Marketing Analysis of

SUBMITTED BY GROUP 9:-

ABHISEK DASH (BD20003)
APPOORVA GOENKA (BD20012)
APURV PUSALKAR (BD20013)
ARPIT GUPTA (BD20015)
DEEP SACHETI (BD20022)
PURVI JAIN (BD20045)
RISHABH KATARIA (BD20048)
NAGENDRA SHARMA
(BD20053) SHRISTI MOITRA
(BD20057)
 Introduction
Byju’s was founded by Byju Raveendran in 2011 and is currently based out of
Bangalore, India. Byju’s has attracted many investors since its initial phase. In 2016,
it received funding from Chan-Zuckerberg initiative and became the first Asian
company to do so. Recently, in August 2020, Byju’s had raised INR 910 Crores
through DST Global, one of the leading investors in tech based startups. Byju’s has
always focused on making learning fun and interactive, and its acquisitions of
companies such as Vidyartha and Osmo in 2017 & 2019 respectively can be seen as
a proof of this mindset. Byju’s has recently acquired White Hat Jr., an online teaching
platform that teaches basic coding to children. This is seen as a very measured and
profitable move as the importance of coding was underlined in the NEP 2020, and
gives Byju’s a competitive advantage in this sector of EdTech. The company has
also partnered up with Disney to launch its early learning app for classes 1-3.
CoronaVirus lockdown has been a blessing in disguise for Byju’s as it recorded a
rise of more than 13 million students in the initial months of the lockdown. Byju’s had
made all its content free for all in response to the epidemic and the need of online
education.
Byju’s has become the second most valued Indian startup, second only to PayTm,
with a Market Evaluation of about $10.5 Billion (about INR 7.67 Lakh Crores). It is
endorsed by Shah Rukh Khan and has an innovative concept with which it is able to
capture the Indian markets.

Byju’s is now looking to expand in other English speaking countries like the United
States of America, the United Kingdom and South Africa, to name a few
 P.E.S.T.L.E. ANALYSIS
Economic Effect
Hit hard by the COVID-19 Pandemic, the Indian economy is expected to contract by
40% by Q1 of 2021, and the GDP is supposed to shrink by 4% during the current
financial year. The Pandemic has taken a toll on the unemployment rate, which rose
from 6.7% in March 2020 to 26% by May 2020. Around half of the businesses in the
country are expected to be impacted drastically.

Amongst this uncertainty, the industry that grew significantly was the EdTech
industry due to continuous and significant investment by Government, Students,
Professionals, Teachers, and Parents globally. In India, the Nationwide Lockdown
has substantially boosted the EdTech industry as education goes online. During this
period, the EdTech industry has successfully doubled its user base from about 45
Million in 2019 to 90 Million in 2020. It is also predicted that the industry will keep
growing at a CAGR of 52% and become a 2-billion-dollar industry by 2021. The
reasons for this growth are 1. Increase in the use of the internet and smartphones
and their deep penetration into Indian households. 2. EdTech platforms are cost-
effective and have the ability to serve a broad base of audience. 3. Building on the
hypothesis that people learn more by seeing rather than merely reading from the
textbook.

Think and Learn Private Limited, better known as BYJU’S, is India’s fastest growing
EdTech platform with over 57 Million downloads and 3.5 Million paid users. Byju
Raveendran started the company in the year 2011, and the company got
incorporated in the year 2015. BYJU’S witnessed a 100% grown rate in the next
three years. The major investors are Bond Capital, Tiger Global, General Atlantic,
Naspers, Sequoia Capital India, Tencent, Lightspeed Ventures. BYJU’S believes in
aggressive marketing strategy, and given the Pandemic, BYJU’S offered free access
to their complete app both for paid and unpaid users starting from April. This move
(according to sources) was successful in attracting 13.5 million users in April and
May 2020 alone. It has also expanded its workforce by over 4000. It attracted
funding worth $2.5 billion in the first quarter of 2020, a 14 percent rise compared to
the same period last year, taking its current valuation to 10.5-billion-Dollars making it
the second-highest valued start-up in the country after Paytm.

BYJU’S is now expanding its market by getting into teaching programming and
coding with the recent acquisitions of White-Hat Junior for 300-million-dollars. With
the acquisition of OSMO for 120- Million- Dollars BYJU’S, an online educational
gaming platform, it is trying to tap the market segment with students from age 3-8.
Political/Legal
As Byju’s is set to increase its presence in Global English speaking markets such as
the US and the UK, the political aspect is expected to become more complicated for
the company. Specifically, the US and UK are going through an unstable political
environment, credits to presidential elections and US-China rivalry in the US and
Brexit in the UK. In India, There has been a positive outlook from the side of the
government. New National Education Policy by the current government has shifted
the winds for the EdTech Industry.

