Syntax Literate: Jurnal Ilmiah Indonesia p–ISSN: 2541-0849 e-ISSN:
2548-1398
Vol. 9, No. 4, April 2024
LEVERAGING NEW BUSINESS MODELS TO
ENHANCE PROFITABILITY IN COHORT-BASED COURSES EDTECH BUSINESSES STUDY CASE: PT DIBIMBING DIGITAL INDONESIA
Zaky Muhammad Syah1*, Eko Agus Prasetio2,
Sahat Hutajulu3
School of Business and Management, Institut
Teknologi Bandung, Indonesia1,2,3
Email: [email protected]*
Abstract
Over the past five years, the education
technology (EdTech) sector has gained increasing prominence, characterized by
significant growth in investments, transactions, and overall revenues. PT Dibimbing (Dibimbing.id), an EdTech company, experienced a decline in
revenue largely attributed to elevated customer acquisition costs (CAC). This
research aims to analyze the challenges faced by Dibimbing.id and form
an innovative and profitable business model for Dibimbing.id. This study
uses qualitative research by applying Richardson's framework theory (Value
Oriented Framework). This research was obtained through in-depth interviews and
Forum Group Discussions (FGDs). The FGD involved teams in Dibimbing.id,
including marketing and sales, development, operations, human resources,
finance, and technology teams. The results showed that the existing business
model faces problems such as variable learning speed, highly complex learning
syllabus, hiring difficulties to find advanced talents, bootcamp business model
that does not contribute to profit growth, students' concerns with limited job
prospects, and financial constraints. Therefore, four solutions were revealed
in this research for a new business model, namely self-paced learning, leveling
course, job guarantee program, and Study Now Pay Later (SNPL).
Keywords: Leveraging New Business Models
Introduction
The education technology
(EdTech) field has become increasingly prominent over the past five years, with
substantial growth in investments, transactions, and revenues. With this
development, the EdTech sector in Indonesia has also experienced a significant
surge in business activity
The EdTech sector is
segmented into various markets, covering K12 (elementary, middle, and high
schools), individual students, professionals, and institutional needs. The
content is diverse, covering academic subjects, career preparation, and
creative and lifestyle themes. EdTech has several types of business models,
including the cohort-based model. Cohort-based models in the EdTech field have
been used in various start-up companies and educational institutions
Despite the advantages it
offers, the implementation of cohort-based business models in EdTech also
encounters various challenges. According to study by
Despite the success of its
Job Connector boot camp program, PT Dibimbing (Dibimbing.id), an EdTech firm in
Indonesia using a cohort-based business model, has suffered continuous
financial issues since its second year. Based on the financial report in
In the case of Dibimbing.id,
it can be concluded that a new business model that is able to survive and
continue to adapt to technological advances and shifting conditions must be
created. According
to
This
study aims to investigate Dibimbing.id's issues and to develop an
innovative and successful business model for Dibimbing.id. This
comprises alterations to the existing model, value offer, and configuration of
existing classes in order to increase sustainability and financial performance.
Furthermore, to develop the business model, this study employs Richradson's
framework, focusing on three elements: value proposition, value generation, and
value capture. Furthermore, the outcomes of this study can provide significant
knowledge to the EdTech industry, promoting the development and expansion of
sustainable business models.
Business Model Innovation
Building a sustainable
success is crucial to analyze about how well the business model adapts to
changes in market demand and external circumstances
a.
Value
Proposition: This basic element aims to realize the company's commitment to
providing tangible and intangible benefits to customers. In this Richardson Classification introduces
a three-dimensional perspective, which is shown in the offering, product and
also the target customer or market identification.
b.
Value
Creation: a strategic blueprint to demonstrate the organization's competitive
stance. In this case, it goes beyond description, and also delves into the
intricacies of how value is generated. Richardson's theory covers many
activities, from creation and production to sales and delivery processes. This
view examines a business's strategy for creating and delivering value to its
customers.
c.
