Opting Out Of The Legacy Model
When you look at industries that continue to operate on old, outdated, and highly regulated models (education, health care, banking, brokerage, etc, etc), it is interesting to look at the numbers of consumers who are opting out of the legacy model.
In K12 education, many people think of charter schools as the disruptive model and there are something like 3.5mm to 4mm students attending charter schools in the US now (out of roughly 55mm K12 students in the US: 50mm public, 5mm private).
But if you really want to look at where the disruptive models exist, you need to look at consumers who are completely opting out and in K12 education, that is the homeschooling movement.
My partner Andy sent around this tweet this morning and it is quite interesting:
I’m trying to understand which are the fastest growing trends in education. Homeschooling seems to be one of them. Technology is only getting into the space, that’s why I assume the growth will be accelerated. #homeschooling #edtech pic.twitter.com/cr8RfOMBGW
— Vlad Stan (@vladstan) April 21, 2019
In the US, we have almost as many students being homeschooled as are in the charter schools.
And homeschooling, which has its roots in the religious communities, is increasingly breaking out of that and slowly moving into the mainstream:
It has gotten much easier to consider homeschooling over the last twenty years via a combination of technology and infrastructure that has largely been developed by the early adopters of homeschooling.
This is a trend to watch and, possibly, to invest in.
Source: https://avc.com/2019/04/opting-out-of-the-legacy-model/
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