Focus on technology for educational efficiency is evident in this policy’s vision.

Students of tier 2 and tier 3 will be the growth opportunities for firms like Byjus, which
can now cater to the demand of these markets.

Following are the various components of NEP 2020 which are going to affect Byju’s -
1. Academic Bank of Credit - Introduction of Academic Bank of Credit will allow
students to digitally store academic credits earned from various institutions
which can be used to get degrees based on the credits earned over a period of
time.
This system will also make India’s education market similar to the US market
where students can pace their own learning journey.
2. Digital Infrastructure - The Policy calls for investment in digital infrastructure,
development of online teaching platforms and tools, creation of virtual labs
and digital repositories, training teachers to become high-quality online
content creators, designing and implementing of online assessments,
establishing standards for content, technology and pedagogy for online
teaching-learning. Byju’s already has a first-mover advantage in these
aspects. Thus it can make use of its infrastructure and pedagogy to
collaborate with the government and schools to help them establish the
required digital infrastructure and e-learning pedagogy.
3. Coding - Coding will be added in the curriculum of classes above 6th as a
subject. Introduction of this provision and acquisition of Whitehat Jr. by Byju’s
has an extraordinary coincidence of timing. Whitehat Jr. focuses on teaching
coding to young kids by teaching them programming and encouraging them to
create games, animations and applications. This acquisition will further benefit
Byju’s in including another subject with a detailed pedagogy in it’s offering.

Further, Byju’s major investments include Chinese firms like Tencent and following
India-China standoff, Indian government in recognition of Boycott Chinese
Investment initiative have put a hold on 175 FDI proposals from china. This may lead
to a financial crunch for BYJU’S.

Thus, the political aspect of the macro-environment analysis of Byju’s indicates that
Byju’s has an extraordinary opportunity to grow and expand in India. However, it
should be careful of the complications in the political environment as it tries to enter
the international market.
Demographic
Byju's majorly focuses on the K12 and competitive exam preparation segments but
has also entered the online coding lessons segment in recent times through the
acquisition of White hat jr. Its primary target market remains students. Byju's is
positioned amongst the 10 most downloaded educational apps on Google playstore
.It has more than 50 million students registered on the app, and around 3.5 million
paid active subscriptions.

With the announcement of the new education Policy, Byju's can have a significant
advantage by catering directly to schools. Due to the lack of coding-literate faculty,
there can be a shift in consumers, and this will help them to target a larger audience

It is all set to host the DSSL quiz that aims to bring over 30,000+ schools on its
platform to reach out to schools across 29 states. The target audience of the quiz is
students within the age group of 8-16 years. While BYJU'S has consistently enjoyed
the trust in the field of competitive exams, this will help to target schools at a more
niche level. The shift to the virtual quiz will enable it to increase its demographic
reach and find leads from all parts of the country.

Around 60% of the users of the app are located outside the top 10 cities of India. It is
reaching students across more than 1700 towns in Tier II, III and IV cities in India,
democratizing access to education, which shows its reach in all country pockets.

It is also present in West Asian countries like Dubai and Kuwait, with expansion
plans to various countries like the US and UK. Byju’s has acquired Osmo – a US
based learning platform. It has also tied up with Disney to launch its early learning
app for classes 1-3.

For future growth, it can look forward to venturing into MOOC platforms as people
are increasingly gaining interest in the field. MOOCs are expected to grow at a
compound annual growth rate of over 29% during the forecast period of 2020-
2024.Given their technical expertise and growing popularity, this can also be the
next big thing that BYJU'S can venture into.

There has been a shift in the mindsets of parents who have realized that learning
from screens can be beneficial too and are welcoming this change with open arms
International
Byjus has had a fairly unique trajectory as it expands in the global market. It has
been able to crack decent funding from investment firms like Qatar Investment
Authority for 150 million USDs. The owl venture capital is specialised in the ed-tech
learning platforms and Byjus was proactive in cracking the deal.