Value
Capture: in this case, business efforts are transformed into tangible revenues
and profits. It includes two dimensions: revenue model and economic model. The
revenue model deals with the sources from which the business derives revenue.
This model shows the channels through which businesses receive compensation for
their services. On the other hand, the economic model includes financial
aspects, including costs and margins, which examine how the business maintains
profitability.
These parts are
interrelated or in other words, not separate components, as in
Design
Thinking
Design thinking (DT) is a
team-based approach method that aims at problem identification and problem
solving
Design Thinking (DT)
consists of three main categories of elements which
consisted of
methods, cognitive, and mindset. Methods are specific activities and
instruments, while cognitive approaches relate to thinking processes and
styles, and mindsets relate to the problem-solving mentality approach. These
three concepts are critical to the success of DT
DT is characterized by
fundamental principles that are critical to its success and are divided into
three main groups of elements: methods, concrete activities, and tools; cognitive
approaches, thought processes, and styles; and mindset, the mentality used to
approach problems
An innovative and
explorative mindset is perceived as a crucial success factor in DT
Method
This research employed
qualitative research by applying the theory of Richardson's framework
This research is obtained
through in-depth interviews and Forum Group Discussion (FGD). This FGD involved
the teams at Dibimbing.id, including the marketing and sales team,
development, operations, Human Resources, finance, and technology
teams. Before conducting the FGD
session, the researcher briefly provided an overview to each informant
individually, serving as a basis for discussion that would optimally lead to
results during the FGD. The
interviews and FGD sessions were conducted online through the Zoom platform and
were carried out in Bahasa Indonesia. Each interview lasted approximately 35
minutes, while the FGD sessions spanned over 2 hours. The interviews were
recorded and then transcribed and thoroughly analyzed.
Table 1. The Demography of Forum Group Discussion
informants
|
Informant |
Division
profile |
Job
Title |
Experience (Years) |
|
AL |
Product
creation and development |
Chief product officer |
3 |
|
SY |
Creating
syllabus relevant to industry needs |
Learning designer code |
2.5 |
|
VA |
Creating
syllabus relevant to industry needs |
Learning designer code |
2 |
|
VE |
Ensuring
students achieve learning objectives during bootcamp |
Head of bootcamp |
2.9 |
|
T |
Supervise
day-to-day execution of bootcamp code |
Product operation code
officer |
2 |
|
I |
Supervise
day-to-day execution of bootcamp non-code |
Product operation
non-code officer |
1.8 |
|
S |
User
acquisition |
Sales manager |
2.8 |
|
W |
Technology
development for product requirements |
Chief technology officer |
3 |
|
M |
Recruitment
and employees development |
HR manager |
2.5 |
|
N |
Treasury,
tax, and budgeting |
Finance manager |
2.8 |
|
Y |
Top
funnel team which focus to acquire leads |
Performance marketer |
1 |
|
AN |
Handle
job connector bootcamp |
Talent support manager |
2 |
Table 1 provides
demographic information about the informants that participated in the Forum
Group Discussion, while Table 2 details the demographic characteristics of the
In-Depth Interview participants. After both interviews and FGDs were
transcribed into Bahasa Indonesia, the data was systematically compiled into
themes and keywords. The themes and keywords were labeled as findings and
characteristics, which described significant patterns in the data. It is
important to note that this analysis process took a manual approach, avoiding
reliance on computer-based tools.
