Insights From Our Software Advisors: Stand Out in Learning Management

Tools buyers are replacing with learning management software

When our advisors asked buyers what methods they were currently using to handle their day-to-day learning management operations, here's what they found:

• Around 36% of buyers do not have any particular software system to manage their learning and development processes.
• Nearly 27% rely on non-specialized tools for collaboration, training, and reporting, whereas 25% still manage operations manually via spreadsheets or a pen-and-paper approach.
   

Why it matters: Manual tracking and generic tools slow teams down.

Small teams may get by with manual processes, but they often face inconsistent tracking and limited scalability. Non-specialized tools can create data silos and block integration with broader HR systems.

The bottom line: A dedicated LMS solves this.

It centralizes course delivery, learner tracking, certification, and reporting—helping your team streamline operations and scale learning programs efficiently.

Why buyers switch to learning management software

Our advisors spoke with buyers currently using either manual methods or non-specialized software and are seeking a switch to learning management software. These discussions shed light on businesses’ real-life pain points—limited functionality (40%), inefficiency (27%), and missed business opportunities (15%).

• Limited functionality: Buyers report that existing tools lack core features such as learner tracking, certification management, and integration with HR systems. This makes it difficult to scale or measure impact.
• Inefficiency: Manual processes and disconnected tools slow down training delivery, increase administrative burden, and reduce visibility into learner progress.
• Missed business opportunities: Without centralized learning data, businesses may struggle to identify skill gaps, align training with strategic goals, and respond quickly to workforce needs.

From our interactions with buyers, it’s clear that many vendors miss the mark in showing how their software improves learning management professionals’ daily workflows. Compared to manual methods and non-specialized tools, dedicated LMS systems offer clear, purpose-built advantages, as listed below:

• Centralized control: A dedicated LMS brings all learning activities, course creation, delivery, tracking, certification, and reporting into one platform. This eliminates the need to juggle multiple tools and ensures consistency across training programs.
• Improved efficiency: Automation features reduce manual tasks like assigning courses, sending reminders, and generating reports. This saves admins time and allows trainers to focus on content and learner engagement, and strategies.
• Enhanced scalability: As businesses grow, training needs become more complex. An LMS can support larger teams, multiple departments, and diverse learning paths without adding administrative burden or requiring tool upgrades.
• Better data visibility: Real-time dashboards and analytics help track learner progress, course completion rates, and engagement levels. This visibility enables data-driven decisions and identifies areas for improvement.

What learning management software features are valued the most

When evaluating learning management software, our advisor conversations and review analysis reveal a gap between what buyers seek and what users value most.

• Buyers prioritize certifications and compliance management (40%), followed by mobile learning (32%), content authoring (25%), course library (17%), and SCORM compliance (6%).
• Current users rank course management highest (38%), reflecting its daily operational importance.
   

This discrepancy highlights a key insight: Buyers often prioritize strategic features during evaluation, while actual users value tools that simplify day-to-day execution.

• Certifications and compliance management help businesses meet regulatory requirements, track mandatory training, and maintain audit-ready records, especially critical in healthcare, finance, and manufacturing industries.
• Course management automates routine tasks such as assigning courses, tracking progress, managing deadlines, and generating completion reports, freeing up administrative time and improving learner experience.

Use cases for learning management software

Beyond traditional learning and development teams, dedicated LMS supports a wide range of industries, from nonprofits and consulting firms to healthcare and manufacturing companies, each with distinct workflows and specialized feature needs. For example:

• Nonprofits use LMS software to onboard volunteers, deliver mission-aligned training, and track compliance across distributed teams. With limited budgets and staff, automation and centralized access help streamline learning efforts.
• Consulting firms leverage LMS tools to train internal teams on service delivery standards and offer client-facing learning programs. These platforms also support branded course creation, enabling firms to extend their expertise through scalable training.
• Healthcare and medical organizations rely on LMS software to manage mandatory training, track certifications, and ensure compliance with industry regulations. Timely updates and audit-ready records are critical for maintaining patient safety and operational standards.
• Manufacturing firms use LMS platforms to deliver safety training, certify equipment handling, and standardize onboarding across multiple locations. The ability to track completion and performance helps reduce workplace incidents and improve productivity.
• Construction and contracting businesses make use of LMS tools to manage safety protocols, compliance training, and skill development for field workers and subcontractors. Mobile access and offline capabilities are especially valuable for teams working on remote job sites.
   

Average budgets for learning management software across industries

The gist: Businesses budget $12–$69 per user monthly, with a $37 average for LMS tools.

However, the budget for purchasing learning management software varies from one segment to another based on factors such as the deployment model, integration capabilities, the number of users and employees, customization level, and required functionality.

Here’s how different learning management industry segments budget (in dollars, per user, per month) for purchasing LMS.

