In today’s blog we will take a closer glance at one of the most successful ed-tech startup White Hat Jr.
What is White Hat Jr?
- Millions of youngsters have been compelled to learn online as a result of the pandemic, and the new national education policy lays a strong focus on digital learning. In India, education is major business, and parents are willing to pay money to provide their children with a “good” education. White Hat Jr. is a fast-growing firm with a smart marketing engine and excellent unit economics in a hot field where larger competitors are vying for market share.
- WhiteHat Jr exposes and trains the youngsters between the ages of 6 and 18 for this new world of coding. They study the principles of coding, such as logic, structure, sequence, and algorithmic thinking, in order to create innovative products such as animations and applications.
- More than 700,000 people have signed up for WhiteHat Jr’s site, and over 7000 lessons are held every day for youngsters. Each lesson costs around INR 600 to 700. Different course levels are available, with prices ranging from Rs 5,999 to Rs 29,999 to Rs 89,999 and beyond. The paid classes have a student revival rate of roughly 75%. Suddenly, the refund fee has dropped to 3%, which is quite cheap for an Indian Edtech firm.
- Furthermore, the company had listed a revenue of $2.18 million (Rs 16.2 crores) from its operations in FY20, which stood at only $9.02K (Rs 6.7 lakhs) in FY19.
WhiteHat Jr.’s earnings increased from Rs 1 crore to Rs 10 crores before the lockdown occurred. Since the lockout, the value has increased by a factor of two. When BYJU’s approached in June, the company’s revenue was $75 million, but once the purchase was finalised, the revenue run rate was stated at $150 million. The rate was then reported to be $220 million in August, the first month after the acquisition. The company’s revenue has undoubtedly increased significantly over time.
In India, the firm is currently expanding its female-only instructor base. Currently, the platform has over 7000 educators and is actively hiring instructors from all around the nation for all of its main subjects including music. The firm hopes to reach 20,000 teachers in the near future. The ongoing ramp-up base aims to match the rising student base in nations such as India, Canada, New Zealand, Australia, and the United Kingdom.
Deal with Byju's
- Bajaj sold his 18-month-old start-up to Byju’s founder and CEO Byju Raveendran for $300 million (roughly Rs 2,240 crore) in an all-cash deal last year – over Zoom’s video conferencing platform.
- According to a statement made by Byju’s, the company will invest heavily in WhiteHat Jr’s technological platform, product innovation, and instructor expansion to meet demand from new areas.
- Byju’s will now be able to teach coding to children, a niche but quickly growing segment of the K-12 sector in the broader edtech industry.
- In the previous six months, Byju’s has spent more than $2 billion on four acquisitions, including the over $1 billion purchase of offline instructor Aakash Institute.
- It recently announced a $600 million cash-and-stock acquisition of professional and higher education platform Great Learning.
- It also paid $150 million for smaller rival Toppr.
A walk through the History of White Hat Jr.
White Hat Jr. was founded by Karan Bajaj
White Hat Jr. listed a revenue of around $9.02K (Rs 6.7 lakhs) in FY19.
Whitehat Jr. was acquired by Byju’s in $300 million cash