Vedantu, A Bangalore-based startup that runs a learning app for students between 12 and 18 years old has received another $ 24 million as part of its Series C funding round to serve more students and make its brand a household name ,
The new infusion for the Series C, which Vedantu first presented in August last year, was managed by the Chinese giant GGV Capital. Some existing investors also participated in the round. The $ 24 million extension extends the five-year startup's Series C round to $ 66 million and the total increase to $ 82 million.
Vedantu serves students in grades 6 through 12 and offers live and interactive courses. Students who sign up for the interactive sessions have to answer questions every few minutes by tapping their smartphone screen or desktop. You can also express your doubts at the end of the session.
Some of these sessions are free for students, but a subscription is required for a selection, Vamsi Krishna, co-founder and CEO of the startup, said in an interview with theinformationsuperhighway.
The app has amassed over 75,000 paying subscribers, a number Krishna is expected to reach over 100,000 this year, he said. The cost of these subscriptions can vary from Rs 100 (USD 1.4) for students looking for sessions on a specific topic to Rs 50,000 (USD 700) for long-term courses that focus on training students for courses for students focus. In total, more than 25 million users visit the Vedantu app or website each month for free tuition.
India has the largest school-age population in the world, and the country's households are ready to invest in their children's education to improve their lives. For example, around one million students aim to graduate each year.
However, the quality of education and its affordability are two major challenges faced by millions of students, especially in small towns. In an offline coaching center, up to 100 students can sit in the room, most of whom have no opportunity to deal with the teacher. For some, however, this also means that there are not many teachers left to teach them.
In recent years, a wave of tech startups like Byju & # 39; s has emerged that were worth $ 8 billion in their last fundraiser last week to address these challenges as low-cost Android phones flood the Indian market and mobile data prices are becoming incredibly affordable.
With Vedantu, students can interact with their teachers via the microphone and camera on their smartphone or desktop and via a chat box in the app. These teachers also have assistants who work with students on their doubts.
Since it is a virtual class, Vedantu can accommodate more students in one session. Up to 600 students could attend a paid session while 2,000 lessons could be free, said Krishna, who is a teacher himself, and headed the Lakshya Institute, which helped students prepare for Bachelor-level courses through early 2014, before selling a majority stake in Mumbai-based K-12 tutoring and exam preparation company MT Educare.
By operating a technology platform, Vedantu can also offer its subscription service at a lower price than a typical offline coaching equivalent, which can cost users between a few hundred dollars and a few thousand dollars.
To ensure that students are alert and identify their weaknesses, Vedantu has developed a patented system called WAVE that evaluates about 70 parameters, including whether the student is looking at the screen. More than 90% of the students attend the session (for example, they pose questions and answer them), said Krishna.
Hans Tung, managing partner at GGV Capital, Vedantu, who joined the Vedantu board of directors as part of the investment, believes that Vedantu has reached the turning point with its WAVE product. WAVE enables teachers to "achieve superior results because it can offer many students personalized training at the same time," he said. "We are excited to partner with Vamsi and the Vedantu team to share GGV's global expertise and network to scale and shape learning outcomes for millions of students in India and beyond."
Krishna said the startup has grown phenomenally in recent years, which is why it is starting to spend some money to better market its brand. In December, the startup ran several commercials on TV channels. In addition, Vedantu has started adding courses for even younger students. The new courses are in the pilot phase and would be largely rolled out in a few months, he said.