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BYJUs : The Learning App Business Model and Analysis
Business, Corporate, Startups

BYJUs : The Learning App Business Model and Analysis 

BYJUs : The Learning App

BYJUs is a platform which was created by Byju Raveendran. BYJU’S app was developed by Think and Learn Pvt Ltd in 2011. It is a platform and a way for the teachers to teach and students to learn, different educational concepts through the app and understand them better. It mainly focuses on mathematics and science.

Growth of BYJUs over a period of time

2012 : Entered both Deloitte Technology Fast 50 India & Deloitte Technology Fast 500 Asia Pacific ratings

2015 : Launched BYJU’S — The Learning App

2016 : “Best Self Improvement” app award at Google Play India rating

2017 : Launched BYJU’S Math App for kids and BYJU’S Parent Connect app to help parents track their child’s learning course

2017 : BYJU’S app became a business case at Harvard Business School

2018 : 15 million users and 900,000 paid users

2019 : Became the world’s most valuable ed-tech company

The goal of BYJUs

The primary goal of BYJUs is to bridge the gap between the Indian education system and help the students fall in love with what they learn. The teaching content is delivered to the students in various forms such as quizzes, exercises, visualizations and much more than just the theoretical knowledge.

BYJUs motive doesn’t only focus on the students who are interested and motivated to learn instead focuses on everyone, being unbiased. It is trying to create a situation where students take the initiative of learning instead of content being spoon-fed to them in order to gain more score which happens in 99 percent of the cases in the country.

Target Audience

BYJUs has chosen the students as its target audience. Whether it is a student of grade one or a student who is trying to clear entrance examinations such as IAS, CAT , BYJUs has it all. BYJUs has chosen its target audience very wisely as it covers every exam which is crucial and trending these days such as the JEE, NEET or BITS.

How it works

Initially, the student has to provide all the personal details. Then a free trial period of 15 days is given to the users in order to try the services. After the trial period, if the payment is done, the students get access to more advanced levels of learning.

Stage 1 : Students are asked to attend the classes they have enrolled in using the app

Stage 2 : Then they are asked to take up multiple tests with a personalised feedback.

Stage 3 : Classroom sessions are conducted by IIT/IIM graduates at the centre near them. Currently, this service is being provided in Gurgaon, Pitampura, Janakpuri, Noida, Rohini, etc. One-to-one mentoring & doubt clearing by experts is done.

Stage 4 : Access to in-depth analysis and a real time feedback is given to the parents using the parent app.After the completion of the above stages, a complete revision of the whole content is done again in-order to gain better understanding.

Why is it successful

The company is successful because it has exactly targeted the perfect audience-students and has provided them the support for better clarity on the topics which will be helpful to them clear the entrance examinations in a simpler and interesting way by a single click of the mouse along with a travel free experience and has given them the freedom to learn at their own pace.

We’ve created students who are addicted to learning, and therein lies the secret to our success.

Therefore, it has solved a huge problematic scenario where a student has to pay the fees demanded by the tutor. In most of the cases, the student either cannot afford the fee to attend these classes or feels unsatisfied by the teaching quality of the tutors.


In the free trial period which is given to the student, only limited courses are free and available for access. The challenge arises when the trial period if the student is over. An amount of INR 10000 is required in order to subscribe to the premium content i.e the cost of accessing the complete learning program with videos and adaptive learning modules of a particular class. It has an 89 percent subscription renewal rate.

In order to gain something, it’s important to gain people’s trust. In return, people who demand quality education to be cost-free, need to understand that everything comes with a price and nothing is free.

Another challenge Byju faces is in finding a partner who will help him with the international distribution of this model. He is not just looking at partners from a financial perspective, but those with access to good technology for distribution.

How is it different from the rest

Other educational websites and apps just provide the content to the user in the form of videos, tutorials and so on. But when a student chooses BYJUs for one’s learning, one gets a personalized experience using their ‘knowledge graph’ feature and can proceed with their own pace.

Also, the platform provides a free counseling session at the doorstep and then the student can understand and select the course of one’s interest more confidently.

Understanding its business model

The business model o BYJUs is a freemium business model where the communication is done from business-to-consumer (B2C).

Future Plans

BYJUs has just captured the Indian market with his impressive teaching and marketing techniques on education. It now has greater goals, greater challenges, and greater team support. It is looking to expand its market to the US, UK, South Africa and other African and Commonwealth markets. It is already present in the Middle East.

Key Partners

Key partners are the relationships that you have with other business, governmental, or non-consumer entities that help your business model work. Several companies such as Tencent, Chan-Zuckerberg initiative, LightSpeed Venture Partner were impressed by BYJU’s and have become key partners in it by investing huge amount of money in it.

Key Activities

Key activities consist of the activities that lead the company towards their goal with ease. The key activities of BYJU’s include platform development, data center operations management, IT infrastructure operations and managing the learning community.

Key Resources

Key Resources act as a building block describing the most important assets needed to make a business model work. The technology infrastructure, interactive graphics technology, lecturers, servers, IT infrastructure are some of the key resources of BYJUs.

Value Propositions

Value Propositions are the services or features or their innovations that make their product look attractive to the customers. Access to good quality education, bringing quality teachers to very student, video delivery model, engaging content and retention are some value propositions of BYJUs.

Customer Relationships

Customer Relationships describe the ways that a company will engage with its customers to improve the customer experience. BYJUs establishes customer relationships through a mobile app, online virtual classes, direct meetings, and calls.

Customer Segments

The customer segmentation is the practice of dividing a customer base into groups of individuals that are similar in specific ways. The customer segments include students, parents, teachers and other competitive exams.


Channels are through which the company provides its service to the customers. BYJUs channels its content from YouTube, Facebook page, web, and mobile app.

Cost Structure

Cost structure refers to the types and relative proportions of fixed and variable costs that a business incurs. BYJU incurs the cost of web development, maintenance, data center, business development and operations, marketing and sales, general and administrative and media development costs.

Revenue Streams

A revenue stream is a source of revenue of a company or organization. In business, a revenue stream is generally made up of either recurring revenue, transaction-based revenue, project revenue, or service revenue. BYJUs follows a freemium business model, so most of the revenue is incurred from the subscription amount which is paid by the students for learning. BYJU also earns from product purchase from its website, offline career counseling, offline coaching, and revenues from API.

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