Last Updated on July 12, 2024
The Chinese education market serves over 291 million students and 18.8 million teaching professionals. Because of this, the country became renowned as the world’s most extensive state-run education system.
Given its massive consumer base, it’s only natural for the Chinese education sector to experience constant trend changes. The impact of China’s policies and the local demand for diverse educational services also contributes to the market’s continued unpredictability.
In this post, we’ll explore the latest trends and policies in China’s education sector, as well as the best strategies to capture the interests of Chinese students and parents.
The Evolution of the Chinese Education Industry
A huge part of the country’s education development is the law that mandates all Chinese students to undergo nine years of schooling. This compulsory education requires them to spend six years to complete primary curriculums and three years to finish middle school programs.
With China’s fiercely competitive job market, students are inclined to seek higher education services to improve their chances of getting hired. In 2023, the number of students graduating from bachelor’s degree programs reached a record-breaking 10.47 million.
Despite the strict regulations imposed by the Chinese government, many global educational institutions and foreign investors still have a positive outlook on the local education market. Who wouldn’t? After all, it has an annual compound annual growth rate (CAGR) of 11.3%, and its 2023 projections reached an astounding value of $572.51 billion.
9 Top Chinese Education Industry Trends To Watch Out For
1. High Demand for International Schools & Overseas Education
In understanding the education market in China, it’s essential to highlight the increasing demand for international schools and overseas education. As you know, China’s compulsory education centers heavily on academic achievements and examinations.
Because of this, many Chinese parents who desire more holistic education options tend to consider foreign schooling providers as soon as their children reach high school.
Like the rest of the world, the education sector in China experienced a slower growth rate due to the previous pandemic. Despite the issue, the country recorded a 23% increase in 2022’s international school enrollment. The same upward trajectory can also be seen in the number of local students interested in studying abroad.
A report from the UNESCO Institute for Statistics shows that around 1,021,303 Chinese students study overseas for a degree or higher education. This calculation excludes the number of students under exchange programs, which is around 200,000.
In 2023, most students seeking better education abroad still consider the United States the ideal destination. It’s followed by countries known for exemplary international education systems and communities, like the UK, Australia, and Canada.
2. Chinese Families Spend More on High School Education
The National Higher Education Entrance Examination in China, commonly known as Gaokao, is the most important examination for a Chinese student’s school life. Local colleges admit students mainly based on their performance on this test.
Given this highly concentrated event in China’s education sector, it’s not surprising that most urban Chinese families choose to invest in high schools. In an effort to prepare their children for Gaokao, they allocate 13.2% of household spending on high-quality education.
Consumers from urban cities also tend to spend 2.5 times more than families from rural areas. These high education expenses typically cover supplementary classes and boarding programs that are popular among local institutions.
The trend of delivering high-quality education through overseas schools also heightened the demand for language classes. Right now, the English Language Training (ELT) industry in China is projected to grow up to $70.81 billion between 2022 and 2027.
3. Resurgence of After-School Private Tutoring Services
In 2019, the news of the local education market banning private tuition was a major blow to key stakeholders of the private tutoring industry.
This decision was fueled by the double reduction policy, with the government aiming to ease the pressure brought by homework and after-school tutoring. It was a campaign specifically dedicated to regulating compulsory education grades. The only exception to this rule back then are non-academic extracurricular programs.
However, despite the nationwide implementation of the double reduction policy, the demand for online and offline tutoring did not falter. Some education professionals quietly resumed private tutoring services, reaching out directly to students and parents via WeChat Groups and other social networking channels.
Source: Freepik
Since the double reduction policy sought to regulate after-school activities of local students, many firms have already shifted their target market to Chinese nationals abroad. This strategy worked because the high demand for these services saw no decline.
The local government also noticed this development, prompting China’s Ministry of Education to release a draft specifically dedicated to regulating the after-school tutoring industry just before the 2024 Chinese New Year holiday.
4. The Domination of Education Technology
Online learning is an ongoing innovation and adaptation to address the evolving educational needs of the Chinese market. This trend led to the swift adaptation of technology platforms, allowing students and teaching professionals to conduct classes and communicate via online channels.
With 75.6% of the country capable of accessing the internet, these platforms open the doors for education brands to reach and connect with Chinese learners from different regions.
The continued evolution of China’s digital ecosystem has also made education technology (the Edutech Segment) a prominent market in the industry. Right now, the segment serves over 400 million local students.
Zhihu Section for Paid Consultancy Services
One example of online learning adaptation to address evolving needs for education is Zhihu’s paid consultancy section. While the platform is known to host forums and discussions, its user base is primarily composed of industry experts who can present answers based on their professional knowledge and expertise.
Zhihu regulates the kind of users who are allowed to offer consultancy services. By setting strict account requirements, the platform can ensure that only qualified professionals can offer paid advice to consumers.
With the increasing competition within the local education system, Chinese parents and students consider technology a reliable source of homework help and tutorial services. Instead of offline training centers, online platforms are seen as quicker and more affordable alternatives.
5. The Preference for Vocational Schools
One of the noticeable industry trends backed by the government is vocational education. In response to the growing local demand for skilled labor, the Standing Committee of the National People’s Congress released official regulations addressing the needs of this market.
The dynamic nature of China’s business environment has given rise to varying top industries. This rapid economic pace has encouraged the adult and professional populations to seek educational options to upskill and develop their interests further.
Source: China Daily
In China’s business scene, regular workers often lack the time and resources to pursue Master’s and Doctorate degrees. The growing interest in vocational education services mainly stems from its less demanding and budget-friendly nature.
