Baby care brands: how to adapt your strategies in a changing sector

The French childcare market is going through a period of profound changes. A historic demographic decline, the rise of e-commerce and second-hand goods, and changing purchasing behaviors are all factors redefining the rules of the game for manufacturers in the sector.

While the fundamental needs of young parents remain—safety, practicality, and trust in brands—the distribution channels, purchasing behaviors, and economic balance of the sector have been largely disrupted.

In the face of these transformations, maintaining growth requires deep adaptation: choice of channels, product innovation, product range evolution, marketing strategy, etc. But to achieve this, companies must equip themselves with a panoramic view of the childcare sector.

This article is aimed at manufacturers and offers them a breakdown of ongoing trends and concrete levers to develop their sales in an ecosystem in full reshuffling.

1. Economic context and key figures

Childcare refers to all the care, products, and services intended for the well-being and development of babies and young children, from 0 to 3 years old (sometimes more for products like strollers or car seats).

There are generally two main categories of products, called large childcare equipment and small childcare items.

Baby budget

While the minimum newborn equipment (crib, stroller, car seat, etc.) is close to 1,500 euros, the monthly budget then revolves around 490 euros per month, combining childcare, food, and equipment, notably thanks to public aid, which one in two households receives.

The baby budget therefore remains relatively high and benefits from various positive trends: 

• Impulse purchasing (including gifts from relatives and baby registries), 

• The demand for quality, which remains central to the minds of new parents, 

• The need for guidance and support, 

• The new opportunities constantly offered by the evolution of the web.

Declining birth rate and impact on demand

In 2024, France recorded 663,000 births, representing a decrease of 2.2% compared to 2023 and 21.5% compared to 2010. The total fertility rate stands at 1.62 children per woman, the lowest level since 1919.

This decline in the birth rate mechanically leads to a contraction in demand for childcare products, forcing sector players to adapt their offerings and explore new market segments.

Economic performance

Despite this unfavorable demographic context, the French market is holding up with an estimated turnover of 850 million euros in 2024. This resilience is explained by two main factors:

• Constant product innovation, with technological premiumization (smart strollers, modular products, etc.).

• Pricing strategies, which offset declines in volume with price increases, for example on infant formula.

This performance is all the more remarkable given that, in addition to the falling birth rate, the sector is facing inflation which is straining household budgets. 

However, not all segments are resisting equally. Large childcare equipment is maintaining its performance, while small childcare items, which are more sensitive to budget trade-offs, are experiencing difficulties (-8% for baby toys in 2024).

2. A retail network in reorganization

Four main traditional channels are used to distribute childcare products. Let's review them before addressing emerging models.

The main channels of French retail

a) Specialized chains: expertise as a differentiator

Analysis of this channel shows a mixed situation: while some players like Orchestra (which became NewOrch) have experienced financial difficulties linked to the decline in the birth rate and competitive pressure (notably from supermarkets), other networks are doing quite well.

‍The winners are Autour de Bébé and Bébé 9. These leaders boast solid performance thanks to their positioning as experts. Their ability to provide advice and the depth of their assortment meet the expectations of parents looking for guidance.

‍Overall, the specialized network comfortably outperforms large-scale food retailers, with 6.3% growth in 2024, compared to -7.6% for hypermarkets and supermarkets. This performance shows that consumers now prefer stores that offer expertise and a more targeted selection.

b) Mass retail: price accessibility above all else

On the supermarkets' side, the strategy is globally focused on price accessibility. Major chains avoid positioning themselves in the premium segment, leaving specialized networks to claim that territory.

Supermarkets and hypermarkets, on the other hand, benefit from their unmatched foot traffic to position highly profitable private label brands: Carrefour Baby, Intermarché La Pommette, Lidl Lupilu, etc.

c) Pharmacies and parapharmacies: health expertise

In France, pharmacies and parapharmacies occupy a strategic position in the childcare market, generating several hundred million euros in revenue thanks to their comprehensive range of essential products: infant formula, diapers, personal care, and hygiene products. The infant formula segment alone represents around €247M in this channel.

These drugstores capture a significant share of the overall market for baby hygiene and care products, valued at nearly €1.2B. Their health expertise gives them a decisive competitive advantage: they combine personalized advice with immediate accessibility, perfectly meeting the expectations of young parents seeking reassurance. This medical legitimacy explains why many brands prefer this channel to promote their technical innovations (baby bottles, breast pumps, specialized skincare).

Baby pacifiers perfectly illustrate the commercial strategy of this channel: these high-rotation products generate frequent purchases while serving as effective loss leaders, encouraging parents to round out their purchases with other items on the shelves.

d) E-commerce and marketplaces: continuous growth

Online sales have experienced considerable growth in recent years, including for products historically purchased in physical stores. E-commerce benefits from massive adoption for products that are already known or do not require a trial run. Parents prefer platforms that offer customer reviews, competitive prices, and fast delivery.

‍Generalist marketplaces (Amazon, Cdiscount) but also specialized ones (Smallable, L’Armoire de Bébé, Bambinou) are capturing an increasing share of sales. They offer a powerful alternative for brands, albeit at the cost of significant adjustments (pressure on margins, standardization of product content, search engine optimization, and paid search advertising, etc.).

The rise of new purchasing channels

The childcare sector is also marked by the emergence of new channels that are trying to disrupt traditional distribution models.