Table 2. The Demography of In-depth Interview
Participants
|
Informant |
Division
profile |
Job
Title |
Experience
|
|
A |
Recruiting Dibimbing.id’s
Graduates after Completing Bootcamp |
Hiring partner |
1 year |
|
B |
Recruiting Dibimbing.id’s
Graduates after Completing Bootcamp |
Hiring partner |
8 months |
|
C |
Teaching Students in Bootcamp
Classes |
Mentor Code |
2 years |
|
D |
Teaching Students in Bootcamp
Classes |
Mentor non-Code |
1,8 years |
|
E |
Bootcamp users at Dibimbing.id |
Student code |
4 months |
|
F |
Bootcamp users at Dibimbing.id |
Student/alumni non code and code |
10 months |
Result and Discussion
The problems and challenges
impacting Dibimbing.id financial performance
After
conducting an analysis of the results of interviews and Focus Group
Discussions, the findings of this study summarize the problems experienced by Dibimbing.id
that have an impact on the company's financial performance. Some of these
issues include varying learning pace, highly complex learning syllabus, hiring
difficulties in finding advanced talent, bootcamp business model not
contributing to profit growth, students' concerns with limited job prospects
and financial constraints.
The students
have different learning paces
This
issue is expressed by students, mentors and the internal team at Dibimbing.id,
that within each cohort there are often types of students who tend to be quick
or slow. This inequality occurs in almost 25% of students in each batch as
shown in excerpt (1).
(1) “Setiap batch-nya itu churn-nya lumayan
kak kira-kira 25% an orang-orang biasanya emang gak bisa ngikutin pace kelas
beberapa akhirnya pindah batch” (Informant Ve- Bootcamp Manager)
“Each batch has
a decent churn, about 25% of people usually can't keep up with the pace of the
class, some end up moving batches” (Informant Ve- Bootcamp Manager)
Based
on the results of FGDs conducted by the internal team, it was also stated that
some students were eventually forced to join the next batch because they felt
they did not perform well in the first batch they joined. This is also
supported by information from the mentors who noted that almost in every cohort
there tends to be an imbalance between one student and another, as shown in excerpt (2).
(2)
“gue sebagai pengajar yang kelasnya
terbagi di awal, tengah, akhir jadi cukup tau beberapa batch jumlah nyusul,
jumlah pastinya gatau ya tapi lebih dari 20% gue rasa nyampe” (Informant
C-Mentor Code at Dibimbing.id)
“As an instructor with classes
divided into beginning, middle, and end, I have a good understanding of the
reduced numbers in several batches. I can't provide the exact figures, but I
believe it's more than 20%.” (Informant C-Mentor Code at Dibimbing.id)
The students
are overwhelmed with the learning syllabus
Dibimbing.id
made the program in one boot camp package to accommodate learning from beginner
to advanced levels. Covering the program into one boot camp program package
results in a tendency to force the material to be taught, making the students
feel overwhelmed and the mentors feel like they are being overburdened. This is also supported by students'
statements that they feel overwhelmed by mentors, which in turn forces them to
consult outside of class because there are some questions that have not been
answered in class, as shown
in excerpt (3).
(3) “….
Ekspektasi dibimbing kan agak tinggi, jadi satu materi pasti padet banget akhirnya banyak yang ketinggalan,
solusinya gw open question after kelas juga. (Informant D-Mentor non code at Dibimbing.id)
".... Dibimbing
expectations are quite high, one material must be dense in the end, many
students miss it, the solution is that I also open questions after class"
(Informant D-Mentor non code at Dibimbing.id)
It
was also revealed by Dibimbing.id operational team during the FGD that
the large number of requests for consultations outside of class because
students felt that they had not been helped in class. It forced the team to
incur additional costs for this which ultimately resulted in an increase in
sales costs at Dibimbing.id, as indicated in excerpt (4).
(4)
“Ini aja gue udah overwhelmed padet
bener bro, banyak yang pada ngeluh, apalagi kalo sama mas grady bikin diskusi
diluar kelas karena materi susah dan padet yak arena tadi lu ngas banyak hal
dalam waktu yg pendek kan” (Informant E- student code)
“I’m already overwhelmed, it's
really packed, bro. Many, including Zaky, have been complaining. Especially
when with Mas Grady, having discussions outside of class because the material
is difficult and packed. You've covered a lot in a short time.” (Informant E student
code)
Hiring partners have difficulty in finding advanced
talent
Interviews with recruitment companies revealed that
one of their biggest difficulties is the difficulty in finding a talent
pipeline for senior level positions. This need is quite urgent because the
company's need for digital and tech positions are constantly evolving, so it is
not enough to just recruit for entry-level positions. This is something that is
often experienced by hiring companies, which has an impact on the length of the
recruitment process due to a small pipeline and it is not uncommon for them to
make the wrong hires, as shown in excerpt (5).
