With the rise of the new middle-class forces and the opening of the second-child policy, the domestic nursery market has ushered in a new round of opportunities. According to the data released by the National Bureau of Statistics, the total number of newborns in China in 2017 was 17.23 million, of which the number of second births exceeded 51.2% for the first time. For the conservation of children aged 0-3, the mainstream concept of most families in the country is to ask grandparents or nannies to look after them. In the United States, the concept of DayCare has long been deeply rooted in people's hearts. The day-care institutions headed by Bright Horizons have matured in the industry after years of accumulation. In contrast, in China, the enrollment rate of infants aged 0-3 is far lower than the international average. The DayCare industry has a very low penetration rate and belongs to the absolute blue ocean market. Day care + early education combined into one Founded in March 2017, MoreCare is a full-day-care center that provides 8-day-old eight-day-old childcare services for children aged 0-3. Parent-child workshops and family education counseling are also available. And other comprehensive supporting services. After nearly one year of preparation, in October 2017, MoreCare's first flagship park opened in the central square of Haier Greentown Quanyun Village in Lixia District, Jinan City. The park covers an area of ​​2,300 square meters and is expected to accommodate a maximum of 160 people. Old baby. After the opening of the park, more than 80 babies have been recruited. In addition to the head of the park, the park is also equipped with a deputy head, a baby-care expert who specializes in academic research and development, and a service manager in charge of the administrative back office. After more than four months of operation, the flagship store in Jinan has basically achieved break-even before the Spring Festival. Based on the original intention of “Care+Educationâ€, MoreCare is not only responsible for the childcare function, but also for the daytime care of the baby, and more importantly, the attributes of education. Developmental education generally believes that 0 to 3 years old is an important period for brain development and physical development of baby children. In the view of MoreCare's full-time COO Lu Siwen, in order to make healthy and healthy children of 0-3 years old grow up, the most important thing is to help them establish healthy connections with the world, such as gaining a sense of security, border feeling and other basic perceptions. Lu Siwen is a professional education student who discovered the specificity of many baby education in this process. For example, unlike adult education, infant learning and cognitive models rely more on interactions with the surrounding environment, including exploration of the physical environment, and interactions between peers and adults. This also puts higher demands on the software and hardware environment in teaching and the educational philosophy of teachers. MoreCare's full-time teaching and research team has created MoreCare's unique 5R conservation philosophy, which includes: respect Respect, Response Response, Collaboration Reciprocity, Research, and Reference. Teachers' Self-cultivation and Construction of Quality Barriers As the core resource of the nursery industry, the reserve level of the faculty team determines the market size and expansion speed. Due to the high professionalism and values ​​of the kindergarten teachers, MoreCare is always looking for women with medical background, psychological background, preschool education background, and women with parenting experience. Self-cultivation of the teacher team. At the beginning of the preparatory period, MoreCare has established a teacher training center in Jinan. Based on the cooperation with pre-school education in 15 universities in Shandong Province, the systematic systematic training course will be introduced into the university classroom. It is expected that 300 kindergarten teachers will pass this year. Trained out of the pool. With the maturity of the faculty, MoreCare will open more than ten stores in Beishang Guangshen and second-tier cities in 2018, of which 2-3 are expected to open in the first half of the year. For the model of opening a store, MoreCare has three scenarios: The direct mode is the strategic focus of MoreCare's full-day support. The layout is aimed at first- and second-tier cities such as Beishang Guangshen. The cost of the initial stage includes property, labor and marketing. In addition, MoreCare will launch a parent-child park. In this mode, the cost of rent, passengers, and logistics expenses can be greatly reduced, but the brand's own word-of-mouth is more necessary. In addition, urban partners will also be the future direction. Determining success or failure for high-end customer group selection Site selection is always a decisive factor in the flow of offline stores. MoreCare is a day-to-day destination for high-end customers. It tends to choose high-end office buildings and supporting commercial podiums. It is best to cover high-end residential areas and