While the annual subscription for BYJU’S Learning App has been reduced to INR 12,000, offline BYJU’S Tuition Centres courses are now priced at INR 36,000 per annum
The edtech major is said to have introduced a new policy that links sales teams’ salaries to the revenue they generate every week
BYJU’S is currently dousing fires on multiple fronts, including a looming debt crisis, impending mass layoffs, a cash crunch and a bevy of legal cases
Amid the ongoing churn at BYJU’S, the troubled edtech major has reportedly “significantly” slashed the prices of its products and revamped its sales model.
Sources told Business Standard that the beleaguered edtech major has reduced the annual subscription for BYJU’S Learning App to INR 12,000, while BYJU’S Classes and offline BYJU’S Tuition Centres (BTC) courses are now priced at INR 24,000 and INR 36,000, respectively.
As per the report, the edtech major’s founder and CEO Byju Raveendran unveiled the company’s new sales strategy in a recently held meeting with over 1,500 sales associates and managers. He reportedly said that the new model would “empower” its sales workforce while “making quality education more accessible”.
At the meeting, Raveendran also reportedly envisioned a workforce of 50,000 salespersons in the next year.
“With the ongoing implementation of BYJU’S 3.0, there is no doubt that the company will not just maintain its leadership position but also improve it in the coming years,” Raveendran told employees, as per the report.
As per Business Standard, the edtech major has purportedly completed its transition to a “pull-based sales model” under which managers will now act as coaches and focus on enabling the sales team rather than enforcing strict call quotas.
Additionally, the edtech major has reportedly introduced a new policy that links sales teams’ salaries to the revenue they generate every week. As per the report, the new mandates were introduced on April 24 and would continue till May 21, 2024.
This is more or less in line with what Inc42 reported last week. Sources recently told Inc42 that the company has announced a leaner structure and consolidated some of the verticals under its BYJU’S 3.0 initiative.
Back to the story, Raveendran also reportedly said that sales associates were receiving 100% of the sales closed directly into their accounts on the next working day, while managers were getting 20% of the same under the four-week pilot.
Once the “arrears are closed”, the associates will receive 50% of sales closed while managers will receive 10%, Raveendran told the staff.
Noting that “some sales team members already clocking salaries commensurate with an INR 50 Lakh per annum CTC”, he added that the number of free users on the edtech platform was close to touching 250 Mn.
“I want you to understand what it means about the quality of our content and the power of our brand. So, your job is not to sell, but to counsel. You just have to guide the students and parents who are already inclined towards the transformative learning that BYJU’S offers. You are not salespeople; you are education counsellors, empowering students to become better learners,” added Raveendran.
Meanwhile, except for the sales staff, the edtech giant has reportedly cleared all pending salaries for the month of April. “Founder Byju Raveendran arranged the salaries through private debt and company revenue,” a source told the publication.
This comes close on the heels of BYJU’S India CEO Arjun Mohan stepping down from the company, months after he was brought in to chart a turnaround.
The edtech major has been grappling with fires on multiple fronts, including a looming debt crisis, impending mass layoffs, delayed salaries, a cash crunch and a bevy of legal and insolvency cases filed by its investors and vendors.
While it remains to be seen whether BYJU’S 3.0 fructifies, the edtech major has much on its plate as it charts a sustainable path ahead.
