Parents would you be put off by a Childminder that charges less...

[BarryBarryTaylor]

...than the average childminder in the area?

I’ve just found a useful tool on childcare.co.uk (I didn’t know it existed!) that compares childminder rates in my area. You could look at profiles of CM less than 1mile away.
I’ve noticed a lot of them charge between £8-£10 p/h. I charge £6.50, which to me, felt more than enough. But now I’m a bit concerned that it may put parents off, as bizarre as that sounds.
Would you see how much I charge and think, well there must be an issue with her care? Or she must be cheaper for a reason? Or perhaps she isn’t as good?

Just to make clear, I’ve been a CM for 7yrs in this borough. I have been ofsted inspected twice and received a Good heading (with outstanding elements twice). I have my own Dd but she attends preschool. Last sept my prices did increased from £6.25-£6.50 and I wasn’t going to put them up again this September...but maybe I should??

Any parent opinions would be massively welcomed.
Thank you!

I would wonder if you needed to look after more children as your prices are lower?

I think it's really worth doing a bio with all your experience and OFSTED ratings plus a photo of yourself on the local Authority website or similar as I found that really helpful when looking.

Good childminders are really hard to find IMO.
Some are clearly just in it for the money, others I just would never leave my DC's with as disliked them on first meeting, some peoples houses were filthy, loads don't bother getting back to you, others have way too many children of different ages so are dragging multiple children to various drop offs and picks in a day.

I do think there's something in pricing psychologically for parents that mean they may overlook a lower priced CM

I think 8-10 per hour for a CM seems like quite a lot! My dc have both gone to a very good nursery with amazing resources that charges 6.25 an hour (this includes hot lunch, all snacks and milk, based on a daily rate). For something approaching 8-10 per hour, I'd expect something closer to a nanny than a CM, though I suppose this depends on where you are.

From a psychology perspective, yes, people usually are put off by someone who charges less than everyone else. It's usually much easier to sell something when it isn't the cheapest on the market as people do (subconsciously or not) make judgements about quality. I guess it depends on if you are hurting for business (would it damage your existing client relationships?) and/or need to raise your rates based on costs. It's more of a business question than anything.

Thanks JollyOh- I’m never without buisness and I never need to advertise, so it’s not like I’m struggling. I am already on the local council website and I have the very basic profile on childcare.co.uk, I don’t pay for the gold membership as it’s never seemed worth it for me. However that meant that I never really explored the site so I was shocked when I saw local CMs (who I don’t recognise from playgroups and parks and so on) charge £8+ p/h. I have three full timers so that would put their invoice at roughly £1733 per month!
I have some friends who charge more per hour than me but then they don’t charge for childs holidays, where as I do so they even out.
I definitely feel like I earn enough, I’m not interested in bankrupting parents but equally I don’t want to be seen as cheap either...

Thank you mind I’m in NE London, so definitely higher than the national average, but like you I was astounded at £8-£10p/h for a CM.

I should have said in opening post, I cook all meals from fresh (hot meals) and have two fruit snacks a day. I don’t provide formula or nappies, but I do provide wipes, and if child has cows milk, I provide that also.

If you are cheaper than others in your area, honestly I would assume that you were fairly inexperienced, and that your fee is lower to reflect that you are less experienced than other CMs.

If I then saw that you had 7 years experience, I'd be assuming that there must be some other reason your fees are so low, e.g that your services aren't so flexible in terms of start/finish times, or maybe you don't take children to many activities, you have a small house or no garden, or even that you serve cheaper food.

I will be honest, I'd be likely to skip past your profile and choose someone more expensive. I know that may sound silly and I don't mean it to offend in any way (I'm sure you are an excellent childminder) but I always think higher fee = better quality. Particularly when it comes to childcare, we all want the very best for our children. I hope this feedback is constructive (and I think all childminders deserve a high wage for the amazing job they do).

I would swerve and find someone more expensive if I had no personal recommendations.

I would assume the market had a level and you were cheaper for a reason.

Really bizarre isn’t it? I charge less than others in my area because it covers my expenses and gives me enough to earn for my own personal bills. Odd that it would be seen as offering a crapper service

And yet the amount of thread you read about people moaning about the cost of childcare, we can’t win! I might screen shot this and post it when those threads start again.

Thank you cherry plum and glorgirl very useful.
I’m off on maternity currently, but I think perhaps starting January I will increase my fees to £7p/h. What I earn currently is more than enough to cover bills and have a lovely life (we eat our often and have an abroad holiday once a year)

I have no idea if the CMs local to me charging £8-£10p/h are busy or not, I am and I don’t want that to be negatively affected

I know georgie tell me about it 😆😆

I think if you are fully booked then I would leave your prices as they are.

Wow, £10 an hour! My CM charges £4

I think it's probably worth looking at more than just the "price per hour" when calculating value though.

CM's vary a lot in what they include (food, nappies, outings) and how they charge for holidays (theirs/yours). CM's who charge more than you per hour may offer more favourable terms than you in other areas.

Pchole good point. I think I could to charge £7p/h knowing everything I offer and not feel embarrassed by it. Couldn’t bring myself to stretch to £8 p/h. To me that feels too greedy

i would leave your prices as they are but then charge a higher fee when new children start for the new children. i charge a similar amount but include paid holidays for me and the child in that fee.

Meme yes good idea, are you based in London?

@CherryPlum I always think higher fee = better quality we looked at numerous places in our local area when choosing childcare, the one we chose was not the most expensive but nor the cheapest. The most expensive one I found actually awful, when I arrived the staff came over to me and my DS and left a baby crying, the room stank of pooey nappies and I just didn't get the feeling of comfort I got with the one we choose. Both nurseries have over 3 settings in the area but one felt like a chain whereas the other felt so much more welcoming.

I didn't find out any prices until after visiting but turned out the one we chose was £7.50/day cheaper than the other one.