The Tech Panda collected the thoughts of experts in the EdTech industry on the year that was and the year that’s coming.
The pandemic forced the world to move to the online teaching module that heralded some unexplored avenues of teaching for EdTech players. With just US$2 billion in funding inflows, a prolonged funding winter, skyrocketing layoffs, and many growing companies in the sector shutting shop, EdTech brands have suffered to sustain their revenue and growth.
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At the same time, global trends in the EdTech industry have impacted students, teachers, institutions and curriculum developers, which include interactive learning methods, tools, experiential environments, gamification etc. for students along with comprehensive teaching methods with actionable plans for teachers and traditional education organizations.
While platforms like Byjus, Unacademy, and UpGrad have been around for a while, platforms like Suraasa explored new and wider areas within the industry.
According to a report by McKinsey, EdTech funding in India has grown from US$0.2 billion five years ago to US$3.8 billion i.e 18% of global investments in 2021. This makes India the third biggest market in the global EdTech Industry.
Moreover, McKinsey also surveyed more than 3,500 EdTech students and found that many were motivated by the prospect of jumpstarting their careers and were seeking a sense of “community” and that new modalities, such as virtual and augmented realities, Web3, AI, and machine learning, are officially making their way into education.
What will 2023 bring for the EdTech industry? The Tech Panda collected the thoughts of experts in the EdTech industry on the year that was and the year that’s coming.
Atulya Kaushik, Co-founder & CEO, PrepInsta
“There is a growing recognition that we must master our youth for the years ahead and embrace new configurable learning and development methods to guarantee they join the workforce with the best possible placement preparedness and skill sets. The EdTech industry has witnessed more attraction from the B2B aspect than B2C this year.
Now beyond this point, the bull run of Ed-tech in the coming year will be determined by measures such as tax relief, the quickness with which capital is raised for the EdTech industry, and how much we strengthen our digital infrastructure and cultivate positive consciousness with regards to the value it brings as a whole
“This newfound synergy has fueled growth for many upcoming players. Now beyond this point, the bull run of Ed-tech in the coming year will be determined by measures such as tax relief, the quickness with which capital is raised for the EdTech industry, and how much we strengthen our digital infrastructure and cultivate positive consciousness with regards to the value it brings as a whole.”
Manan Khurma, Founder & Chairman, Cuemath
“The chaos in the industry has adversely impacted the reputation of EdTech players, especially the ones catering to the K-12 segment. Learning from their mistakes and acquiring a deeper understanding of the customers’ and investors’ sentiments, the EdTech brands serving K-12 now have a bigger responsibility of bringing trust and luster back to the industry.
As we enter 2023, brands must address some critical aspects of the business. The biggest priority is to hyper-focus on delivering better learning outcomes
“As we enter 2023, brands must address some critical aspects of the business. The biggest priority is to hyper-focus on delivering better learning outcomes. Push sales models should now transform into consultative exchanges for thoughtful acquisition. A value-driven transaction where learners succeed, and parents witness the outcomes will help build stronger customer relationships. Brands need to offer classes in online and offline formats that competent teachers deliver with a more personalized learning approach.
“Sustainability in terms of profitability and not valuation must become a fundamental tenet. The growth at the cost of enormous marketing spending, layoffs, and shrinking spending capabilities directly impact the company’s fundamental stability. EdTech businesses must be cognizant of their bloated CAC (Customer Acquisition Cost) and shrunken LTV (Lifetime Value) as it will lead to further cost increases.”
Aashay Mishra, Co-founder & COO, PrepInsta
“Following the Covid-19 pandemic, the EdTech sector has matured by leaps and bounds, with private industry players playing an essential role in ensuring effective and efficient delivery and learning results. India has even risen to third place in the world, after China and the United States, in terms of venture capital funding in the EdTech sector. As a consequence, EdTech platforms have been able to capitalize on promising technologies such as immersive learning, video-assisted remote learning, artificial intelligence, virtual reality, and much more.
These positive observations indicate that the Ed-tech sector is not in a downward slide, but rather will experience optimum growth and capital investments for visionary shareholders
“Acquiring in-demand specialised skill sets in areas such as AI, ML, Cyber Security, C++, Python has caused a rise in student placement opportunities. Many government-supported colleges and universities have also partnered with EdTech startups to provide more outcome-oriented learning. These positive observations indicate that the Ed-tech sector is not in a downward slide, but rather will experience optimum growth and capital investments for visionary shareholders.”
Rishabh Khanna, CEO & Founder, Suraasa
“The teaching industry has definitely seen some big changes in recent years and through Suraasa, we aim to consistently empower teachers not just in India but also globally.
Going forward, we simply want to enable more teachers upskill and help them gain more visibility
“In 2022, we have impacted 150,000+ number of teachers by providing them with quality resources, recognition and global opportunities. Going forward, we simply want to enable more teachers upskill and help them gain more visibility.”
Manish Agarwal, Co-founder & CMO, PrepInsta
“During the pandemic, the fortunes of EdTech startups skyrocketed as they sneaked in to fill the vacuum left by schools and colleges closing during the country-wide clampdown. However, following the restoration of normalcy, the pandemic-driven tech surge slowed down. This even forced some EdTech startups in 2022 to make even more cost cuts and look for long-term offline models with lucrative revenue streams which was not a bad move from a business standpoint.
In the coming calendar year, valuations will be a higher priority for venture capitalists, and they will only consider investing in EdTech platforms that have demonstrated resilience in the face of the slowdown
“In the coming calendar year, valuations will be a higher priority for venture capitalists, and they will only consider investing in EdTech platforms that have demonstrated resilience in the face of the slowdown. Given the ongoing Covid crisis and the insufficient resources available to ensure quality education and placement opportunities for all aspiring students, India is widely embracing what is currently working well in the Indian academic framework, which is web-based learning platforms.”
Ritika Kumar, CEO & Co-founder, STEM Metaverse
“2022 redefined EdTech. Where it was predominantly limited to offering online classes, it moved to wider domains and a more pluralistic offering when physical schools reopened. 2022 has been an excellent year that has popularised platforms like STEM Metaverse and more.
2022 redefined EdTech. Where it was predominantly limited to offering online classes, it moved to wider domains and a more pluralistic offering when physical schools reopened
“This year has been significant for us as we also successfully launched our own, secure NFT platform for kids that enables them to independently take ownership of their creations. Collectively our aim has always been to ensure we offer a futuristic learning environment matching global standards, at an affordable price.”