Industry Statistics and Trends
Market size and recent performance (2014-2029)
Industry revenue has declined at a CAGR of 1.5 % over the past five years, to reach an estimated $9.7bn in 2024.
Trends and Insights
Canada's working parents increasingly depend on day cares
- More Canadian parents have been depending on comprehensive child care in recent years, strengthening the role of day care centres in filling this need but also supporting vital economic growth. For instance, a 2023 report from Employment and Social Development Canada (ESDC) links $40.0 billion in federal aid allocated to day care centres since 2016 to the record-high women's labour force participation rate of 85.7% in 2023.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Day care's flexibility needs to match remote work trends
- The industry will likely continue expanding as a result of increased funding. As per capita disposable income increases and unemployment declines, individuals can afford to pay for and will need day care services. The Canada Child Benefit (CCB) and provincial subsidies are also expected to continue, benefiting families with one or more children under 18.
Biggest companies in the Day Care in Canada
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
BrightPath Early Learning Inc. | 30.2 | N/A | N/A | |
Kids & Company | 20.2 | N/A | N/A | |
Upper Canada Child Care Centres | 20.2 | N/A | N/A |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Preschool-aged day care centres, School-aged day care centres and Regulated family child care. Preschool-aged day care centres is the largest segment of the Day Care in Canada.
Trends and Insights
Day care centres for school-aged children are the most popular
- Day care centres that provide services for school-aged children provide services between school and when parents or legal guardians are still working.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
Day care centres are licensed facilities that provide care, supervision and early childhood education to children, typically from infancy to age five. These centres support working families by offering structured, safe environments where children learn, socialize and develop key skills under the supervision of caregivers.
What's included in this industry?
Preschool-aged day care centresSchool-aged day care centresRegulated family child careCompanies
BrightPath Early Learning Inc.Kids & CompanyUpper Canada Child Care CentresPurchase this report to view all 3 major companies in this industry.
Related Terms
OCCUPANCY RATECHILD-TO-STAFF RATIOCANADA CHILD BENEFITIndustry Code
NAICS 624410 - Day Care in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Child care businesses are poised to resume revenue growth. This trend is driven by a rising population, government support for parents and higher incomes.
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
School-age child care generates the largest share of industry revenue. This segment is significantly driven by the popularity of after-school programs.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Most day care businesses are found in densely populated areas. Ontario and Quebec, home to the majority of Canadians, both offer public support for child care, enhancing acce...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each province in 2024
- Number and share of revenue each province accounts for in 2024
- Number and share of wages each province accounts for in 2024
- Number and share of employees in each province in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Businesses typically attract new customers through reputation, convenience and price. The local market focus in day care centres means competition is limited, allowing for co...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Most day care businesses are small and serve communities. There are no dominant players with significant market share and this fragmentation impacts the economics and nature ...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of BrightPath Early Learning Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Kids & Company's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Upper Canada Child Care Centres's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for BrightPath Early Learning Inc., and factors influencing its performance in the industry
- Description and key data for Kids & Company, and factors influencing its performance in the industry
- Description and key data for Upper Canada Child Care Centres, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Day care businesses have leveraged innovation over the years. Digital communication tools enable multiple contact channels, enhancing transparency, efficiency and service qua...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Wages are a major cost for child care businesses. Labour costs have risen in recent years due to the sector's labour intensity and strong job market conditions.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Assets (2017-2022)
- Liabilities (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Day Care industry in Canada in 2024?
The market size of the Day Care industry in Canada is $9.7bn in 2024.
How many businesses are there in the Day Care in Canada industry in 2024?
There are 33,066 businesses in the Day Care industry in Canada, which has declined at a CAGR of 3.8 % between 2019 and 2024.
Has the Day Care industry in Canada grown or declined over the past 5 years?
The market size of the Day Care industry in Canada has been declining at a CAGR of 1.5 % between 2019 and 2024.
What is the forecast growth of the Day Care industry in Canada over the next 5 years?
Over the next five years, the Day Care industry in Canada is expected to grow.
What are the biggest companies in the Day Care market in Canada?
The biggest companies operating in the Day Care market in Canada are BrightPath Early Learning Inc., Kids & Company and Upper Canada Child Care Centres
What does the Day Care in Canada include?
Preschool-aged day care centres and School-aged day care centres are part of the Day Care industry.
Which companies have the highest market share in the Day Care in Canada?
The company holding the most market share in Canada is BrightPath Early Learning Inc..
How competitive is the Day Care industry in Canada?
The level of competition is high and steady in the Day Care industry in Canada.
Related Industries
Widen your competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- Language Instruction in Canada
International industries
- Day Care in the US
- Early Childhood Learning Centers in the US
- After-School Program Providers in the US
- Nursery Schools in the US
- Child Care Services in Australia
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
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