Analysing the business model of an edtech platform
Toddle: Platformisation and the Business of EdTech
The landscape of education technology has changed significantly in recent years, with platforms becoming central to the way schools, teachers, and students interact with learning tools. Among the many players in the EdTech sector, Toddle has emerged as a platform specifically designed for schools using inquiry-based learning frameworks such as the International Baccalaureate (IB). Unlike traditional software providers, which offer standalone tools ie. Powerpoint or Canva, Toddle operates as a platform—a centralised ecosystem where multiple stakeholders collaborate, exchange content, and integrate educational workflows.
Understanding Toddle’s business model requires a deeper look at how it has embraced platformatisation, capitalised on rentiership, turned educational resources into assets, and scaled itself into a global player. Each of these elements reveals how Toddle not only supports education but also embeds itself deeply into the decision-making structures of schools, making its services increasingly indispensable.
This model shows the 4 main ways Toddle has entered the market to become an invaluable EdTech resource – Click here for Diagram of Model
The Rise of Platformatisation in EdTech
EdTech platforms like Toddle do not merely offer a product; they create a digital environment where interactions between users add value to the system. Traditional educational tools, such as Microsoft Word or PowerPoint, are single-purpose applications used in isolation. In contrast, platforms like Toddle bring together various educational functions—lesson planning, student portfolios, feedback mechanisms, and communication—into an integrated system.
This shift from standalone products to comprehensive ecosystems reflects the broader platformisation of education. By connecting teachers, students, administrators, and even parents, Toddle turns educational workflows into an interconnected process, making it difficult for schools to operate without it once they have transitioned to the system. The success of this model lies in the network effects it generates: as more teachers and schools use Toddle, the value of the platform increases.
Another key feature of Toddle’s platform approach is its adaptability. Schools can integrate Toddle with third-party tools such as Google Drive, Seesaw, and Zoom, making it a flexible and deeply embedded part of school operations rather than an external tool. This adaptability allows it to become a core infrastructure in educational settings, further solidifying its place as a platform rather than just a product.
Rentiership: Monetising Access Over Ownership
A defining characteristic of Toddle’s business model is that it does not sell software in the traditional sense. Instead, it follows the rentiership model, where users—typically schools—pay an ongoing subscription to access the platform’s features. This software-as-a-service (SaaS) approach ensures a continuous revenue stream for Toddle, shifting the relationship from a one-time purchase to an indefinite rental.
Rentiership allows Toddle to maintain financial sustainability while continuously updating and improving its services. In fact, it is However, this model also means that schools do not truly “own” their software infrastructure. If a school decides to stop using Toddle, it risks losing access to its stored lesson plans, student records, and collaboration tools. This creates a lock-in effect, where schools may feel compelled to continue their subscriptions to avoid disruption, even if they find alternative solutions.
Beyond direct subscriptions, Toddle also benefits from rentiership through its user-generated content through rent data (Komljenovic, 2021). Teachers using the platform contribute valuable materials, templates, and lesson plans, which are then shared within the ecosystem. Parents also ‘pay rent’ with their invaluable interaction on their child’s work, giving Toddle a deeper understanding of what kind of information parents want and need. While this creates a richer experience for educators and parents, it also means that Toddle captures valuable data provided by its users.
Assetisation: Turning Education into a Scalable Resource
Toddle’s platform is not just a tool for organising lesson plans; it also transforms various aspects of education into assets that can be leveraged for further growth. This process, known as assetisation, involves treating digital content, workflows, and even user engagement as valuable commodities. Toddle’s need for assetisation stems from it’s PE venture backing which accounts for more than $20m in funding. This is a serious business.
One way Toddle assetises education is by standardising and structuring lesson planning. Instead of each teacher creating individual lesson plans in isolation, Toddle provides templates, frameworks, and collaborative tools that allow lesson planning to be stored, shared, and reused across different institutions. This turns curriculum development into a reproducible asset, reducing the need for constant reinvention.
Data is another key asset in Toddle’s model. The platform collects insights on teaching methodologies, student performance trends, and institutional needs, which can be used to refine its offerings. This data-driven approach allows Toddle to continuously optimise its services, but it also raises questions about how this information is stored, accessed, and potentially monetised. In the broader EdTech industry, data analytics have become a crucial component of business models, with companies using student and teacher behaviour data to develop new products, personalise experiences, and even form partnerships with curriculum providers.
