CRACKING THE $9B CHILDCARE CODE

Written on the 20 March 2015 by Laura Daquino

CRACKING THE $9B CHILDCARE CODE

HOW do you make childcare better for everyone?

It's a problem that a Brisbane start-up is addressing with a Wotif-style model and now thinks it has a stake in solving. 

There is a reported two-year waiting period on average to secure a desired childcare placement in Australia, creating a heavy reliance on alternatives such as negotiating flexible work hours and care by relatives.

However, with an aging population and prevailing challenges in workplace reform, Lachie Neilan of start-up EenieMeenie believes in a better way for the industry which is estimated to be worth $9 billion a year.

Neilan says there is an oversupply of childcare on a national scale, but particular areas have chronic undersupply which skews perception.

"The government's own reports say that in any given day there are more than 60,000 vacancies available in Australia," says Neilan.

"I've been in talks with a group who owns 14 centres across a region and every one of their centres has permanent vacancies available.

"Admittedly, city centres have fewer opportunities and there are obviously problems in the system, but there are still temporary and permanent vacancies available to the market and that's what we want to communicate."

Drawing from his own experience, where his daughter's childcare was configured around his wife's part-time work and care of his parents, Neilan struck a problem when his parents went away and he couldn't book his daughter into her centre for an extra day per week.

"I said to my wife wouldn't it be great if we could 'Wotif' childcare and find a vacancy somewhere around here," says Neilan.

"It sounds like a silly thing to say, but I was really taken aback that a database search and book service didn't exist for childcare, and surely the future for booking pretty much anything is online.

"There are reasons people will hesitate because it's concerning their pride and joy, but we have a really strict and regulated childcare industry in Australia so the product is of a certain standard to begin with."

Neilan did six months of research into the viability of an all-in-one childcare information, vacancy and review website while continuing to run his clothing manufacturing business and then exited the business altogether after consulting his now business partner, startup investor Ben Skerman.

The business launched in January this year after two years from inception and is currently concentrated on gaining a foothold locally in south-east Queensland, where a few of the larger childcare providers like Affinity Education Group (ASX: AFJ), G8 Education (ASX: GEM) and Goodstart Early Leaning also happen to be based.

"We will go to the big companies once we have proven our market in smaller providers with 10 or 20 centres, once we can show them it's working and will improve their bottom line," says Neilan.

EenieMeenie charges providers nothing to sign up or upload vacancies, and patrons only pay for the vacancy they are purchasing. The company takes a commission when the vacancy is sold.

"There are so many payment barriers for online services that we wanted to eliminate these as they are just more hurdles centres and parents need to get past in the already tricky childcare environment," says Neilan.

 


Author: Laura Daquino Connect via: Twitter LinkedIn

Latest News

COCHLEAR R&D INVESTMENT DRIVES NEW PRODUCTS AND BOOSTS PROFIT AND REVENUE

COCHLEAR (ASX: COH) has boosted its 2017 full year net profit by 18 percent to $223.6 million and has forecast furthe...

WESFARMERS BOOKS BUMPER PROFIT BUT SUPERMARKET WAR HITS COLES' BOTTOM LINE

SUPERMARKET giant Coles has posted its biggest slide in earnings since it was acquired by Wesfarmers (ASX: WES) 10 ye...

TREASURY WINES UNCORKS SWEET $269M PROFIT DESPITE INVENTORY WOES

REVEALING the fruits of its past year of labour, Treasury Wine Estates (ASX: TWE) has posted a 55 per cent increas...

TATTS GROUP POSTS PROFIT AND REVENUE DROP ON FEWER JACKPOTS AND BAD WEATHER FOR RACING

TATTS Group (ASX: TTS) has posted a full year net profit loss of 5.7 percent and a revenue decline of 8.4 per cent as...

Related News

WESFARMERS BOOKS BUMPER PROFIT BUT SUPERMARKET WAR HITS COLES' BOTTOM LINE

SUPERMARKET giant Coles has posted its biggest slide in earnings since it was acquired by Wesfarmers (ASX: WES) 10 ye...

ANALYSTS PREDICT WHAT AUSSIE LIVING IS LIKELY TO BECOME IN THE NEXT CENTURY

AS THE Australian population continues to grow, analysts are predicting what the country is likely to look like wi...

SEVEN WEST REPORTS MASSIVE LOSS AND CUTS CEO TIM WORNER'S PAY PACKET BY $450K

SEVEN West Media (ASX: SWM) has posted a full-year loss of $744.3 million and cut CEO Tim Worner's pay packet by ...

HOW MAKING MISTAKES AND PASSION SCORED WEIGHT LOSS PARTNERS A DEAL WITH SHARK TANK'S JANINE ALLIS

THEY partnered up to provide a scientific and targeted approach to dieting, and Kate Save and Geoff Draper cut Sha...

BOOK YOUR FUNCTION SPACE HERE

 

 

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter