The e-learning industry has been booming for the past decade, with online courses becoming a major source of income for educators, entrepreneurs, and businesses. But with increasing competition and the rise of AI-driven learning platforms, many aspiring course creators wonder: Is making an online course still profitable in 2025? And is it worth the effort?

In this article, we’ll break down the current state of the online course industry, key profitability factors, and whether launching a course is still a viable business model.

The Growth of Online Learning

Online learning is not slowing down. The global e-learning market was valued at over $315 billion in 2023 and is projected to exceed $1 trillion by 2032. The rise of remote work, upskilling trends, and digital education platforms have fueled this growth.

Here are some key drivers:

• Increased demand for digital skills – Businesses require employees to learn new technologies, and online courses provide convenient upskilling opportunities.
• Flexible learning preferences – Learners prefer self-paced and remote education over traditional classroom settings.
• AI-driven personalization – AI-powered platforms offer customized learning experiences, boosting course engagement.
• Corporate training adoption – Companies invest heavily in e-learning for employee development.

Despite this growth, competition has also surged. More people are launching courses than ever before, making it essential to stand out in a crowded marketplace.

Can You Still Make Money with an Online Course?

The short answer is yes—but success depends on several factors:

1. Your Niche Selection

Profitable online courses target high-demand, low-competition niches. If your topic is oversaturated (e.g., generic personal finance or weight loss courses), you’ll struggle to gain visibility. However, niche topics with a strong audience need can still be lucrative.

Examples of profitable niches in 2025:

• AI tools & automation for businesses
• No-code software development
• Cybersecurity for beginners
• Digital marketing with AI integration
• Side hustles & freelancing strategies
• Remote work productivity techniques

If you choose a niche where people are actively searching for solutions and are willing to pay, you increase your course’s profit potential.

2. Course Formats: Which Ones Are Popular in 2025?

Online courses come in various formats, allowing creators to cater to different learning styles and engagement preferences. Some of the most common formats include:

1. Video-Based Courses – These remain the most popular format, especially when combined with high-quality visuals, animations, and interactive elements. Platforms like Teachable, Udemy, and Kajabi make it easy to create and sell video-based courses.
2. Live Cohort-Based Courses (CBCs) – Instead of pre-recorded content, these courses offer live sessions, fostering real-time interaction and accountability. They are particularly effective for high-ticket programs.
3. Text and PDF-Based Courses – Often used for more academic or skill-based learning, these courses can be in the form of eBooks, guides, or written modules. While less engaging than video, they are preferred for reference-based learning.
4. Audio Courses & Podcasts – With the rise of on-the-go learning, audio-based courses are becoming more popular, especially in personal development and business coaching niches.
5. Interactive and Gamified Courses – Platforms like Kahoot! and Duolingo have popularized interactive learning, incorporating quizzes, simulations, and gamification to enhance engagement.
6. Membership & Subscription-Based Models – Instead of a one-time course, creators offer continuous access to evolving content, live Q&A sessions, and community discussions through memberships.

3. General Structure for a Successful Online Course

A well-structured course improves learning outcomes and keeps students engaged. Here’s a general framework to follow when designing an online course:

1. Introduction & Course Overview – Set clear expectations, introduce yourself, and outline what students will learn.
2. Module 1: Foundation & Core Concepts – Start with the basics, ensuring all students have a solid foundation before moving forward.
3. Module 2-4: Deep Dive into Key Topics – Break down complex ideas into digestible lessons with a mix of theory, practical examples, and exercises.
4. Interactive Elements & Assignments – Include quizzes, challenges, or hands-on projects to enhance engagement and retention.
5. Case Studies & Real-World Applications – Showcase success stories or examples to help learners apply concepts in real-life situations.
6. Community & Support – Encourage discussions through forums, live Q&A sessions, or social media groups to build a sense of community.
7. Final Project & Certification – Offer a capstone project or assessment to solidify learning, with an optional certificate for completion.
8. Bonus Content & Next Steps – Provide additional resources, tools, or discounts on future courses to keep learners engaged beyond the initial course.

