Training companies, both nonprofit and for-profit, often grapple with uncertain revenue because they rely on one-time transactional training engagements. Continuous learning, which promises mastery on a subject where the learner is constant receiving information with no real set end-date, presents an opportunity for these businesses to create recurring and predictable revenue with four different business models
Ashish Rangnekar, CEO of BenchPrep, shares the 4 new business models to drive more products sales:
- Subscriptions –Moving to a “Netflix” subscription model, learning companies need to be more than a re-packaged textbook if they want to keep subscribers. Most successful subscription-based services have two things in common: sticky features, to keep the users coming back, and curated content, to make the subscriber feel like a professional has put the experience together.
- Content curation services –HR executives increasingly understand that it is almost impossible for internal L&D staff to create the highly customizable training pathways employees desire. That is why they often partner with third-party training providers. By offering continuous learning packages, B2B training providers can smooth out the transactional nature of one-time course purchases. Continuous learning packages can also integrate with full-service courses to give corporate clients a seamless, user experience.
- Reduced training ROI – Microlearning modules used in continuous learning products are an opportunity to reduce development costs. According to Ray Jimenez, microlearning can reduce, “development costs by 50% and increase the speed of development by 300%.”A reduction in development costs coupled with an increase in speed allows organizations greater agility, allowing them to pivot to meet the needs of individual members or business partners based on the overall industry.
- Upselling existing clients – Both B2B and B2C training providers can harness the market research potential inherent in high level data by gaining valuable insight into clients’ weaknesses and tracking clients’ interests. With this data, organizations can either market existing products or develop new products to meet those needs. Most subscription models upsell their products to generate revenue and can upsell existing clients.
Mr. Rangnekar is available to discuss in further detail the different business models training companies can harness to make the most of their investments in continuous learning. Contact him at email@example.com or 312-650-5135.
Ashish Rangnemar is co-founder and CEO of BenchPrep. BenchPrep is a provider of cloud-based learning products, delivering the best learning experience and driving revenue for corporations, training organizations, and nonprofits (credentialing bodies & associations). More than 6 million learners have used BenchPrep’s platform to attain academic and professional success. To discover more about BenchPrep, please visit benchprep.com.