(5) “Mudah-mudahan
dibimbing ada talent buat senior mas sukur-sukur ada buat lead kita
kebutuhannya banyak lho, Kita udah nyaman sama dibimbing
jadi kalo ada dari dibimbing kita akan pilih dari sini soalnya lebih murah dan
biasanya banyak dari yg lain” (Informant
A-Hiring company)
“Hopefully, Dibimbing has talent
for senior roles, ideally, we even have some for a lead position. We have a
high demand for it. We
are already comfortable with dibimbing so if there is from dibimbing
we will choose from here because it is cheaper and usually more than others. (Informant
A-Hiring company)
The current boot camp business model does not
contribute to good growth of profits
The results of the forum group discussion with the
internal team of Dibimbing.id revealed that the current business model,
namely the cohort base, has taken into account the variables that are really
needed by students and recruitment companies, including direct classes with
mentors, learning assistance, assignments and final projects, then job
channeling programs. This cohort base is also considered capable of meeting
user needs with manageable sales costs, as shown in excerpt (6).
(6) “gue butuh
diajarin mentor secara live git uterus kan bootcamp tuh karena jadwalnya fix
jadinya lebih ketriger untuk belajar ngerasa ada yang satu perjuangan, walaupun
mungkin temen gue ada yang sukanya yang belajar fleksible dan sendiri-sendiri
ya”
(Informant E student code)
"I need to be taught by a
live-in mentor live because a bootcamp, due to its fixed schedule, triggers me
to learn more. I feel like there's a shared struggle. Although I understand
some of my friends prefer flexible and individual learning." (Informant E
- Student, Code)
However,
the internal team at Dibimbing.id did not realize that the cohort base
was only an option for a part of the market. This meant that some prospective
students who did not like cohort tend not to enroll in Dibimbing.id
bootcamp. This is supported by Informant S as the
sales manager that many prospects do not choose Dibimbing.id because of
the schedule and length of the program that has been determined at the
beginning. This claim is also confirmed by students who explain that students
have very varied learning preferences, as shown
in excerpt (7).
(7) “Beberapa
kali gue juga sering nemu orang dateng ke dibimbing terus gk jadi beli karena
jadwal yang kurang fleksible gue gatau deh kalo gk salah di refoc** tuh live
class but you can choose at any time, maybe that's what it means”
(Informant S-Sales manager).
"Several times, I've
encountered people who came to Dibimbing.id but didn't end up buying
because of the inflexible schedule. I'm not sure, but I think it's about refoc** on live classes, but
they can choose any time, maybe that's what's meant." (Informant S - Sales
Manager)
Some students are worried about limited job prospects
The results of interviews with students in Dibimbing.id
explain that the thing they are really afraid of is related to job placement. They even
said that they can afford to pay more as long as they were guaranteed a job
after the bootcamp. This was also conveyed by the internal team of internal
team through FGD that the biggest motivation for students to join the Dibimbing.id
bootcamp is to get a job. In fact, most of them rely heavily on the job
connector program process provided by talent support in Dibimbing.id.
Furthermore, the talent support team during FGD also mentioned that many
students asked for more consultation sessions than the actual quota than the
quota they should get during the job connector program. This request is also
accompanied by their willingness to pay additional fees. It is shown in excerpt
(8) and (9).
