The preschool and childcare market in India is witnessing remarkable growth, driven by increasing awareness of early childhood education, dual-income households, and a rising demand for structured learning environments. As parents seek high-quality early education for their children, brands like Sanfort Group of Schools are playing a pivotal role in shaping the future of preschool education. Sanfort, a pioneer in early childhood education, has set new benchmarks with its innovative curriculum, child-centric learning approach, and international standards. With the National Education Policy (NEP) 2020 emphasizing foundational learning, the industry is poised for significant expansion, offering immense opportunities for investors, educators, and parents alike.

With market estimates projecting humongous market growth from 2025 to 2032, the Indian childcare and preschool market will be one of the key drivers for the education industry. The blog discusses the market size and forecast (2025-2032), drivers, trends, segmentation, opportunities, and key players that will shape the future of early childhood education in India.

Market Size and Forecast (2025-2032)

The Indian early childhood market or preschool and child care market worth approximately ₹25,000 crores in 2023 by industry experts projects a CAGR (Compound Annual Growth Rate) of 12-15% from 2025-2032. Correspondingly, by the year 2032, the market will reach more than ₹80,000 crores, reflective of humongous growth driven by increasing urbanisation, dual-income households, as well as rising discretionary incomes.

Principal Projections

• 2025: ₹35,000 crore
• 2027: ₹48,000 crore
• 2030: ₹65,000 crore
• 2032: ₹80,000 + crore

Sources of the data: Research & Markets

This growth will be followed by shifting curriculum designs, the use of technology in learning, and policy support for early childhood education from the government.

Market Trends Changing the Business:

Certain trends are driving the makeover of India’s preschool and childcare business.

1. Greater Contribution of Early Childhood Education (ECE)

Research has shown that 90% of a child’s brain growth is completed before six years of age. Parents now are well conscious of the importance of formal preschool education, and enrolments have increased accordingly.

2. Digital and Hybrid Learning Taking Off

With the addition of AI-based learning modules, smart classrooms, and digital storytelling, hybrid models of education are being adopted by majority of preschools. Between 2025-2032, this trend is expected to continue to develop, offering flexibility for parents and children alike.

3. Expansion of Franchise-Based Preschool Chains

The franchise model is turning into the popular model of growth for big preschool brands, offering standardized curriculum, safety measures, and quality infrastructure across different geographies.

4. Government Push for Increased Pre-Primary Education

The NEP 2020 has given special emphasis to early childhood care and education (ECCE) and integrated it with mainstream education. This is expected to trigger enrolments in private as well as government-aided pre-primary schools.

5. Shift Towards Holistic and Play-Based Learning

Montessori, Waldorf, and Reggio Emilia methods are being increasingly adopted in preschools, which stress learning through activity rather than memorization.

Growth Drivers of the Indian Preschool & Childcare Market:

There are certain drivers of the rapid growth of this sector.

1. Increase in Number of Working Parents

As there are more dual-income households, there is higher demand for quality childcare and preschools that offer a healthy and safe place to children.

2. Increase in Disposable Income and Urbanization

As personal incomes rise, parents do not hesitate to spend on quality early learning services and thus propel demand for structured preschool programs.

3. Technological Advances in Early Learning

The intersection of AI, gamification, and virtual reality (VR) in preschool education is making early childhood learning more efficient and engaging.

4. Growth of Organized Preschool Chains

Sanfort, Kidzee, Euro Kids, and Little Millennium are expanding their presence, offering quality education to more individuals.

5. Increase in Government Initiatives

National Education Policy (NEP) 2020 and programs like Samagra Shiksha Abhiyan aim to increase access to early childhood education in urban and rural areas both.

Market Segmentation:

Preschool and childcare business can be classified on age group, type of ownership, and curriculum setup.

1. Based on Age Group

• Infant Care (0-2 years) – Daycare and sensory development are given importance.
• Pre-Nursery (2-3 years) – Learning through play along with activities planned.
• Nursery (3-4 years) – Literacy, numeracy, and intellectual development introduced.
• Kindergarten (4-6 years) – Prepared for primary school academics.

2. Based on Type of Ownership

• Independent Preschools – Separate schools for early education only.
• Franchise Based Preschools – Chain schools with standardized model of education (e.g., Sanfort, Kidzee, Euro Kids).
• Corporate Childcare Centers – Preschools integrated with working parents’ offices.
• Government Subsidized Schools – Schemes like Anganwadi and Balwadi schemes.

3. Based on Curriculum Type

• Montessori Method – Child-centered learning with hands-on activity.
• Reggio Emilia Approach – Project-based and experience-based learning.
• Play way Method – Activity-based, role-playing, and game-based learning.
• Hybrid Model – Combination of offline and online learning models.

Market Opportunities for Preschool & Childcare:

As the market continues to grow, numerous opportunities await investors, teachers, and entrepreneurs.

1. Franchise-Based Preschool Chains Development

Investment in a Best Preschool Franchise in India with brands such as Sanfort is a low-margin and no-risk business opportunity due to the growing demand for quality early childhood education.

2. EdTech Integration in Preschools

The launch of AI-based learning apps and virtual classrooms offers fresh opportunities for innovation within the preschool sector.

3. Tier 2 and Tier 3 City Expansion

Though metro cities hold sway in the preschool sector, Tier 2 and Tier 3 cities are becoming high-growth markets with increasing demand for formal early childhood education.

4. Premium & Niche Preschools

There is an increasing need for specialized preschools offering language immersion, STEM learning, and global curricula.

5. Childcare within Corporates

A few companies are aligning with childcare centres to provide daycare facilities to working parents, a double win for families and businesses.

Key Players in Preschool & Childcare Market in India:

Some of the prominent brands have a strong hold in the Indian preschool market, with innovative and well-designed early childhood education programs.

Best Preschool Chains in India

1. Sanfort (A Unit of SAR Edutech Ltd.) – India’s first Touch N Learn preschool providing world-class early education.
2. Kidzee – India’s largest preschool chain.
3. EuroKids – Distinguished by its activity-based and innovative curriculum approach.
4. Little Millennium – Emphasizes all-round development of the child.
5. Bachpan Play School – Low-cost and easily accessible preschool chain.

Conclusion: The Future of the Preschool Industry in India

The Indian preschool and childcare sector is on the growth path, with more demand for quality early childhood education, integration of technology, and franchise-based development. Between 2025 and 2032, it will experience unparalleled growth, innovation, and investment opportunities.

Want to invest in a preschool business? Sanfort Preschool provides excellent quality Pre School Franchise Chain in India with proven success and strong brand equity.

Call: 1800-1029-503

Visit: www.sanfortschools.com

Be a part of the future of early childhood education in India!