The Indian start-up has also acquired Osmo for its target to expand globally. Osmo is
a 120 million dollars company which was taken over with the concrete backing of
tech giant Facebook. Other than that, Byjus made a whopping 540 million USD in the
past fiscal year. The owner Mr. Byju Raveendran was quoted about plans to explore
the English-speaking nations like the USA, UK, Australia and other major
commonwealth nations. The conscious decision to target the English-speaking
territories comes from a major constraint of the language barrier. Although Mr. Byju
mentioned capturing other market territories, the chances of it happening in the
second phase of expansion seems bleak. It is imperative for the ed-tech platform to
widen its linguistic horizon in order to set its global footprint.

Byju's plans to tie up with You-tube teachers already have a huge audience base
and leverage it for the marketing strategies in its expansion plans. This seems to be
a well devised approach to attract students across the world, just like they did in
India.

With the exchequer flourishing and the demand for online learning increasing in
these trying times and even in normalcy, its only heavens forbidding that can hinder
it from broadening the footprint.

An intriguing question that arises is- Whether Byjus will continue its on ground hard
sales strategy overseas as well?

It will be a multi-fold challenge keeping in mind the change in demographic. In India,

it can afford to have a large number of sales employees or as they are called,
Business Development Associates, as the monetary compensation standards allows
it to. In already developed countries like the USA, UK, etc, it might find it heavy on
the pocket to onboard such a salesforce. Another barricade will be understanding
the employee demands and will they be willing to work with the incentive component
of the salary taking a major part of the CTC. Unless the firm answers these
questions, it will be difficult to gauge its success overseas.

It is almost imperative that Digital marketing is going to be leveraged to the fullest,

but will it be sufficient to actually convert clicks to cheques, is thought provoking.

The second phase will be yet more challenging if they introduce multi linguistics.

Byjus has been a stealthy start-up with its unique strategies and strong leadership,
its entry in the global market will catch eyes and if it does well, we are here to
witness a paradigm shift in the ed-tech revolution of India.
Socio-Cultural
Byju's is an educational technology and online learning platform which is based on
visual and interactive learning. According to the Social Science Research Network,
the biggest open access repository globally, 65 percent of the world population are
visual learners. Many scientific journals also estimate that visual learning can
improve retention capacity up to 400 percent. These are some of the reasons why
Byju's started with the visual learning concept. They wanted to change the culture of
Education in India from memorization to active holistic learning. Initially, with Think
and Learn Private Limited, they started with teaching CAT aspirants. But soon found
out that to be best effective with the visual interactive learning concept, they need to
target the segment where learning capacity is the maximum and who are flexible
enough to shift towards an online platform quickly. This gave rise to Byju's as we
presently know, which focuses on children of k-12th standards. India has one of the
lowest Teacher-Student ratios as 1:35, and Byju's have used the online platform to
provide quality teachers to each and every user. Apart from this, Byjus uses data
science to understand the student's needs and ensures a very personalized learning
experience. So a mixture of visual interactive learning, quality teachers,
personalized experience has made it the biggest ed tech company in the world. It
has also started a new revolution in India where parents want their children to learn
by doing and seeing rather than just memorizing reflected by the fact that RedSeer
and Omidyar Network India limited estimated that India's ed-tech market will touch
$3.5B by 2022. Apart from changing how education is perceived in Urban India,
Byju's have also been reaching the Indian rural population. Initially, it focused on
urban parents who were seeking a personalized learning experience for their
children, but with data being so cheap and the growth in the number of Smartphone
users in India it became a very accessible tool to learn for children belonging to rural
parts of India as well and with a dedicated effort from the company in maximizing it,
now it has 42 million registered users and 3 million paid subscribers.

The Indian education system is going through a change evident by the new
Education bill where practical, interactive learning is given utmost importance.
Technology is also rapidly evolving, and people are getting easy access to handheld
devices like smartphones. With this changing scenario and being the biggest ed-tech
company, Byju finds itself in a very exciting position. It is not only changing the
culture of education in India but also stimulating social change by giving access to
higher education for children from rural India and enabling girls to learn from the
comfort of their homes. In this way, Byju's is playing a major role in Indian Socio-
Cultural spectrum.
 BYJU’S COMPETITIVE ANALYSIS

Byju's Udemy Vedantu

Number of
Employees 900 3387 1328

Founded 2008 200 2011

Funding (USD) 2 Billion 170.2 Million 204.5 Million

Company Tencent Coatue

Specifics Lead Investor Holdings Naspers Management

Acquisitions Whitehat Jr Talentbuddy Instasolve

Number of
Customers 50 M 245 M 25 M

Strengths/
Weaknesses
Byju's Learning
Product App Udemy App Vedantu App
Target Professional
Customer/Mess Primary Buyer K-12 students adults K-12 students
age
Secondary Competitive Competitive
Buyer exam students K-12 students exam students
1 on 1 live
sessions, live
Life time access connection
Watch and to enrolled even at low
learn videos, courses, wide bandwith,
animations and range of learning
Product interactive professional management
Features simulations courses tools
Product Specific
Pricing Medium High low

