By Sudheer Goutham
Change is the only constant. The Indian Edtech dream run has now slowed down and smart players are realizing the ground realities and are tweaking their business model by starting offline touch points. Pivoting their businesses to a hybrid model seems to be the mantra in the post pandemic era.
Byju’s the star in the Indian Edtech space has opened offline centres after realising the slowdown as schools opened across the country. Following suit is Unacademy which is opening offline touch points in several cities including Kota, Patna and Jaipur. Vedantu too is mulling over the opening of offline centers.
This generation of students are willing to lap up both offline as well as online classes but the general opinion is a teacher can never be replaced. However, with the help of online content at the beck and call and a click away, edtech startups are hopeful of a hybrid model.
The offline centres would double up as consolidation centers of learning. A student could get the complete understanding of the concept by working with dedicated staff and online content at the centres.
The offline centres are also eyeing the competitive exams market especially for NEET-UG, IT JEE. Traditionally, schools emphasise of the completion of syllabus and the edtech companies see a huge market here. While the penetration in the metros is good, the focus is now shifting to Tier I and II cities where a burgeoning population is eager for quality education.
Thanks to internet fatigue and forced abstinence, students are attending classes and as this is happening, companies are looking towards reducing cost and focusing on automation. Intensive marketing, looking towards newer geographies (Tier I & II cities) and creating a hybrid model seems the trend.
Has the edtech bubble burst? Is the question uppermost in everyone’s mind. The Edtech space is restructuring itself and only those who tweak their businesses to a hybrid model would survive. In the recent past, Udayy, Lido Learning and SuperLearn shut shop and many laid off employees to cut costs.
During the pandemic, edtech sector rose like never before and raised $6 bn. In 2021, edtech was the third most funded sector in India but with the opening of schools, the tables have turned and edtech startups need to tweak their business models in the post pandemic world.