Industry Statistics and Trends
Market size and recent performance (2015-2030)
Industry revenue has grown at a CAGR of 2.3 % over the past five years, to reach an estimated $17.5bn in 2025.
Trends and Insights
Infrastructure laws and expanded Perkins Funding are fueling revenue growth for trade and technical schools nationwide
- The US federal government's career and technical education (CTE) funding, also known as Perkins Funding, continued to experience key growth in 2020. CTE funding climbed from $1,282.6 million in Fiscal Year (FY) 20202 to $1,334.8 million in FY 2021, representing a 4.1% climb. Funding continued to surge in subsequent years, reaching $1,379.8 million in FY 2022, $1,429.8 million in FY 2023 and stabilizing at $1,439.8 million in both FY 2024 and FY 2025. These funds have trickled down to trade and technical schools, directly fueling revenue growth.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2025-2030)
Market size is projected to grow over the next five years.
Trends and Insights
Growing student debt burdens and declining faith in traditional degree programs are fueling an educational shift toward more affordable vocational schools
- The average annual cost of attending a trade or technical school is less than half that of a four-year university. As four-year university degree tuition fees are projected to continue to skyrocket, outpacing income growth, vocational schools' external competitors will become less affordable for students, significantly reducing their substitutes' competitiveness and appeal. In turn, families with lower incomes, as well as those skeptical of the value of higher education, will look to more affordable alternatives, such as community colleges and vocational schools.
Biggest companies in the Trade & Technical Schools in the US
| Company | Market Share (%)
2025 | Revenue
2025 | Profit
2025 | Profit Margin (%)
2025 |
|---|
There are no companies that hold a market share exceeding 5% in the Trade & Technical Schools in the US industry.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Cosmetology and barber schools, Flight training schools and Apprenticeship training schools. Cosmetology and barber schools is the largest segment of the Trade & Technical Schools in the US.
Trends and Insights
High capital requirements and instructor scarcity are fueling flight school profitability despite significant operational overhead
- Flight schools are one of the most lucrative segments for vocational schools because of the significant number of hours required to become a pilot, with students typically needing extensive flight and ground instruction before they are certified. More hours in the cockpit and simulators mean overall higher tuition and greater revenue per student for flight trainers. These programs' high capital expenses also influence the cost of attending aviation school. Flight training schools can justify higher tuition because they must purchase costly flight simulators and aircraft, as well as rent hangar space.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
This industry encompasses schools that provide vocational and technical training in various technical subjects and trades. Training often leads to job-specific certification. Instruction may be provided in diverse settings, including the company’s training facilities, the workplace, the home or through distance-learning methods. Major segments include cosmetology and barber schools, flight training, apprenticeship training and other technical training. The “other” category includes trade and technical training programs for technician roles in medicine and dentistry, as well as art, air traffic control, culinary arts, broadcasting, heavy equipment repair, policing and management.
What's included in this industry?
Products and services covered in the Trade & Technical Schools industry in the United States include Cosmetology and barber schools, Flight training schools and Apprenticeship training schools.Companies
Companies covered in the Trade & Technical Schools industry in the United States include .Purchase this report to view all major companies in this industry.
Related Terms
Related terms covered in the Trade & Technical Schools industry in the United States include career and technical education (cte), apprenticeship and title iv programs.Industry Code
NAICS 61151 - Trade & Technical Schools in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Consumers are looking beyond traditional universities. Skepticism surrounding the return on investment of a college degree has reached an all-time high, favoring cheaper opti...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2015-2024) and forecast (2025-2030)
- Employees, including historical (2015-2024) and forecast (2025-2030)
- Businesses, including historical (2015-2024) and forecast (2025-2030)
- Profit, including historical (2015-2025)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Flight training is the most lucrative service segment. Flight training takes many hours behind expensive equipment with qualified instructors, enabling aviation schools to ju...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2025
- Product innovation level
Charts
- Products & services segmentation in 2025
- Major market segmentation in 2025
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Proximity to a large number of students is crucial in determining a business location. The geographic spread of technical and trade schools in the United States is consistent...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2025
Tables
- Number and share of establishments in each state in 2025
- Number and share of revenue each state accounts for in 2025
- Number and share of wages each state accounts for in 2025
- Number and share of employees in each state in 2025
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Vocational schools mainly compete based on tuition and the range of programs offered. To reduce the level of competition, some schools focus on improving their reputation. Ha...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2020-2025
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
There are no companies that hold a market share exceeding 5% in the Trade & Technical Schools in the US industry.
Analyst insights
The industry is highly fragmented, and no single school accounts for more than 5.0% of industry revenue. There are no major companies in this industry.
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Federal regulation is light, though states will impose additional oversight. In general, establishments must be authorized by the state in which they operate and certified by...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2015-2030)
- Assistance historical data and forecast (2015-2030)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Cost structure at technical or trade schools can vary considerably. The difference depends on the field of instruction and the capital equipment required for training, as som...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
- Investment vs. share of economy
Data tables
- Industry Multiples (2018-2023)
- Industry Tax Structure (2018-2023)
- Income Statement (2018-2023)
- Balance Sheet (2018-2023)
- Liquidity Ratios (2018-2023)
- Coverage Ratios (2018-2023)
- Leverage Ratios (2018-2023)
- Operating Ratios (2018-2023)
- Cash Flow & Debt Service Ratios (2015-2030)
- Revenue per Employee (2015-2030)
- Revenue per Enterprise (2015-2030)
- Employees per Establishment (2015-2030)
- Employees per Enterprise (2015-2030)
- Average Wage (2015-2030)
- Wages/Revenue (2015-2030)
- Establishments per Enterprise (2015-2030)
- IVA/Revenue (2015-2030)
- Imports/Demand (2015-2030)
- Exports/Revenue (2015-2030)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2015-2030)
- IVA (2015-2030)
- Establishments (2015-2030)
- Enterprises (2015-2030)
- Employment (2015-2030)
- Exports (2015-2030)
- Imports (2015-2030)
- Wages (2015-2030)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Trade & Technical Schools industry in the United States in 2025?
The market size of the Trade & Technical Schools industry in the United States is $17.5bn in 2025.
How many businesses are there in the Trade & Technical Schools industry in the United States in 2025?
There are 7,625 businesses in the Trade & Technical Schools industry in the United States, which has grown at a CAGR of 2.0 % between 2020 and 2025.
How may import tariffs affect the Trade & Technical Schools industry in the United States?
The Trade & Technical Schools industry in the United States is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.
How may export tariffs affect the Trade & Technical Schools industry in the United States?
The Trade & Technical Schools industry in the United States is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.
Has the Trade & Technical Schools industry in the United States grown or declined over the past 5 years?
The market size of the Trade & Technical Schools industry in the United States has been growing at a CAGR of 2.3 % between 2020 and 2025.
What is the forecast growth of the Trade & Technical Schools industry in the United States over the next 5 years?
Over the next five years, the Trade & Technical Schools industry in the United States is expected to grow.
What does the Trade & Technical Schools industry in the United States include?
Cosmetology and barber schools and Flight training schools are part of the Trade & Technical Schools industry in the United States.
How competitive is the Trade & Technical Schools industry in the United States?
The level of competition is moderate and steady in the Trade & Technical Schools industry in the United States.
Methodology
How are IBISWorld reports created?
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Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
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