Founded in 2001, Hujiang is one of the few Chinese e-learning sites that have turned profits. Xu Hua, VP of Hujiang shared his thoughts on the trend of online education in China in a recent interview. (in Chinese)

He thinks there are three monetization approaches for online education — the same with those for any online services, paid products (lessons), advertising and value-added services.“But most online education services are at an early stage.” “It’s not that there isn’t a clear business model but lack of execution. Most of them are at an early stage with no good products, big user base or no way to monetize traffic, so it’s hard to make a profit”, he says.

Xu Hua explained users and quality content are the keys to profitability. “Users come first. Hujiang is 12 years old now with accumulated 20 million registered users. The same with the Internet sector in general,  users and traffic are the basis of profitability. To realize sustainable development, generating high-quality courses is a must. Education is rigid demand anywhere, especially in 2-tier and 3-tier cities.”

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Chelsea Dong

She reads, travels, photographs and writes, with interests in chronicling China tech scene and interpreting how technology disrupts the way people live.