(8) “…yang paling krucial mungkin di
penyaluran kerjanya biar gue paling gk terbantu dapet kerja lebih gampang
bahkan gue kepikiran gpp deh gue bayar lebih penting dapet kerja” (Informant E-student code)
"The
most crucial aspect is probably in job placement, so I feel the most assisted
in finding a job more easily. I even think it's okay to pay more as long as I
can secure a job." (Informant E - Student, Code)
(9)
“Tapi disisi lain ada juga yang
semangat banget bahkan minta kelas tambahan di TS buat job connector” (Informant An-Talent
support manager)
"On the other hand, there are also those
who are very enthusiastic and even ask for additional classes in the Talent
Showcase for job connections." (Informant An - Talent Support Manager)
The Business Model
Solutions through addressing Financial Challenges
Based on the results of interviews with mentors,
students, and hiring companies, and supplemented by the results from the focus
group discussion forum, it is important to design future learning. It includes
the integration of conceptual, practical, and technical case study materials in
the delivery of classroom materials. The
mentoring approach throughout the learning process is also considered
important, to develop a comprehensive understanding. Furthermore, the establishment
of clear and firm rules in each bootcamp is strongly emphasized to ensure
student commitment during the program. The integration of assignments, final
projects, and technical and interpersonal soft skills training also needs to be
improved by aligning with the evolving needs of the company. Mentoring approach
should be taken to ensure the high quality of students' career preparation for
the job connector program.
Therefore, the research shows the existing model
applied by Dibimbing.id and also the new business model developed to
improve financial performance and profit. The existing guided model is described using the
business model analysis framework by
Table
3. The description
of the Existing Business Model of Dibimbing.id
|
Dimension |
Components |
Findings |
|
The
Value Proposition |
The
offering |
-
Industry
relevant skills with syllabus yang comprehensive -
Career
support and job placement -
Hands
on learning experiences -
Networking
opportunities -
Affordable
price |
|
|
The
target customers |
-
Fresh
graduates (22-24 years old) -
Career
switcher (25-35 years old) -
Early
learner -
Cohort
base preferences (fix schedule, grouping class) -
People
who are concern about price |
|
|
Competitive
advantage |
-
Offering
diverse courses to obtain new skills -
Providing
a strong network of instructors and industry professionals (minimum 3 years
experience) to deliver high-quality education and training. -
Building
a community of learners and professionals through networking events and
industry partnerships. -
A
promising job connector program with a 91% success rate -
Affordable
price |
|
The
Value Creation |
Resources
and capabilities |
-
570+
hiring companies -
2000+
expert mentors -
All
of our services was built from a single platform (Omega) -
Dedicated
Talent support team -
Curriculum
development |
|
|
Value
chain infrastructure |
-
Curriculum
Development: Designing and developing relevant and up-to-date course
materials. -
Learning
Delivery: Offering online training sessions, workshops, and networking
events. -
Career
Services: Providing job placement assistance and career guidance for students
and graduates. -
Community
Building: Organizing networking events and building a strong professional
community. -
Centralized
platform for learning process |
|
|
Position
in the value network |
-
Mentor -
Students -
Hiring
companies -
Talent
support -
earning
designer |
|
The
Value Capture |
Revenue
Sources |
-
Course
Fees: Generating income through tuition fees for various educational programs
and courses offered by General Assembly. |
|
|
Cost
Structure |
-
Mentor/teacher
fees -
Operational
Costs: Including costs for maintaining physical campuses, online platforms,
administrative staff, and marketing activities. -
Technology
Infrastructure Costs: Expenses related to maintaining and upgrading the
online learning platform and technology resources. -
Marketing
Cost: user acquisition costs |
Based
on the data in Table 3, it is evident that the existing model
has to adapt to the needs of recruitment partners, mentors, and students. This
ensures that the learning objectives are achieved and solves the problems
stated in the problems and challenges faced by Dibimbing.id.
Therefore, this existing business model is modified with a new business model
as a solution to solve the problems faced by Dibimbing.id. The description of the new business model is shown in Table 4.
