In previous posts, we have outlined the size and footprint of The Global 5000 set of companies. The combined revenue of this group of the largest enterprises in the world equates to approximately 2/3 of the world GDP. They make most of the money in the business world and spend like it too.
One of the benchmarks/metrics we have gathered is the corporate spending for training & education by various industry verticals. The level of spending can be a low of $20 per year per employees in the agriculture industry to over $400 in the transportation industry where pilots or engineers are required to be certified and training is continuous.
When we apply these varied metrics to each of the companies in The Global 5000, the total spending for training and education comes to $17 billion . . . an attractive market. Looking at the details, there are country and industry differences that can help training companies select appropriate targets. For example, we compared these 3 Global 5000 industries to assess the spending on training & education:
- Airlines $452 million
- Banking $3.36 billion
- Chemicals $148 million
Taking a look at 2 different countries and totaling the training spend for Global 5000 companies headquartered in those countries, we can see another way to evaluate this subsegment. In this case, we totalled the spending for China and Germany
- China $1.9 billion
- Germany $1 billion
With these modeled estimates as part of each Global 5000 company record, any number of sub-segments and markets can be evaluated as part of the overall $17 billion large enterprise market.