Training once done in the classroom or with computer software is moving to the Internet.
In 1997, revenues from Internet- and intranet-based training methods totaled about $197 million and represented only 2.4% of all training expenditures, according to International Data Corp.
But between 1997 and 2002, the Internet-delivered revenues are expected to increase by 140% annually, while those from intranet learning should increase at a 62% annual rate.
IDC estimates that in five years these revenues will add up to $5.5 billion, 39% of all training delivery revenues. Such growth would surpass that of traditional computer-based training, which is expected to increase by about 11% annually to $1.7 billion by 2002.
Intuition Publishing Inc., a Dublin-based company with offices in London, New York, and Hong Kong, is a recent convert to Internet delivery. The company has moved its entire library of tutorials-previously only available on diskette and CD-ROM-to the Internet.
So far, it has signed up 150 banks around the world for its 500 financial-markets tutorials. Stephen Higgins, managing director of Intuition Publishing, said the privately held company, formerly known as Financial Courseware Inc., grew 40% last year and expects to grow 50% this year.
Those using Intuition's products include Chase Manhattan Bank, ABN Amro, Credit Suisse First Boston, Standard Chartered Bank, State Street Corp., American Express, Morgan Stanley, Toronto-Dominion, Reuters, and three investment banks in New York.
"We have 'Webized' our titles," said Denis Cody, Intuition Publishing's marketing manager, "because our clients demanded them on the Web or over the corporate intranet."
Other companies that offer training services over the Web include Strategic Management Group Inc. of Philadelphia, UOL Publishing Inc. of McLean, Va., and Financial Services University of Princeton, N.J.
Intuition's primary focus is treasury and foreign exchange operations, said Mr. Higgins. In June, the company will launch a customized securities processing training site to serve three U.S. investment banks.
A related training program, Intuition Plus for Securities, was introduced last July for investment banks and securities houses and features 105 tutorials. It was developed to meet the securities industry's continuing education requirements.
The mainstay product, Intuition Plus, features more than 160 tutorials, 200-plus hours of training, and a management tracking system to monitor use and performance. Training can take place at home or at the office using a registered user name and password.
Intuition's Web-based training and reference products are licensed on a one-year basis. The minimum cost is $10,000 a year, but it varies depending on the numbers of products and users.
"There is no doubt the market is hotting up," said Mr. Higgins. "We anticipate it to be a competitive area-us and a few others beavering away as fast as we can to be there first."