Survey Reveals Struggling Chinese Training Providers

A Training Industry Survey was released by a body named Teaching and Training Principles Reference. It surveyed 1,500+ training organizations across China in June, including providers focused on the study abroad segment.

Amongst them 20% have or are going to file bankruptcy; this is particularly high in certain regions: 55% in Hubei, over 30% in Hebei, Guangdong, Chongqing, Liaoning, Zhejiang, Shandong and Shanxi.

The resumption of business varies a lot across regions: some regions have 70% of classes resumed in person, while others have less than 10%. The regions with the lowest business re-opening rates are the Northeastern region, Hubei, Xinjiang, Beijing, Hebei and Tianjin.

90% of providers have reduced staff salaries, and 41% cut down their employees. Only 60% of training providers are able to transfer off-line classes online, and half of them indicate that the transfer to online learning is not sustainable and they will be back to an offline model as online is not suitable.

On a positive side, amongst the survey participants, 20% of the providers felt the impact is minimum, and 8% of the providers have seen or will see their business grow.

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