PROBLEM STATEMENT:

You are hired as a sales head for a pan India IIT JEE coaching class. Come up with a business
plan which focuses on targeting the relevant market, come up with the list of sales & marketing
initiatives you would undertake. Make assumptions where ever necessary - show a clear ROI on
the sales efforts vs conversions in term of increase in admissions.

Assumptions:
1.The coaching class is a new venture, started two year back by Two FIIT-JEE trainers in
Kolkata.
2.The growth rate is exponential as a new player, new class centers started in Mumbai,
Bangalore & Chennai.
3.The initial investment was about INR 45 Lakhs funded by co-founders it selves.
4.For new expansions they got funds of INR 8 crore from local businessmen.
5.Now it has student base of 500 (approximate) around all the four centers.

Industrial Analysis:
1.
2.
3.
4.
5.
6.
7.

A 2000-crore Industry.
Place of Heaven: Kota.
No. of Eminent Institutes:15
Base of Students:20,00,000
No. of fresh students:8,00,000
No. of repeating students:12,00,000
Average fee per year: INR 100k

Competitor Analysis:
1. Market Leaders: FIIT-JEE, ALLEN, RESONANACE, BANSAL, VIDYA MANDIR
2. Market Followers: IITIAN PLACES, AAKASH INSTITUTES, PATHFINDER,
BRILIANTS
3. Success rate depends on Student quality taken and mainly Star teachers, which are
acquired by top level institutes.
4. Highly competitive industry, quality students and star teachers are stolen by
competitors.

Segmentation:
Pedantic

Tier 1
cities

Upper
Segment

Bangalore

Chennai

Middle
Segment

Lower
Segment

Delhi

Kolkata

B2C

B2B

Tier 2
cities

Tier 3
cities

Mumbai

B2B

Tier 1

Public
schools

>2000
Students

Tier 2

Tier 3

Private
schools

<2000
Students

Well
Established

Small new
entrants

Positioning:
1.
2.
3.
4.

Special Value Proposition (In house schooling facility)

Create Niche Market by providing in School facility along coaching
Productization of Services (For PAN India Students)
Special prices Fee: Average INR 50k per year (which is less than others)

Hyderbad

Marketing Mix:
Product(Offering):
1.
2.
3.
4.
5.
6.

Integrated 5 year course.

2 year course offering.
6 month course.
3 month quick revision course.
1 year repeat course.
Mock test offering.

All these courses are available on online and app

based platform (compatible with all devices)

Price:
Cost leadership strategy.
Product offerings different prices. (Product Line pricing)
B2C pricing
Integrated 5-year course
2-year course offering.
6-month course
3-month quick revision course.
1-year repeat course.
Mock test offering

INR 1,99,999
INR 99,999
INR 38,999
INR 18,999
INR 59,999
INR
4,999

B2B pricing:

Pricing based on volume. (Bundle pricing model)

Place (Go to market):

B2B
Collaborating with different new entrant private schools.

B2C
1. Door to door marketing.

2.

Promotion in coaching centers.

Promotion

Traditional Marketing
1.
2.
3.
4.
5.
6.

Banners
Pamphlets
Free Seminars
Build Referral System
Newspaper advertisement
Radio advertisement

Digital Marketing
1.
2.
3.
4.
5.
6.
7.

A mobile App.
Individual emails and class mails
Social media platforms: Facebook, Instagram, Twitter, YouTube.
Internet Marketing.
Blogging.
Webinar session
Toll-free and online customer support.

Sales Goal:
1. Initiating new partnerships with other Private Schools in B2B for specialized coaching. Target is
to acquire partnership of 1 crores.
2. Increase sales from center students worth up to 2 crores.

Key Value Propositions:

1.App:

The Learning App will make use of original content, watch-and-learn videos, rich animations
and interactive simulations.
Specially designed for B2C and B2B.

2.Integrated Tablet with Study material:

Tablets will be provided to distance students
3.In house schooling facilities
License for CBSE 10+2 course.

4.Productization of services:
Pairing up with Amazon, Flipkart to sell our customer service packages.
5.Special Credit Facility service by partnering with Financial Institutions or
Banks.

Financial Analysis:
Cost Structure:
Marketing Expenses:

Banners
Pamphlets
Radio advertisement

1,00,000
2,00,000
3,00,000

Operational Expenses:

Mobile App Development

Content Development
Toll-free and online customer support
Room Rent
License Fee

12,00,000
12,00,000
4,00,000
80,00,000
10,00,000

HR Expenses:

Faculty
Administrative Support
Interns
Miscellaneous Expenses:

Total Expenses:

Revenue Structure

4,80,00,000
2,40,000
9,00,000
50,00,000

6,65,40,000 6,66,00,000

Revenue from Student: Taking Buffer of 500 students

Least revenue 1,500*35,000= INR 5,25,00,000
Average revenue /Year: INR 35,000
Revenue from Partner School: 40*6,00,000= INR 2,40,00,000
INR 6,00,000/School

Total revenue: INR 7,65,00,000

First Year: Cost: INR 6,66,00,000

Revenue: INR 7,65,00,000
Profit: INR 99,00,000
Expected Conversion Rate: 10% in IIT(assumed)

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