Everyone knows about Byju’s, and it’s been a great platform for studying, but let’s find out why Byju’s is in loss. Statistics have revealed that Byju’s suffered a loss of 4,589 crore in 2021.
Since then, issues of corporate governance and accounting disturbances at Byju’s have come to light, forcing the company to make tough decisions like retrenchment. After investors’ concerns, the government intervened in the matter.
History of byju’s learning app
Byju’s is an online platform that provides online classes to students. It was started by Ravindran in 2006, to help students pass math exams. In 2011, Ravindran and Divya Gokulna took the initiative to expand the platform.
They started providing online classes for students from kindergarten to 12th grade, benefiting many. By January 2024, Byju’s was valued at 200 million dollars. However, in 2022, it experienced a significant decline from its highest level of 22 billion dollars.
How does byju’s make money?
Byju’s earns crores every month. Its single income from operations stood at Rs 2110 crore, with three major sources: tuition fees (Rs 144 crore), sales of study tablets and SD cards (Rs 1675 crore), and book sales (Rs 560 crore) making significant contributions.
What mistakes Byju’s made
Byju’s made a few strategic missteps. They expanded rapidly, which led to high operational costs. Also, the pandemic boom in tech didn’t last, and they faced issues with revenue recognition and sales tactics that drew criticism.
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Byjus also made many mistakes in marketing & also by the sales team.
They’re now restructuring to improve their situation.
What is the future goal of Byju’s
Byju’s is planning for the future. It seems that after facing significant losses in recent years, many employees have resigned. This is not good for the users as they have found a great platform and students have found a good online coaching center. However, the owners are quickly working to provide a better platform.
