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Online education is so hot, why is there little profit?
Online education is difficult to make a profit. This problem should be treated differently. Is online education in the direction of knowledge payment and workplace skills still profitable? Money, but also very profitable, I learned that some websites that teach marketing and operation make tens of millions a year, which is still very objective. The hard-to-profit here should refer to online education in the field of K 12 (kindergarten to senior three). This field is difficult to make a profit, mainly for the following reasons.

1. The pattern is unclear.

One of the characteristics of K 12 online education is that the users of products are students, but the buyers are parents. Therefore, it is difficult to make clear whether the product is aimed at parents or students and which group is the focus of promotion. Where was my earliest place? An online education company just didn't think clearly about this problem. Products want to meet the needs of students, parents' desire for supervision, and some teachers' needs. In the end, no group was satisfied, losing 20 million yuan a year and going bankrupt.

2. Low repurchase rate

Educational products are very similar to dating sites. There will be no repurchase rate or it will be difficult for them. They don't come back to the first grade after they finish the first grade, and the students themselves hate learning. Except for a few scholars, it is impossible for others to actively generate word of mouth. This is the embarrassment of K 12 educational products.

3. The cost of obtaining customers is high

According to industry sources, the user acquisition cost of educational products ranges from 300 to 400, almost catching up with the customer acquisition cost of P2P. The high acquisition cost makes online education difficult to make a profit.