Tablet &
introductory Introductory Introductory
Free Tier courses courses courses

Customer
Review on
appstore 4.5 4.4 4.2
 PORTER’S ANALYSIS
Threat from Competition

E-learning platforms are the upcoming businesses and the buzz word in the time of
CoVid-19. The pandemic has forced almost all forms of education to move online. It
has made us realize that traditional classroom teaching can be, to some extent,
substituted by online learnings. The option of online learning helps people to own
pace and convenience. It can also be suitable for professionals who are looking for
skill enhancement, without the need to leave their job and joining a traditional
school. Online education has seen a massive boost since lockdown, and almost all
the online platforms have made their content available for free in the lockdown. Even
in a challenging environment, EdTech is expected to be a very hot sector for VC
investment, according to a KPMG report. India's Ed-Tech is expected to north of 2
billion dollars by the end of 2022. If this does happen, the Indian education sector
can change forever. Affirming this is the fact that EdTech startups have raised more
than 20 Million Dollars since May 2020. Keeping this in mind, the threat from existing
competitors has been exponentially in the current scenario.

Byju’s has some strong competitors both in International markets and in Indian
markets. One of the biggest rivals of Byju’s is Udemy. Udemy has over 30 million
students and 42000 instructors teaching more than 10000 courses in over 50
languages and will compete with Byju’s in Indian markets. Udemy has an impressive
Business to Business model with over 3000 courses available readily, something
missing in Byju’s product portfolio. Udemy, based out of the USA, has recently
expanded with business in India through an office in Gurugram, NCR, which will help
them be closer to the market and better connect with the customers. This will come
as a challenge, especially as Byju’s is looking to expand into the US markets.
Another competitor is Khan Academy, founded in 2006 and thus having an early
entry advantage. Khan Academy has a similar platform as Byju’s with the added
benefit of having programs from K through 12 and having a robust adult education.
Vedantu, founded in 2013 and based in Bengaluru, is another Indian startup that is
posing intense competition to Byju’s. It has a differential advantage of having a
unique model of having 1-on-1 live student-teacher sessions. This is in contrast to
Byju's, which generally hamper-recorded sessions. Vedantu has replicated the
entire social structure involving a student and teacher onto their platform by merely
putting it online. Meritnation, one of the oldest players of the Indian EdTech industry,
is another competitor for Byju’s. Meritnation offers courses for students from classes
1- 12, including prep courses for competitive exams such as JEE and NEET.
Meritnation has over a million users in nine countries, making it India's one of the
biggest education portals. Like Vedantu, Meritnation also offers live courses for
students from classes 6-10 and specially planned JEE and NEET courses
integrated with board exam studies. Toppr and Unacademy are also two
competitors to watch for.
Finally, the Indian Ed Tech sector is highly competitive. It is expected to be even
more competitive due to new and established players receiving higher funding
levels in the latest capital raising rounds.
Buyer Power

Indian students traditionally have had low options in terms of available educational
tools online. The Internet is a relatively newer technology in India, with its popularity
rising only early 2000s. Ed-Tech has even been slower to make its mark in the
Indian market. One of the early Ed-tech companies in India was Meritnation,
founded in the second half of the first decade of 2000. Since the early 2007s,
several startups have popped in the Indian educational market, providing
educational resources online. The amalgamation of Technology and education was
initially seen with a skeptical lens. It was in the early 2010s that the sector started
attracting a lot of attention both from users and investors. Since then, in terms of
Individual buyers, there has a proliferation of Ed-Tech companies and has provided
buyers with some degree of freedom of choice. This has empowered buyers and,
thus, has forced companies to compete for market share through pricing and product
differentiation.
Byju’s has a unique selling point of employing Artificial Intelligence-based
technologies and interactive learning. Byju’s at the same point is still collaborating
with Disney to launch an early learning app to tap into the potential market. The
availability of such platforms has increased the buyer’s power as the cost of
switching to an alternative platform is also generally low, and the process is easy to
follow.

In terms of Business to Business buyers, the lack of such a framework for B2B by
Byju’s will be a major disadvantage, especially with the entry of players like Udemy
and Coursera into the Indian market. In this sector, the buyers have a low power due
to the lack of options.

