From postcards to programmes: how online learning has grown
Would you believe me if I said the first recorded example of distance learning was in 1728? Caleb Phillips, a Boston-based professor, advertised shorthand lessons in a newspaper available to anyone in the US. He promised that students would be “as perfectly instructed as those that live in Boston,” only with lessons sent weekly by post. Unsurprisingly, this early attempt didn’t catch on due to the rudimentary postal system of the time. Philips did, however, inspire others, with postcard learning being quite the hit in the 19th century.
Fast forward to today and those early efforts at distance learning pale in comparison to the e-learning revolution spurred by COVID-19. We’ve leapfrogged into an era of online and distance learning, where classrooms are virtual, schedules are flexible, and the biggest troublemaker is the occasional Wi-Fi glitch.
In one of our earlier articles, Seb Beloe wrote about the observed relationship between lower unemployment rates and attaining higher levels of education. The results were indisputable. However, many challenges block the path to higher levels of education – the time burden, and financial burden are arguably the biggest barriers.
Does virtual learning help?
Online learning is often completed in the comfort of the student’s home, at their own pace and according to their preference. A form of self-motivated learning that appeals to certain individuals more than others. It’s really the flexibility of this offering that is unmatched to traditional in-person learning. When personal and professional responsibilities take precedence, access to higher education can be reduced to none. Virtual learning is an inclusive alternative that gives students autonomy to choose when and how they study while maintaining a comprehensive curriculum.
Studies show that students often do better in online classes compared to traditional ones.1 Students typically retain up to 60% of what they learn online, compared to just 10% in traditional settings, and cutting study time almost in half.2 This is especially true for adult learners and those in higher education, where time management and self-directed learning are routine.
Feeling screen fatigue
Engagement has been more of a topic for debate. In-person classes often buzz with dynamic interactions and palpable energy,3 with a physical presence boosting motivation and participation. Virtual learning, on the other hand, can sometimes feel quite isolating.
The problem with online learning is if it is carried out in the same way as traditional learning. Screen fatigue is a real thing—listening to a virtual lecture isn’t always as captivating as seeing it in person.
What’s exciting about e-learning platforms is the ability to incorporate interactive elements like quizzes, virtual reality, and gamification (using game design in non-game contexts). These tools make learning not just a task, but an immersive experience. An Oxford College survey found that nearly half of online students believe that the inclusion of virtual reality would significantly enhance their learning experience.4 When done right, online education can be as captivating as it is convenient.
Where WHEB see opportunities
Our research into the positive impact of education has revealed that many more educational institutions are advertising virtual learning capacity and are pioneering new ways to make education accessible.
Grand Canyon Education (“GCU”), held in our portfolio under our Education theme, offers a variety of tertiary educational services to universities and institutions. GCU offers both in-person and online equivalent courses, rooted in the understanding that students have diverse learning needs. This has led to some impressive enrolment statistics – on average, 80% of GCU students enrol in an online course each year,5 with total enrolment growing around 7% each year over the last decade.
GCU highlights another perk of online learning – the financial benefit. Online students save about 30% on tuition fees compared to their on-campus peers,6 with further reductions when accounting for travel costs, presenting a more cost-effective alternative.
Looking through an institutional lens, 42% of education organisations experienced an increase in income after introducing e-learning,7 as higher operational costs were avoided, making it a viable option for many educational institutions.
For some education providers, online learning is still in its infancy. For these providers, fees may remain elevated as digital infrastructure and the curriculum is developed with specialist staff. As these offerings mature, costs will typically come down.
Environmental impact
One of the lesser-discussed advantages of online education is its positive environmental impact.
Traditional bricks-and-mortar schools consume vast amounts of resources, including water, electricity, and paper, resulting in excessive energy consumption and a higher carbon footprint. Older buildings, not designed to modern low-carbon standards, can generate around 100kg of CO2e per classroom per semester.8
Virtual learning slashes these demands. The Open University reported that e-learning reduces energy consumption by 90% and total emissions by 85% per student compared to traditional classes.9 This reduction is a consequence of requiring less physical space and resources, as well as eliminating transport to and from the institution. While home-based learning still uses power and heating, it only generates 5kg of CO2e per online classroom per semester,10 making it a far greener choice.
How does it weigh up?
There are certainly challenges presented with the online learning model; its recent acceleration has highlighted both its potential and pitfalls. The flexibility and accessibility of online education are game-changers, allowing students to learn at their own pace from anywhere. However, engagement, screen fatigue, and the digital divide highlight the need for continuous innovation and inclusive policies.
We’ve come a long way from postcard classes. The next generation may see virtual reality and augmented reality learning as the new norm, but for now, online learning is a vital tool in bridging the global skills gap by making higher education more accessible to all.
Written by Investment Analyst Chloe Tang
1 https://www.researchgate.net/publication/360697318_The_Impact_of_Online_Learning_Strategies_on_Students’_Academic_Performance/link/63e676356425237563a27114/download?_tp=eyJjb250ZXh0Ijp7ImZpcnN0UGFnZSI6InB1YmxpY2F0aW9uIiwicGFnZSI6InB1YmxpY2F0aW9uIn19
2 https://www.ucf.edu/online/leadership-management/news/why-the-future-of-learning-is-digital-and-for-everyone/
3 https://www.eschoolnews.com/innovative-teaching/2024/04/05/online-learning-vs-classroom-learning-research/
4 https://www.oxfordcollege.ac/news/online-education-statistics/
5 https://www.collegetuitioncompare.com/trends/grand-canyon-university/student-population/
6 https://www.gcu.edu/tuition/cost-attendance
7 https://radixweb.com/blog/top-elearning-statistics
8 https://www.nepic.co.uk/blog/memberposts/remote-learning-during-covid-and-the-environmental-benefits/
9 https://www.open.edu/openlearn/nature-environment/the-environmental-impact-teaching-and-learning/content-section-5.1
10 https://www.nepic.co.uk/blog/memberposts/remote-learning-during-covid-and-the-environmental-benefits/