Table
4. The
description of the New
Business Model
|
Dimension |
Components |
New findings |
|
The
Value Proposition |
The
offering |
-
Industry
relevant skills with syllabus yang comprehensive -
Career
support and job placement -
Guarantee
job connector program -
Hands
on learning experiences -
Networking
opportunities -
Cohort
based learning -
Self-paced
learning |
|
|
The
target customers |
-
Fresh
graduates (22-24 years old) -
Career
switcher (25-35 years old) -
Early
learner -
People
who are prefer cohort base (fix schedule, grouping class) -
People
who are prefer Self-paced learning -
People
who are concern about price -
People
who are concern on quality only |
|
|
Competitive
advantage |
-
Offering
a diverse range of courses and leveling programs to cater to the specific
needs of individuals and businesses in the rapidly evolving tech and business
landscape. -
Providing
a strong network of instructors and industry professionals (minimum 3 years
experience) to deliver high-quality education and training. -
Building
a community of learners and professionals through networking events and
industry partnerships. -
Promising
job connector program with 91% success rate -
Affordable
price |
|
The
Value Creation |
Resources
and capabilities |
-
570+
hiring companies -
2000+
expert mentors -
All
of our services was built from a single platform (Omega) -
Dedicated
Talent support team -
Curriculum
development and learning path |
|
|
Value
chain infrastructure |
-
Curriculum
Development: Designing and developing relevant and up-to-date course
materials. -
Learning
Delivery: Offering online training sessions, workshops, and networking
events. -
Career
Services: Providing job placement assistance and career guidance for students
and graduates. -
Community
Building: Organizing networking events and building a strong professional
community. -
Centralized
platform for learning process |
|
|
Position
in the value network |
-
Mentor -
Students -
hiring
companies -
Talent
support -
Learning
designer |
|
The
Value Capture |
Revenue
Sources |
-
Course
Fees: Generating income through tuition fees for various educational courses
and level of programs offered by Dibimbing.id -
Subscription
model for self -paced learning -
Job
Placement Services: Offering additional career services and job placement
assistance at a cost to clients. |
|
|
Cost
Structure |
-
Mentor/teacher
fees -
Operational
Costs: Including costs for maintaining physical campuses, online platforms,
administrative staff, and marketing activities. -
Video
learning production cost -
Technology
Infrastructure Costs: Expenses related to maintaining and upgrading the
online learning platform and technology resources. -
Marketing
Cost: user acquisition costs |
Table
2 shows the new business model of Dibimbing.id, presenting new components
to enhance the existing business model. The revised value proposition includes
a guaranteed job connector program and introduces cohort-based and self-paced
learning options. In addition, the customer segment is also expanded to those
who prefer self-directed learning and focus on quality. The competitive
advantage was strengthened with diverse course offerings, a strong instructor
network, and a job connector program, while resources and capabilities remained
consistent. Infrastructure of the value chain now incorporates learning
pathways in curriculum development, and the revenue model introduces
subscriptions for self-paced learning in addition to existing course fees,
emphasizing additional revenue from job placement services. The cost structure
includes new elements such as learning video production costs while maintaining
existing components such as mentor fees and operational costs. In connection
with the business model change, a more detailed discussion of the implications
of the proposed solution for the problem to be solved and the expected results
is presented in Tabel
3,4,5,6.
The Development
of Job Connector
Guarantee Program
While job connector guarantee program
has not resulted in a significant increase in customer acquisition, the Job
Guarantee Program has shown a significant impact on average revenue per user
(ARPU). Based on student acquisition data as of November 27, 2023, it is
revealed a total of 35 students for Data Science Bootcamp and 15 of them are
Job Guarantee bootcamp students. Furthermore, for Digital Marketing Bootcamp,
the total number of students reached 32 and 13 of them were job guarantee
bootcamp students, and other data also shows that this job guarantee program
has an impact. This findings shows that
creating a job guarantee program is effective in increasing revenue which is
higher than the revenue of Dibimbing.id. The description
of job connector guarantee program for new business model is shown in Table 5.
