The pandemic has shown us what digitization is capable of! Our education system has been highly affected by the pandemic. The whole education system has gone from desk to desktop. This has brought a positive factor as well.
There have been tons of education-based applications launched to serve the students in an effective manner. India has entirely moved from the conventional classroom method to the virtual technical classroom. And a great asset to this has been the very prominent UpGrad, which provides higher education, digitally.
UpGrad is a pretty fascinating application and a very successful education-based company. Through this article, we will discuss the business model of UpGrad in order to have a better understanding towards the Ed-tech companies. Moreover, we discuss how this Ed-tech company makes money and also, how it targets its audience. Let's get started!
UpGrad is known as India's largest company that provides higher education in many fields, founded in 2015. UpGrad offers higher education through various programs in Technology, Law, Data Science, and Management. There aren't any specifications for the students. From students to professionals, anyone can sign up for these programs.
The most fascinating thing about UpGrad is that it offers courses in collaboration with the top universities such as MICA, IIT Madras, Jindal Global Law School, Liverpool John Moores University, NMIMS Global Access, Duke CE, and many others.
UpGrad has built a very strong upholding in the Indian education system and it's all set to achieve definite career success for everyone from the global working environment. UpGrad offers an 85% completion rate for programs, industry-relevant curriculum, placement support, result-based learning opportunities, and significant mentorship to its members.
On a global scale, UpGrad has over 40,000 paid active users right now along with an influence on over a million. In fact, UpGrad is the first-ever company to have a well-recognized PG Diploma in Data Science course from the National Association of Software and Services Companies (NASSCOM) and NOS.
Moreover, UpGrad has been honored with the "Best Education Brands" award from the Economic Times in 2018.
Where does UpGrad operate?
The co-founder of UpGrad, Phalgun Kompalli has done incredible work in the sector of higher education and learning through technology with his award-winning company, UpGrad. The company operates in many countries including India, Africa, the United States, Southeast Asia, and Brazil.
Key Services of UpGrad
UpGrad offers specific online courses and rewards the learners with a well-recognized certificate in many fields such as Machine Learning, Data Science, Digital Marketing, Software Development, product management, and many others.
Furthermore, it provides unique experiences to its customers through the contents developed by academia and industry experts. Also, effective mentorship and career support.
Target Audience of UpGrad
UpGrad majorly targets people above the age of 22 or 23. Its targeting is quite similar to that of Simplilearn company. UpGrad focuses on the working people in the age group of 23-45, who are eager to learn and improve their skills through online channels.
Business Model of upGrad
UpGrad runs on a pretty effective business model which holds a two-way approach between the students and the educators in order to form a bright future together. In other words, UpGrad acts as the bridge between the educational institutions and the candidates to gain the best knowledge and proficiency. The educational institutions offer their program courses in different subjects through the UpGrad app as well as the website at reasonable prices.
The candidates who are interested in the offered courses, register themselves on UpGrad by filling out the essential eligibility criteria fixed by the institution. After this, the candidate pays the given fees for the course. UpGrad offers two options for submitting the fees: complete fees at once or installment option.
Besides, UpGrad also employs professional guides who would enroll the professional candidates in their courses. This forms a two-way business approach that helps UpGrad in completing its ultimate goals and brings out a convenient way for companies to hire potential people. As we discussed the business model of UpGrad, let's have a look at what's unique about this business model.
What is Unique about the business model of UpGrad?
The most unique thing about UpGrad's business model is that it isn't any other ed-tech company with educational videos and content. UpGrad is the leading platform that provides the expertise and experience of entrepreneurs as well as professionals. UpGrad offers tons of student-based services and always brings out remarkable results.
UpGrad is working towards more than 15 new courses that would be included in the programs and are all set to expand its locations globally.
How does UpGrad make money?
UpGrad offers programs at some very reasonable prices as it reflects their commitment towards the education of candidates. Around 50% of revenue is collected from the candidates after completing their program.
For the enterprise business deals, UpGrad receives money from the companies who send their employees for training to UpGrad.
From this article, we got a better understanding of the working strategy of UpGrad. As we discussed the business model of UpGrad, we built the market perspective of the Ed-tech company.
UpGrad carries a strong and effective business model and it is clearly reflected through its results and revenues. But most importantly, the company focuses on the education of its candidates and does not compromise anything for that.
UpGrad follows an effective marketing strategy that always results in various beneficial deals.
Who is the owner of upGrad?
Ronnie Screwvala is the Co Founder and Chairman of upGrad.
Is upGrad an Indian company?
Yes, upGrad is an Indian higher education company founded by Ronnie Screwvala, Mayank Kumar, Phalgun Kompalli, and, Ravijot Chugh in 2015.
What is the revenue of UpGrad?
The revenue of upGrad in 2021 was INR 1200 crores.