The One Mistake That Drives Up Elearning Costs (And How to Avoid It)

Elearning can be expensive, but one mistake makes it worse: starting without a clear specification. 

When businesses skip this step, costs spiral, timelines slip, and the final product often doesn’t meet expectations. 

A proper spec keeps projects on track, within budget, and aligned with learning goals.

The Basics

  • Unclear specs = higher costs. Without a solid plan, vendors guess what you need, leading to inconsistent pricing and unnecessary revisions.
  • Projects take longer. Scope creep and misalignment cause delays, frustration, and extra work.
  • A spec saves money. Defining needs upfront prevents costly mistakes and ensures accurate quotes. 

The One Mistake That Drives Up Elearning Costs (And How to Avoid It)

A few years ago, I worked with a company eager to build custom elearning. 

They had big plans. You’ve been in the same meeting? interactive content, engaging scenarios, seamless LMS integration. 

But when they started gathering quotes from vendors, they ran into a problem.

The prices were all over the place. Some were surprisingly low, others sky-high. 

Frustrated, they asked, “Why is there such a huge variation?”

The simple answer? They didn’t have a clear specification. They didn’t even have a spec and the Request For Proposal document was a mess. 

And they’re not alone. A question that people often ask is how much is elearning? This is where a good spec comes in. 

The impact of unclear specifications on project costs is well documented:

  • Average Development Cost: According to ElearningIndustry, developing one hour of elearning content typically costs between £8,000 and £16,000 when projects are well-scoped.
  • Cost Overruns: Reuters has reported that projects lacking a clear specification can experience cost overruns of up to 30% compared to those with detailed planning.
  • Project Delays: A study cited by The Guardian found that ambiguous project specifications contribute to an average timeline delay of 25%, resulting in further cost escalations.
  • Impact of Scope Creep: Research from WPP indicates that unclear project scopes can drive development costs up by as much as 40% due to unexpected revisions and continual scope changes. 

Why a Missing Specification Costs You More

Scott Hewitt asks: “The biggest mistake that drives up elearning costs is an incomplete spec. Without a clear specification, you’re open to rework and never really know what you’re building. Spending time upfront to understand the project is crucial. So why do so many organisations rush in without one?”

When you approach elearning development without a detailed specification, you’re asking vendors to guess what you need. 

It doesn’t matter whether you are looking for custom elearning development, buying an LXP/LMS or wanting to buy off the shelf elearning courses. You need to have a good specification document.

Some will add unnecessary features, while others will strip things down to keep costs low. This leads to inconsistent quotes, frustration, and often, a final product that doesn’t meet expectations.

Without a spec, you’re also putting the burden on suppliers to define requirements for you at the quoting stage. 

This creates a cycle of unclear expectations, misalignment, and pricing that varies wildly. 

It’s a common mistake that results in:

  • Confusing, inconsistent quotes from different vendors.
  • Endless revisions and scope changes that increase costs.
  • Frustration for both you and your suppliers.
  • Timeline delays as requirements shift mid-project.

Scott Hewitt asks: “Organisations often overlook this because there’s a rush to get started and a lack of skills to develop a proper specification. It’s tempting to dive in, but that leads to problems later. How can teams avoid this rush and invest in getting it right from the start?”

Many companies rush into the project, thinking they’re saving time. But without a clear spec, projects take longer, costs rise, and frustration builds on both sides.

The Fix: Build the Right Spec Before You Start

A well-defined specification ensures you get accurate quotes, better alignment with suppliers, and a smoother development process. 

If you’re unsure where to start, invest time in defining what you need and if you are still not sure get some advice to help clarify them. The key here is to get someone who isn’t going to take months and cost as much as the main project!

Here’s what to focus on:

  • Define exactly what you need – Be clear about project scope, learning objectives, and outcomes.
  • Be specific about content, format, and interactivity – The more detail you provide, the fewer surprises.
  • Distinguish must-haves from nice-to-haves – This keeps your budget in check and prevents unnecessary features.
  • Factor in future-proofing – Will this content need updates? Does it need to work across multiple devices or languages?


Scott Hewitt asks:
“It’s often cost-effective to invest in developing a proper spec first. That way, you know exactly what you need and sometimes, you realise the project you thought you needed isn’t actually the one you want to build. Have you ever stepped back and changed direction after defining the spec?”

Yes, building a proper spec takes effort upfront. But it saves money in the long run by reducing unnecessary revisions, keeping budgets on track, and ensuring projects get delivered on time.

Scott Hewitt asks: “When you have a clear specification, projects are more likely to run on time, stay on budget, and meet their goals. You avoid costly surprises and get exactly what you set out to achieve. Isn’t that worth the upfront investment?”

Skipping this step? That’s the real cost.

Have you ever run into unexpected elearning costs because the scope wasn’t clear? 

Questions: Common Elearning Cost Questions

Q: How much does it cost to develop elearning?
A: Costs depend on complexity. Basic courses start at £4,000–£8,000 per hour. Interactive content ranges from £8,000–£16,000 per hour. Fully custom builds can go over £40,000 per hour. The more interactivity and media you need, the higher the price.

Q: What are the main disadvantages of elearning?
A: Poorly designed courses lead to low engagement and completion rates. Learners need self-discipline, and online training can feel isolating. Technical issues, accessibility gaps, and outdated content are common problems. Custom development gets expensive fast without a clear plan.

Q: Why is elearning cost-effective?
A: It cuts travel, instructor, and venue costs. Training scales easily, delivering the same experience to more people. Once built, courses can be reused, keeping costs down. But poor planning leads to rework, scope creep, and wasted budget. A clear spec upfront makes all the difference.

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