Flevy Management Insights Case Study
Digital Learning Strategy for Educational Services in STEM


Fortune 500 companies typically bring on global consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture, or boutique consulting firms specializing in Competitive Assessment to thoroughly analyze their unique business challenges and competitive situations. These firms provide strategic recommendations based on consulting frameworks, subject matter expertise, benchmark data, KPIs, best practices, and other tools developed from past client work. We followed this management consulting approach for this case study.

TLDR A leading provider of digital learning solutions for STEM education faced declining user engagement and subscription renewals due to outdated platforms and increased competition. The organization successfully revitalized its offerings, resulting in a 25% increase in user engagement and an 18% rise in subscription renewals, highlighting the importance of Innovation and Strategic Planning in adapting to market changes.

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Consider this scenario: A leading provider of digital learning solutions for STEM education is facing a critical juncture in its growth trajectory, necessitating a thorough competitive assessment.

The organization has seen a 20% decline in user engagement and a 15% drop in subscription renewals, attributed to the emergence of innovative competitors and changing customer expectations in the educational services sector. Additionally, internal challenges such as outdated content delivery platforms and a lack of personalized learning experiences have further exacerbated the situation. The primary strategic objective of the organization is to revitalize its product offerings and enhance user engagement through personalized and cutting-edge digital learning experiences.



The company at the heart of this strategic plan stands at a crossroads, confronted by escalating competition and shifting market dynamics that threaten its position in the educational technology landscape. The underlying issues appear to stem from an over-reliance on legacy systems and content that no longer aligns with the evolving demands of STEM education. Furthermore, the absence of a data-driven approach to personalize learning experiences has left the organization lagging behind its more agile and innovative competitors.

Market Analysis

The educational technology sector is witnessing unprecedented growth, fueled by a surge in demand for digital learning platforms. This expansion is driven by a global shift towards more flexible and accessible educational models, particularly in STEM education.

Analyzing the competitive landscape reveals:

  • Internal Rivalry: Intense competition exists among established players and new entrants, each striving to innovate and capture a larger market share.
  • Supplier Power: Relatively low due to the abundance of content creators and technology providers eager to collaborate with educational platforms.
  • Buyer Power: Increasingly high as schools, universities, and individual learners demand more personalized, engaging, and outcome-driven learning experiences.
  • Threat of New Entrants: High, given the low barriers to entry in the digital space and the continuous emergence of new technologies.
  • Threat of Substitutes: Moderate, with traditional learning methods and non-digital alternatives still viable but less preferred.

Emerging trends include the growing emphasis on personalized learning paths, the integration of artificial intelligence to enhance interactivity, and the shift towards competency-based certifications. These trends present both opportunities and risks, necessitating a strategic approach to innovation, user engagement, and content relevance.

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Internal Assessment

The organization possesses a strong foundation in STEM education with a comprehensive content library and a loyal user base. However, its internal capabilities are hindered by outdated technology and a lack of personalization in its learning experiences.

SWOT Analysis

Strengths include a robust content library and established brand in STEM education. Opportunities lie in leveraging technology to offer personalized learning experiences and expanding into new markets and segments. Weaknesses are seen in the reliance on outdated platforms and the slow pace of innovation. Threats stem from the intensifying competition and the rapid pace of technological advancement in the educational sector.

McKinsey 7-S Analysis

The analysis highlights misalignments between Strategy, Structure, and Systems, which have impeded the organization's ability to adapt to market changes. Strengthening the alignment of these elements with Shared Values, Skills, Style, and Staff is critical for driving innovation and growth.

Gap Analysis

Identifies significant gaps in technology adoption, product innovation, and market positioning. Bridging these gaps is essential for enhancing competitiveness and meeting the evolving needs of learners in the STEM fields.

Strategic Initiatives

  • Revamp Digital Learning Platform: Upgrade the technology stack and user interface to offer a more personalized and interactive learning experience. This will increase user engagement and satisfaction, driving subscription renewals and attracting new users. The initiative requires investment in software development, user experience design, and data analytics capabilities.
  • Content Modernization and Expansion: Refresh existing content and develop new modules focusing on emerging STEM fields and technologies. The intended impact is to maintain content relevance and appeal to a broader audience. Value creation stems from offering up-to-date and industry-aligned learning materials, necessitating partnerships with subject matter experts and investment in content development.
  • Competitive Market Positioning: Conduct a comprehensive competitive assessment to redefine the organization's market positioning and value proposition. The aim is to differentiate the platform from competitors by emphasizing unique features, such as personalized learning paths and interactive content. This initiative will require market research and marketing strategy development resources.

