Is the Training Services Industry on the Rise?

During the recent economic downturn one of the first industry sectors to suffer was the training services industry.

With many organisations making redundancies, staff laid-off and companies looking to make cost savings, many chose to reduce spending on the provision of both in-house and external training. In many cases training staff numbers were cut and the services of external providers reduced or eliminated. Add this to the cutbacks in the Public Sector and training companies, agencies and training providers in general have been hit badly by the recession.

Why then are many training providers now reporting an upturn in their business with many reporting significant increases in business turnover? The smaller independent networks in particular appear to be benefitting from this upturn, as organisations having reduced their in-house expertise during the recession are now looking to outside experts – in areas such sales training and bespoke management training – to fill their skills gap. Many of these smaller companies have seen a doubling in both inquires & bookings and a leading training company recently reported that last year was their best on record.

On theory for this apparent growth in the training services sector is that companies want their remaining employees to have the necessary skills to help them climb out of recession and take advantage of any economic upturn as it happens. Management training in particular is seen as an area for growth with companies wanting to ensure their mangers get the best from their staff and assist in staff development.

Organisations emerging from recession will also be keen to ensure that all front-line, ‘customer-facing staff’ are ‘skilled-up’ and ready to drive the business forward via enhanced sales and customer service skills. Sales training and sales management training will be key to helping businesses drive revenue growth from both their existing customer base and new customers.

Management training and sales training courses can also help businesses to retain key staff as, not only does training enhance employee skills, but it is also often highly motivational for those attending, with individuals perceiving the training as the organisation investing in them.

Providers of bespoke solutions, where external specialists both design and deliver training to meet a business’s specific requirements, are the most likely to benefit from this upturn. Company Training Managers will want to ensure value for money and that they get the most from what are still, in the main, limited training budgets; i.e. if they are to bring in outside expertise in skills-based management, negotiation, telesales, and sales training etc. they will need to ensure that the specific needs of both the organisation and the individuals attending the courses are met.