Concept stores and DNVBs

Establishing themselves as the favorite shops of many moms, Ma Biche, Little Cécile, and Happy Nounette belong to the family of concept stores, relying on a curated selection of brands, a polished aesthetic, and a strong boutique experience, often combined with an online shop.

‍Players like Joone (France) and Mushie (United States), on the other hand, follow the DNVB (Digital Native Vertical Brand) model, meaning they launched online, control their production, and focus their communication on digital branding.

‍Finally, there is Elodie Details, a premium brand of Swedish origin, distributed both on its own website and through multi-brand retailers. 

‍These three categories of players do not belong to any of the previously mentioned traditional channels, but they intend to firmly establish themselves in the purchasing habits of young parents.

Second-hand platforms

Today, more than one in two young moms buys second-hand items for economic and ecological reasons. Leboncoin has become the go-to platform in this area. But Vinted or Beebs (Kiabi) are also becoming important traffic hubs, even for premium brands resold between individuals.

Rental or subscription

Finally, new models are emerging around usage-based consumption, such as stroller rentals or clothing subscription boxes—a subscription (or one-off) service where a selection of clothes is delivered to your door, usually customized according to style, size, and preferences.

3. New generations = new purchasing habits

Today's young parents no longer consume childcare products like their elders did. Their purchases are increasingly shaped by their values, their community, and their economic constraints.

A generation in search of meaning

Millennials and young Gen Z, who now make up the majority of new parents, are transforming traditional purchasing codes.

Their ethical and health demands are at the heart of the purchasing act:

• Products free of harmful substances (Oeko-Tex® certified, organic, BPA-free);

• European or local manufacturing;

• Brands committed to environmental and social impact.

This search for meaning benefits brands that are able to combine transparency, traceability, and authentic CSR commitment.

Informed and community-based purchasing

Today's parents gather information via digital platforms such as social networks (Instagram, TikTok, Pinterest), customer reviews, or parent groups (forums, WhatsApp communities, apps like WeMoms, etc.).

Consequently, brands must build strong social proof:

• Authentic content (reviews, testimonials, User Generated Content);

• Collaborations with credible experts;

• Consistent presence on social channels.‍

Economic rationalization and the growth of second-hand

The rising cost of living is pushing families to cut back on certain expenses, even on essential products. A CSA survey published in early 2024 indicated that 53% of parents planned to reduce their purchases of children's clothing and equipment during the year.

This dynamic favors:

• The second-hand market (specialized platforms but also garage sales or consignment shops);

• Short-term rentals (strollers, car seats, travel cribs);

• Modular or multi-use products, perceived as more cost-effective;

• The collaborative economy (9 out of 10 parents are reportedly involved).

💡 For manufacturers, this makes it necessary to innovate or communicate on product longevity, modularity, and cost of use over time.

4. Manufacturers' strategies in response to market changes

In the face of these many changes, manufacturers are adapting and deploying new strategies.

Innovation and premiumization

Some have successfully gambled on investing in innovation and targeting a higher-end positioning, which notably allows them to differentiate themselves from supermarket competitors, who have little presence in this segment.

The smart stroller, now equipped with intelligent sensors and mobile applications, is a great example: this highly attractive premium segment stimulates a global market estimated at €235M through the regular introduction of new models.

Numerous startups are driving innovation in the sector: the BABYZEN YOYO stroller (acquired by Stokke in 2021) revolutionized the market with its ultra-compact design made to be accepted as cabin luggage.

Meeting new expectations

Established manufacturers and new entrants alike are trying to align with the new expectations of young parents (safety, practicality, ecology). 

Estimated at over 1.1 billion euros, the baby food market, largely dominated by giants Danone and Nestlé, is seeing the emergence of highly committed new brands like Popote, Yooji, or Babybio, which are shaking up historical players.

Sustainability and ecology are also becoming essential pillars of communication, and many manufacturers are reviewing their production processes, labels, and packaging to highlight a low carbon footprint manufacture.

Finally, flexibility and portability are also key criteria for parents living in the city, who prefer compact and adaptable equipment, especially to simplify their journeys on public transport.

Brand image: a major challenge in childcare

For many parents, quality remains a non-negotiable criterion, driving trust and recommendations. In a sector where safety comes first, reputation becomes a major strategic asset. Leaders like Chicco, Stokke, Bugaboo, or Cybex capitalize on their image as reliable manufacturers to justify premium prices.

This is why online reviews and recommendations are a crucial point in brand strategies. Social networks and other web platforms are scrutinized by parents about to purchase products, and the tone of the comments—both positive and negative—has a decisive impact on online and offline sales volumes.

Medical backing and technical or nutritional expertise also play both a promotional and informative role on packaging.

In addition to using influencers to build credibility and authenticity (particularly through product testing), brands are increasingly shifting away from traditional advertising in favor of digital media, which is cheaper and more targeted.

DTC (direct to consumer) strategy

Manufacturers are also investing in the development of proprietary sites and partnerships with specialized marketplaces to:

• Reach a broader customer base;

• Adapt to new consumer habits;

• Offer the entire catalog (in the case of a wide assortment);

• Develop omnichannel capabilities (web-to-store, click & collect).

h3 id="135">Innovative loyalty models

The Club Orchestra (3 million members) offers an interesting example of implementing a premium subscription. The offer fits into a transparent loyalty model: a low annual fee grants immediate and permanent benefits (delivery, advantageous returns, exclusive partner services, etc.) and thus creates repeat purchases.

New opportunities 

International expansion is also an avenue to explore for