Buyer goals and challenges—what advisors are hearing

Buyers in the learning management space often have specific expectations and recurring questions reflecting their operational needs. Through direct conversations with our software advisors, we’ve gathered insights into buyer behavior and tasks, revealing patterns in their priorities, challenges, and decision-making criteria.

• What common misconceptions do buyers have about learning management software?
  While most buyers come in with a clear understanding of LMS functionality, some confuse training tracking systems with full LMS platforms. For example, they may expect LMSs to simply register in-person courses without realizing that an actual LMS is designed to deliver and manage online training, not just track attendance or registration. This can lead to mismatched expectations, especially for buyers focused solely on physical training environments.
• What are some common problems buyers are trying to solve with learning management software?
  Some common problems buyers are trying to solve with an LMS include manual training coordination, which often causes scheduling conflicts and limits flexibility. Buyers also struggle with tracking completions, managing certifications, and staying compliant, especially in industries with strict renewal cycles. LMS tools help automate these processes, improve tracking, and ensure the timely completion of required training.
• What are the integration requirements for learning management software, and how important are they?
  Integrations are necessary but not always essential, depending on the buyer’s setup. HR system integration is the most common request, allowing training data to sync with employee profiles. Sharable content object reference model (SCORM) capability is also critical for content interoperability—buyers want to ensure their training materials can be uploaded and tracked correctly. Moreover, third-party content platforms, like LinkedIn Learning, are often requested integrations to track external training within the LMS. Likewise, virtual classroom tools like Zoom or Microsoft Teams are sometimes needed, especially for buyers who want to blend live sessions with self-paced modules. While LMSs can function as standalone systems, buyers increasingly expect them to connect with existing tools for smoother workflows and better reporting.
• Is there anything unique that buyers in this specialty specifically ask for?
  Yes. Buyers often make specialty-specific requests. For example, certification tracking for trades and regulated industries (e.g., electricians and plumbers); automated reminders and triggers for upcoming or overdue training; course content availability—buyers often ask whether vendors provide built-in courses or partner with content providers. These requests reflect LMS use's operational and compliance-driven nature in specific industries.
   

Recommended actions for LMS software vendors

Here are five strategic actions sales and marketing teams can take to better connect with LMS buyers and improve conversion outcomes:

1. Lead with certification and compliance, but don’t overlook course management:
   In sales conversations and demos, start with certification tracking and compliance workflows to align with buyer goals. Then pivot to course management capabilities, such as automated assignments, progress tracking, and reporting, to show how your product supports daily execution.
2. Highlight automation and scalability for growing teams:
   Emphasize automation features like course assignments, reminders, and reporting. Show how your LMS scales with team size and complexity, supporting multiple departments, learning paths, and compliance needs without increasing admin burden.
3. Address misconceptions about LMS vs. training trackers:
   Some buyers confuse LMS platforms with basic training trackers, expecting only attendance logging. Clarify that LMS tools go beyond tracking—they deliver, manage, and measure learning outcomes. Use visuals or side-by-side comparisons to differentiate your platform from simple registration systems.
4. Promote integration flexibility and content partnerships:
   List integrations with SCORM, HRIS, Zoom, Microsoft Teams, and LinkedIn Learning. If you offer built-in content or partner libraries, highlight them as value-adds for buyers seeking ready-to-use training materials.
5. Tailor messaging to industry-specific use cases:
   LMS needs vary across sectors, such as nonprofits, healthcare, manufacturing, and construction, which have distinct compliance and training demands. Create vertical-specific landing pages or demo flows. For example, emphasize audit-ready certification tracking for healthcare, mobile access for construction, and branded course creation for consulting firms.
    

Rise above your competition with strategic insights

Learning management software vendors face intense competition in a crowded market. With the right insights, you can identify buyer priorities and pain points, then tailor your messaging to address them directly and capture attention.

With more than 10 million active software buyers on our sites every month, Gartner Digital Markets can equip you with the strategic insights you need to level up your marketing strategy and become a leader in your category.

Log into your Gartner Digital Markets account and optimize your profile to ensure buyers understand how your software meets their evolving needs.

Once your profile is ready, use this insight to build a high-quality sales pipeline and this resource to master follow-ups that convert leads into customers.

Methodology and buyer demographics

*Findings are based on data from conversations that Gartner Digital Markets’ advisor team has daily with software buyers seeking guidance on purchase decisions. The data used to create this report is based on interactions with small-to-midsize businesses seeking learning management tools. For this report, we analyzed approximately 1,900+ phone interactions from Aug. 20, 2024, to Aug. 20, 2025.

The findings of this report represent buyers who contacted Gartner Digital Markets and may not be indicative of the market as a whole. Data points are rounded to the nearest whole number.

The buyers we interacted with are largely small businesses representing a growing majority of leaning management system software purchases. Below you’ll find the demographics of the buyers so you can see the size and type of businesses, from annual revenue to industry.