superimpose daily work and life. The size of a single store is generally around 500 to 1000 square meters, and the number of infants is 8 square meters per person. Take the 1000 square meter site as an example. It can accommodate up to 120 children and support more than 30 kindergarten teachers. In order to enhance market reputation and strengthen market promotion, in addition to the traditional push and occasional forum activities for parents, we will focus on increasing brand building and publicity exposure at the company level and media port. The vast space of the track space needs to be activated Rusven believes that the DayCare track is already warming up, and the capital market will be further activated after the relevant qualification policy is introduced. MoreCare's full-day support this year will be a year of "running up", the offline heavy deployment and direct store opening mode, which determines the slow penetration of the market. From the perspective of the market structure, it will be relatively dispersed, and thus it will attract more attention from the education industry. And there are many risks and challenges. First, the daily service price of the day-care service is high, the base of the high-end customer group with the ability to pay is small, or facing the market ceiling, which is not conducive to future scale expansion and market sinking. Second, the whole-day custody of young children, this family The actual need behind the decision-making is the transformation of traditional ideas and consciousness. At present, most domestic households accept relatively low levels of institutional trusteeship. (MoreCare Mao Zedong COO: Lu Siwen) Recently, MoreCare COO Rusven accepted an interview with Love Analysis and conducted an in-depth dialogue on the company's business, strategy, and operations. Some of the contents were shared as follows. High-end positioning to seize market highs Love Analysis: What advantages does DayCare have over traditional early education centers ? Lu Siwen: DayCare is not only able to meet the early education needs of parents, but also to meet the needs of parents to host their children in a certain period of time - half a day or all day. If the early education business is based on educational attributes, it is basically a 45-minute class for the children, and there are only a limited number of children who can accompany them. The advantage of DayCare is that the child will spend the whole day and have the opportunity to feel more in an immersive environment, so the changes and impacts on the child will be greater. In summary, we help children build a one-day life process, develop good living habits, and achieve real social and collaborative interaction with other children. In addition, the early education center's flaw is that it is usually placed in the mall. During the day from Monday to Friday, the store's effectiveness is very low. Only at night can the class be completed, and the Japanese people will be full on Saturday. Therefore, these two formats seem to be aimed at 0-3 years old, but in fact the way of service is quite different, one is like a gym, the other is more like a kindergarten. Love Analysis: Why are you targeting high-end customers? Lu Siwen: The high-end customer base is not so large in scale, but they are more likely to become early adopters in the market. We found that parents who are willing to choose a day-care mode at the age of 0-3 have several characteristics: First, their own education level is good, and even have some overseas background, so they will know that this foreign business is actually very mature. Second, the income level of their own is not low; third, they are very concerned about the growth of their children from 0 to 3 years old. Their demands for children or institutions are not only conservation, but also education. Love Analysis: Will it consider popularizing the public? Lu Siwen: The market is currently an initial period. We hope to occupy the high point of the market, so we start from the high-end park. After the high-end park is completed, it will consider starting to do the Pratt & Whitney Park. At that time, it may involve a brand management problem, which will distinguish the independent brands from brand differences, similar to doing Xiaomi to make red rice. Enterprise cooperation to improve operational efficiency Love Analysis: Is this year's store plan? Lu Siwen: At the end of 2017, we have set a business plan for this year. We have to open 12 stores, which is a 7+3+2 model. Among them, 7 stores are direct stores of B to C, and there are two stores to open business cooperation stores, but they will be smaller when they come up. The third will be a city partnership, we will form a good resource cooperation with the local, for example, in the form of a joint venture subsidiary, we will build the entire management team, as well as all software and hardware systems, including finance, local to provide us with Resources for marketing channel resources, engineering property site selection, and government relations. Love analysis: At what level is the customer price of to C ? Lu Siwen: The standard price of Jinan is 12800/month. Beijing compares