India Preschool/Child Care Market, By Region, Competition, Forecast & Opportunities, 2021-2031F

The India Preschool/Child Care Market was valued at USD 4.78 Billion in 2025, and is expected to reach USD 8.56 Billion by 2031, rising at a CAGR of 10.20%. The market is witnessing robust expansion due to increasing urbanization, economic development, and heightened parental awareness regarding early childhood education. As more families transition to nuclear and dual-income structures, the demand for structured and reliable preschool and childcare services is surging. The sector features a mix of standalone centers, branded chains, and integrated school-based facilities, offering a blend of play-based learning, safety, and cognitive development programs. Government schemes such as the Integrated Child Development Services (ICDS) are driving private sector involvement and helping improve service quality. Urban centers, particularly in tier I and tier II cities, are leading market adoption, reflecting the shift towards early developmental programs that support holistic child growth in a safe, stimulating environment.

Key Market Drivers

Rising Urbanization and Dual-Income Households

The growing trend of urbanization in India has led to a shift toward nuclear families and dual-income households, driving demand for quality preschool and childcare services. With over 70% of urban households now being nuclear families (NFHS-5), and the urban population projected to reach 600 million by 2031 (World Economic Forum), working parents increasingly rely on childcare centers that ensure safety, developmental learning, and flexible schedules. Tier I and II cities have seen the highest concentration of such centers, responding to the lifestyle needs of professionals. According to IBEF, in 2022, the average per-child expenditure in India was USD 96.21, reflecting a growing investment in structured early education.

Key Market Challenges

Affordability and Accessibility

Despite increased demand, access to affordable, high-quality preschool and childcare services remains a challenge for many Indian families. In urban areas, service costs are often prohibitively high for middle- and lower-income groups. Meanwhile, rural and semi-urban regions face infrastructure limitations, a shortage of trained educators, and funding constraints, restricting access to quality early education. Government-backed programs such as Anganwadis under the ICDS scheme play a critical role in addressing these gaps, but often face operational and resource-related hurdles that affect service delivery and reach.

Key Market Trends

Integration of Technology in Early Learning

Preschools and childcare centers across India are increasingly adopting digital tools to enhance learning outcomes and engagement. Educational apps, smart devices, and interactive content are becoming part of classroom settings to support diverse learning needs and improve cognitive development. These technologies facilitate virtual storytelling, gamified learning, and real-time performance tracking. Furthermore, digital platforms also enable seamless parent-teacher communication, allowing updates on a child’s progress. Despite low government expenditure on Early Childhood Care and Education (0.1% of GDP), the private sector is actively investing in ed-tech integration to meet growing parental expectations.

Key Market Players

• Zee Learn Limited (Kidzee)
• S.K. Educations Pvt. Ltd. (Bachpan)
• Lighthouse Learning Private Limited
• Shemrock
• Tree House Education & Accessories Ltd.
• Apple Kids Education Private Limited
• Hello Kids Education India Pvt. Ltd.
• Little Millennium Educational Private Limited
• Podar Education Network
• Triumphant Institute of Management Education Pvt. Ltd. (T.I.M.E.)

Report Scope:

In this report, the India Preschool/Child Care Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

India Preschool/Child Care Market, By Facility:

• Full Day Care
• After School Care

India Preschool/Child Care Market, By Age Group:

• Less than 1Yr
• 1-2Yrs
• 2-4Yrs
• Others

India Preschool/Child Care Market, By Location:

• Standalone
• School Premises
• Office Premises

India Preschool/Child Care Market, By Region:

• North
• South
• East
• West

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the India Preschool/Child Care Market.

Available Customizations:

With the given market data, the publisher offers customizations according to a company's specific needs. The following customization options are available for the report.

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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