Launch Your Online Business in Just 7 Days
One of the first questions people ask before a purchase is: How much is this going to cost?
The cost of course creation is much like the cost calculation of a house. With so many factors to consider, price ranges can vary drastically.
In this guide, we lay out how much it could potentially cost to develop an online course, common factors to consider when determining cost, and your options when it comes down to deciding what is best for you.
Ready to have a look? Let’s get started!
According to research, the average cost per finished hour of developing an online course ranges from $5000 to $50,000.
However, there are ways to work around this estimation and minimize your budget.
If you almost fell off your chair after seeing the estimated cost, continue reading this post to find affordable options to develop your online course!
Creating an exact budget on the cost of online course development can’t be done instantaneously.
There are a few key aspects to consider before investing your money and time into what the cost of creating online courses is:
To keep things organized, we divided all things to consider when calculating the cost of the course development process into 3 categories:
1. Online course development costs
2. Business costs
3. Marketing costs
Let’s get started.
The cost of building an online course varies quite a lot, depending on:
Different multimedia elements are used in online courses that determine their level of engagement.
Some common elements include:
To create course content, a few essential tools are needed:
Let’s have a more in-depth look at the key elements that contribute to the cost of online course development.
A course’s cost tends to increase as the level of engagement and complexity increases.
There are 4 widely recognized levels of eLearning, each of which has an impact on the learning experience, cost, and development time of your course.
The 4 stages of interactivity are:
1. Passive interactivity
Where direct, simple, text-based eLearning material is provided to the learners.
The purpose is to deliver information in a classic text or image design that doesn’t make use of interactive functions.
2. Limited interactivity
Limited interactivity courses include:
These eLearning courses blend theory and practice in an attempt to instill motivation.
3. Moderate interactivity
An online course that includes:
All these elements contribute to a more personalized learning experience.
Online courses with moderate interactivity focus less on theory and more on practice.
4. Full immersion
These types of online courses require learners to interact with the screen at each step of the presentation.
Some elements that are included are:
These elements require high-end interactive tools which are more complex, more expensive, and need more time to develop.
You need to plan and choose your course materials wisely as they’re a great contributor to the final cost of online course development.
Depending on the type of courses you’re planning to create, you’ll need some essential tools.
Luckily, you have the choice to start with simple, necessary tools and grow into more professional premium tools.
Here’s how the equipment and software costs break down:
There’s a wide variety of video cameras available, so we’ve compiled 4 options, from low budget to high budget:
Choosing the best video camera adds to the overall quality of your course videos.
However, there’s no shame in starting from the bottom and working your way up!
Even if you choose to record your videos on your smartphone, we recommend getting a quality lavalier microphone.
Here are 3 microphone options, from lowest to highest price:
The microphone you choose will be one of the most essential pieces of your equipment.
A unique lighting system helps with the following:
Whether you record your content indoors or outdoors, you need proper lighting equipment to ensure high-quality videos.
Some affordable lighting equipment includes:
If you’re looking to make your footage crisp, sharp, and colorful, we recommend using the correct lighting equipment.
4. Screen recording software
If you plan on doing a demo as part of your online course, adding a screen recording can make your tutorial easier to follow.
Here are 3 popular screen recording software systems:
5. Video editor
If you’re going to be creating videos you will need to choose reliable video editing software.
Video editing can sometimes be a daunting task for first-timers.
However, with the right video editing software, you’ll be a pro editor in no time.
3 top picks for editing your videos include:
6. Course slides
Some more good news: You don’t have to be a pro designer to create stunning course slide presentations either!
We recommend a design tool, like Canva. It provides templates for nearly any type of visual content that you can imagine.
Canva offers a 30-day free trial, an Enterprise plan of $30 monthly, and a Pro option that costs $119.99 annually.
Alternatively, you can use Google Slides’ free library of presentation templates to create attractive and professional-looking slides for your online course.
7. Learning management system
The LMS you choose has an important role in your course development.
This program oversees the distribution of course materials and keeps track of student progress.
Therefore, you need to be sure that your choice of system meets your needs in terms of features.
Many course systems make it simple to launch training programs, set them up, and create pages and content.
We suggest systeme.io as an all-in-one solution, which you can try out for free.
Your time is one of the most significant costs associated with developing an online course.
This also implies that the more time you spend on it, the more it will cost.
There are numerous types of online courses available, including:
The prices here might differ if you choose to hire others to create the courses for you.
You’ll have to either develop the course content yourself, delegate it to your team, or hire a professional to do it for you.
If you decide to use an in-house team or hire a third-party developer, you can expect higher costs in most areas of online course development.
Let’s have a look at the implications and costs of each option.
When developing your online course yourself, your biggest expense will be your time.
However, let’s not think of your time as being wasted, but rather as an investment.
There are tons of advantages to creating your own eLearning materials, such as:
You can always reduce the effort and time spent building, by starting small.
Using an in-house team means you allocate employees in your company to complete the project, rather than hiring people from outside of the company to do it for you.
This means that you’ll be developing the online course with the help of your employees.
Accordingly, you either already consist of the manpower to create an internal development team or you need to hire new people to fill the distinct roles.
