Education is among the many industries that witnessed evolution and expansion with technological advancements. We have come a long way from commuting to learning institutes to meet our learning goals to acquiring skills online from the comfort of where we are. Relying on online learning platforms for developing skills is on the rise, now more than ever. 

If you have contemplated building an app like Udemy and are curious to learn how an app like Udemy generates revenue, this blog is for you. 

Let us look into the Udemy business and revenue models to understand how an online learning platform like Udemy makes money. 

Udemy Business Model

The Udemy business model acts as a platform for connecting educators and learners. It lets instructors create and share their courses on the platform. Learners can access a wide range of courses on the topic they want to upskill. 

Customer Segments

The Udemy business model has three stakeholders. 

Learners: People wanting to upgrade their skills and educate themselves on various topics can sign into the Udemy app and access the courses. Udemy has over 60 million learners. The user-friendly platform continues to attract a vast user base. 

Instructors: Instructors can share their expertise with learners and help them improve their skills. Creating and sharing educational content on the Udemy app helps them gain increased visibility and reach a wider audience. 

In 2022, the number of instructors partnering with the app to share their knowledge reached 74,000. The number was at 56,000 in 2021. 

How does Udemy work for Learners?

Udemy offers myriad courses, from software to personal development, painting to music, and more. Learners can learn the courses of their choice from the instructors of their preference. Let us look at the steps the Udemy business model involves for learners. 

Step 1: Learners can sign up on the Udemy app using their phone number or email ID. They can set up their profiles by entering their names and other crucial details. 

Step 2: Entering the course name in the search box will give the related search results. Learners can go through the ratings and feedback before choosing the course. 

Step 3: After picking the course, learners can buy instantly or add to the cart and buy later. The Udemy app provides multiple payment options, including credit and debit cards, internet banking, and PayPal. 

How does Udemy work for Instructors?

Udemy lets instructors earn an income by creating educational content for learners to purchase. Let us see how Udemy works for instructors. 

Step 1: People who want to share or create a course with the help of Udemy can sign up to become instructors on Udemy. 

Step 2: Udemy provides a Marketplace Insights tool that instructors can use to refine their course topics, aligning with learner demands. Udemy also helps instructors find similar course topics that suit learners’ needs. 

Step 3: After identifying the target audience, instructors can create content. Udemy recommends at least 30 minutes of video content and five lectures or learning modules.

Step 4: Instructors then publish the course for review by the Udemy team. Upon approval from the team, the course gets posted.

Value Proposition

The value proposition of the Udemy business model is compelling and focuses on improving the user experience. 

Diverse Course Catalog:

Being one of the largest online learning and teaching marketplaces, Udemy provides over 213000 courses in many categories like business, IT & software, lifestyle, and music.   


Learners can learn at their own pace and at a time of their convenience. They have lifetime access to courses, so there is no pressure to complete courses within a set time. 


Udemy courses are available in about 75 languages in over 180 countries. 


Learners can access courses at affordable prices on the Udemy app, as low as $9.99. There are free courses, as well, that learners can make good use of. 


Udemy provides learners with certificates after course completion. 

Increased Visibility:

Instructors can reach an audience globally by making their content available on Udemy. They have complete control over their content on the platform. 

Tools for Course Creation:

Not only do instructors have to pay to upload their content on Udemy, but they can also use the free tools available on the platform to create attractive content. 

Udemy Revenue Model

Udemy generated a revenue of $599.22 million in 2022, and the following year, Udemy’s revenue generation reached $728.9 million. The Udemy revenue model brings in revenue in multiple ways. 

Subscription Fees

Learners can subscribe to plans and get unlimited access to numerous courses. Udemy offers three plans, namely Personal, Team, and Enterprise. Individuals, teams, and organizations can choose plans billed monthly or annually, depending on their goals. 

Instructor Revenue Share

Instructor Promotion

Instructors can attract learners through marketing. When the instructor’s coupon code or referral link drives learners to purchase the course, the instructor earns 97% of the course revenue, and 3% goes to Udemy. 

Udemy Organic

When the platform’s marketing attracts learners, and they buy courses, Udemy gets to keep 50% of the course revenue, with the trainer receiving the rest. 

Paid Acquisition

In some cases, Udemy’s paid ads on Google and other paid channels can attract more learners to the course. When this happens, Udemy retains 75% of the course revenue. 

We hope this blog gave the necessary insights into understanding how an app like Udemy generates revenue. Now that we have seen how an app like Udemy generates revenue, the next challenge lies in picking the right Udemy clone app in the market that aligns with your business goals. 

EduStar to Help You Thrive in the E-Learning Market

Launching an app like Udemy can turn out to be a profitable venture, considering the current demands. Success in the e-learning market amidst the growing competition can be challenging. However, the right product will help you thrive. 

Our expert team will help you build an app like Udemy, closely mimicking the Udemy business model. 

To Connect With Us and learn more about our product:

Email ID: [email protected]

WhatsApp No: +91 9222 47 9222

Skype ID: Abservetech

Telegram: Abservetech