What's Really Going On?

Scholastic—the name you probably remember from childhood book fairs, reading clubs, or those red-and-white flyers stuffed in your backpack—is going through it. After decades as a heavyweight in children’s publishing, the company’s stock is down roughly 40%, and its executives are now scrambling to find a new direction.

A lot of that pressure is coming from its education division, which has been underperforming. And while the company is restructuring operations and looking for new ways to generate cash (even leasing out part of its headquarters), the truth is: there’s a deeper opportunity it’s still ignoring.

Black communities.

Why This Missed Opportunity Matters

If you ride through many predominantly Black neighborhoods—urban, rural, or in between—you’ll notice something missing: bookstores, literacy centers, or publishing programs designed with our kids in mind. That gap isn’t just cultural—it’s economic.

Across the U.S., Black children face some of the biggest barriers when it comes to literacy. On average, they score two to four grade levels behind their white peers in reading comprehension. But here’s what most companies overlook: closing that gap doesn’t just uplift communities—it builds lifelong customers.

That’s where Scholastic comes in.

This Is Bigger Than Books—It’s About Market Expansion

Scholastic’s education division alone brought in over $540 million in revenue recently. But most of that came from districts and schools where their presence is already well established. What they haven’t tapped into yet is the demand bubbling under the surface in underserved neighborhoods—places where culturally relevant content is lacking, and representation still feels like an afterthought.

If the company started targeting even 1,000 predominantly Black schools over the next few years—with book fairs, reading initiatives, and products built around our stories—the potential revenue bump could be significant. But more importantly, they'd be stepping into a role no other publisher has owned: the go-to brand for closing America’s literacy divide.

And let’s be clear—this isn’t just about traditional books. We’re talking graphic novels, bilingual content, audiobooks, and more. All of which carry higher margins and modern engagement power.

Literacy at Home = Wealth Down the Road

Books do more than teach grammar. They plant seeds. Kids who grow up around books—kids who watch their parents read, who are exposed to real stories early—are more likely to thrive later. That’s not just anecdotal. Studies show direct links between early reading habits and everything from graduation rates to long-term earning power.

When a kid in Decatur picks up a Scholastic title that looks like them, that moment becomes a spark. Multiply that across a few hundred thousand homes? That’s cultural equity—and serious long-term brand loyalty.

What Scholastic Should Actually Be Doing

Forget trimming costs. If Scholastic wants to win in today’s market, here’s what should be on the agenda:

• Launch a literacy equity initiative anchored in Black communities. Target schools and libraries that haven’t seen a book fair in years.

• Partner with educators and creators from those communities to develop new titles that resonate.

• Make the case that literacy is not a luxury—and neither are their books. These aren't “rich people products.” They’re tools that every family should have access to, and many are more affordable than people realize.

Final Thought: Don’t Just Save the Brand. Let It Mean Something.

Scholastic has a choice. It can stay in the safe lane, cutting costs and chasing nostalgia. Or it can step into a new chapter—one that sees Black children not as a marketing segment, but as the future of its business.

Because if you’re trying to build readers, customers, and culture-shapers for the next 50 years, the answer isn’t in a new TikTok campaign or cost restructure.

It’s in showing up where the books—and the hope—have been missing.