PhysicsWallah

Executive Summary

PhysicsWallah has grown from a small online site into a large network of online and in-person classes serving 40 million students. It mainly serves people in smaller Indian cities who are studying for big entrance exams. By selling classes for much less money than the existing big players, the company has reached a 2.8 billion dollar valuation and 150 million dollars in sales. Even though it owns a huge part of the market, its heavy spending on physical Vidyapeeth centers led to a 50 million dollar loss recently. The business stays ahead because it connects well with its community and its cost to find each new customer is much lower than other companies. Investors have to weigh the strong love fans have for the brand against the fact that physical schools take a lot of cash to run and the education technology market is currently very unstable. This investment offers a rare chance to back a company making education cheaper for everyone in India through a model that relies on serving a high volume of people. The upcoming first public sale of stock will prove if this mix of online and offline school growth can really work for the long term.