Competitive Assessment Implementation KPIs

KPIS are crucial throughout the implementation process. They provide quantifiable checkpoints to validate the alignment of operational activities with our strategic goals, ensuring that execution is not just activity-driven, but results-oriented. Further, these KPIs act as early indicators of progress or deviation, enabling agile decision-making and course correction if needed.


That which is measured improves. That which is measured and reported improves exponentially.
     – Pearson's Law

  • User Engagement Rate: Measures the effectiveness of the new platform and content in engaging users, reflecting improvements in product offerings.
  • Subscription Renewal Rate: A critical metric to assess customer satisfaction and the direct financial impact of the strategic initiatives.
  • Time to Market for New Features: Tracks the organization’s agility in implementing new innovations, an essential factor for maintaining competitiveness.

Monitoring these KPIs will provide insights into the success of the strategic plan in meeting user expectations and adapting to market dynamics. An increase in user engagement and subscription renewals will indicate a positive response to the new platform and content, while a reduction in time to market for new features will demonstrate improved operational efficiency.

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Competitive Assessment Best Practices

To improve the effectiveness of implementation, we can leverage best practice documents in Competitive Assessment. These resources below were developed by management consulting firms and Competitive Assessment subject matter experts.

Competitive Assessment Deliverables

These are a selection of deliverables across all the strategic initiatives.

  • Digital Platform Redesign Plan (PPT)
  • Content Development Roadmap (PPT)
  • Market Positioning Strategy Report (PPT)
  • Competitive Assessment Framework (PPT)
  • Implementation Financial Model (Excel)

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Revamp Digital Learning Platform

The Value Proposition Canvas was a critical framework applied in the revamping of the digital learning platform. This model, developed by Alex Osterwalder, is instrumental in ensuring that the products and services a company offers match the customer's needs and desires. In the context of this initiative, it was particularly relevant for understanding and addressing the specific requirements of STEM learners seeking digital education solutions. The organization proceeded by:

  • Mapping out student profiles, including their jobs-to-be-done, pains, and gains to understand the broader context of their learning needs.
  • Aligning the platform's features and content with these profiles to ensure that the new offerings would effectively address users' needs and alleviate their pains while enhancing their gains.
  • Iteratively testing and refining these alignments based on user feedback to ensure the platform's value proposition was fully optimized.

Additionally, the organization utilized the Resource-Based View (RBV) to assess its internal capabilities and ensure that the revamp leveraged its unique strengths. RBV, a framework for identifying and utilizing resources and capabilities to gain competitive advantage, was pivotal in this strategic initiative. The organization:

  • Conducted an internal audit to identify key resources, such as proprietary technologies, expert content creators, and user analytics target=_blank>data analytics capabilities.
  • Evaluated these resources against the Value Proposition Canvas outcomes to ensure alignment between internal capabilities and market needs.
  • Strategically invested in enhancing these resources, particularly in technology and content development, to support the platform's revamp.

The implementation of these frameworks resulted in a digital learning platform that was not only aligned with the specific needs and desires of STEM learners but also capitalized on the organization's unique strengths. The revamp led to a significant increase in user engagement and subscription renewals, demonstrating the efficacy of the Value Proposition Canvas and Resource-Based View in guiding successful strategic initiatives.

Content Modernization and Expansion

For the initiative focused on content modernization and expansion, the organization turned to the Jobs to be Done (JTBD) Framework. This framework, which focuses on understanding and defining the customer's needs in terms of the jobs they are trying to get done, proved invaluable. It allowed the organization to pinpoint exactly what STEM learners were seeking from their educational content, beyond traditional subject matter learning. Following this framework, the team:

  • Conducted interviews and surveys with current users to identify common jobs to be done, such as acquiring practical skills for career advancement or understanding complex theories through simulations.
  • Developed new content and updated existing materials to align with these identified jobs, focusing on practical applications, interactivity, and real-world problem-solving.
  • Implemented a feedback loop with users to continually refine content offerings based on how well they helped learners accomplish their jobs to be done.

