What Makes Educational Sector A Profitable Business?

“An investment in knowledge pays the best interest.”

This powerful quote by Benjamin Franklin is a cornerstone for majority of educational institutions across the globe. An educated man is an open-minded man. One who has an unprejudiced outlook towards life is one who can truly be successful. Today, education is considered as the fundamental stepping stone towards greater things in life. Education sector is one the fastest growing sector in the market with its ever-increasing demands for innovation and incorporation of technology. With the wave of industrialization and globalization, education has taken a front seat in the ride to achieving great returns.

The education sector is currently valued at USD 6 Trillion, and is forecasted to grow up to USD 8 Trillion by 2025.

This massive growth rate is evidence to the underlying importance of various education sub-segments and franchises. These startling statistics makes one wonder what exactly makes education sector such a lucrative business opportunity. The answer hides in plain sight in the details.


1. Education is Evergreen

From lower middle class to elite class, everyone is equal in the eyes of education. Parents expect their children to study in the best schools and colleges to become the best version of themselves. There is no recession in education. The world will never see a day when being educated is not a necessity for a better life. This makes education a forever favorite for economic growth.

2. Human Capital Investment

The knowledge an average human gains in his lifetime is directly proportional to the success he achieves. These acquired skills are a sum total of life experiences and educational knowledge, which is deemed as human capital in economic terms. Higher the human capital of a nation, better the standard of living. Human capital is vital to a higher GDP and thus, a better lifestyle. Investing in education is basically investing in the economy, which reaps higher rewards.

3. Empowered Individuals

Educated humans are empowered humans. With increased inclusion of women in various strata of society, education of females is an untapped resource. The mammoth rise in admissions of women for standard and higher levels of education leads to more investments in making institutions female friendly.


4. Private Sectors in Education

Many private sectors are now joining hands with educational institutions across the globe to provide curated courses for students who want to learn according to their choices. This privatization of education mediums brings in more manpower and capital to handle increased demands. The higher the investment, the better the returns in education.


5. Digitization of Education

The trend is shifting towards online classes and virtual learning. Many big brands are now providing online course to people so they can learn at their own time, at their own speed and get a degree from the comfort of their rooms. This empowers people from all social classes to learn what they desire and not worry about travel and transport costs usually associated with learning.

Education is a gold mine waiting to be tapped. When struck at the right time, it will reap huge returns. TCW Group is not behind. We are ready to teach curious minds with our virtual classrooms and make this world a smarter place!

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