So why can't institutions make money? I think there are several reasons.
First, the threshold of this industry is too low, and there is almost no threshold, which leads to too many peers and serious customer diversion. If you want to open an educational institution, the cost is low. Some small organizations can just find a community and rent a private house. Someone asked if there would be any relevant departments to check. Basically not, even if there is, it generally means that several teachers organize students to make up classes, not for profit, and the inspection department will go away. Therefore, due to too many peers, students are seriously diverted, and students are greatly affected.
Second, students have limited class time. Nowadays, middle school students, especially high school students, make up lessons at school. Students usually only have one day off a week, and many school students are staying. This greatly shortens the time for students to attend classes. The organization wants to teach students, but students spend most of their time at school. We see that there are many students in every institution on weekends and in winter and summer vacations, but there are very few students from Monday to Friday. No way, this is the characteristic of this industry.
Third, some in-service teachers charge students tuition fees, and students are digested by the school. At present, many in-service teachers take their students for extracurricular tutoring. Students can tutor at school. First, teachers are absolutely trustworthy. Second, the time is arranged well, and there is no need to find a rest day. This once again reduces the number of students in the organization.
So as far as I can see, the profit of the organization is mainly on weekends and winter and summer vacations, especially in winter and summer vacations. Usually it is to maintain the normal operation level, and may even lose money. However, due to its ultra-high profits and ultra-low threshold, more and more people are pouring into this industry!
Let me tell you an interesting thing first:
A parent spent 100 yuan on a one-on-one class in an institution. The teacher took a class fee of 30 yuan, leaving only a few dollars in profit for the organization.
Why is this?
There is only one reason: the operating cost is too high.
Many people see that teachers only take one-third or even less tuition fees, but they don't see the cost of obtaining customers, rent, labor costs and operating expenses.
Of course, not all institutions do not make money. Individuals and small organizations make money, in fact, the money earned by the boss himself in class.
Why is the cost high? There are three main reasons:
1. Low entry barriers lead to fierce competition, serious product homogeneity, and difficult publicity. , resulting in extremely high customer acquisition costs.
2. The industry is personnel-intensive, especially dependent on people, and the personnel cost is very high.
The classroom can only be used on weekends and holidays, and it is usually idle. Now the house price itself is expensive.
There is only one reason why the small organization asked by the subject can't be bigger, and no one is there.
1. I have come into contact with many organizations. When they expand their scale, they can't answer because their talents can't keep up, and their performance is also reduced.
2. This industry is good for big cities and good for small cities. Therefore, many large institutions are now marching into third-and fourth-tier cities to reduce their dimensions.
3. The same is true for many small organizations whose bosses attend classes by themselves, because there is no recruitment capital. The main reason why students attend classes is the bosses themselves. Once the bosses don't attend classes, students will lose a lot. So don't consider opening a campus, even the most basic boss can't just manage without class.
There are other reasons, so I won't go into details. This question has been in the draft box for a long time, so let's empty the draft box.
According to my long experience in the education and training industry, I mainly focus on the following points: education and training do not make money:
1) lacks good projects. At present, 97% of education and training institutions in China are small and micro enterprises with a turnover of less than 3.5 million yuan. The projects they run rely on patchwork or direct borrowing, and they are unable to develop new projects according to local market demand. The times are developing, and people's deep-seated needs are constantly changing. If the project lags behind the market development, then the market demand will not be met. If the market demand cannot be met, there will be no market. No market, no money. In other words, if educational and training institutions want to make money, they must first do a good job in project development.
2) Lack of service. Education and training itself is a service industry. If there is no sense of service, education and training will not be done well. Due to the low threshold of education and training, many people feel that education and training are very hot after a cursory tour, and then they start education and training in a hurry. However, education and training are intangible products, so that customers can experience the product attributes from the time of teaching implementation, not from the moment of designing beautiful enrollment brochures. Therefore, to do a good job in education and training, we must strengthen the sense of service, not only to ensure the quality of teaching, but also to ensure the quality of educational administration.
3) Lack of talents. Education and training industry not only depends on teachers and students, but also needs excellent management team and educational administration team. Teachers, students and employees are all human beings, which means that education and training is an industry that relies on and serves people. It can be seen that education and training can't be done well without good education and training talents.
Fourth, extend reading.
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President class of Yuanpei EDP center. Including more than 50 CEO training programs, which were jointly developed by Yanyuan Renhe Education and Training Center, Yuanpei Business School EDP Center, Peking University Boya High-end Training Center and Peking University Tsinghua 100 professors of MBA, EMBA and EDP courses; By the end of 20 16, nearly 700 training courses had been held to help more than 60,000 SME presidents improve their abilities.
