What if the future of education isn’t just about degrees, but about mastering the skills that employers are actively seeking? Traditional degrees are no longer the sole path to career success. Today’s learners and employers want flexible, career-focused education — and that’s where alternative credentials come in. These short, stackable, and career-aligned credentials provide an efficient way to gain industry-relevant skills.
Keep reading to learn how these credentials are reshaping the education landscape and how they can help your institution drive student success, retention, and workforce alignment.
Alternative credentials consist of shorter, focused credentials that verify specific skills, competencies or areas of expertise. These credentials are often stackable, enabling learners to build on their education over time and create a personalized learning pathway.
And the market is growing rapidly today, with Technavio projecting the global alternative credentials market to expand by $1.84 billion from 2025-2029. What’s driving this surge? A rising demand for skills-based education that aligns with workforce needs. And with the National Student Clearinghouse reporting that 36.8 million Americans have some college experience but no credential, these credentials offer a valuable opportunity to re-engage.
As institutions strive to attract learners and employers increasingly prioritize skills over degrees, these credentials are becoming an essential part of the education and career landscape.
Here’s a closer look at why skills-based credentials are gaining traction with learners and institutions today:
Today’s learners want education that fits into their lives and directly boosts their careers. In fact, the Instructure Lifelong Learning Report found that 83% of learners believe institutions should integrate skills-based experience alongside traditional education.
While conventional degrees can take years to complete, these shorter credentials give learners a faster route to gaining the skills that employers need. This makes them appealing to working professionals, adult learners, or anyone looking to upskill or reskill quickly.
Employers are increasingly moving away from relying solely on degrees. Instead, they want to know: What can you do? In fact, according to SHRM reports, 73% of employers prioritized skills-based hiring last year.
Career-aligned credentials are an ideal way for learners to demonstrate these practical, job-ready skills. By earning alternative credentials, learners can show they have the expertise needed for in-demand roles, gaining a competitive edge in the hiring process.
The world of work is evolving, and learners are increasingly drawn to alternative credentials for their ability to learn and showcase job-ready competencies. The National Student Clearinghouse emphasizes the growing trend toward career-focused education, reporting a 3.9% year-over-year increase in certificate completions in 2023.
With the demand for faster, more flexible education, these bite-sized credentials allow individuals to enhance their skill sets without the long commitment of a traditional degree program.
Given the growth and value of alternative credentials, institutions have a unique opportunity to engage new learners, boost retention, and stay ahead in a rapidly evolving landscape. With Parchment Certificate Services, they can issue secure, skills-based credentials that align with today’s workforce demands. By integrating these alternative pathways to academic success, institutions can position themselves as trailblazers in the future of education.
Don’t get left behind — see how Parchment can help your institution lead the way in this movement. Explore how Parchment Certificate Services can support your institutional goals, or book a demo to get started.
