Enjoy complimentary customisation on priority with our Enterprise License!
The Child Care Market Size is estimated to grow at a CAGR of 12.8% between 2022 and 2027. The size of the market is forecast to increase by USD 189.07 billion. The growth of the market depends on several factors, including growing parent awareness for early childhood education and care, increasing labor force participation of women, and positive government initiatives.
This report extensively covers market segmentation by delivery (organized care facilities and home-based settings), type (early education and daycare, early care, and backup care), and geography (North America, Europe, APAC, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
To learn more about this report, Download Report Sample
The growing parent awareness of early childhood education and care is notably driving the market growth, although factors such as the rise in the unemployment rate may impede the market growth. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The growing parent awareness of early childhood education and care is notably driving the market growth. A crucial role is played by parents in ensuring early childhood development. Parents who are actively involved with their children can have a positive and lasting impact on their learning abilities.
Furthermore, children who are properly stimulated by their parents from birth to age five do better in the long run than other children. This means that properly taught children are more likely to graduate, achieve better academic results and lead healthier, more productive lives as adults. Thus, the increasing participation of parents will fuel the growth of the market during the forecast period.
Corporations offering corporate childcare services to their employees is an emerging trend in the market. Companies nowadays are offering childcare services at workplaces. This has been recognized as a major help for working parents. For instance, at the time of the pandemic, Amazon announced its plan to provide family care benefits to 650,000 part-time and full-time Whole Foods Market and Amazon employees through Care.com in June 2020. The program offered to provide subsidized emergency backup child care for up to 10 days to every employee till January 2021.
Employer-sponsored childcare schemes not only reduce work absenteeism but also help in increasing employee retention rates. It has been noted that companies in the US lose approximately more than $4 billion annually due to childcare breakdowns. Moreover, a few companies offer working mothers 11 weeks of paid time off for new mothers and six weeks of paid leave for new fathers. Therefore, such factors will boost the global market during the forecast period.
The rise in unemployment rates is a major challenge impeding the market. Unemployment is a situation when a person is job-ready and is seeking a job but cannot find one. The rise in the unemployment rate has a two-fold impact on the global market. First, it leads to a fall in household income, which leads to less spending on children care. Second, with a greater number of parents forced to stay home, the demand for childcare declines.
Furthermore, the significant rise in the cost of childcare services has forced a few parents to quit their jobs. Parents also resort to other informal arrangements for child care, such as grandparents or other family members. It has been noted that the burden of paying for child care is one of the major reasons for the decline in female participation in the total labour force in the US. Owing to such factors, market growth is expected to be hampered during the forecast period.
The mrket report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Child Care Market Customer Landscape
Vendors are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Cadence Education LLC - The company offers a wide range of childcare programs such as Infant Programs, Toddler Care, and Preschool, Pre-K and Kindergarten Club, and Private Kindergarten. The key offerings of the company include childcare solutions.
The market report also includes detailed analyses of the competitive landscape of the market and information about 15 market vendors, including:
Qualitative and quantitative analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.
The market share growth by the organized care facilities segment will be significant during the forecast period. The segment captured the highest market shares in the global market in 2022. This is attributed to the rising number of working parents, and the growing demand for child care is expected to drive the segment during the forecast period.
Get a glance at the market contribution of various segments Request a PDF Sample
The organized care facilities were valued at USD 114.63 billion in 2017 and continued to grow until 2021.In organized facilities, there is an increased focus on developing standards-based methods of delivering organized child care. These centers aim at working on the overall personality development of children. They are more likely to provide an educationally enriched curriculum that promotes literacy, language development, personality development, and others. Furthermore, children get better opportunities to socialize with their peers. These beneficial factors are increasing the demand for organized facilities, thereby increasing the revenue of the market vendors. Therefore, these factors will drive segment growth during the forecast period.
For more insights on the market share of various regions Request PDF Sample now!
North America is estimated to contribute 36% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
In 2020 the US was recognized as the major market in North America followed by Canada. The increasing participation of women in the labor force, the growing number of millennials, and an upsurge in disposable income of households are expected to drive the growth of the regional market.
Canada is also recognized as a potential market. The need for child care has been growing steadily owing to the greater participation of women in the workforce, resulting in a corresponding increase in dual-income families. Furthermore, the increased attention of these childcare centers in overall personality development has rationally grabbed the attention of new-age parents. Furthermore, the Government of Canada has also taken active steps in fostering early childhood learning. Therefore, the abovementioned factors will drive the regional market during the forecast period.
The outbreak of COVID-19 severely affected the market in North America in 2020. However, by the end of 2020, some childcare service providers resumed their operations. This was attributed to the mass vaccination drives and other measures such as social distancing. Thus, various regional governments relaxed the lockdowns, which further led to the reopening of offices. This further generated the requirement for such facilities. Thus, such factors will drive the growth of the market in the region during the forecast region.
The market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
|
Child Care Market Scope |
|
|
Report Coverage |
Details |
|
Page number |
161 |
|
Base year |
2022 |
|
Historic period |
2017-2021 |
|
Forecast period |
2023-2027 |
|
Growth momentum & CAGR |
Accelerate at a CAGR of 12.8% |
|
Market growth 2023-2027 |
USD 189.07 billion |
|
Market structure |
Fragmented |
|
YoY growth 2022-2023(%) |
12.0 |
|
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
|
Performing market contribution |
North America at 36% |
|
Key countries |
US, Canada, China, Germany, and UK |
|
Competitive landscape |
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks |
|
Key companies profiled |
Beanstalk Education Group, Benesse Holdings Inc., Bright Horizons Family Solutions Inc., Cadence Education LLC, Child Development Schools, Crestar Education Group, Fortune Kindergarten, G8 Education Ltd., Goddard Systems Inc., Goodstart Early Learning, Kids and Co., KinderCare Learning Centers LLC, Learning Care Group, Pigeonhearts Corp., Poppins Holdings Inc., Primrose School Franchising SPE LLC, Smartkidz Educare India Pvt Ltd., Spring Education Group, The Learning Experience, and Tree House Education And Accessories Ltd. |
|
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period. |
|
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report t to meet your requirements. Get in touch
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Delivery
7 Market Segmentation by Type
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Research Framework
Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a particular focus on identifying the key industry influencers. The data thus presented is comprehensive, reliable, and the result of extensive research, both primary and secondary.
INFORMATION SOURCES
Primary sources
Secondary sources
DATA ANALYSIS
Data Synthesis
Data Validation
REPORT WRITING
Qualitative
Quantitative
Certified ISO 9001 : 2015
We are ISO 9001:2015 recognized that ensures quality services and product delivery to our clients.
We are GDPR and CCPA compliant! Your transaction & personal information is protected from unauthorized use.
Get lifetime access to our
Technavio Insights
Get the report (PDF) sent to your email within minutes.
