Becoming an early years and childcare provider

Market research

It is essential that you carry out market research before you commit yourself financially. The aim of the market research is to enable you to make right choices at the beginning of your new venture. These questions will help you to begin your research:

Your customers

  • Who are your customers?
  • What age group of children will you cater for?
  • How much are your customers willing to pay?
  • How many children would be attending?
  • What will your service offer that is different/better, why would a parent pay for their child to attend your setting?

Your competitors:

  • Who are your competitors?
  • What services are your competitors offering?
  • How much do they charge?
  • What hours do they open?
  • What activities do they offer?
  • Are they full? Do they have a waiting list?
  • Can you identify any gaps in provision in the area that you can fill?

Use a simple questionnaire to carry out market research; visit parent and toddler groups or local schools or supermarkets (ensure you ask for permission before you do so).