Scaling: Expanding Reach Through Specialisation and Partnerships
Toddle has managed to scale rapidly by targeting a high-value niche: international schools and institutions using inquiry-based curricula, particularly the IB framework.
Another factor that has contributed to Toddle’s scalability is its low switching potential for schools. Once an institution integrates Toddle into its daily operations, migrating to a different system becomes complex and costly. Schools that use Toddle for lesson planning, student assessments, and communication develop institutional dependency, making them more likely to renew their subscriptions year after year (Pfotenhauer, 2022).
Partnerships also play a role in Toddle’s expansion. By collaborating with established education bodies and accreditation agencies, Toddle gains credibility and access to larger networks. This approach has allowed it to move beyond a small-scale tool to a recognised global platform.
The Future of Toddle and Platform-Based Education
Toddle’s success illustrates how the EdTech industry is increasingly shifting towards platform-based models that integrate multiple functions, generate recurring revenue, and scale through network effects. However, this model also comes with challenges. Issues around data privacy, content ownership, and long-term dependency on proprietary platforms remain critical areas of concern for educators and policymakers.
As Toddle continues to grow, it will need to navigate the balance between expanding its reach and maintaining trust with its user base. Schools and educators, on the other hand, must consider the implications of relying on rented digital infrastructures for essential teaching functions. While platforms like Toddle offer efficiency and innovation, they also shape the way education is structured, delivered, and controlled.
The case of Toddle highlights broader trends in EdTech, where the platformisation of education is changing how schools operate. As the industry evolves, educators must critically assess the benefits and risks of these platforms, ensuring that digital transformation serves pedagogical goals rather than merely corporate interests.
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References:
Komljenovic, J. (2021). The rise of education rentiers: digital platforms, digital data and rents. Learning, Media and Technology, 46(3), 320–332. https://doi-org.eux.idm.oclc.org/10.1080/17439884.2021.1891422
Birch, Kean, Margaret Chiappetta, and Anna Artyushina. 2020. “The Problem of Innovation in Technoscientific Capitalism: Data Rentiership and the Policy Implications of Turning Personal Digital Data Into a Private Asset.” Policy Studies. doi:10.1080/01442872.2020.1748264
Pfotenhauer, S., Laurent, B., Papageorgiou, K., & Stilgoe, and J. (2022). The politics of scaling. Social Studies of Science, 52(1), 3-34. https://doi-org.eux.idm.oclc.org/10.1177/03063127211048945
Hello Nishel
Your analysis of the business model of Toodle captures the critical issues that are the focus of this week, including lock-in effects and risks to schools, and its extraction of both monetary data and rents.
I note this critique of Toodle and its business model, alongside some tangible recommendations that you make for institutional practice in response and explicitly drawing on the literature both from the course readings and more broadly. Good visual representation of the framework of the four key concepts of the business model of Edtech (i.e., platformisation, assetisation, rentiership and scaling).
I especially note your statement that, “Toddle has emerged as a platform specifically designed for schools using inquiry-based learning frameworks such as the International Baccalaureate (IB). Unlike traditional software providers, which offer standalone tools ie. Powerpoint or Canva, Toddle operates as a platform—a centralised ecosystem where multiple stakeholders collaborate, exchange content, and integrate educational workflows”.
This statement resonates with the idea that, understanding Toddle’s business model requires a deeper look at how it has embraced platformatisation, capitalised on rentiership, turned educational resources into assets, and scaled itself into a global player. Each of these elements reveals how, Edtechs, like, Toddle not only supports education but also creates partnerships and networks, and embeds itself deeply into the decision-making structures of schools, making its services increasingly indispensable.
Noting that higher education institutions and/or education sector actors therein should have an active role and are duty-bound to define what counts as valuable knowledge and technology infrastructure…. your insights into the future of Toodle and platform-based education contribute to framing a preferable future. Further, it is important to note these risks and then develop appropriate responses to them.
Going forward, and as we begin framing preferable futures, what forms of collaborative practice -sharing and partnerships need to be made?