Child Care Market Analysis

Global Child Care Market Overview

Child Care Market Size was valued at USD 202.9 Billion in 2022. The Child care market industry is projected to grow from USD 214.2 Billion in 2023 to USD 331.3 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 5.60% during the forecast period (2023 - 2032). Government initiatives, women's workforce participation and focus on early childhood education are the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Child Care Market Trends

• Women's workforce participation is driving the market growth

The child care industry is only one of many that benefit greatly from more women entering the workforce. The number of women entering the labor has significantly increased over the last several decades, which has had a profound impact on economies and society all over the world. The demand for numerous goods and services has been impacted by this change in workforce participation, with child care being one of the main benefactors. Several factors have contributed to the increase in women's workforce involvement. The growing focus on gender equality and women's empowerment is one of the main motivators. Women are increasingly valued for their economic contributions as societal standards and attitudes around their employment in the workforce change. As a result, more women are inspired to seek occupations and education, increasing the size of the work force. In order to retain their financial stability, many households now require two income workers due to the shifting economic landscape and rising cost of living. Dependence on a single salary is frequently impractical due to inflation and rising costs. As a result, families are more dependent on the income of women, which raises their engagement in the labor force.

Women's participation in the workforce has been significantly boosted by improvements in education and employment prospects. Women are better able to follow a variety of job pathways as educational possibilities become more readily available to them, and this has resulted in a stronger representation in a number of different businesses and professions. Women's employment has a variety of effects on the expansion of the child care industry. First off, as more women enter the workforce, there is a growing need for dependable, superior child care services. Child care facilities provide the requirement of working parents for a safe and caring environment for their kids while they are at work. As a result, the demand for child care services increases at the same time that more women are entering the labor.

A growing reliance on outside child care providers is a result of how modern families are evolving. Professional child care services are frequently required to replace the gaps in caregiving duties when both parents are working. Child care facilities provide working parents with an organized and supervised environment that supports early childhood education and development. Parents are more willing to pay on child care services due to the increase of dual-income families. Families have the means to spend in high-end child care centers that provide unique programs and activities for kids as disposable incomes rise. This desire to spend money on child care helps fuel market expansion.

The rise of women in the workforce has also fostered innovation and variety in the child care sector. The necessity to meet the particular requirements of working parents has been acknowledged by child care providers, which has led to the emergence of flexible child care choices like part-time care, drop-in services, and extended hours. The market has grown as a result of these developments, and parents now have easier and more convenient access to child care options. Thus, driving the Child care market revenue.

Child Care Market Segment Insights

Child care Type Insights

The Child Care Market segmentation, based on type, includes early care, early education & early daycare, backup care and others. The early education & early daycare segment dominated the market in 2022. This can be attributable to government funding that makes childcare services accessible to kids from lower-income households. For instance, funds for center-based early education services are offered by the Department of Early Education and Care. This funding is open to all EEC-licensed childcare service providers.

Child care Delivery Type Insights

The Child Care Market segmentation, based on delivery type, includes organized care facilities and home-based settings. The organized care facilities category generated the most income in 2022. Growing numbers of parents who are working, technology advancements, and more funding for high-quality early education all contribute to the segment's expansion.

Figure 1: Child Care Market, by Delivery Type, 2022 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Child Care Regional Insights

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Child care Market dominated this market in 2022 (45.80%). Both parents frequently need to work because of the high cost of living in many North American cities. The need for child care services that can suit flexible schedules and working hours is fueled by this economic reality. Further, the U.S. Child care market held the largest market share, and the Canada Child care market was the fastest growing market in the North America region.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: CHILD CARE MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe Child care market accounts for the second-largest market share. The demand for dependable and superior child care services has increased as more women enter the workforce in Europe. The demand for daycare services has increased as more women pursue employment. Further, the German Child care market held the largest market share, and the UK Child care market was the fastest growing market in the European region.

The Asia-Pacific Child care Market is expected to grow at the fastest CAGR from 2023 to 2032. The Asia Pacific child care sector is heavily influenced by governmental efforts and economic progress. Child care services can be made more available and inexpensive for families through supportive legislation and better financial circumstances. Moreover, China’s Child care market held the largest market share, and the Indian Child care market was the fastest growing market in the Asia-Pacific region.

Child Care Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Child care market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Child care industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Child care industry to benefit clients and increase the market sector. In recent years, the Child care industry has offered some of the most significant advantages to medicine. Major players in the Child care market, including Bright Horizons Family Solutions, KinderCare Learning Centers LLC., Learning Care Group, Inc., Spring Education Group, Cadence Education, The Learning Experience, Childcare Network, Kids 'R' Kids, Primrose School Franchising SPE, LLC. Goddard Franchisor LLC and others, are attempting to increase market demand by investing in research and development operations.

Child care and educational consulting services are provided by Bright Horizons Family Solutions Inc. (Bright Horizons). It offers instruction in a range of subjects and programs, including preschool and early childhood education, adult and backup child care programs, infant and toddler care, college coaching, kindergarten and pre-kindergarten, elementary schools, Montessori, after-school and school-age programs, summer camp, and others. It also provides self-sourced paid healthcare, educational advising services, such as assistance with college admissions and financial planning, workforce training, tuition assistance, student debt repayment, and associated educational counseling. Bright Horizons offers workplace services to both families and employers. The company oversees childcare services for several corporations, academic institutions, healthcare facilities, and governmental agencies. It operates in the US, the UK, the Netherlands, India, and other countries. Bright Horizons' headquarters are in Newton, Massachusetts, which is located in the US.

The Spring Education Group is a multi-brand network of elite private schools offering early childhood education through high school. The network, which at present consists of about 220 schools, brings together some of the greatest private school programs in the nation. These programs have a track record of successfully educating kids using distinctive curriculum. The Stratford School, LePort Montessori Schools, Nobel Learning Communities, and BASIS Independent Schools joined together to form the Spring Education Group, which has its main office in Campbell, California. The Spring Education Group network spans 19 states in the United States and has a presence abroad in Asia. The WASC-accredited Laurel Springs School, a pioneer in online private school education since 1991, is featured in the online division. It offers flexible and individualized learning opportunities for students in kindergarten through 12th grade and beyond.

Key Companies in the Child Care market include

• Bright Horizons Family Solutions


• KinderCare Learning Centers LLC.


• Learning Care Group, Inc.


• Spring Education Group


• Cadence Education


• The Learning Experience


• Childcare Network


• Kids 'R' Kids


• Primrose School Franchising SPE, LLC.


• Goddard Franchisor LLC

Child Care Industry Developments

June 2020: The biggest early learning and care company in Australia, Goodstart Early Learning, merged with another top care company, Big Fat Smile.

Child Care Market Segmentation

Child Care Type Outlook

• Early Care


• Early Education & Early Daycare


• Backup Care


• Others

Child Care Delivery Type Outlook

• Organized Care Facilities


• Home-based Settings

Child Care Regional Outlook

• North America
  
  
  
  • U.S.
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America