased usage of digital learning platforms provides an ideal environment for the application of adaptive learning software.
The demand for personalized education tailored to specific student needs is driving the use of adaptive learning software. According to the National Center for Education Statistics (NCES), 71% of instructors say that technology enables them to differentiate instruction for students with varying learning needs. Also, according to a Gates Foundation report, pupils in personalized learning environments improved in mathematics and reading by around 3 percentile points more than their classmates in standard learning contexts.
Furthermore, educational institutions are increasingly using adaptive learning software to boost student engagement and improve learning outcomes. According to a McGraw Hill poll, 87% of students reported using adaptive learning technologies to boost their grades. Also, a study published in the journal npj Science of Learning discovered that students who used adaptive learning platforms performed 15% better on tests than those who used traditional learning methods.
The lack of knowledge and comprehension among educators and institutions regarding the advantages and features of adaptive learning software is one major barrier. Many educators are hesitant to utilize these technologies because they might not fully comprehend how they boost personalized learning experiences. This lack of knowledge leads to underutilization of available resources, ultimately limiting the market's potential for growth.
The high installation costs of adaptive learning software present another difficulty. Many educational institutions, particularly in developing countries, struggle to devote adequate funding for these latest technologies. The high cost of obtaining licenses, training people, and maintaining software discourages institutions from investing in adaptive learning solutions, limiting market growth in such sectors.
Furthermore, the necessity for good teacher training is a major impediment to the successful application of adaptive learning software. Educators need proper training to use these tools efficiently and integrate them into their teaching methods. Without adequate training, the potential benefits of adaptive learning are not completely realized, resulting in ineffective use and decreased interest in these technologies among educational institutions.
According to VMR Analysis, the solution segment is estimated to hold the largest market share of the market during the forecast period. Adaptive learning solutions provide a comprehensive set of capabilities, including content distribution, evaluation tools, learning analytics, and personalization algorithms. This all-in-one strategy appeals to educational institutions and corporate training departments looking to apply adaptive learning without having to integrate many independent systems, resulting in higher adoption rates for full-featured solutions.
Solution providers provide cloud-based platforms that can be readily scaled to accommodate larger numbers of users. This scalability, combined with the flexibility to serve several institutions or departments with a single implementation, makes solutions less expensive for large-scale deployments than specialized services, adding to their market domination.
Furthermore, solution suppliers are always improving their solutions with new features, smarter algorithms, and larger content libraries. This continual development means that institutions have access to the most recent advances in adaptive learning technology without incurring major additional costs, making solutions a more appealing and future-proof alternative than one-time service engagements.
The integrated learning management system (LMS) segment is estimated to dominate the adaptive learning software market during the forecast period. Integrated LMS systems offer a unified platform for adaptive learning, course management, content delivery, assessment tools, and administrative tasks. This all-in-one strategy makes deployment and management easier for educational institutions and organizations, eliminating the need for numerous distinct systems and streamlining the overall learning experience for both instructors and students.
Integrated LMS systems have powerful analytics capabilities, combining data from numerous learning activities to provide full insights into student performance and engagement. This data-rich environment allows institutions to make more informed decisions about curriculum design, resource allocation, and targeted interventions, resulting in better learning outcomes and operational efficiency.
Furthermore, integrated LMS systems are intended to integrate seamlessly with an institution's existing IT infrastructure and third-party instructional tools. This interoperability lowers implementation obstacles, enables gradual adoption of adaptive learning features, and maximizes the value of existing educational technology investments, making it a desirable alternative for a wide spectrum of educational institutions and corporate training departments.
According to VMR Analyst, North America is estimated to dominate the adaptive learning software market during the forecast period. North America, particularly the United States, has seen a surge in the use of digital learning technology. According to the National Center for Education Statistics (NCES), by 2021, 99% of public schools in the United States had high-speed internet connectivity, making adaptive learning software easier to use. Also, according to a poll conducted by the Consortium for School Networking (CoSN), 90% of K-12 school districts in the United States adopted some form of digital learning platform by 2023, indicating a substantial market for adaptive learning solutions.
North America leads in educational technology investment, which is fueling the growth of the adaptive learning software market. According to EdTech Magazine, the US K-12 education technology market was worth $35.8 billion in 2023, with an annual growth rate of 18.5% expected through 2028. This considerable investment fosters the development and implementation of innovative adaptive learning systems.
Furthermore, North American higher education institutions are increasingly emphasizing personalized learning experiences, increasing demand for adaptive learning software. According to an EDUCAUSE study, 78% of North American higher education institutions perceive adaptive learning technologies to be strategically crucial for their future. Also, the Online Learning Consortium reports that 71% of US schools and universities use adaptive learning technology to improve student results and retention rates.
The Asia Pacific region is estimated to exhibit the highest growth within the market during the forecast period. The Asia Pacific region has a large student population, which creates a significant market for adaptive learning software. According to UNESCO, the region accounts for more than half of the global student population, with over 700 million students registered at various levels of education as of 2023. This massive student population, together with rising internet usage and digital literacy, is encouraging the adoption of novel learning tools to meet various educational demands.
Furthermore, many nations in the Asia Pacific region are establishing laws and measures to support digital education, which is boosting the adaptive learning software industry. For example, India's National Education Policy 2020 aspires to achieve 100% literacy among youth and adults through the use of digital technology. Similarly, China's Education Modernization 2035 strategy prioritizes the incorporation of information technology into education. These government-backed efforts are projected to greatly increase the use of adaptive learning software throughout the region.
The competitive landscape of the adaptive learning software market is characterized by rapid innovation and a wide range of services targeted at improving individualized education. Key competitors in this market are working on building advanced algorithms and employing data analytics to offer bespoke learning experiences that adapt in real-time to particular student requirements.
Some of the prominent players operating in the adaptive learning software market include:
Smart Sparrow
Knewton
McGraw-Hill Education
DreamBox Learning
Pearson Education
D2L (Desire2Learn)
K12, Inc.
Cognii
DreamBox Learning
Kaltura
In June 2024, McGraw Hill announced a strategic relationship with a top AI technology startup to improve its adaptive learning platforms. This cooperation intends to integrate advanced artificial intelligence algorithms that will provide deeper insights into student learning patterns, enabling more effective personalization of educational content and evaluations, and resulting in higher learner engagement and retention rates.