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27 Aug 2013

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Tutoring Thrives, but Several Challenges Loom (Current Issue No. 2395 Full Ed.)

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Extra-curricular tutoring has become increasingly popular among upper secondary school students seeking to be prepared for their university entrance exams, generating a high market value and growth in tutoring business. ‘Cram schools' these days have begun to operate in competitive clusters, opening at the same locations, e.g., the same building, offering customers one-stop tutorial services. These schools have also expanded from major cities into smaller provinces in different parts of the country. Moreover, they are seen adjusting by creating programs that can be a better solution to the Central University Admissions system, adopting lesson improvements and advanced teaching techniques. However, fierce competition has forced some operators to also venture into educational counseling, franchises, the authoring of study materials as well as sales of e-learning materials to schools.
KResearch estimates that the tutoring market will be worth THB7.16 billion in 2013, rising over the THB7 billion in 2012, and could soar to THB8.19 billion in 2015. These estimates represent an average growth of 5.4 percent per annum as a result of higher course fees and rising enrollments. Cram schools may face difficult prospects ahead, however, since students will likely have more options in their university education, e.g., special and/or international courses at public universities. Moreover, students may opt for private institutions as teaching quality there improves. Another threat may be posed by manufacturers of products like ‘brain-boosting' beverages that tap into this market with their offers of free tutoring courses.
Given these challenges, tutoring establishment operators must make adjustments wherein they may evolve into student communities, attracting student groups and creating experiences that lead to word-of-mouth advertising. Regarding the teaching, schools should offer genuine improvements in comprehension and analytical skills rather than lesson summaries and exam tips.

As major operators expand into smaller provinces, local institutions can still do well by highlighting their strengths, i.e., understanding local students' needs better and having more reasonable fees. However, they should consider curriculum updates and the adoption of new teaching methods as well.

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