BYJU'S spends Rs 450 cr on advertising in FY19, up 239% from last year

The brand’s marketing promotion expenses have also shot up by 70% from Rs 54.70 crore in FY18 to Rs 94 crore in FY19

e4m by Misbaah Mansuri
Updated: Dec 19, 2019 9:43 AM

7.2k

BYJU'S

Home-grown learning start-up BYJU'S has spent a whopping Rs 450 crore on advertising in FY19, a 239 per cent rise from Rs 188.5 crore in FY18. The company also increased its net revenue from Rs 490 crore in FY 2017-18 to Rs 1,341 crore with a net profit of Rs 20 crore in FY19.

The gross revenue has also increased from Rs 520 crore to Rs 1,480 crore in this financial year. Moreover, the company is planning to nearly double its revenue to Rs 3,000 crore in FY20.

BYJU’S marketing promotion expenses went up by 70 per cent from Rs 54.70 crore in FY18 to Rs 94 crore in FY19. Further, the company’s business promotion expenses also rose by 170 per cent to Rs 346 crore in FY19 from FY18’s Rs 128 crore.

The brand roped in actor Shah Rukh Khan as their ambassador to grab mass attention and push out information to every target household. They also got on board actor Mahesh Babu to target the Telangana and Andhra Pradesh market.

On the digital front, the company leverages a combination of channels including display, banner besides advertising on YouTube. They also use TV in a big way to reach students and parents apart from print and outdoor. Moreover, BYJU’s has also squeezed in print ads into its media pie to ensure that parents from non-metro regions are made aware of the app.

BYJU’s has been quite aggressive this year in terms of its marketing and has been even capitalizing on cricket in a big way. It replaced OPPO as the official sponsor of the Indian cricket team.

OPPO had reportedly won the sponsorship for Rs 1,079 crore in 2017 for five years, outbidding Vivo mobiles' Rs 768 crore bid. As per reports, the smartphone brand decided to exit the space and reallocate the rights to Think and Learn owned BYJU'S at the same price point as it found the value at which it acquired the rights in 2017 to be ‘extremely high’ and ‘unsustainable’.

While the jersey branding for Team India has always been with non-digital brands such as OPPO, Star, Sahara and others, this became the biggest sponsorship that a digital-first brand has ever taken since their evolution in India. With this association, the brand had allocated a major portion of its marketing budget for 2019 by betting on cricket massively.

According to a survey by the Indian Institute of Human Brands (IIHB), the company’s last set of advertisements with Khan received the highest recall among celebrity endorsements during the 2019 ICC World Cup Cricket.

The brand also recently launched a TVC featuring the Indian cricket team donning its new jersey. Unveiling the new team jersey with the BYJU’s logo, the film features the Indian cricket team walking onto the pitch while sharing what the jersey means to each of them and the inspiration they draw from it to continue learning and growing every day.

The Bengaluru-based company has managed to become profitable with the number of paid users shooting up. It currently stands at about 2.8 million.

For more updates, be socially connected with us on
WhatsApp, Instagram, LinkedIn, Twitter, Facebook & Youtube

Stay updated with the latest news in the Marketing & Advertising sector with our daily newsletter

By clicking Sign Up, I agree to the Terms of Use and Privacy Policy.