the entire track and basically sets it at 16800/month. If the annual card is paid annually, there will be some discounts. Jinan is basically around 100,000, and Beijing will be higher. Love analysis: How long can a single store achieve profitability? Lu Siwen: Considering the first site selection, many of the contracts we signed were five-year contracts. After calculating the five-year financial model, it is expected that a flagship store will have a pre-tax net profit rate of about 15% five years later. The more you go, the higher the interest rate will be. Under normal circumstances, enrollment will be able to break even when recruited in half. For example, Jinan's operation is basically balanced for 4 months, and Beishangguang is expected to be six months. Love analysis: Is the profit return of the corporate cooperation model the highest? Lu Siwen: Yes. According to the cost structure of to C, the focus is on three costs. The first is labor costs, and the second is property costs, the two are the highest. Third, because DayCare's model is a bit like kindergarten, in the process of 0 to 1, from the opening of the park to the filling of the park, it costs marketing costs, but after the park, relying on word of mouth, the number of degrees that can be released each year is not much, marketing The cost is very low. So in the 0 to 1 phase, the cost of marketing the artificial property is three. And the opening of the enterprise cooperation park, these three costs can be minimized. The children of the first corporate cooperation park chose to come by themselves, so the marketing cost is relatively low. The second enterprise can provide the property, and there are many teaching aids embedded in the soft decoration, which can be reused in the future. Third, if it is placed in some central enterprises or enterprises like Siemens, the labor costs of security, kitchen, and cleaning are relatively low. Love analysis: to C's main store location which factors to consider? Lu Siwen: First, relying on the methodology we have established now, basically the single-store use area is 500-1000 square meters ; second, according to the basic requirements of the country, no more than three layers, we are basically one layer plus two layers, independent escape Channels, outdoor activities, etc. are relatively convenient; third, considering the high-end positioning, basically choose the commercial podium in the office building, functional conditions, business conditions can be met, not as expensive as Shopping Mall, and many office buildings and business offices There will be residential areas next to the district and high-end residences. Love Analysis: What functions does Headquarters undertake? Lu Siwen: First, the business and operation center, responsible for engineering site selection, B to B business cooperation, major customer sales, government relations, etc. Second, marketing and digital centers, mainly responsible for brands and markets, B to C Sales, as well as the entire digital IT part, such as APP, small program development, new media operations, etc.; third, academic and teaching research centers, academic product development, teacher training, curriculum, publications, etc.; fourth, administrative and The financial center includes the back office part of human resources, administration, and financial law. Internal control and brand are word of mouth Love analysis: How to build consumer trust in the situation of frequent negative news in the early childhood education industry? Lu Siwen: First, do strict internal control, establish a quality operation system, and improve quality stability. A bad example is the situation in which the management of red, yellow and blue is out of control. In fact, good teachers and the entire operation management, these two things are ultimately pointing to security. What good things we provide for our children is a high line. The red line is a safety line, and this red line is actually not solved by how many cameras are installed, or it needs to be managed and controlled by employees. Second, do branding and do high-end. We also went to see some organizations in Xi'an doing day care. They made a rather unwise decision in the early stage, because they were worried about the ability of customers to pay and set their own prices down. In fact, instead of setting the price higher, people are more willing to trust. Anyway, the family has made a major family decision to send the children from 0 to 3 years old to the center. If there is a 3,000 to 8,000, it is better to send the 8000. Love Analysis: What impact will national policies have on the industry? Lu Siwen: The policy of license plate management has not yet been introduced. I heard that this year will definitely come out, and the health planning committees of various provinces and cities are also doing their own research. The reason why the capital market is still inactive now is to wait for the policy to come out. Because there is no policy license, there will be industry risks. Once the policy comes out, this market will be activated, so some will begin to layout first this year. Guangzhou Yilong Cosmetics Co., Ltd. , https://www.skinmelao.com