
Education Spending by State: Trends, Priorities + Provider Playbooks
Consider education spending by state: compare per-student costs, funding sources, and recent trends in a concise, data-focused overview.
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The schools market is brimming with opportunity—but true engagement takes more than good intentions. And with thousands of K–12 districts and higher ed institutions, it’s a complex landscape to navigate. Who do you talk to? When should you reach out? And how do you ensure your message sticks?
We’re breaking down what makes the education market tick and how to approach it with clarity and precision. From smart segmentation to data that drives real results, turn scattered outreach into focused, high-impact engagement.
The schools market covers the entire U.S. education landscape—from K–12 classrooms to college campuses—spanning both public and private institutions. What sets this market apart is its sheer scale and complexity. Thousands of districts and schools operate independently, each with unique goals, budgets, and decision-makers.
Unlike typical commercial markets focused mainly on profits, education is driven by student success and community impact. This means providers must dig deeper to understand diverse needs and navigate a system that demands tailored strategies—not one-size-fits-all solutions.
When deciding who to target with outreach efforts, providers should consider the many distinct segments within the schools market—each with its own characteristics and needs:
HolonIQ estimates the global education market at $7.6 trillion—and growing—at an annual rate of 4.4%. Most of this spending (60%–70%) comes from governments. And the market spans four key segments: early childhood education, K–12, post-secondary education, and workforce training. K–12 and post-secondary alone account for about 80% of the total market share.
Custom Market Insights valued the global K–12 market at roughly $153 billion in 2024 and is expected to skyrocket to $733 billion by 2034. What’s driving this growth?
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HolonIQ also notes that early childhood education is seeing increased government investment through tax incentives and targeted policies—though staffing shortages remain a concern. Meanwhile, the K–12 sector benefits from rising enrollment and heavy investment in digital infrastructure, although shrinking birth rates in developed nations could slow progress.
On the higher education front, projections have the global market growing from $748 billion in 2024 to nearly $1.93 trillion by 2032, according to Credence Research. Key growth factors include:
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Post-secondary education continues to expand as well, as online learning becomes mainstream and vocational training gains policy support. That said, rising tuition, immigration barriers, and competition from alternative credentials may temper momentum.
Finally, the workforce training segment is gaining traction. With shifting labor demands and new public investments in upskilling, this market is poised for growth—though economic uncertainty and tight budgets could create headwinds.
For solution providers, the outlook is promising—but precision is key. With the global education market expanding across segments, there’s growing demand for tools that support digital learning, STEM education, and skill development. Capitalizing on this momentum requires aligning offerings with emerging needs and adapting to regional trends.
When you’re ready to shape your offerings or marketing strategy for the right schools, keep in mind that different segments have distinct priorities and buying cycles that influence how—and when—to engage. Here’s what you need to know about the schools you serve:
The K–12 market is a dynamic space, fueled primarily by state and local government funding—which together account for 86% of public school revenue, according to the Peter G. Peterson Foundation. This decentralized funding structure means purchasing decisions often happen at the district level, where buying committees bring together superintendents, curriculum leaders, IT directors, principals, and sometimes even teachers. For vendors, that means navigating multiple layers of influence and aligning offerings with a wide range of needs and priorities.
Right now, districts are focused on addressing critical challenges—like supporting student mental health through social-emotional learning tools, easing teacher burnout with time-saving resources, and investing in edtech that drives measurable learning outcomes. With lingering learning gaps and persistent staffing shortages, decision-makers are looking for more than just new technology—they want trusted partners who understand their pain points and can offer real, lasting value.
The higher education market spans a wide mix of public and private institutions, along with over 1,000 community colleges, according to the Department of Education. These schools play a critical role in workforce development. And while each type of institution has its own structure and priorities, many face similar pressures: shifting enrollment trends, increasing demand for flexible learning options, and the push for digital transformation. Accreditation requirements also play a significant role in shaping institutional strategy, particularly when it comes to adopting new tools or programs.
Procurement in higher ed tends to follow a more formalized, sometimes lengthy timeline—especially at public universities—often involving multiple departments and layers of review. Key stakeholders include academic leadership, IT and procurement teams, deans, and department heads. To succeed in this space, solution providers must understand the institutional mission, align with strategic goals, and be ready to support both long-term outcomes and compliance with regulatory standards.
The schools market is embracing a rapid shift toward digital tools and virtual platforms, creating more flexible and accessible learning experiences. Student wellness and mental health have also moved front and center, with budgets increasingly focused on programs that support social-emotional growth. Meanwhile, schools are leaning heavily on data and analytics to make smarter decisions and track real results.
To keep up, solution providers need to offer flexible, scalable, and compliance-ready tools that easily integrate into school systems—helping educators meet both academic goals and the growing demand for student support.
Breaking into the schools market comes with its share of challenges for solution providers. Sales cycles are often long and involve multiple layers of decision-makers, requiring patience and strategy. And seasonal budget constraints make outreach timing essential to avoid missed opportunities. On top of that, increasing competition and message fatigue mean standing out is more difficult than ever.
Success depends on a targeted, well-timed approach that clearly communicates value and cuts through the noise. Here are four ways you can strengthen outreach in today’s school market:
Don’t waste time guessing—use granular education data to segment schools by size, funding, region, and needs. This lets you deliver customized outreach that speaks directly to each audience. Tapping into enrollment trends, budget cycles, and key decision-makers—to connect at the right moment with the right message—improves your chances of success.
Craft messaging that directly addresses schools’ current funding sources and strategic goals, such as digital transformation or mental health initiatives. Align your solution’s benefits with their top priorities and budget realities. Be sure to highlight how your offering supports compliance, efficiency, or cost savings to make your pitch resonate with decision-makers.
Forget quick wins. Focus on building genuine, long-term relationships through valuable content, webinars, and one-on-one consultations. Become the trusted advisor who truly understands school challenges. This approach builds credibility and loyalty, setting you apart from the competition and paving the way for lasting success.
Numbers speak louder than words. Back your claims with compelling case studies and success stories that showcase measurable ROI—like improved student outcomes or cost savings. When decision-makers see real impact, they’re far more confident saying yes to your solution.
The U.S. schools market is complex, spanning diverse segments with unique needs and challenges. Success demands high-quality, actionable education data to target outreach precisely and at the right moment. That’s where Agile Education Marketing comes in.
As your trusted partner, we help you deepen your understanding of this dynamic landscape and unlock custom data licenses tailored to your goals. Combine that with our omnichannel marketing support, and you’ll connect confidently with the right decision-makers—turning complexity into opportunity and driving real results in today’s schools market.
Ready to take your school outreach to the next level? Reach out to connect.
Ali, VP of Marketing at Agile Education Marketing, is a strategy development specialist with over 20 years of experience in the education market. Prior to joining Agile, she held leadership roles at Pearson, McGraw-Hill, and InsideTrack and earned her Master of Business Administration from the University of Colorado.
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