How Family Size Shapes Education Spending

A recent report highlighted the dramatic growth of single-child households worldwide, now accounting for nearly half of all families in many developed economies. This shift has far-reaching implications, particularly for education markets, because parents’ decisions about spending on education products are closely tied to family size.

A new Journal of Marketing study reveals that parents of single children are more likely to invest in deficit-based education products, such as remedial tutorials aimed at addressing weaknesses. In contrast, parents with multiple children prefer strength-based options like STEM enrichment programs, which focus on growth and development. These choices reflect differences in how family size shapes parenting goals, priorities, and decision-making strategies.

Key Findings: Family Size and Education Spending

• Single-Child Parents Favor Deficit-Based Products: Single-child households are more likely to view their child’s weaknesses as critical areas to address, prompting them to invest in solutions like remedial programs or tutoring. This preference stems from a desire to avoid failure or setbacks for their only child, who often carry heightened expectations.
• Multi-Child Parents Prioritize Strength-Based Programs: In families with multiple children, parents focus on building strengths rather than addressing weaknesses. They are more likely to invest in programs that promote future-oriented skills, such as STEM camps or advanced enrichment classes. This approach reflects their broader goals of maximizing opportunities for all children in the family.
• Perfectionism Plays a Role: Parents with higher levels of negative perfectionism—who are more focused on avoiding failure—show a stronger preference for deficit-based education products, regardless of family size. Positive perfectionism, on the other hand, aligns more closely with strength-based decisions.

How It Works: The Psychology Behind the Decisions

Parenting decisions are driven by a combination of psychological, social, and economic factors. Single-child parents often view their child as a singular opportunity, leading to an “all-in” approach that prioritizes addressing perceived deficits. These parents are more risk-averse, focusing on loss prevention and ensuring their child does not fall behind.

In contrast, multi-child parents adopt a more balanced perspective. With limited resources spread across multiple children, these parents focus on growth-oriented opportunities that yield long-term benefits for the entire family. Strength-based programs align with this forward-thinking mindset, emphasizing skills that prepare children for future success.

Negative perfectionism also amplifies deficit-focused behavior. Parents who fear failure or judgment are more likely to invest in products that promise to “fix” their child’s weaknesses. This dynamic can override typical family size patterns, leading some multi-child parents to prioritize deficit-based options when negative perfectionism is high.

Practical Insights for Education Marketers

The findings from this study provide valuable guidance for education providers and marketers:

• Tailor Messaging to Family Size: Education products should be positioned differently depending on the target audience. For single-child parents, messaging should emphasize addressing specific challenges or areas for improvement. For multi-child households, highlighting growth opportunities and future-oriented benefits will resonate more effectively.
• Recognize the Role of Perfectionism: Marketers can address perfectionism by offering reassurance and framing their products as solutions that reduce stress for parents while supporting their goals. For example, deficit-based products can be positioned as proactive tools for ensuring readiness, while strength-based options can be promoted as ways to unlock potential.
• Segment Products for Diverse Needs: Providers should consider developing distinct offerings tailored to the unique preferences of single- and multi-child families. Bundled programs that cater to multiple children or adaptive solutions that address both weaknesses and strengths can appeal to broader audiences.

Implications for Policymakers and Educators

Policymakers and educators must also consider these insights to ensure equitable access to education resources:

• Support for Single-Child Families: With single-child households becoming more prevalent, education systems should develop programs that address their specific needs, such as targeted tutoring initiatives or tailored support for skill gaps.
• Promote Balance in Education Approaches: Schools and policymakers should encourage families to adopt balanced strategies that focus on both addressing weaknesses and building strengths. Providing clear guidance on the benefits of different education products can help parents make informed decisions.
• Accessibility for Multi-Child Families: Multi-child households may face economic constraints that limit their ability to invest in premium education products. Offering subsidized enrichment programs or scalable solutions can ensure these families have access to growth-oriented opportunities.

As single-child households continue to grow in number, their influence on the education market cannot be overlooked. Education providers, marketers, and policymakers must recognize the unique challenges and priorities faced by these families. At the same time, multi-child families remain a significant segment of the market, with distinct preferences that require tailored approaches. By addressing the needs of both groups, stakeholders can create more inclusive and effective education solutions that empower all children to succeed.

Source: Phyllis Xue Wang, Ce Liang, and Qiyuan Wang, “Fixing Onlies Versus Advancing Multiples: Number of Children and Parents’ Preferences for Educational Products,” Journal of Marketing, 89 (4), 21–38.

Go to the Journal of Marketing