I think most parents have NO CLUE that this is how reading is being taught in the schools. This approach is used even in schools that claim they teach phonics. After all, they do teach some letter-sound correspondences for consonants and vowels, and they do encourage children to use that information when looking at the first letter of a word, as you see this adult doing with the "c" in "cat."Until a year ago, I was in the NO CLUE category. Just a couple of years ago I would have looked at this video and thought the mom was using phonics.
Many parents therefore assume, when their child struggles, that the problem lies within their child.