4. Course Pricing & Business Model

Your pricing strategy plays a major role in profitability. You can sell courses using different models:

• One-time payments – Charge a fixed price (e.g., $99-$999) for lifetime access.
• Subscription-based courses – Monthly memberships (e.g., $19-$99/month) can generate recurring income.
• Cohort-based courses – High-ticket programs ($500-$5,000) with live interaction and coaching.
• Freemium model – Offer free content with upsells (e.g., advanced courses, coaching, templates).

High-ticket courses with added value (e.g., mentorship, community support) tend to be more profitable than low-priced, self-paced courses.

5. Audience & Marketing Strategy

Even the best course won’t sell if no one knows about it. Marketing is critical, and successful course creators use multiple strategies:

• SEO & blogging – Writing blog posts optimized for Google can drive organic traffic.
• YouTube & video content – Free tutorials help establish authority and attract leads.
• Email marketing – A strong email list ensures repeat customers.
• Social media promotion – Platforms like LinkedIn, X, and Instagram can bring in leads.
• Paid advertising – Facebook, Google, and YouTube ads can drive targeted sales.

Many successful course creators build an audience before launching a course. If you already have an engaged audience (on YouTube, X, LinkedIn, or a newsletter), selling a course becomes much easier.

6. Platform Choice: Where to Host Your Course?

Choosing the right platform impacts sales and profit margins. Here are the most popular options:

• Self-hosted platforms (Teachable, Thinkific, Kajabi) – More control, higher profit margins, but require active marketing.
• Marketplaces (Udemy, Coursera, Skillshare) – Easier to get students but lower revenue per sale due to platform commissions.
• Community-based models (Mighty Networks, Circle.so) – Ideal for course creators who want to build a learning community.
• Your own website (WordPress + LMS plugins) – Full control over branding and pricing, but requires more tech knowledge.

If you want passive income, a self-hosted platform is usually the best choice. If you’re looking for fast exposure, Udemy or Skillshare may be better but come with lower revenue per student.

How Much Can You Realistically Earn from a Course?

Your earnings depend on:

• Pricing – A $1,000 course requires fewer sales than a $50 course to reach profitability.
• Marketing reach – More traffic means more potential buyers.
• Conversion rate – Industry average is around 1-5% (i.e., if 1,000 people visit your sales page, expect 10-50 purchases).
• Recurring revenue – Subscription-based courses can provide consistent monthly income.

Here’s an example of potential earnings:

Course Price	Monthly Visitors	Conversion Rate	Monthly Revenue
$99	5,000	2%	$9,900
$299	2,000	3%	$17,940
$1,000	500	5%	$25,000

High-ticket courses require fewer sales but often need a stronger brand and audience trust.

Course Length & Pricing
The number of hours of content can also influence pricing. While shorter, high-value courses can still command premium prices, longer courses with extensive material, step-by-step tutorials, or in-depth training often justify higher costs. However, quality matters more than quantity—so focus on delivering value rather than just increasing course length.

Challenges & Downsides of Selling Online Courses

While online courses can be profitable, they are not a get-rich-quick solution. Here are some challenges to consider:

• High competition – Many niches are saturated, requiring strong differentiation.
• Marketing effort – Selling a course requires ongoing marketing.
• Course completion rates – Many students buy courses but never finish them, impacting word-of-mouth marketing.
• Piracy issues – Some courses are illegally shared online.
• Refunds & customer support – You may need to handle refund requests and support issues.

Is Creating an Online Course Worth It in 2025?

If you have expertise, a strong marketing strategy, and patience, creating an online course is still worth it. The key to success is differentiation, value, and consistent audience engagement.

Here’s when launching a course makes sense:

• You have a loyal audience or email list.
• Your niche is in demand with a clear pain point.
• You’re willing to invest in marketing.
• You can offer unique insights or hands-on training.

If you’re expecting passive income with minimal effort, it may not be the best choice. Courses require active promotion, student engagement, and occasional updates to stay relevant.

For alternative passive ideas, check out these.

Conclusion

Despite increasing competition, online courses remain a profitable and scalable business model in 2025. Success depends on choosing the right niche, pricing strategy, marketing efforts, and platform.

If you have valuable knowledge and a way to reach potential students, launching a course can be a great source of income and impact. However, be prepared for the work involved in building and promoting your course.