a look at the Udemy business model in action

Prior to the Corona pandemic, achieving your career goals was a challenge. You can be a seasoned professional or a recent college grad looking to get your foot in the door. Post-epidemic, companies are only interested in hiring the best people in every field. Since your industry demands new skills, you’ll need training in those areas. There is, however, one snag. TIME. Please tell me if you’d like to join a college or university for new courses. After that, you’ll have to decide whether or not to attend classes in addition to your professional work (as a student). Udemy, for example, offers more than a million online courses from world-renowned instructors at a reasonable cost. Having said that, are you contemplating the Udemy Business Model after perusing the Udemy website and being satisfied with the courses it offers? It’s not clear how this platform makes money. If this is the case, you’ve found the right place. You’ll learn everything you need to know if you stick around. It is only after learning about Udemy that we can proceed to the subject of this article.


This platform’s name is a combination of two words: “You” and “Academy.” Having a brick-and-mortar institution doesn’t necessitate online learning. Eren Bali had no idea that his idea would lead to a wave of online digital platforms that would fundamentally alter the educational landscape. 1,30,000 online courses are available at the moment Let’s jump right into the Udemy Business Model now that we’ve covered the last paragraph.
Using the Udemy Market Place Business Model

Udemy, like Amazon and Flipkart, organises and sells courses from a variety of instructors on its online platforms. As stated in its policies, Udemy is a simple platform for instructors to showcase their courses. Every online course has its own price, which is set by the instructor. For administrative and marketing services, however, Udemy does charge. Let’s turn our attention to this issue now.

How does Udemy’s business model make money?

Even free courses can be found on Udemy. However, this platform generates revenue of $2 billion a year solely from paid courses. There are more than 80 languages in which a student can take courses. Additionally, the business model is subdivided into two distinct categories. The first is for private use, while the second is for commercial purposes.

To host a course on the platform, there is no charge for the instructor. For example, a student may be required to pay for a particular course. Udemy’s revenue comes from the sale of students, not from the price of a course. Listed below are the steps involved:

Word-of-mouth or favourable reviews are the primary means by which a well-known instructor attracts new students. Students may be required to sign a coupon in order for the instructor to advertise his or her own courses. In this case, he or she is entitled to 97% of the total course fees. Udemy only charges a 3% administrative fee for its courses.
YouTube, Google, Facebook, and other methods can also be used to promote a course on Udemy. A student who chooses to take a course through a channel will pay 75 percent of the total fees. Udemy, on the other hand, allows instructors to set a cap on the number of times a course can be shown on a channel. In addition, the instructor has control over the channels through which his or her courses are made available to the general public.
The platform receives 30% of the total fees if a course is selected via the Android or iOS app.
Let’s assume that a student visits the Udemy website and chooses a course without the use of an instructor-provided coupon. After that, the instructor and Udemy each get half of the course fees.
Do you know about Udemy’s Business Model, which is geared toward small and medium-sized businesses as well as large corporations? Known as “Udemy for Business,” it focuses on employee training and development. A Team Plan and an Enterprise Plan are available in this category.

For companies with 5 to 20 employees, Team Plan is the best option. The minimum number of users required for an annual membership is five.
Designed for businesses with more than 20 employees, the Enterprise Plan is the most comprehensive option. Depending on the courses and length of training, prices can vary.
Additionally, Udemy has provided both plans with a two-week trial. It’s up to the company to decide if the training is satisfactory or not.


Udemy’s model for generating revenue is flawless and extremely appealing to both the instructor and the student. Udemy’s success is due in large part to the fact that it offers students as well as instructors convenience, value, comfort, cost savings, brand awareness, and ease of use. Instructors can use the platform’s free technical features to host their courses and deliver instruction to their students.