Despite the admission season kicking in, financially troubled edtech firm, Byju’s appears to be grappling with sales challenges. According to company sources, bulk of the sales staff, who were put on a revenue-linked payout model since last week, have not been able to sell even a single course or subscription.
This is despite Byju’s lowering the pricing for its various educational offerings by up to 30%, according to sources. The yearly subscription cost for the company’s flagship Byju’s Learning App has now been set at Rs 12,000, inclusive of applicable taxes. Meanwhile, the full-year fees for Byju’s Classes stand at Rs 24,000, and enrolling in BTC (Byju’s Tuition Center) will cost students Rs 36,000 annually, as per the information provided by the sources.
“Many of us haven’t managed to sell any courses in the past week, and hence haven’t received any payouts. The perception around the brand remains a challenge for us when we try and convert,” a sales employee said.
Byju’s latest revenue-linked payout policy seems to have only added to the uncertainty amongst employees, as the company continues to witness high attrition levels and mass resignations.
“Quota-based incentives are common in sales roles, however with our regular salaries suspended, it adds further uncertainty to our immediate future, ” another sales executive added. “Our manager who heads the content team had assured us in a townhall meeting a few days ago that our team is already in the slimmest structure possible, and there will be no further layoffs. But the teams have already lost all faith in the management. Many people are resigning every day across all teams,” said another employee.
Interestingly, the company is reportedly also hiring back some employees who were laid off during the last round of job cuts a month ago, but at lower compensation levels compared to their previous roles.
“I received an offer from Byju’s this morning to rejoin the BTC center in my hometown. The offer I have received is 50% lower than what I was earning before being told in March that I was no longer required,” claimed a former Byju’s Tuition Center (BTC) employee who was working for the firm from Bengaluru until March.
“Those being re-hired are being offered salaries 30-40% lower than before across categories like product, tech, and sales roles,” claimed a former Byju’s product manager who was also laid off in the recent trim.
Byju’s did not respond to queries on the subject till the time of going to the press.
Founder-CEO Byju Raveendran in an all-hands meeting conducted on Wednesday is said to have also invited associates to expand their teams by inviting friends to sell and act as their managers. He also added that he envisions having a 50,000-strong sales force within the next year.