As a result, the adult learning market in China generated a running value of $97.92 billion in 2023. The growing popularity of personal development also helped the industry to garner a sizable revenue of 576. 2 billion yuan.
6. The Rise of Educational Gamification in China
Educational gamification has gained significant traction in China, mirroring the country’s strong online gaming culture. This trend involves using game design elements in academic settings to enhance student engagement and motivation.
For example, apps and platforms now integrate quizzes, leaderboards, and reward systems, making learning more interactive and enjoyable. This approach leverages students’ familiarity with gaming to promote better learning outcomes.
The proliferation of smartphones and high-speed internet has made digital platforms more accessible. Apps like Zuoyebang and Yuanfudao incorporate gamification elements to make learning more appealing to the new generation of students and parents.
Live Class Session on Zuoyebang (Source: China Daily)
7. Continued Focus on STEM Learning
China’s emphasis on STEM (Science, Technology, Engineering, and Mathematics) education is a strategic effort to equip the future workforce with the skills necessary to drive economic growth and innovation.
This focus aligns with national priorities to position the country as a global leader in technology and science.
If you look at the graph below, China obviously leads in producing graduates in STEM fields compared to its neighboring countries. The country believes this program is crucial for developing a workforce capable of thriving in an increasingly technological world.
Percentage of Graduates with STEM degrees per country (Source: CSET)
The Ministry of Education (MOE) has introduced reforms to integrate STEM subjects into the national curriculum from an early age. These reforms include updated textbooks, new teaching methods, and continuous professional development for teachers.
Significant investments are made in building STEM labs and facilities in schools nationwide. The government is also promoting the use of advanced technologies such as AI and robotics in education.
8. Integration of Personalized Learning Methods
Personalized learning refers to educational methods that customize learning experiences based on individual student needs, preferences, and learning styles. It involves varying the pace of instruction, providing different types of content, and offering individualized feedback.
The Chinese government has made significant strides toward modernizing education through the “China Education Modernization 2035” plan issued by the Central Government and the State Council.
A vital component of this policy is teaching students according to their aptitude and providing individualized training. It moves away from the one-size-fits-all model, offering each student a more flexible and customized learning path.
Source: China Briefing
9. Improving Student Employability
Despite China’s notable progress in delivering high-quality education, the employability of many graduates remains an ongoing issue that the local government pledges to solve.
For example, students scoring in the lower 50% on middle school exams are now directed toward vocational education. This campaign reflects the nation’s desire to create a well-educated and well-equipped workforce in the long run.
This strategy also includes integrating STEM (Science, Technology, Engineering, and Mathematics) education at various levels to prepare students for careers in these critical fields.
Job Fair at Nanjing (Source: China Daily)
Moreover, the corporate sector in China is increasingly collaborating with educational institutions to create programs that match the specific needs of industries, thereby ensuring that graduates are job-ready.
The rise of internships and partnerships with businesses is a testament to this trend, aiming to bridge the gap between education and employment effectively.
How To Stay Ahead of the Education Market Trends in China
● Attend Local Education Conferences & Trade Fairs
Participating in local education conferences and trade fairs can benefit foreign businesses, especially if they want to stay updated with the latest trends and discover networking opportunities.
Notable events related to this market segment include the China Education Expo (CEE), one of Asia-Pacific’s largest education fairs. Held in cities like Guangzhou, Shanghai, Chengdu, and Beijing, the CEE attracts around 30,000 visitors and 400 exhibitors from over 20 countries every year.
Source: China Quality Education Expo
● Maintain a presence in China’s digital ecosystem
Given the dominance of digital platforms in China, maintaining an active presence on popular social media and e-commerce platforms can be crucial to education brands. Establishing official brand accounts on mainstream channels like WeChat, Weibo, and Douyin still works best for brand building and consumer engagement.
Utilizing these platforms for marketing campaigns, customer engagement, and even virtual learning experiences can significantly enhance market penetration and local visibility.
● Conduct Thorough Market Research
Thorough market research is the backbone of successful market entry and expansion, especially for a business landscape as expansive and complex as China. Remember, your understanding of the preferences, behaviors, and needs of Chinese students and parents determines how your target audience will perceive your brand.
Recent trends seem to favor foreign businesses, with a steady increase in demand for international schools and online education services. However, this does not mean that local consumers will automatically patronize anything laid in front of them.
If you want to enter the Chinese education market, you must tailor your offerings to meet local demands. To do this, you should start analyzing competitor strategies, customer feedback, and market reports.
● Find Business Support
Marketing your brand in the Chinese education market can be complex due to regulatory frameworks and cultural nuances. Seeking business support from local digital marketing agencies like Sekkei Digital Group can assist you in understanding regulatory requirements, finding local partners, and strategizing market entry.
Your Trusted Education Marketing Partner in the Chinese Market
From the resurgence of online learning options to the continued popularity of overseas schools, it’s a no-brainer that China’s education sector is expansive and thriving. With the right strategy, foreign brands can benefit from the industry’s dynamic business environment and extensive needs.
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At Sekkei Digital Group, we understand the changing nature of China’s education market. With our team’s extensive industry experience and expertise, we can help your brand stay ahead of trends and launch campaigns to reach your intended audience.
Whether you want to promote via local social media platforms or conduct market research, we have all the digital solutions you need. Contact us today, and let’s start talking about your market entry in China.
References:
China’s Education Sector: Latest Trends and Policies
15 Key Trends in China’s Education Sector
What’s Next for China’s Education Industry?
The Chinese Study Abroad Market