Textual research project of Yuanpei EDP center. Including more than 300 vocational certification training programs in 24 categories, it has been supervised, evaluated and certified by Ministry of Human Resources and Social Security, Ministry of Industry and Information Technology, Health Planning Commission, State-owned Assets Supervision and Administration Commission and other relevant departments, and has trained more than 800,000 people nationwide, making great contributions to vocational training in China.
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Not all training institutions can't make money. Many seemingly profitable industries are actually not as beautiful as they look. It should be good to be able to maintain their operations. Teacher's substitute fee, house rent, equipment configuration, decoration, promotion and marketing expenses, etc. As important as the reputation of the industry.
In fact, the current training institutions only need to have a slightly famous subject. I once saw a man renting a house to run a class, which was very popular. Although there are only four rooms and it is crowded, there are more than 200 students from their parents. The reason is that there is a substitute math teacher here, and the scores are raised quickly. After the first promotion, the students in the back mainly rely on students, and many students are transferred from other institutions. The other one, with an area of more than 700 square meters, is well decorated, but there are not many students and it is relatively deserted. Its school layout is one-to-one, with many small rooms separated and one-to-one meetings.
No matter how small the offline training institutions are, the teachers are limited, and they all rely on part-time teachers. Much the same, if you can't cater to parents' psychology, it is difficult to have students. If you understand this, you will know what is going on.
The pain point of parents is the score. When I saw two parents in the training institution and brought their children to this small training institution, it was for this math teacher. I feel that the child was sick before getting an emergency. My daughter is good at other subjects, that is, math. I heard it was nice here, so I came. After talking with the math teacher, he said that parents only care about the students' grades now, and they should raise the scores quickly. They have classes on Saturday and Sunday, and there are no students at 7 pm. They can do and complete three sets of test questions in a two-hour class. At this speed, poor students will be asked to make up lessons alone. The headmaster said frankly, be a word of mouth and cater to parents' concerns.
Big training institutions are very difficult. Training is spread all over cities and counties, with full-time training. A considerable number of students don't go to school at all, go directly to training institutions, and then go back to the exam.
Children, study, grades, mixed feelings!
I know the teacher's classes very well. 90% of the remedial classes near the school are run by in-service teachers or they earn a share at work! For example, a student charges 600 yuan for a month, the head teacher in charge of pulling students can be assigned to 200 yuan for a month, and the counseling institution can only get 400 yuan. This 400 yuan includes rent, teacher employment fee and utilities! Therefore, counseling institutions especially hate in-service teachers, but there is no way to cooperate with in-service class teachers!
First of all: whether the teacher's teaching level, course quality, research and development achievements and learning achievements are excellent. Educational institutions are also commercial organizations, aiming at profit, and their products are teaching classrooms. If the product is not too hard, it will have no vitality.
Secondly: institutional management. Management can generate benefits and control costs. If the management of a school or an institution is not in place, it is easy to cause problems such as capital chain breakage in blind expansion.
Finally: it is the market channel. Some people will say, why do you put students last? In fact, the essence of business. Do you think we should make products or markets first? Only when you have a product can you start marketing.
Therefore, teaching and training institutions do not make money, first look at products, then look at whether management is in place, and finally look at how to broaden market channels.
If you have any questions, you can also communicate together.
Can't make money? What's wrong with some ideas? Its boss is worth 50 billion ~
It depends on what kind of training institution it is.
Civil servants' written interview training and postgraduate training are very profitable. As for the curriculum training institutions in primary and secondary schools, some make small money and some don't.
What doesn't make money is nothing more than the following factors:
First, there are few students. If there are fewer students, the natural income will be less, and the income will not be enough to maintain the expenses of training institutions.
Second, teaching has no characteristics, the courses between training institutions are highly homogeneous, and low-price competition leads to losing money and earning money.
In recent years, education and training institutions have developed like a blowout. I have also participated in some training. In the past few years, they have made money, and the profits are quite rich. Why don't they make money today? A group of people who have never been to an enterprise, behind closed doors at home, set up a set of training materials, began to recruit students through pyramid schemes, and trained those private enterprise bosses and nouveau riche, which is nothing more than instilling some chicken soup for the soul. It makes sense, but it is useless! Individual bosses have basically drunk it, and it's boring to drink it again! Even if they rack their brains to find variants, few people buy them unless they are crazy! By the way, the madman after training is an excited madman!
Education and training institutions can't make money, I think it's still the reason of competitiveness. In our area, there are many educational institutions, such as midday care, evening care and weekend care, which are really special.
But the overall look is not very standardized, which makes people feel that it should be an empty shelf. Children should not learn a lot of new knowledge in the past.
Then there is the current standard, the high-end kind. I don't think the price is suitable. Generally speaking, people don't think it necessary to spend so much money. One-on-one at home alone may be better.
In addition, many media now expose the inside story of educational institutions, which makes people feel particularly uneasy. I feel that children give others a sense of insecurity. Just one child, it is better to pay more attention to yourself. Spend more time and give children better guidance.