Above the curve: Rising government funding and growing enrolments boost division revenue

The Education and Training division has undergone significant reform over the past five years. Ongoing effects from a demand-driven funding model for tertiary education introduced in 2012, a new school funding model and policy initiatives aimed at increasing access to preschool education have all boosted growth over the period. While Australia's population growth has driven increased domestic demand for education and training, the division has expanded at a faster rate than the population over the past five years. Rising government funding, growth in international student enrolments and rising tuition fees have contributed to the division's expansion over the period. Overall, division revenue is expected to increase at an annualised 3.5% over the five years through 2018-19, to $130.9...read more.

Industry Statistics & Market Size
Revenue
$131bn
Annual Growth 14-19
3.5%
Forecast Growth 19-24
Profit
Employment
793,082
Businesses
21,041

Industry Threats & Opportunities

  • Division revenue growth has outpaced population growth over the past five years
  • Increasing international student enrolments in the tertiary education sector have boosted revenue
  • The division’s growth is anticipated to support employment and wage growth over the next five years
  • Industry Report - Industry Key Buyers Chapter

    The Education and Training division exhibits low market share concentration, as the four largest players account for less than 40% of total revenue. Industries in the Education and Training division typically feature many small operators that do not have a dominant market share. The division's three largest players are the NSW Department of Education, the Department of Education and Training Victoria, and the Queensland Department of Education and Training. The Private Schools industry exhibits higher concentration than the Government Schools industry. The Preschool Education industry mainly consists of community-based organisations, and therefore displays low market share concentration...purchase to read more.

    Additional Insights for the Education and Training Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Education and Training Industry are

  • Access to highly skilled workforce
  • Ability to alter goods and services produced in favour of market conditions
  • Having a good reputation
  • IBISWorld analysts also discuss how external factors such as Population aged between 5 and 18 and Public funding for primary and secondary education in the Education and Training industry impact industry performance..

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    What's in this report

    What is the Education and Training Industry?

    The Education and Training division provides education services through preschools, primary and secondary schools, technical colleges, training centres, and universities. These education providers may be publicly or privately owned and operated. Child care, animal training and student accommodation services are excluded from the division.

    Industry Products
  • Preschool education
  • Private schools
  • Government schools
  • Technical and vocational education and training
  • University and other higher education
  • Art and non-vocational education
  • Sports instruction
  • Industry Activities
  • Preschool education
  • Primary education
  • Secondary education
  • Tertiary education
  • Other education
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Population aged between 5 and 18
  • Public funding for primary and secondary education
  • Public funding for tertiary education
  • Secondary school retention rate
  • Trade-weighted index

  • Current Performance
  • Government policy
  • International student enrolments
  • Public versus private
  • Cost concerns
  • Chart: Revenue Growth

  • Industry Outlook
  • Government funding reforms
  • International enrolments
  • Trends in demand
  • Table: Education and Training Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Education and Training Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Finance
  • Institutional Building Construction
  • Professional Services
  • Wholesale Trade

  • Products & Services
  • Government schools
  • University and other higher education
  • Private schools
  • Technical and vocational education and training
  • Art and non-vocational education
  • Preschool education
  • Sports instruction
  • Chart: Education and Training Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Domestic students aged five to 14
  • Domestic students aged 15 to 19
  • Domestic students aged 25 to 44
  • Domestic students aged 20 to 24
  • International students
  • Domestic students aged four and under
  • Domestic students aged 45 and over
  • Research markets
  • Chart: Major Market Segmentation for the Education and Training Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Education and Training

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Education and Training Industry

  • Industry Globalization
    Department of Education and Training Victoria, NSW Department of Education, Queensland Department of Education and Training,
  • Table: Department of Education and Training Victoria - financial performance
  • Table: NSW Department of Education - financial performance
  • Table: Queensland Department of Education and Training - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Education and Training Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Education and Training Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Elicos
  • English Language Intensive Courses for Overseas Students (ELICOS) are programs designed for students who require English language training before commencing formal studies in Australia.
  • Technical And Further Education (Tafe)
  • Publicly funded Technical and Further Education post-secondary organisations provide a range of technical and vocational education and training courses.
  • Vocational Education And Training (Vet)
  • Programs designed to give students employment-related qualifications, usually for specific skills or trades.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Education and Training market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Education and Training:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Education and Training market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Education and Training, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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