Supplier Power - High

The main suppliers to the company are the teachers. The need and demand of
quality teachers have increased many folds recently. The pool of teachers available
also shrinks due to the platform used by Byju’s. Since, a lot of teachers are
uncomfortable with the online mode of teaching and aren’t tech savvy, the demand
for those who are, has increased. This gives them high bargaining power.

At the same time, with the acquisition of White Hat Jr, there is a need of hiring
coding professionals who are willing to teach children coding. This means that
demand are individuals well versed in coding and capable of teaching to kids, would
increase. The industry already has a shortage of such professionals, and thus, the
bargaining power is also high in this case.

Finally, all the suppliers to Byju’s are present in a market where their services are in
high demand and are expected only to grow in the future. This gives suppliers more
bargaining power and thus higher over power.
Threat of New Entrants

The Indian education industry is the largest in the world, with about 1.1 million
government schools, 3,50,000 private schools, 40,000 colleges, and 9000
universities. Today the largest player in the education industry is technology.
Technology brings in a newer model of learning while also restructuring the
conventional models. Indian EdTech industry has a user base of over 90 million
customers in 2020. BYJU’S is one of the largest and oldest market players in the
EdTech industry, with a vast and robust customer base of 57 million downloads and
3.5 million paid users. According to a report by KPMG, the EdTech industry is
expected to grow eight folds to a 2-billion-dollar sector by 2021.

The threat of new entrants helps us in understanding how the new market players
will affect the existing market players in the EdTech industry. The factors facilitating
new entrants into the market are Government policies, cheaper alternatives, the
better quality of material, and lack of brand loyalty. The programs like Digital India,
Skill India, emphasis on vocational training, and the new education policy has
increased the investment in the EdTech industry. The new entrants and their current
market valuations are: WonderSchool launched in 2016 with a current 24.1 million,
Toppr launched in 2013 with a current valuation of 108 million, Udacity launched in
2011, Udemy launched in 2010 with an existing user base of 50 million.

BYJU’S can tackle the threat of new entrants by working on increasing the brand
image and brand loyalty by improving their customer relationship management. It
can work on building a long term contractual relationship with distributors to widen
its target market. BYJU’S can continuously invest in research and development
activity, using the feedback received through its customers to keep the content up to
date and cost-effective.

Threat of Substitutes

The easy availability of substitutes makes the EdTech environment highly

competitive for BYJU’S and its competitors. The thread of reserves portrays the ease
with which customers can use products and services from other industries to meet
their needs and demands. The factors that are responsible for this are better content,
superior technology, cheaper alternatives, poor customer relationship management,
and excellent quality of study material and faculties. The current startup market
consists of 240+ options. The primary competitors of BYJU’S are Toppr with a
revenue of 13.1 million, Vedantu with a revenue of 7.5 million, Unacademy with a
revenue of 1.7 million, Khan Academy with a revenue of 54 million, and Meritnation
with a revenue of 5.2 million.

The threat of substitution for BYJU’S is comparatively less because of his vast and
robust customer base, brand loyalty, superior content, higher switching cost to
alternatives, and continued investment in the research and development, leading to
better technology and user experience. BYJU’S has continuously expanded its target
audience and ventured into different territories keeping in mind the current academic
requirement and trends.
Porter’s 5 Forces evaluated in terms of BYJU’S
 SWOT ANALYSIS
Strength

BYJUs has been able to develop a massive market of 50 million participants on the
app. Its “Freemium” model has furthered its cause by offering some classes for free
to increase. It focuses on Concept understanding rather than rote learning through
3D visualisation has helped it to gain wider popularity. Its most significant strength is
its tech expertise which allows the introduction of new features consistently as per
market demand, and strong company financials which make expansion, and
acquisitions more feasible.

BYJU’s introduced live virtual classes earlier this year, precisely in sync with the
surge in demand for the same due to the lockdown. This combined with its freemium
model, and flexibility with class scheduling, helped it to gain a significant boost in
user base, leading to exponential growth in it. The company clocked in 2800 crores
revenue by March 2020, i.e. a 100% per cent growth in revenue which made it
easier to invest in potential companies. Its recent acquisition of coding teaching,
White Hat Jr. only provided it with an increased user base. Also, its inclusion in the
school curriculum has widened its target segment to young coders.

So, its ability to understand consumer demand, take agile action, combined with
a strong financial base, while moving towards its aim of revolutionizing app-based
education is its strength.

