Industries in the Educational Services subsector provide instruction and training in a wide variety of subjects. The instruction and training is provided by specialized establishments, such as schools, colleges, universities, and training centers.
The subsector is structured according to level and type of educational services. Elementary and secondary schools, junior colleges and colleges, universities, and professional schools correspond to a recognized series of formal levels of education designated by diplomas, associate degrees (including equivalent certificates), and degrees. The remaining industry groups are based more on the type of instruction or training offered and the levels are not always as formally defined. The establishments are often highly specialized, many offering instruction in a very limited subject matter, for example ski lessons or one specific computer software package. Within the sector, the level and types of training that are required of the instructors and teachers vary depending on the industry.
Establishments that manage schools and other educational establishments on a contractual basis are classified in this subsector if they both manage the operation and provide the operating staff. Such establishments are classified in the educational services subsector based on the type of facility managed and operated.
The Educational Services industry (NAICS 611) is experiencing significant changes driven by technology and evolving societal needs. One prominent trend is the rise of online education and hybrid learning models. Accelerated by the COVID-19 pandemic, many institutions have adopted robust online platforms to reach a wider audience and provide flexible learning options. These digital transformations are expected to continue, integrating AI-driven personalized learning and virtual reality environments to enhance educational experiences.
Another qualitative trend is the increased focus on lifelong learning and upskilling. As industries rapidly evolve, there is a growing demand for continuous education, particularly in tech and soft skills training. Institutions are adapting by offering micro-credentials, certifications, and short-term courses that cater to adults looking to pivot or advance their careers.
There is also a marked shift towards competency-based education, which emphasizes mastery of specific skills over traditional credit hours. This approach is gaining favor among employers and students alike, as it aligns more closely with job market requirements.
In the near future, we can expect further investments in educational technology (EdTech), particularly in areas like AI, augmented reality, and blockchain for credentialing. The focus on inclusivity and accessibility will likely lead to more initiatives aimed at reducing educational inequities and supporting underrepresented groups. As the demand for personalized, flexible, and skills-focused education grows, the industry is poised for continued innovation and diversification.
A review and comparison of financial performance of privately-help companies in specified SIC/NAICS industry segment, using industry standard benchmarks.
Answers come easily with iCFO. Review ROI, sales per employee, profit margins of the top 10%, top 25% and more, to identify areas of concern and opportunity. Examine what if scenarios and P&L impact of reducing costs or adding revenue.
It takes only five minutes to enter your data and produce a concise profile of your company’s fiscal state, including critical business ratios focusing on liquidity, profitability, asset efficiency, and growth.