Private tutoring has been a very dynamic sector for years and the demand is only increasing. The service is consumed from students from primary education to those in professional education and even post graduation not to mention CAT, IIT, JEE and other competitive entrance exams with an aim of getting into reputed institutions in engineering, medicine and management. Not even the biggest economic recession slowed down this segment and average growth rate for the past six years is a whopping 35%.
Most middle-class parents spend a significant portion of their incomes on private tuitions with the hope that their wards can do better as they prepare them for competitive entrance exams for professional courses. Even high-calibre students sign up for private tuitions to score the 96-99% cut-off averages demanded by the best colleges.
Global Alliance plans to establish 1000 centers across India and the segment will be divided into two broad categories - school students and students preparing for competitive exams.
The desire to score high has resulted in an increasing number of school children opting for private tuitions. According to a survey by ASSOCHAM, a whopping 87% of primary school students and 95% of high school students in metros receive private tutoring. In the last six years, the number of primary school children taking private tuitions increased by 100% while the number of high school students enrolling in tuitions increased by 92%. Parents rely on tuitions due to lack of time and knowledge and private tutors charge anywhere between Rs.1,000 to Rs.4, 000 per student on a one-to-one basis. Group tuitions cost Rs.1,000 to Rs.6,000 per month. The spurring growth of this sector has encouraged several teachers of reputed schools and colleges to leave their jobs to take up private coaching.
The size of the entrance exam sector is even bigger than the school exam sector. Students flock coaching centers to start preparing for competitive examinations once they complete their 12th standard or PUC. Approx. a million/ 10 lakh students take up these exams every year. Since the school education system does not emphasize on application of concepts and problem-solving, all students irrespective of their performance in school take up such coaching.