Weakness

Although BYJUs has gained a considerable market share, it is still an expensive

product and cannot cater to the lower-income segment. The Freemium model can
provide only limited content at a low price, so the user to paid user ratio on the app is
low.

Low rural penetration is another area that needs more attention. The top 10 Tier 1
cities account for more than 20% of its revenue, which shows a need for growth and
better penetration of the other regional markets. With increasing competition in the
Ed-tech industry, the company will need more innovative strategies and better
market penetration and expansion to survive in the long run.
Opportunity

1. Due to CoVid 19 pandemic, many of the students are turning to online modes of
education. BYJU’s can leverage this and try to expand its reach to each corner of
the country
2. As the competitive exams are now conducted in regional languages as well,
BYJU’s can try to provide lessons in regional languages as well to reach out to as
many students as feasible.

3. Due to the new education policy making it compulsory for 6th class students to
have a basic knowledge of coding, BYJU’s can use it as an opportunity to develop
an interest in coding and algorithms in students. This knowledge would also help
the students in developing analytical skills.

4. Owing to growing digitalization of India and the fact that automation is threatening
69% of jobs in India and that the working population will be 64% of the total
population, there is a dire need for professionals to refresh and attain new skills.
BYJU’s can thus help them by launching professional courses.

. Threats

1. As we are seeing a shift from traditional classroom to online classes,

this model can be copied by many firms. Many companies like UpGrad and
UnAcademy already exist and are posing a threat to BYJU’s. Indian EdTech
sector is highly competitive and is expected to grow soon.

2. There is always a threat of how secure the data provided by the customers
is. Any leak of confidential data can lead to a major harm to the reputation of
BYJU’s.

3. In a traditional classroom, the student-teacher interaction is very high due to

which they can engage with each other for feedback and discussion. E-learning
cannot simulate this experience.

4. Continuous engagement with a screen can affect the health of the student.

5. Even though the cost of a specific course may be less, the expenditure is
not as small as they seem to be. Expenses on high broadband connection and
smartphones or laptops are not taken into consideration
 BCG MATRIX

Dogs

The artificially flavoured product business was launched recently by BYJUS to diversify
their products, but the market research was not done carefully. Consumers have
become health driven and the chances of this market resurrecting back is bleak.
BYJUS doesn't even have a good market share to leverage it. The best way forward
would be to pull back the product and minimize potential losses. Had the market share
been decent, divesting or investing would have been considered. But its a lost cause
in this case.

The plastic bags business unit is facing losses in the past 5 years due to multiple factors.
Government intervention and environmental empathy has increased in this field. It is
always a risk to work in such a condition, the ambiguity level is too high. A rational
strategy would be to divest from the business gradually and get the inventory sold and
minimize losses.

Cash Cows
The supplier management strategic unit of BYJUS has been profitable for a decade or
 more. It has gained trust in the market with a huge chunk of market share being a by-
product, this unit of BYJUS should not be hampered with. Investment can be made,
but only after it is sure that the companies are outsourcing their logistics. It does not
seem the case, hence keeping the status quo is the right way ahead.

Star
In the BCG matrix, Stars stand for that business where a company has a considerably
large market share, and the business's industry is also growing at a fast pace. For
BYJU'S financial services, strategic business is the Star according to the BCG matrix.
In general, the business shows good potential for growth in the future because the
consumers are demanding more similar products, and BYJUS also earns a
considerable profit from it. Ideally, to grow further, BYJUS needs to focus on
increasing the size of its SBU unit by acquiring other firms in the same vertical and
also investing considerably in product and development that will give rise to new
products.

Question Mark
The question mark stands for a business where growth potential is high, but the company
has a small market share. For BYJUS, the local food strategic business unit is a
question mark. Nowadays, people are focusing more on local food, and therefore,
market growth is high, but the market share in this market is low for BYJUS. The
learning can invest more in research and development to create unique products and
gain market share, which can be a great strategy.
 Consumer Behavior Analysis

Awareness about EdTech

80
70
60
50
40
Axis Title

30
20
10
0

Series1

BYJU'S MERIT NATION TOPPR UNACADEMY

67 5 10 33

From the survey conducted, it is clear that 67 out of 115 consumers have knowledge
about Byju’s and prefer using it over Meritnation, Toppr and Unacademy

64% of the consumers prefer watching interactive videos in order to understand difficult
concepts. Around 17-18% refer to books or join tuition classes for the same.
 Do you have a smartphone or device
with internet connectivity?