3 benefits of putting together an internal team are:
A downside to this is, however, that you might not have employees with the necessary skills to execute the job and end up having to hire other people after all.
Third-party hiring is the exact opposite of having an in-house team.
By hiring outsiders you hand over the development control to them.
Although this might end up costing you more, you may find that the long-term advantages are worth it.
3 main advantages of hiring third-party developers are:
Members that you need to bring to the table include:
However, for smaller projects, you might not need all these people.
To sum up the first category’s costs, here is a list of the main expenses thus far:
As you can see, there are enough options to explore, without having to break or alter your budget.
Also, please note the above prices are subject to change, so we suggest you pick a favorite and set up an Amazon alert for when those products are on special.
In the next section, we will have a look at the business costs that you’ll encounter.
After creating your online course content, you’re ready to upload, publish and sell your online course.
Your online course business will be incomplete without a website.
A good first step would be to find the best domain name for your website.
The first step toward building your website is to create a domain name and register it.
Costs for registering your domain name can range anywhere from $5 annually up to a million dollars depending on the domain name you choose.
Don’t let the numbers discourage you though!
Here are 3 domain registrars that could be easy on your pocket:
GoDaddy.com boasts of being the world's largest domain registrar, having an enormous selection of names and award-winning support.
Examples of GoDaddy.com domain name
The above domain names’ pricing is as follows:
With GoDaddy.com, you’re also able to register your domain name for one or more years upfront.
In GoDaddy’s offer, you’ll find not only domain names but also website hosting with monthly costs from $2.50 to $20.
With Namecheap.com you get:
Namecheap.com’s domain name pricing
You can choose to buy your domain name for anything from one to up to 10 years.
With Namecheap.com you have access to website hosting for only $3.88/month.
Not only does Domain.com have a great name, but they’re also a popular competitor when it comes to registering domain names.
Domain.com’s domain name pricing
Domain.com also offers website hosting from $1.99 to $13.75 monthly.
Note that the hosting choice you select is linked to the course platform you choose to use.
With systeme.io, there are no additional hosting costs, and you can integrate your domain name using the features that come with your subscription.
Once you have your domain name registered and you’ve chosen a website hosting provider, you’re all set to start building your website.
With systeme.io, you can build your website in minutes.
Systeme.io provides the following features to make tricky website building a thing of the past:
Our prices range between $0 and $97 monthly.
Here’s a summary of category 2’s costs:
In the next section, we’ll have a look at the marketing costs that are generally involved in the complex process that is online course development.
Now that you have all the tools to build and host your online course, the next step would be to market it to your learners.
This calls for a marketing plan.
Here are a few ways you can market your course:
Let’s have a more in-depth look at the above marketing strategies.
According to Credo, the average hourly rate to hire a digital marketing agency in the US is $167.28.
Digital marketing is an efficient way to advertise your online course and reach your first visitors.
This is where social media comes into the picture.
Marketing through social media is one of the most versatile and cost-effective strategies that online businesses can use to reach their target audience and boost sales over time.
A few reasons why social media marketing is essential for online businesses:
The main advantage of social media marketing is that it reaches a large number of people at one time.
Eventually, you will need to build an email list to help promote your online courses.
Email marketing is one of the oldest methods of marketing, but it’s still super effective.
Email marketing is a digital marketing tactic that involves sending emails to convert leads into customers and turn existing customers into recurring buyers.
These emails help you solidify your relationship, provide relevant information, and can assist with audience engagement.
Systeme.io is one of the best email marketing services available.
Affiliate marketing is another one of the most popular and profitable ways to reach your target audience.
With affiliate marketing, you get other people to advertise your products and once they deliver a paying customer, you pay them a commission.
With systeme.io’s affiliate program you can build an army of affiliates.
Here are some tools provided by systeme.io to manage your affiliate marketing:
A summary of the marketing costs:
If you’re creating your very first online course, it probably isn’t worth it to invest in super expensive equipment and software.
There are several ways to cut down on expenses while still being able to create high-quality online courses.
Another option to save some money is by developing the entire online course by yourself.
You could also rent the necessary equipment for your first course and if you decide to continue building courses you can buy it all.
Finally, you can partner with a platform such as systeme.io!
Systeme.io is the perfect solution to create, launch, and market your online course.
Let’s see how systeme.io can help you create a successful online course from scratch and market it online!
Systeme.io is an all-in-one course creation platform that can help you get your online course business off the ground.
With systeme.io you can:
And so much more!
systeme.io’s pricing plans
Naturally, our Unlimited plan is the best option, as it offers unlimited access to all our features.
Our Free plan is forever-free and you can upgrade to a more premium plan whenever you want to.
By now you’ve been introduced to all online course development phases and how much each element involved therein will cost.
You have all the information you need to determine your budget and create an incredible and profitable online course.
A few last words of wisdom:
If you’re serious about creating a course and using a platform that makes the whole process much easier, then check out systeme.io and sign up for our Freemium plan today!
Other posts about online courses:
Download the book
Get this free guide
The New System to Launch
an Online Business
What you'll learn:
We HATE spam. Your email address is 100% secure
© systeme.io. All rights reserved.
© systeme.io. All rights reserved.