Simultaneously, the organization employed the Core Competence Model to ensure that the new and updated content leveraged the organization's distinctive strengths. This framework, which emphasizes the importance of focusing on what the company does best and ensuring that core competencies are applied across products and services, was crucial for this initiative. The process involved:

  • Identifying core competencies in content creation, technological integration, and subject matter expertise.
  • Ensuring that new content development initiatives were aligned with these competencies, thereby enhancing the organization's competitive edge in digital STEM education.
  • Developing strategic partnerships to fill gaps in competencies, particularly in emerging STEM fields and technologies.

The application of the Jobs to be Done Framework and the Core Competence Model to the content modernization and expansion initiative resulted in a more engaging and relevant learning experience for users. This strategic approach not only increased user satisfaction but also solidified the organization's position as a leader in digital STEM education by leveraging its core competencies to meet the evolving needs of learners.

Competitive Market Positioning

In addressing the challenge of competitive market positioning, the organization adopted the Strategic Group Analysis framework. This tool, useful for mapping out the competitive landscape, helped the organization understand the positioning of various players in the digital education market, including direct and indirect competitors. By doing so, the organization was able to:

  • Identify strategic groups within the digital STEM education sector based on factors such as content quality, technological innovation, and market focus.
  • Analyze the strengths and weaknesses of competitors within each strategic group to identify gaps and opportunities in the market.
  • Reposition the organization within the competitive landscape to capitalize on identified opportunities and differentiate itself from competitors.

Alongside Strategic Group Analysis, the organization utilized the Perceptual Mapping framework to visually represent the competitive positioning. This approach was instrumental in communicating the repositioning strategy internally and externally. By implementing this framework, the team:

  • Developed a perceptual map to visualize the positions of major competitors and identify areas of opportunity for differentiation.
  • Used this visual representation to refine the organization's value proposition, focusing on uniqueness in content delivery, personalization, and user engagement.
  • Implemented targeted marketing strategies to communicate this differentiated positioning to current and potential users.

The strategic use of Strategic Group Analysis and Perceptual Mapping frameworks significantly enhanced the organization's competitive market positioning. By clearly understanding its position within the competitive landscape and effectively communicating its unique value proposition, the organization was able to attract new users and retain existing ones, thereby strengthening its market presence in the digital STEM education sector.

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Key Findings and Results

Here is a summary of the key results of this case study:

  • Increased user engagement rate by 25% following the digital learning platform revamp, indicating improved user satisfaction and interaction.
  • Subscription renewal rates rose by 18%, reflecting higher customer satisfaction and the successful impact of strategic initiatives.
  • Reduced time to market for new features by 30%, demonstrating enhanced operational efficiency and agility.
  • Content modernization led to a 15% increase in new user sign-ups, attracted by updated and expanded STEM offerings.
  • Successfully repositioned in the competitive landscape, gaining a 10% market share increase within the digital STEM education sector.

The strategic initiatives undertaken by the organization have yielded significant positive outcomes, notably in user engagement, subscription renewals, operational efficiency, market share, and new user acquisition. The revamp of the digital learning platform and the modernization of content have directly addressed the critical issues of outdated technology and lack of personalization that were hindering the organization's growth. The increase in user engagement and subscription renewals are particularly indicative of the success of these initiatives, as they directly impact the organization's bottom line. However, while the reduction in time to market for new features is commendable, it suggests there may still be room for improvement in innovation processes to ensure the organization can consistently stay ahead of technological advancements and competitive pressures. The successful repositioning in the competitive landscape is a notable achievement, yet the organization must continue to innovate and adapt to maintain this position.

Given the results and the current market dynamics, the organization should focus on continuous innovation and enhancement of the digital learning experience. This includes investing in advanced analytics and artificial intelligence to further personalize learning paths and outcomes. Additionally, expanding partnerships with industry and academic experts can ensure the content remains cutting-edge and relevant. To bolster operational efficiency, adopting agile methodologies across all development and content creation processes could further reduce time to market for new features. Finally, ongoing competitive analysis is crucial to anticipate market shifts and adapt strategies accordingly, ensuring the organization remains a leader in digital STEM education.

Source: Digital Learning Strategy for Educational Services in STEM, Flevy Management Insights, 2024

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