NO 12

YES 103

0 20 40 60 80 100 120

Out of 115 consumers, 103 have access to mobile phones with internet connectivity
and around 12 don’t.

Keeping in mind the current situation when most of the learning is happening online
we asked consumers to rate how convenient E-platforms are for learning purposes.
The result showed that on a scale of 1-5 (1 being the lowest and 5 being the
highest) 82.6%find it easy to use E-platforms whereas around 17.3% do not find
them convenient.
 How important Technological skills are
for success in today's world?
Absolutely NecessaryImportantNot so importantIrrelevant

3% 4%

24%

69%

Out of 115 consumers 79 are of the opinion that Technological skills are important
for success in today’s world. However around 8 people believe that it irrelevant or
not so important.

Do AI provided interactive learning

boost the understanding?

19%
Yes
No
18%
63% Maybe

Considering the increasing involvement of AI, it is important to know what consumers

think about the use of AI in education. 72 out of 115 people think that use of AI in
providing interactive learning help students learn concept better. But 21 people
consider human involvement is of more importance and around 22 are of the opinion
that both are equally important.
 Only 38% of the consumers found the content of Bjyu’s very relevant which is not a
good figure. As per this survey Bjyu’s need to update its content and provide relevant
information to its users.

Likelihood of recommending BYJU's

52

35
28

VERY LIKELY NOT MUCH LIKELY I HAVE NO KNOWLEDGE ABOUT

BYJU'S AND HENCE, PREFER NOT TO COMMENT

Although 45% of the consumers are likely to recommend Bjyu’s to others but around
30% have no knowledge about Bjyu’s and prefer not to comment. The figures are
relatively close so Bjyu’s need to change its current strategies for favorable outcome.
Bjyu’s has acquired white hat jr. for providing coding knowledge to its users. Around
60.5% of consumers out of 114 are aware about this acquisition however there are
around 17.5% users who have little or no knowledge about this.

Is coding for Kids important?

68

29

18

Yes No Maybe

In response to the NEP it is necessary to understand what the view of the consumers
on coding is around 59% of the people are in favor of teaching coding to students. In
this respect Byju’s move of acquiring White hat jr. could prove to be successful in the
long run.
 STP OF VEDANTU

SEGMENTATION:
 Demographic   Students aged 12 to 18 years old. 
   Students preparing for entrance exams like JEE and
NEET. 
Geographic   Tier 1, 2, and 3 cities.
 Recently Vedantu has invested in ‘Instasolv, an instant
doubt solving app for students’ to increase its reach in
tier 3 and tier 4 cities where doubt solving is a tedious
task.
Psychographic   Flexibility in taking classes from home.
 A lot of time is saved which would have otherwise spent
on commuting.
 Personalized attention of teachers. 
 Parents can keep a check on their kid’s activities

TARGET:
1. Students: Since it is an Ed-tech firm, its target audience is students. It provides courses for
students of classes 6th – 12th and helps students preparing for various entrance exams like
JEE and NEET. It is reaching to students present in more than 1000 cities from approx. 30
countries. Vedantu’s WAVE technology platform enables students to choose the teacher
and timing of their choice and learn as per their convenience. This platform can be
operated at low internet bandwidth make it accessible to students in rural areas also. 

2. Parents: Parents are the ultimate decision-makers who decide what is right or wrong for
their kids. Vedantu understands this and targets the parents by highlighting the benefits of
e-learning such as personalized education from the comforts of home, learning anytime
and anywhere, and time-saving. 

3. Teachers: The core component of Vedantu are its teachers. It provides flexible working
hours to teachers anytime between 4-10 pm. They can choose any slot whichever is
suitable for them and are not burdened with extra working hours. 

Positioning: 
While choosing an Edtech-platform for learning, a customer looks for comfort, personal attention,
quick doubt solving, clarity in teaching, and adjusting pace according to oneself. 
Vedantu has been built in such a way that it caters to all the needs mentioned above. Vedantu’s
USP is its quality of teachers. It aims to combine quality teachers, engaging content, and superior
technology to help students understand the concepts without difficulty. It aims to give an
experience of a real classroom virtually. It provides an option to attend the classes as per student’s
preferences, and they could watch the recordings of any missed lecture. Its WAVE technology
platform helps understand students' attention span and accordingly change the course content if
needed. 

