Children Franchises Still Extremely Popular
by Mary E. Tomzack
There are 4 million babies being born every year in the U.S. and most families are dual-income households. That combination has created $60 billion in annual revenues for the childcare industry. As the number of children increases, so does the competition to get into the best schools. Parents are feeling the pressure to help their kids get a competitive edge and a growing number are willing to pay for supplemental education services. In this issue we talk to Dr. Nick Whitehead of Oxford Learning and Amy Peterson-Smith of Kiddie Academy to get their views on the business of kids.
Learning how to think the Oxford way Oxford Learning provides supplemental education programs to children preschool through 12th grade. Programs include cognitive skills development at all grade levels plus summer enrichment programs, SAT and (soon) ACT test preparation, and French immersion. The three core programs are: Little Readers Academy (ages 3-6), Beyond Tutoring (grades 1-8), and Advantage High School Success (grades 9-12).
Oxford Learning began in 1984 when a team of education experts came together to create a unique learning program based on research into how children actually learn. It has since evolved into something much different. Dr. Nick Whitehead, Cofounder and President, says, "It grew out of a single learning center in London, Ontario. The original programs were designed to build cognitive skills for children who were either behind or learning disabled. We worked on the development of specific thinking/learning skills. By focusing in those areas, we were able to show that we could help even learning disabled children learn effectively. But what came of that is we got a number of kids in the program who were just behind and we discovered that the material and the concepts in the program were working wonderfully for just ordinary kids. Within about three years, the population of the center changed drastically until all we had were kids who were not achieving their full potential in school or kids who were there for enrichment. And we no longer were primarily for learning disabled kids. What's happened since then, of course, is we are in the mainstream of providing supplemental education for the average kid now."
Today, Oxford Learning goes beyond tutoring to help students reach their learning potential. And it's not just for their school career, but for a lifetime. "Our unique programs teach children to learn how to learn. Just one to two hours a week can make a world of difference in developing the right skills and habits to succeed, no matter what the subject or the grade level, and breaking the cycle of hiring tutors year-after-year," Dr. Whitehead explains.
Oxford Learning's methods seemed pretty radical 20 years ago. "It's not as radical now," says Dr. Whitehead, "but there's no one else doing it. We used the latest cognitive science to build fully integrated curriculum programs that don't just build academic skills. They first and foremost develop better thinking and learning skills, then we layer on top of that the academic skills. The kids learn the skills necessary to master the academic information that they are being taught so that they actually understand what they were learning, not just memorizing. That's been the secret of our success."
Oxford Learning maintains a large curriculum department that continues to develop materials based on the same strategy. For example, the company has recently introduced a new SAT program and an ACT program is near release. Dr. Whitehead says that most commercial SAT programs don't really help kids because all they do is cram for the exam to get a higher score. The result is a 40% dropout rate in the first year of college despite the high SAT scores. "We've got a 50-100 hour program that develops conceptual learning, organization, and time management skills while preparing for the SAT. The result is a student who is truly ready for university. It's harder to sell because everyone wants a quick fix, but it works," says Dr.Whitehead.
Franchisees don't have to be teachers Franchisees act as center directors, not teachers. They do not need an education background. "Their function," says Mark Mele, VP of Operations, "is to operate their center. They recruit teachers to staff the centers, most of whom are certified."
Oxford Learning facilities are typically storefront locations of approximately 2,000 sf, located in strip centers or shopping plazas. "We target suburban markets with higher income that also have a certain population of school age children," says Mele. The cost of the programs varies depending on the area, but $60 an hour is typical. Kids attend 1-2 hours per week so on average, parents might pay $450-500 per month. The 100-150 hours of programming is spread out over 12-14 months.
The future, says Mele, looks outstanding. The company currently has 110 locations in Canada and 24 in the U.S. "We just started our franchise efforts here in full force back in July of '05 so we are just getting started here. We are seeing the supplemental education here in the states is thriving. That is one of the driving forces behind Oxford wanting to really venture into the U.S. Parents are seeking individual attention for their children that can't be received from the system. The fact is that an average education of B's and C's is no longer acceptable to achieve a post secondary education or attend a private school today," says Mele. "So parents want the biggest advantage they can get for their kids."
Contact Information: Dr. Nick Whitehead Or Mark Mele, Oxford Learning Center, Operations, www.OxfordLearning.com
To find out more about the children services sector, please click here: http://www.franchisehelp.com/execfb/public.showcatalog-pcid-187
About the Author
MARY E. TOMZACK is the President and Founder of FranchiseHelp, Inc. She is a noted franchise expert and the author of Tips & Traps When Buying a Franchise. Ms. Tomzack is often interviewed by The New York Times, "Franchise World" and "Entrepreneur Magazine."
You can reach her at (914) 347-6735/(800) 401-1446 or at company@franchisehelp.com. Website: http://www.franchisehelp.com