Table
5. The
description of Job Connector Guarantee Program for New Business Model
|
Dimensions |
The Value Proposition |
|
Improvement |
Offers a guarantee job connector program |
|
Design |
All
regular job connector bootcamp class facilities are obtained by student
guarantee, and are accompanied by additional facilities as follows: -
6
months job guarantee (Refund up to 100%) -
35+
Live class sessions with mentors (combined with regular classes) & Extra
20+ classes in weekdays -
Unlimited
1 on 1 sessions with instructors by request + Routine 1 on 1 mentoring on
schedule -
Mentorship
Club -
Intensive
mentoring to build a career -
HR
Interview practice -
User
Interview practice -
Internship
project at well-known company |
|
Expected Outcome |
-
Reduce
the percentage of customer acquisition costs because it increases transaction
value for students -
The
percentage of class and operation costs will also be reduced because 80% of
the running guarantee program costs are included with the regular program -
Increase
revenue |
|
Solved Problem |
-
High
customer acquisition cost (CAC) -
High
Operational Cost |
The Development of Self-Pace learning
The Self-Paced Learning is a live class with a
comprehensive online learning ecosystem designed to provide a flexible and
interactive learning experience for students seeking digital skills courses.
The online learning platform will host a variety of learning materials,
including on-demand video tutorials, interactive exercises, comprehensive
reading materials, and live classes hosted by industry experts. Through
combining self-paced learning with live classes, Dibimbing.id aims to
create a dynamic and inclusive learning environment that meets the diverse
learning needs of students. The description of Self-Pace learning for New
Business Model is shown in Table 6.
Table
6. The
description of Self-Pace learning for New Business Model
|
Dimensions |
The Value Proposition |
|
Improvement |
Self-Pace learning |
|
Design |
-
Learning
that adapts to students' pace, so students can complete classes faster or
later depending on the free time they have -
Continuous
fixed live class schedules are available which come from regular bootcamp
class schedules from various cohorts -
High
quality learning videos are available which must be watched first before
starting class. -
Video
access is provided in its entirety and will be a requirement for students to
be able to take part in live classes by following the learning sequence
through video learning first -
This
learning video is also given to student cohorts, but access to the video is
only open based on the class schedule that will be running -
There
are integrated labs available through the learning center which can be used
for practice needs -
Mentoring
sessions with mentors can be requested according to best needs to discuss
material, practical results, assignments and final projects but the number is
still limited per month -
This
program is equipped with career preparation and job connector programs, both
regular and guaranteed |
|
Expected Outcome |
-
The
percentage of class and operation costs will also be reduced because 70% of
learning activities do not incur additional costs -
Capture
new markets by adding students' learning preferences -
Has
the potential to extend the Lifetime Value of Dibimbing.id services -
Increase
revenue |
|
Solved Problem |
-
High
Operational Cost -
Changes
in Market Needs -
Short
lifetime value |
The Development of Leveling Program
The leveling program is designed to provide a
structured learning path for students at various skill levels, which include
beginner, intermediate, high-intermediate and advanced level for a wide array
of digital skills courses. Each level is designed and built to deliver specific
learning outcomes and skills, encouraging a comprehensive and progressive
learning journey for students who want to improve their digital skills
proficiency. The description leveling program for new business model is shown
in Table 7.