STP OF UDEMY

SEGMENTATION:
Geographic  Based on availability of internet (Rural /Urban)

 Benefit sought
Behavioural
 Willingness to Pay
 Preference for live/ recorded classes
Psychographic
 Self-paced/schedule specific learning
TARGET:

1. Students residing in areas with a stable internet connection. Since the access is
internet reliant, the target market is strictly confined to areas where the internet
connection is stable & can be relied upon

2. People who want to gain knowledge about various domains and explore their areas
of interest and want to pay a minimal price to pay for quality content. The target
market is basically looking for quality content at affordable prices. Since the
courses offered at Udemy are cost efficient and provide in-depth knowledge, they
enjoy high popularity

3. People who have a busy schedule and do not have a flexible schedule. Such people
prefer recorded classes as they can be seen at any time due to the users’ ease. Such
people cannot adhere to deadlines due to their schedule or other reasons. So, self-
paced recorded courses are best fit for them
 

Positioning: 

While choosing an Edtech-platform for learning, a customer looks for ease of usage, quality and
well-informed content and flexible rates.
Udemy positions itself as a one-stop-shop for all education courses at highly affordable rates. Its
USP is the vast number of domain specific content and the cost efficiency of such courses
It aims to provide self-paced courses that can be accessed anywhere with a stable internet
connection . It also provides reviews of courses so that students are able to judge the effectiveness
and value-add of the courses before paying for them. One word- Value for money.

Customer Target 

Byjus is the second most valuable Indian start-up, worth nearly 11 billion dollars. It is one of the
rare Indian start-ups that has also become profitable now, meaning that they are constantly getting
the desired results from their traditional customer groups. So it's quite understandable why Byjus
future customer target groups are;

1. K-12 segment- At the Disrupt 2020 conference, Byju Raveendran mentioned that despite
being market leaders, they only have a 4 percent penetration in the k-12 segment. In India,
1/3rd of the school-going children don't have access to smartphones. Still, with the Corona
pandemic lasting for more than eight months now, more and more parents are moving
towards digital platforms for their kids, which provides a plethora of opportunities for
Byjus to cash in.

2. New Verticals in the School children segment- With the acquisition of WhiteHat Jr., Byjus
has added coding to its offerings for school children. Previously a niche segment coding is
now increasing due to the recently announced National Education Policy and the growing
awareness among parents regarding the benefits of coding. Byjus is well placed to grow in
this segment.

3. International Markets- With the acquisition of learning platforms such as Osmo, Math
Adventures, and Tutor Vista Byjus has strengthened its portfolio for international markets,
primarily focusing on the English-speaking countries.

 
Competitor Target

Digital learning is becoming very popular worldwide, especially with the pandemic's onset, and
most of Byjus competitors are trying to leverage from a growing market. Companies like Udemy
and Coursera focus mostly on young professionals and college-going students and provide
certification courses for thousands of subjects. People getting more free time due to the absence of
travel has increased traffic substantially on these platforms. But due to a clear differentiation
between the target segments, they don't compete with Byjus most directly.

Platforms such as Vedantu, Toppr, Khan academy compete with Byjus in its traditional k-12
segment. These companies employ various majors such as low prices, streaming at low
bandwidths, and social media marketing strategies to increase their market share. Byjus being the
market leader, has been proactive against such competition. Apart from using above mentioned
measures, it is now also focusing on the feet-on-street marketing strategy with executives going
home to home in small cities to sell its products and aspires to plant 30 offices catering to small
towns by the end of 2020. 
 
 
 
 
 Recommendations

Place
BYJU’s has a strong digital and online presence. It is mostly an app for kids, and for which the
parents pay. Keeping this in mind, BYJU’s should target parents. Actually, it already does that.
Once the parents feed in your data in the app for a trial class/run, its “consultants” cum salesmen
contact the parents to set up a meeting time at their homes. This is where the selling takes place,
the salesmen gauges the parents’ interest and the willingness to pay and provides appropriate
quotations.
Byju’s is starting its offline based course through the use of storage cards such as SD cards. This
can be used to exploit the small towns where the internet connectivity is low. The actually selling
will still happen online but the product would be an offline based product which can also be made
available at selected shops or showrooms.
BYJU’s can also tie up with local study material sellers to provide the SD card-based courses. The
marketing can be done through providing free samples of SD card courses along with the books of
the concerned subjects.
With the expansion in US markets, BYJU’s can use the online based market due to the digital
focus of the market. The strategy of calling the parents can be modified to suite the cultural
preferences. Finally, focusing on other US competitive exams’ preparation can be considered as
an alternative, using an online distribution channel.