Marketing Research and Competitive Analysis of a Nature School

Last week I learned so much about the outdoor education model in Northern Europe from the student-centered pedagogy that emphasizes the interconnectedness between nature and human society to the relationship between schooling and parenting culture. Especially during the reading that compares parenting culture and educational goals between Northern Europe and the United States, I became increasingly interested in how the outdoor education model would look like in the Global South, given the cultural, political, and economic differences. However, I think it is imperative to analyze the business planning and marketing behind the current nature and forest schools to understand how to start such an institution from scratch. Accordingly, the business planning and marketing aspects can later be analyzed in the context of countries in the Global South to see how they would function there. This blog will mostly focus on market research and competitive analysis, the first steps of starting a business, in the context of nature/forest schools. Hopefully, this leads to a more in-depth analysis of the business planning and financing of nature schools later on. Then the cross-national analysis can be made in the context of countries in the Global South.

Firstly, it is worth noting that most people who start forest or nature kindergartens are passionate about nature and becoming millionaires are not the first thing in their minds. Finch (2016) notes that while most founders are not trained in entrepreneurship or business management, their commitment to the greater good allows them to develop a successful school despite the challenges (p. 159). It is also crucial to understand that some businesses do not work, and failure is a normal part of the process. However, this does not mean one should give up.

Tutors teaching children in an outdoor school

According to the U.S. Small Business Administration (n.d.), the first step of starting a business is conducting market research and competitive analysis to find a competitive advantage for one’s business. Some questions one can answer during the market research and competitive analysis are “Who and how many people would be interested in the product?” “Where do the customers live, and where can the business reach?” “How many options are already available to customers?” and “What is the income range of the customers?”.

Firstly, the primary audience, those who will enroll their children in nature schools and pay the fees, are parents and other caregivers. However, there is already an existing audience from the other general early childhood education schools that new nature schools can exploit. Finch (2016) states that “the existing ECE (Early Childhood Education) audience mostly needs help in choosing the many, many options they may find—different philosophies, program designs, price points, schedules…” (p. 162). The main takeaway from this is that one will need to explain to this audience why a nature preschool or forest preschool is the best option out of all the other ECE programs, and how outdoor education brings a new dynamic in the personal growth of children.

Secondly, the location of a nature school will be crucial to the success of the institution. Many parents will not want to drive for a long time to take their children back and forth every day, and it will be convenient if the school is within walking or biking distance. Finch also emphasizes to know where are the most significant concentrations of families with young children and take advantage of the probable massive demand for early childhood education. Road access and traffic are other factors that should be considered. Driving fast to a relatively remote location may be more convenient than driving in a super urbanized area with swamped traffic. The Forest School Association (n.d) states that a forest school does not necessarily have to have direct access to woodlands. Other locations such as playgrounds, meadows, beaches, and other areas with natural materials can also be useful for teaching environmental education (par. 6). This information also relates to what we learned in class that Denmark has built environments such as gardens and playgrounds that complement the goals of nature schools and where children can be exposed to the natural environment despite the country being very urbanized. The Forest School Association (n.d) emphasizes that “It is the philosophy that is the essential element of Forest School, not the site.” (par. 6).

The situation gets tricky when developing the daily schedule of nature schools’ programs. Generally, there are two types of daily/annual schedules, one being half-day, school year nature program, and the other being a full-day, year-round program (Finch, 2016, p. 163). In choosing between these two program schedules, one is also affecting the type of families that can benefit from the nature program.

For example, the half-day schedule, which is the simpler schedule type to work with, does not require economic costs such as nap time (time is a cost), food services, multiple work shifts for staff, some licensing standards, and summertime staffing (Finch, 2016, p. 163). However, this schedule would require parents to pick up their children in the middle of the day, something troublesome for those that work all day. Finch (2016) explains the half-day, school-year programs cater specially to the wealthier families because families who have a stay-at-home parent or that can hire a babysitter to pick up children are relatively those in the higher income bracket (p. 164). Unfortunately, lower-income families that are single-parent or two-earner parents might not be able to benefit from this schedule. On the other hand, full-day, year-round programs have more economic costs (those that were mentioned above), which makes it more challenging for the school to operate and gain profits. However, this type of schedule is friendlier towards lower-income families, making it convenient for families to drop off and pick up their children. Accordingly, choosing the type of program schedule nature/forest schools is imperative because it may have unexpected implications.

Outdoor children learning to shoot with bow and arrow made of sticks

Another initiative nature and forest schools are implementing are scholarships for increasing student diversity and assisting lower-income families. Finch (2016) describes that multiple nature schools create separate scholarship funds funded by fundraisers and annual events (p. 165). These initiatives also captivate potential donors who are passionate about reconnecting all children with nature, regardless of their socioeconomic status. However, Finch (2016) emphasizes that colleges do not reduce revenue, and he explains “usually a scholarship amount is awarded and then that amount of the scholarship is transferred from the restricted scholarship account [fund] into the general tuition income account, hence accounting for the full tuition fee.” (p. 165).

When it comes to competitive analysis, the US Small Business Administration (n.d.) recommends entrepreneurs to recognize the characteristics of the competitive landscape, such as the strengths, weaknesses, window of opportunity to enter the market, etc. (par. 12). Finch (2016) states that although the general early childhood education market is relatively competitive, this competition is mostly between facilities that similar and compete for amenities such as fancy technology (p. 165). Accordingly, nature and forest schools have an advantage when it comes to branding their teaching, facilities, and location since it is unique from the rest of the early childhood education centers. Additionally, there are not numerous nature and forest schools in the United States and other parts of the world. Hence the competition between nature schools might not be as cutthroat. The lack of popularity regarding outdoor education can also be a double edge sword as today’s society values academic results, and parents want their children to have successful lives. It is worth noting that nature schools’ results cannot be easily quantified. At the same time, marketing strategies such as appealing to the parents’ emotions, relating to their childhoods, and showing them research studies can motivate them to enroll their children in outdoor education. The next crucial component is knowing the range of tuition rates in the nearby community to decide the most competitive tuition fee for the new nature/forest school (Finch 2016). Finally, the window of opportunity for the new school program to begin depends on the schedule of other nearby schools. Finch (2016) suggests “ideally a new program will be ready to begin promotional activities by the November or December it intends to open for the next school year” (p. 180). Accordingly, the ideal period for student enrollment would from January to March.

In the end, market research and competitive analysis are some of the essential components of building a business and act as a foundation for the business plan and financing strategies. Knowing the audience (including the relationship with each of the socioeconomic income groups), competitors, and location are part of the research process that can make or break a business. Nature schools can also be thought of as businesses as they need revenue to keep operating, and marketing okays a considerable role in their success. Accordingly, starting a nature school is similar to starting a business. Analyzing the business side of the startup process of current nature schools will be helpful when investigating the specific finance and business plans, which is a step into how outdoor education could spread to more countries in the Global South.

Works Cited

Finch, Ken. “The Dollars and Sense of Business Planning and Budgeting.” Nature Preschools and Forest Kindergartens: the Handbook for Outdoor Learning, by David Sobel, Redleaf Press, 2016, pp. 159–190.

“Forest School Myth Busting.” Forest School Association, www.forestschoolassociation.org/forest-school-myth-busting/.

Market Research and Competitive Analysis, www.sba.gov/business-guide/plan-your-business/market-research-competitive-analysis.