Child monitoring systems and approaches

Creativity & Innovation

Marketplace Research

The market for child monitoring devices is fairly robust. The product will likely target parents of children aged 3-11, roughly. The total number of children aged 0-11 in the United States is 49.4 million, and this figure is expected to grow over the coming years as the population of the United States grows (ChildStats.gov, 2014). The millennials, a large cohort, are going to start having children in the not too distant future, and with immigration the total market is going to be significant. If even 10% of parents were interested in this product, that would be a potential market of around 5 million units initially, with new growth each year of a further 500,000 units. A total of 68% of parents said they would use GPS to track their children for safety reasons, which implies a potential market of 3.4 million initially with growth of 340,000 annually thereafter, and increasing over time (Albino, 2013).

Our own surveys have indicated that there are many parents who would be interested in this product. There is concern among parents that their children often run off when they are in public places, to the point where some parents feel that they need to call after their children every thirty seconds. Most parents in our survey expressed concern about monitoring their children, many expressed skepticism about child leashes as being overkill and looking terrible, and many expressed an interest in having a digital solution to this issue, because they are genuinely concerned about being able to keep track of their children in a public place.

Competitive Analysis

There are two types of competitors -- direct and indirect. Our product was conceived as a response to the child leash, which is a physical constraint not much different than a dog leash. Many parents have taken to using a child leash to keep their children close, especially when their children have a tendency to run off. This feature is the primary advantage of the child leash, but these things come with many disadvantages as well. First, they are ugly, and equate the child to an animal. Second, children may be able to break free from the leash. Third, while the leash can be acceptable for a toddler, they are less acceptable for older children. There are definitely many parents who object to the idea of keeping a toddler on a leash (Snyder, 2013).

There are different types of child leashes on the market. In addition to the basic leash product, there are such things as child leash backpacks. These products combine the benefits of a backpack with the child leash concept, and because of the backpack they are perhaps a little bit less "leash-like" in their appearance, partially resolving one common grievance about child leashes (Abbene, 2014).

The price points for child leashes are quite low. A quick search on Amazon shows that a basic leash costs in the $4-10 range, and backpack leashes cost $12-32. The more expensive backpacks are typically designed like cartoon creatures like owls and monkeys. While these prices are quite low, there is room for an app to undercut this market, depending on the price of the GPS tracker that comes with the child's watch or necklace. Unfortunately there does not seem to be any information publicly-available about the size of the toddler leash market. It is expected that our product can not only win business away from the existing toddler leash market, but will also be attractive to the large number of parents who would not consider the toddler leash. The toddler leash is ultimately a fairly controversial product, polarizing even, and there are many parents who are steadfastly opposed to it, even if they have a desire to keep track of their children.

Another form of indirect competition comes with smartphones, and specifically the GPS tracking in those phones. For many parents, the ability to track their children via smartphones is an attraction to buying such devices for their children, even at a very early age when the child would otherwise not need such a device. Smartphones are by far the most expensive option, but there are similar products to ours on the market as well that form direct competition.

At the high end are electronic devices that have capabilities beyond simple GPS tracking. Amber Alert has a GPS/two-way calling device available for $125, for example. There are a number of other tracking products, at much lower price points. A basic TBO Tech Electronic Child Monitor, using a strap with plastic animal-shaped transmitter, is being marketed for $19, which is competitive with low-end backpack leashes. This product is marketed specifically as an alternative to leashes. The technology for this is very simple, and its design is more appropriate for toddlers. The beauty of our solution is that with trinket jewelry we are able to sell beyond the toddler market.