According to the monitoring data released by Analysys, the overall revenue of China's Internet education market reached RMB 48.16 billion in the fourth quarter of 2016, with an increase of 1.8% over the previous quarter. The increase rate declined slightly compared with the first three quarters of 2016. But on the whole, the Internet education market still maintained the growth momentum. 
With the further development of Internet and the reduction of threshold for users to learn on Internet, China's Internet education penetrates into more areas and the user scale of the Internet education market increases year by year. In 2016, the annual revenue of China's Internet education market reached RMB 160.15 billion, with an increase of 17.2% over the previous year.

In the past seven years, the revenue of China's Internet education market maintained the healthy momentum of growth. But as of now, compared to the overall offline education industry, the transaction size of the Internet education market is low. Analysys expects that the Internet education market will maintain the good growth trend in the next three years with the further integration of the online and offline education, the improvement of various LiveApps to the Internet education, the smooth channels to educational resources, and the interpenetration of teaching resources and users. 
From the comprehensive survey in 2016, Analysys believes China's Internet education market presents the following characteristics and trends:

1、   The participants strives to integrate their own superior resources, build their high-quality brands and value, and strength the formation of core competitiveness.
At this stage, the Internet education market is basically in the exploration and initiation period, with opportunities and risks coexisting. Many educational providers pile into the market to snatch market share. The participants in the long-tail market of China's Internet education market are motley. In order to occupy a place in the chaos, enterprises must make full use of their superior resources to constantly build brand value and core competitiveness. Taking the Internet giant BAT for example, it not only invests in the traditional education enterprises to expand its business coverage with its own funds and technical strength, but also actively develops its online education business. Vipabc which has strong technical strength, as another example, continually steps into the educational sub-brands. Vipabc English for Teenagers owns the dual license of TOEFL Primary and TOEFL Junior and becomes an online education brand focusing on the English proficiency test for primary and secondary school students.  

2. With the integration of online and offline education, the Internet education achieves further penetration and developmgent.
At present, Chinese users haven’t formed the habit of learning through Internet and are more accustomed to the traditional offline learning way. With the development of Internet education and market cultivation, the interaction style and interaction experience of the teaching and learning sides have been improved; the participants of the education market can better achieve the online and offline integration; and the offline education enterprises should conform to the times and lay out online teaching business; the online education enterprises can introduce the offline operation mode to promote the growth of their online business; and accordingly ,the Internet education will further develop and permeate.

3. Adhering to the content-first principle and with high-quality content as the core competitiveness, the Internet education continuously promotes the balance of educational resources and education equality.
Without time and space constraints, the Internet education can promote the balance of educational resources. As most users are learners, the users' learning efficiency and the teaching side's teaching quality are more important than the user experience and product design. For the Internet education providers, returning to the essence of education is essential to better attract and retain users. The high-quality content, educational effect and public praise are the key to the development of Internet education. Currently, many education providers are trying to introduce more reasonable curriculums and high-quality contents to continuously improve the learning experience of users. For example, Vipabc English for Teenagers offers one-on-one selected course and one-on-one course for users aiming to study abroad, focusing on the boutique course modes to fit the personalized needs of the users.  

4. The new technology innovation further promotes the development of Internet education and effectively improves the teaching interaction and user experience.
Technology progress will promote the improvement of various products and teaching methods of the Internet education. The development of mobile intelligent terminal equipment and application software is a huge boost for the Internet education. The continuous development of the big data mining and processing technology plays an important role in the rapid and healthy growth of the Internet education market. In addition, the hot topics of AR/VR, artificial intelligence and other cutting-edge technologies in 2016 will continue to deeply integrate with the education industry and become a fresh air in the education field. 
In addition, due to the rigid demand of education, the mobile education apps are favored by students. According to the data of Analysys, Zybang ranked first among the Top 10 education Apps in November, with the numbers of monthly active users reaching 24,732,000; Yuansouti ranked second, with the number of monthly active users reaching 9,137,000; and 17zuoye ranked third, with the number of monthly active users reaching 8,666,000.

For more information about the Internet education market, please pay attention to the WeChat official account of Analysys or call the customer service (+1) 3124666911/(+8610) 64666565/(+86) 13810406718.