BYJU’S, an Indian EdTech company that has been on the Indian men’s cricket team jersey since 2019, is seeking to exit the deal after March 2023. This will result in a cut its deal with the Board of Control for Cricket in India (BCCI).
According to an ET report, BYJU is looking to reduce its media expenditure.
The BCCI has confirmed the development, according to an Insidesport report. A senior official was quoted in the report saying-
“Yes, they have written to us they want to exit jersey sponsorship. The matter will be discussed at an apex council meeting. They need to comply with all contractual obligations and exit can be taken.”
The EdTech industry has been going through many changes, and BYJU’S has been in the thick of it. With mounting losses piling up, the startup had to find ways to save money.
Recently, the company announced it would lay off 5% of its workforce (nearly 2500 employees), as well as shut down branch offices and centers located in nearly 60 Indian cities.
After the layoffs, there was criticism of its marketing and promotional expenses, including signing celebrities for brand endorsements (the most recent one being Lionel Messi) and sponsorship deals for BCCI and the FIFA World Cup.
Some have said that since the recent funding crunch, only BYJU’S employees have been stricken and big spenders when it comes to branding campaigns.
While the future of Byju’s sponsorship deal with BCCI is uncertain, it remains to be seen if this move will benefit the EdTech giant in the long run. It will be interesting to see how this affects its brand image and presence in India, as well as globally.
Only time will tell what lies ahead for India’s most valuable EdTech company.
Shivendra Tiwari is an Engineer and an MBA in Marketing. He is the Content head at Marketing91 and a thorough Online Marketing enthusiast. Shivendra loves to follow different brands and study their Business and Marketing tactics.