Table
7. The description Leveling
Program for New Business Model
|
Dimensions |
The Value Creation |
|
Improvement |
Curriculum development and learning path
(offering diverse range and levelling) |
|
Design |
-
Added
several new topics -
Create
a learning path based on leveling as follows: 1. Video-based Learning + Virtual
Internship (Beginner Level) 2. Bootcamp & Job Connector
guarantee program (Intermediate Level) 3. Specialized Bootcamp & Job
Connector (High Intermediate Level) 4. Professional Class (Advance Level) |
|
Expected Outcome |
-
Adding
new markets to guide -
Increase
retention -
Extend
LTV -
Increase
revenue |
|
Solved Problem |
-
Short
LTV -
Changes
in Market Needs -
High
CAC |
|
|
|
The Development of Study Now Pay Later Program
The
Study Now Pay Later (SNPL) program is a tuition fee payment model designed to
attract new students by providing the opportunity to defer tuition fees until
after completion of the course. The program aims to reduce financial barriers
for prospective new students, so that they can enroll in various skill levels
without immediate financial constraints. financial constraints directly. The description leveling program for new business model is shown in
Table 8.
Table
8. The description Leveling Program for New Business
Model
|
Dimensions |
The Value Capture |
|
Improvement |
Study Now Pay Later -
Offering more expensive class fees for
students who want to pay after the program is finished -
Offering alternative solutions for
prospective students who want to take part in the Dibimbing.id program
but have financial constraints |
|
Design |
-
Study
now pay later (SNPL) which allows students to pay after finishing program and
we can charge at a much higher cost than students who pay upfront |
|
Expected Outcome |
-
Increase
revenue -
Responding
to changes in customer needs which may require implementing a Study Now Pay
Later (SNPL) system in several classes |
|
Solved Problem |
-
Changes
in Market Needs |
|
|
|
Discussion
Based on the research result, Dibimbing.id, as an EdTech
company, still has considerable acceleration potential, as evidenced by the
large market capitalization of the EdTech industry. However, it faces many
challenges and problems today and experienced financial losses over 18 months.
The problems were caused by high Customer Acquisition Costs, short Lifetime
Value models, increased operational costs associated with cohort-based boot
camps, and lack of innovation in program design, resulting in a decline in the
market segment and overall revenue. Therefore, this study
reveals four alternatives to the existing business model namely study now pay
later (SNPL), job guarantee program, leveling course, and self-paced learning.
Nevertheless, some
recommendations for future research would like to examine specifically related
to the proposed business model solution, notably an in-depth analysis of the
success factors of the gap and job guarantee program. Then, a comparative study
between group-based and independent learning models will be used to identify
the strengths and weaknesses of each, as well as learners' preferences. The
last recommendation is to analyze the SNPL Program Effectiveness by researching
to evaluate the effectiveness of the Study Now Pay Later (SNPL) program in
improving educational accessibility and overcoming learners' financial
barriers. These further research recommendations have the potential to
contribute to studies in the EduTech Industry, especially in Indonesia, where
discussions related to EdTech still need to be improved.
Conclusion
There are four solutions
are revealed
in this study to the new
business model, namely self-paced learning, leveling
course, job guarantee program, and Study Now Pay Later (SNPL). First is
self-paced learning, which develops an independent learning module with various
digital skills courses. This solution will address new market segments
prioritizing flexibility, primarily employed professionals and time-constrained
individuals. The second is the Introduction of Course Leveling, which
introduced a structured leveling program to ensure progression for students at
different levels of digital skills. The initiatives will increase retention,
thus impacting the lifetime value of students. The third solution is improving
the job guarantee program, in which the job placement program is carried out by
providing additional guarantees or support for students who wait to get a job
after completing the program. This allows for implementing higher-class costs
for market segments with higher purchasing capacity, potentially increasing
revenue and reducing the percentage of increase in operating costs relative to
revenue. The fourth solution is the development of the Study Now Pay Later
(SNPL) program designed to meet the needs of learners at all levels of
proficiency, from entry-level to managerial. It allows students to defer
tuition payments until successful completion of training, removing financial
barriers and ensuring accessibility to education.
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Copyright holder: Zaky Muhammad Syah, Eko Agus Prasetio, Sahat
Hutajulu (2024) |
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First
publication right: Syntax Literate: Jurnal
Ilmiah Indonesia |
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