Schools have clearly changed in the last decade. Classrooms, the way students are learning and interacting, and learning devices are not what they used to be. With technology becoming a prominent force for our education systems, spending for education has increased. With the market size increasing 8% from the 2012-13 to 2013-14 school year to $20.9 million, many tax payers are wondering where funds are being directed.
The key market segments for the K-12 Education Market that are driving spending include:
- Technology Products: hardware, software, internet
- Instructional Materials: textbooks
- Instructional Materials: supplements
- Other Supplements: trade books, periodicals, tests, etc.
Technology in Education
Together, these segments have witnessed significant growth in the past decade, and are trending to continue this growth. Simba Information/Education Market Research’s report The Complete K-12 Report: 2014 found technology products topped the group with an average of 6.4% increase in spending across the U.S. since the 2006-07 school year. So, what specifically in the technology sector is demanding such an increase in spending?
For my parents, teachers taught by writing on chalkboards and using handouts. I have never had a chalkboard in a classroom; instead, whiteboards have been in every classroom I’ve ever entered. I didn’t witness an increase of technology in the classroom until high school, when most of my teachers were lucky enough to get smart boards. By my senior year, every teacher had a smart board in their classroom and the use of whiteboards diminished.
Today, I am sure many classrooms across America have smart boards. But, that isn’t the only source of technology that gets funding. There are numerous digital resources that are gaining a foothold in the K-12 classrooms. These include:
- Periodicals
- Online/Digital Content
- Interactive Whiteboards
- Supplemental Textbooks
- Computing/Mobile Devices
Digital products in education overall grew 5.6% during the 2012-13 school year with the following increases: periodicals at 17%; online/digital content at 19%; interactive whiteboards at 6.9%; supplemental textbooks at 21.5%; and computing/mobile devices at 7.2%.
Other Market Drivers
Aside from increased spending on technology, other key market drivers continue to influence educational spending. Government regulations, including the new common core standards, and other national assessments, cause demand for educators to buy and use both new and different curriculum materials based on what is mandatory each year.
Heightened enrollment is also highly correlated with market spending. Product of pupil enrollment multiplied by number of pupil expenditures is expected to increase every year, with the percent of enrollment by grade being highest in grades 9-12.
It is likely that the students in the coming generations will experience learning changes that we never thought of when we were in school. As changes continue in order to meet the demands set forth by the government, parents, and educators, we will likely see an increase in educational spending for K-12.
To learn more about the domestic K-12 school market, check out Simba Information/Education Market Research’s full report The Complete K-12 Report: 2014.
Thanks for reading!
Caitlin Stewart
Marketing Associate
MarketResearch.com
