The Edtech industry in India is at a delicate juncture. The sunshine days which accompanied the pandemic are over and it is time for a reality check. Little wonder then that the only news that made headlines last few weeks were the rapid layoffs (some reports estimate it to be approximately 10,000) in most of the bigger companies and also the turf war between some. According to published reports, Indian Edtech start-ups raised $4.7 billion in 2021.
It is obvious that with the demand for online studying, and an ‘offline’ life inching back, it is time to shed some flab because the proof of the matter is in the offerings by the players. There appears to be a funding crunch. What separates one big player from the other? Is it the series of funding received, or the events it sponsors or is there a uniqueness in the course structure?
Players are all over social media highlighting their exploits - one big player has gotten all emotional and sentimental on a social media platform discussing personal stories. Everything to gather attention and the right one. Today, if one searches for Edtech firms on the internet, the only news that tops is the massive layoffs in the industry. Or the take-overs of firms - in the garb of sharing capabilities and resources, a wave of acquisitions is taking place. Ironically, much of the lay-offs have happened in the top Edtech companies. Some have shut shop too.
So, who is going to sustain it in the end? Which type of Edtech experience works best for candidates. Today, generally a candidate decides on a particular coaching class on its geographical accessibility, price, and reputation. The technology used is of little consideration because offline still rules the day.
The idea is for Edtech firms to modify and alter to suit current needs. If metaverse is the next big technology to hit education, then so be it. Diverse and inclusive learning is the need while the big players will also pick up the cream of the market, for those in the second rung or surviving for exclusivity, it will have to be a unique proposition that will govern survival. Besides, some heavy-duty marketing to keep the customers rolling in, given the high cost of customer acquisition post the pandemic.
The next few months will decide the fate of the industry.
