Indian edtech giant Byju changes its sales strategy in a key overhaul – TechCrunch
Byju’s has made a key shift in its sales strategy, moving away from a business practice that has drawn criticism from the edtech giant over the years.
The Bengaluru-based startup, India’s most valuable, said on Monday that its salespeople no longer visit students’ homes to present to their parents. Instead, all sales staff now work from inside the office and virtually only reach out to those whose children have shown a clear interest in subscribing to the platform.
The so-called 4-tier approach introduces multiple checks to verify customers’ intent and consent to purchase a subscription, the startup said. Byju’s said it has also introduced an affordability test for all potential customers, ensuring the child’s household income is at least 25,000 Indian rupees ($306) before they can proceed with the purchase.
Reimbursement is also done via a Zoom call, the startup said.
The company, which used its first practices in 2017, made the switch in October last year and said the transition brought more accountability and transparency to its workforce and was better for both sides. of the equation.
The new sales tactic also allows Byju to expand its reach in the country and is already generating a higher conversion rate, said Mrinal Mohit, Managing Director of India Business at Byju, in an interview with TechCrunch.
“Covid has helped to increase awareness of the e-learning category and brand awareness of Byju’s. In addition, we now have several products. That’s why we’re moving to “inside sales,” he said.
“The sales journey now only begins after you download my app and use it multiple times and for long periods of time. If you don’t download the app or don’t like our product, we won’t contact you. »
The Indian edtech has come under fire over the years for its hard-selling tactics with allegations that some of its staff made misleading presentations to parents and persuaded them to buy a subscription when they couldn’t. allow it. Byju’s offers a range of learning platforms for students, ranging from free content and courses to blended courses at its centers in the South Asian market. It also connects parents who need to take out a loan with banks and non-bank financial companies.
Mohit, who has been with Byju since the start and took over as head of India last year, said the redesign brought more transparency with parents and what their vendors were telling them.
“I had 120 offices, my download comes from everywhere but I was only able to reach 20% of these users. With inside sales, location is not a barrier. All of these calls are recorded, so we know what is presented to parents. We have more transparency with parents,” he said.
If an individual doesn’t know how to accurately answer a parent’s questions, the startup is able to pull in more experience and relevant personnel in real time, he said.
Sales are key to Byju’s success. The startup’s classes operate on a two-teacher model, where lessons are delivered via pre-recorded video while an onsite or live teacher answers student questions.
The startup’s philosophy from the start has been to bring the best education to students and that means relying on the lessons of select teachers as the basis for its offerings. Salespeople are responsible for explaining the benefits of this model.
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