How to Generate and Fill Enrollment at Your Daycare Center

According to Missouri state representative Shirley Ellis, it is typical for an abundance of new childcare centers to open when the jobless rate in the local economy goes up. Many mothers who are unemployed or having trouble finding work after having a new baby create their own opportunities by becoming self-employed in child care. Unfortunately, many of these centers open with little experience or understanding about how to run a business and don't make it past the first few years of opening.

One center that opened recently in Saint Charles, Missouri took a different approach and has managed to become popular and successful in less than 3 months. Wiggle Wobbles Play Center is gaining the attention of other centers that are not doing as well. Located in St. Peters, Missouri, Wiggle Wobbles opened to the public on January 17 of 2011 with the goal of providing quality, yet affordable childcare in the Saint Charles County area. With a poor economy, the centers owner identified a huge need in the area for affordable daycare and was able to create a concept that would exceed the parents expectations and still generate a meager profit for the owner.

According to the owner, Lisa Sanborn, the business concept that Wiggle Wobbles used was the basis for their early success. By opening a center with extremely low overhead, they were able to keep their monthly costs down and pass those savings along to their customers in the form of below market prices for weekly rates. Charging only $110 per week, the cost of childcare at Wiggle Wobbles is about $65 less than the average cost of childcare for licensed centers and about the same as paying a home daycare provider with little or no experience in Early Childhood Education. The owner says, "It's kind of like the home daycare meets the Center. We have the flexibility of the home daycare but the experience and curriculum that parents expect from a center."

The company negotiated an affordable monthly payment on a small building that they were sure they could fill in the early stages of their growth. Accepting only 28 children in the initial building, Wiggle Wobbles was able to obtain over 95% enrollment in less than 2 months. Miss Sanborn said she felt that many centers failed because of their huge overhead and the extensive time it takes initially to fill their centers. With higher costs of childcare and the average daycare charging $160 to $250 per child each week, filling their centers takes even longer. With lower cost of childcare and lower overhead, a center is more likely to succeed in the early stages. Wiggle Wobbles claims their profit margin is probably not what it could be if they wanted to charge the parents a little more. But the owner is satisfied knowing she is offering a community service and still able to bring home a small paycheck to provide for her family. "In the end, it is all worth it to me. I know I am doing something good for the community and the families I care for and I wouldn't have it any other way."

Now that the facility has reached its maximum capacity, the center will be obtaining a second building across the street from the initial center as an affordable way to expand without sacrificing profits. The initial building was sort of a test market for the company that has found a niche and met the demands of the market in their area on price and quality. As the company opens the second location, they will be turning their existing facility into a specialized Infant and Toddler Unit that will accommodate 28 children ages 2 and under. The new facility will be primarily for ages 2 and older and will apply the same pricing and overhead structure as they used in their first building. By acquiring multiple buildings as the center grows with demand, initial overhead is kept to a minimum and the expense doesn't have to be sustained as the center grows. Also, by having multiple buildings, if enrollment declines, the overhead can be reduced by eliminating an existing building and combining enrollment in some of the other locations. By leasing the buildings on shorter terms 3 to 5 years, the monthly costs are fixed and flexible every few years so that overhead can be adjusted to meet any market changes.

Wiggle Wobbles Owner also stated that part of their success is in their employee selection, screening, and compensation program. All employees are carefully selected. The owner demands quality and commitment, stating, "We cater to our parents with flexibility and exceptionally personal care. Each and every employee must be dedicated to the growth of the child and the development of the relationships they have with that child and the child's family. Without that personal touch, many of the daycare centers feel more like puppy mills. We really care about the individual child and the comfort and security that parents feel each day when they drop their child off because they have to go to work. As a mother of 4, I know how hard that can be and I want to ensure every parent that their child is in a good environment. A huge part of that environment is the employee."

Every employee at Wiggle Wobbles receives extensive background screening, personality testing, and one-on-one training with the owner about their preferred practices and principles. One concept that is applied at Wiggle Wobbles is emphasized in a phrase that is displayed in a visible place in each classroom. The phrase is "Care, Clean, Play, and Plan." This phrase reminds the employees of the four most important aspects of the center and provides a basis for quality of care. In addition to the screening and training, Miss Sanborn confessed that her employee wages are nearly two dollars per hour above the average for workers throughout the industry, "If employees are paid well, they are more likely to stay and consistency is important in childcare. Having the same provider year after year is important. Turnover is costly, training takes time, and employees are also more respectful and appreciative when they earn more."

In general, it appears that Wiggle Wobbles has really created a unique business model coupled with a flexible and affordable childcare program that is unusual in the area or even in the industry as a whole. Most centers that push quality also have a heavy price tag that goes along with their service and home daycares or centers with little curriculum or structure may offer a good price but sacrifice quality and consistency for the child. Wiggle Wobbles appears to address both quality and affordability and has become a popular choice for childcare in the Saint Charles County area.

They expect to have the new facility renovated and licensed before the end of the summer in 2011 so that they can meet the growing demand for quality and affordable child care service in the area. The new building will offer enrollment to 40 more children ages 2 and older and will allow the existing building to open enrollment for 20 more Infant and Toddlers ages 2 and under. The center is located at 1380 Triad Center Drive and the Owner can be contact 24 hours a day by personal cell phone at 636-866-5241. She stated that her facility also has an open door policy and parents are welcome at the center any time to ask questions, visit the classrooms, or obtain a tour of the facility.

SOURCES:
Sanborn, Lisa, Owner of Wiggle Wobbles Play Center, St. Peters, MO 63376. Personal Interview. March 20, 2011.