Market Executive Summary

Global Online Exams Proctoring Market Overview

Global Online Exams Proctoring Market was valued at USD 514.95 million in 2021 and is expected to reach USD 1573.4 million by the year 2028, at a CAGR of 17.3%.

E-learning has become a massive trend nowadays owing to the disruptions caused by COVID-19 in traditional ways of classroom learning. With growing universities adopting e-leaning platforms the need for online exam proctoring methods has escalated thus strengthening the growth of the online exam proctoring market throughout the forecast. Moreover, there has been a remarkable rise in usage of virtual learning apps, online teaching and proctoring, video conferencing tools, and e-learning language apps all of these attributed to COVID-19. Furthermore, exams are needed to evaluate a candidate's knowledge, and to maintain exam integrity, proctoring or invigilation is an essential element of any test. Educational Universities and schools are shifting to online proctored examination thus promoting the growth of the Online exam proctoring market during the period of forecast.

According to World Economic Forum, there was already tremendous growth and acceptance in education technology, with global edtech expenditure rising to US $18.66 billion in 2019, and the overall market for online education is expected to reach US$350 Billion by 2025 thus boosting the online exam proctoring market in the timespan of the forecast. Moreover, the corporate e-learning market is expected to increase by US$38.09 in the forecast period. IBM stated that it saved approximately US$200 million after using e-learning platforms to train and evaluate employees. BYJU'S is a Bangalore-based educational technology engaged in online tutoring institute is the world's most valued edtech company. Moreover, after announcing free live classes, BYJU'S reported a 200% increase in the number of students using their products hence supporting the growth of online exam proctoring.

COVID-19 Impact on Online Exam Proctoring Market

The outbreak of COVID-19 had devasting effects on the education system. It compelled education institutions to shut down completely to constrain the spread of novel coronavirus and to maintain social distancing. Closing down of schools resulted in the discontinuation of 1.2 billion children's gatherings globally. Nation-wide lockdown imposed by governments has positively encouraged innovative structural reforms in the education system. Due to the pandemic education system has changed drastically with educational universities adopting e-learning platforms where teaching is done remotely and on digital platforms. COVID-19 has changed traditional teaching patterns and has instigated students to develop their critical thinking and adaptability skills. Universities and schools are adopting online proctored exams to evaluate students' grades thus COVID-19 has supported the growth of online exam proctoring solutions.

Market Dynamics And Factors In Online Exam Proctoring Market

Driver:

Moreover, remotely proctored tests are financially cost-effective and user-friendly. Students can give online tests and check their results within minutes instead of taking an exam at a distant place and waiting months to understand their results. Furthermore, candidates can choose their place to sit and give exams at their convenience. Educational institutions provide an exam window within which candidates can log in and give the exam within the time allotted. Moreover, exams taken at home are morale-boosting and thus enhances productivity and feasibility of passing the exam. Recently students have become more technology-friendly and prefer online exams over pen and paper examinations thus promoting the growth of online exam proctoring markets during the period of forecast.

Rapid spurge in the number of online exams and assessments due to the temporary shutdown of classroom learning at private coaching centers and public educational institutions, leading to the adoption of online learning, is propelling the demand for online exam proctoring solutions. Online proctoring reduces costs for institutions by eliminating the necessity of an in-person invigilator and test center facility, which eliminates huge administrative burdens and costs. Online proctoring solutions are generally more advantageous to the universities when trying to run test centers in remote locations.

According to research published in World Economic Forum, on average students memorize 25-60% more knowledge as compared to only 8-10% traditional classroom learning. This is mostly attributed to tools that are provided by e-learning platforms that allow students to learn things at their own pace, going back and re-reading, accelerating, or skipping some points according to their needs. The research also states that e-learning requires 40-60% less time to understand things as compared to traditional classroom teaching methods thus promoting the expansion of the online exam proctoring market throughout the forecast period.

Restraints:

Due to the rapid and unplanned shift towards online learning, institutions have deployed teachers without proper training, little preparation, or having zero exposure to technology. If teachers are not having the proper idea of e-learning platforms then it is going to create big havoc while conducting online lectures thus hampering the growth of the online exam proctoring market in the period of forecast. According to a study conducted by Berkey and Halfond in 2015 84% of students reported that student dishonesty is a major issue in online proctored exams thus retarding the market growth. Moreover, globally there are many remote and developing regions where internet connection is not reliable thus interrupting students from taking a part in online lectures. According to OECD findings, 95% of students in Scandinavian countries such as Norway, Austria, and Switzerland have a computer to attend online lectures while only 34% of students in Indonesia have access to a computer. This gap in access to technology is hindering the online exam proctoring market growth in the span of the forecast. Digital learning platforms are running on electricity. The rapid shift in e-learning has resulted from a tremendous load on electricity generating market companies. Moreover, certain courses need hand on objects to understand things efficiently such as medical, some engineering branches, and others thus restricting the growth of online exam proctoring markets in the timeline of the forecast. 

Opportunities:

Online exam proctoring methods save time and money compared to pen-and-paper evaluation tests. Moreover, digitizing exam papers and results, and enabling candidates to give exams according to their convenience and in a variety of locations eliminates in-person invigilation and the requirement of exam halls. Growing universities adopting online proctored examinations have provided market players with large-scale opportunities to provide solutions for online exam monitoring. There are about 1.2 billion students globally, looking at these massive numbers market players can develop exam patterns depending upon their age and aid administration in evaluating candidates.

Challenges:

Smooth student-teacher interactions and to prevent malpractices in the online mode of examination is the biggest challenge for market players. To make learning more effective and to keep students enticing is a major challenge for market players. Moreover, recording audio of students giving the exam is also a vital thing. Whenever a vital keyword is spelled by the student a warning should be issued to prevent malpractice.

Market Segmentation

Segmentation Analysis of Online Exam Proctoring Market:

Based on Type, online exam proctoring is segmented into three genres live online proctoring, Ai-based proctoring, and record and review proctoring. The live proctoring method is going to dominate the market during the period of forecast owing to the characteristics such as multi-factor identity verification, exam launch, and environment security scans.

The live proctoring method is real-time proctoring that takes place in the course of the exam with the involvement of human proctor monitoring or invigilating the exam online. Moreover, the human proctors are skilled professionals to ensure the genuineness of the candidate and look for any malpractices such as suspicious eye or facial movements or the appearance of any unverified object that could indicate cheating. Furthermore, the main requirement for this proctoring is the availability of a human invigilator on the given date and time of the test.

The second type is Record and review proctoring which involves video recording of camera images of candidates taking an exam which is later reviewed by a proctor to assess the integrity of the exam. Moreover, this allows candidates to take the exam at any time and any convenient place and hence allowing multiple exams to take place simultaneously. This type of proctoring can be expensive as well as difficult to scale. Furthermore, this too requires human intervention for checking the credibility of the exam.

The third type is Automated or AI-based proctoring which doesn't need a full-time involvement of a human proctor. Moreover, the AI-based proctoring system itself identifies events of possible cheating or fraud and then reports it to the human proctor to confirm if cheating or fraud has been committed by the candidate. This form of online proctoring is generally considered more convenient for the candidates as there is no location, schedule, and human proctor required. Moreover, Automated proctoring is very scalable as the human element is replaced by artificial intelligence or algorithms. Furthermore, it is more cost-efficient. However, some chances automated proctoring can report innocent activities as fraud events.

Based on End User's, schools and universities have the highest share in utilizing online exam proctoring methods. Moreover, several enterprises have also started using online exam proctoring methods to evaluate their employees. Furthermore, governments in developed and developing countries are using online exam proctoring methods to conducts several exams related to civil and army services.

Regional Analysis of Online Exam Proctoring Market:

Depending on geography, the Online Exam Proctoring market is segmented into five regions consisting of Asia, the Middle-East and Africa, South America, North America, and Europe. North America region is expected to dominate the sales of online exam proctoring market during the period of forecast. Due to the large number of investments made in upgrading proctoring methods and eliminating malpractices in countries such as the US and Canada, the North American region is going to dominate the region in the span of the forecast.

Owing to developments in technology and the presence of prestigious universities which are constantly engaged in developing technologies for online exam proctoring methods European region is anticipated to have positive growth in the duration of the forecast. Asia-Pacific region owing to a large number of populations engaged in learning activities is the highest procurer of online proctoring technology. Growing investments in countries such as India and China for upgrading online learning platforms are going to propel the market growth in this region.

By Type:

Live Online Proctoring

Record & Review Proctoring

AI-Based or Automated Proctoring

By End Users:

Schools & Universities

Enterprises

Government

Players Covered in Online Exams Proctoring Solution Market are:

Examity

PSI Services

ProctorU

ExamSoft

Comprobo

Mercer-Mettl

ProctorTrack (Verificient)

Inspera

Kryterion

Prometric

Respondus

Smarter Services

Honorlock

Proctorio

ProctorExam

Pearson Vue

ProctorFree

SMOWL

TestReach

Questionmark

Televic Education

Examstar

RK Infotech and other major players.

Key Industry Development in Online Exam Proctoring Market

In April 2021, Honorlock announced that it has accumulated $25 million in its new round of funding. Honorlock uses human intelligence and artificial intelligence to provide a trouble-free remote testing experience to students. Prestigious institutions such as the University of Maryland, University of Florida, and Georgia Tech are some institutions among 300 institutions that use Honorlock for exam proctoring. 

In July 2021, Scantron leading company in analytics and data capture for education causes has declared a partnership with Examity, a global leading industry in online proctoring. With this partnership, Examity will provide a smooth live remote proctoring feature for educational institutions.

In September 2020, PSI Services LLC (PSI), a leading workforce solutions provider of best-in-class evaluation content and comprehensive certification program services, has declared that it is going to provide exceptional test delivery services for Microsoft's announcement?? to help 25 million people globally obtain innovative digital skills required for the COVID-19 situation.