Byju’s to adopt internal sales model amid allegations of mis-selling

Edtech unicorn Byju’s said on Tuesday that it has implemented a four-tier internal sales process, replacing its existing direct sales programme, after it came under scrutiny recently for allegedly mis-selling its products to consumers.

This model, the company said in a statement, will ensure more accurate customer identification, clearer communication and guard against mis-selling.

Byju’s, which claimed that it operates a business with over 150 million registered learners, said the newly introduced sales model was more rigorous, entirely remote and included a centralized tech-driven audit process that ensures all sales are triple-checked.

The new process, according to the statement, begins with educating an incoming lead about Byju’s product portfolio and its new refund policy over a live Zoom session that is recorded for future audit.

ET reported in October 2022 that Byju’s would follow sales leads over phone, video calls and emails to save costs.

To verify customers’ intent and consent before purchasing its courses, Byju’s will now take explicit consent from those who are interested before and after a sale.

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Byju’s will also, to assist students who seek financial support, connect the parents or guardians of such students to third-party banks and financial institutions. “We are constantly striving to improve our customer experience and we believe that this new approach will make the initial stages of the sales process more efficient, clear and empathetic, and will help us establish a strong foundation for a long-term relationship,” said Mrinal Mohit, chief executive of Byju’s India.

ET reported late last month that Byju’s would put in place an ‘affordability’ test for parents when their wards sign up for its online courses, to better understand their financial bandwidth.

“They have come to realise that it is not right to cheat kids. The test will help them filter out parents with family incomes less than Rs 25,000 a month. They will not sell courses to such parents,” National Commission for Protection of Child Rights (NCPCR) chairperson Priyank Kanoongo had told ET.

This came a week after the child rights body summoned the edtech unicorn’s chief executive, Byju Raveendran, following complaints from some parents that its sales team had allegedly coerced them into taking loans to fund courses for their children.

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