Child Day Care Services — Market Size & Saturation

There are 78,107 child day care services establishments in the United States — that's 23.6 businesses per 100,000 people.

78,107
Total Establishments (QCEW)
58,834
Total Firms
23.6
Businesses per 100K People

Is Child Day Care Oversaturated?

With 23.6 businesses per 100,000 people, the child day care services market has moderate competition. There are 78,107 establishments nationally — enough to indicate proven demand, but not so many that the market feels crowded.

This level of saturation often represents a sweet spot: the market is validated (customers exist and are spending), but there's still room for new entrants with differentiated offerings. Geographic pockets may be underserved.

Competition Dynamics

Entry and exit rates reveal how actively the competitive landscape is changing.

10.3%
Entry Rate
7.3%
Exit Rate
68%
5-Year Survival
+7.5%
Net Growth

More businesses are opening (10.3%) than closing (7.3%) — the market is expanding and attracting new entrants. Competition is intensifying.

Should You Enter This Market?

Here's a summary of the competitive picture for child day care services:

Market Size

78,107 establishments

Density

23.6 per 100K people

Avg Revenue/Business

$750K/year

Competition Level

Moderate Competition

There's room in this market for well-positioned newcomers. Focus on identifying underserved geographic areas or customer segments.

Frequently Asked Questions

How many child day care services businesses are in the US?
There are 78,107 child day care services establishments in the United States (58,834 unique firms). This translates to approximately 23.6 businesses per 100,000 people nationwide.
Is the child day care services market oversaturated?
With 23.6 businesses per 100K people, the child day care services market has moderate competition — not oversaturated, but not wide open either.

Sources: Bureau of Labor Statistics QCEW (2023), U.S. Census Bureau Business Dynamics Statistics. Population: 331,449,281 (2020 Census).