Dublin, May 01, 2024 (GLOBE NEWSWIRE) -- The "Nursery Schools in the US - Industry Research Report" report has been added to ResearchAndMarkets.com's offering.
The COVID-19 pandemic eliminated the need for many to seek nursery school care, leading to a significant drop in industry revenue. Government assistance through the CARES Act and the American Rescue Plan Act (ARPA) provided a lifeline to nursery schools, leading to a near-full recovery by 2021.
As inflation surged in 2022, parents turned to cheaper nursery schools and alternate caregiving methods. Still, a rise in dual-income families and sustained government backing kept growth solid. Revenue has been climbing at a CAGR of 1% to an estimated $17 billion over the five years through 2024, including a 1.7% dip in revenue in 2024 alone.
Market share concentration for the Nursery Schools industry in the US is low, which means the top four companies generate less than 40% of industry revenue. The average concentration in the Health Care and Social Assistance sector in the United States is 36%.
Report Scope
- Market Estimates from 2014-2029
- Competitive Analysis, Industry Segmentation, Financial Benchmarks
- Incorporates SWOT, Porter's Five Forces and Risk Management Frameworks
Key Companies Featured
- KinderCare Education LLC
- Bright Horizons Family Solutions Inc.
Industry Statistics and Highlights
- COVID-19 led to an unprecedented drop in nursery school revenue. Unemployed parents or parents working from home had no need for nursery schools, leading to a significant downturn in revenue.
- Private programs make up over half the industry's revenue. Government programs like Head Start and the Child Care Development Fund (CCDF) support the rest of nursery schools' programs.
- Nursery school distribution reflects population distribution. Despite the differences in state funding and income differentials, the most populous states have the most nursery schools.
- State regulations and funding impact local concentration. State-funded universal pre-K programs undermine enrollment in privately funded nursery schools.
Key Trends and Insights
- Government funding helped offset COVID-19's damages: The onset of the COVID-19 pandemic wrecked nursery schools. Mass layoffs and work-from-home policies gave parents ample time to watch their children themselves. The Coronavirus, Aid, Recovery and Economic Security (CARES) Act somewhat tempered losses for nursery schools, but revenue still nosedived in 2020.
- Revenue climbed even amid inflation: Mounting inflation in 2022 tempered the industry's prolonged recovery from COVID-19. As parents' essential purchases, like groceries and utilities, became more expensive, many switched to cheaper nursery schools or relied on family, friends or neighbors for childcare.
- Growing spending power will bring growth from nursery schools' top market: The number of households earning more than $100,000 is set to climb alongside per capita disposable income as economic conditions improve through the end of 2029. This will boost revenue for privately funded nursery schools, which rely on tuition.
- Population density and location preferences perpetuate fragmentation: Urbanization plays a significant role in market concentration. Cities with high population densities often see an influx of nursery schools since urban areas' large population translates to many children for nursery schools to care for.
Key Topics Covered:
About this Industry
- Industry Definition
- Main Activities
- Similar Industries
- Additional Resources
Industry at a Glance
Industry Performance
- Executive Summary
- Key External Drivers
- Current Performance
- Industry Outlook
- Industry Life Cycle
Products & Markets
- Supply Chain
- Products & Services
- Demand Determinants
- Major Markets
- International Trade
- Business Locations
Competitive Landscape
- Market Share Concentration
- Key Success Factors
- Cost Structure Benchmarks
- Basis of Competition
- Barriers to Entry
- Industry Globalization
Major Companies
Operating Conditions
- Capital Intensity
- Technology & Systems
- Revenue Volatility
- Regulation & Policy
- Industry Assistance
Key Statistics
- Industry Data
- Annual Change
- Key Ratios
Jargon & Glossary
For more information about this report visit https://www.researchandmarkets.com/r/uiqoqq
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