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How do you create a scalable edtech business model?


The education revolution is in full swing but how do you create an edtech business model that scales?

“The edtech business itself is remarkable…it is going through massive growth globally.” That is the opinion of Dan Sandhu, CEO of Digital Assess, a business designed to change the way educators mark the work of their students.

His sentiments are reflected by the interest in edtech businesses from investors. Funding in education-technology businesses has grown from $944m in 2013, to $1.6bn in 2014.

2015 figures are on track to dramatically exceed that too.

With around 8 million pupils attending 24,000 schools in England alone, and the Department for Education spending £50b per year, the size of the market gives an insight into the potential monetary rewards available, as well as the difference that the right pedagogy mixed with a correct blend of technology could have on global educational practices.

Edtech business growth becomes easier still when startups understand what they are built to serve

And with an increased amount of capital being put towards edtech business growth, the CEO of Digital Assess, Dan Sandhu, believes that the time has come for startups to work out what it is they are trying to achieve.

“There is a number of ways you that can build an edtech business,” explains the experienced CEO, Founder and venture partner.

“You can be a content-centric business, or you can be a technology business.”

At a top line level, it comes down to a simple fact.

Scaling a technology offering is a lot easier than scaling a content-centric business. Startups focused exclusively on the technology can use it ubiquitously, as the foundations of an institution, easily exportable and freely available for them to input their own content accordingly.

Edtech business growth becomes easier still when startups “understand what they are built to serve, and as with any other business, what their own drivers are.”

Sandhu talks from experience as he explains that Digital Assess has found this “exceptionally useful”, which combined with the work it has done with examination boards, provides the credibility that has made its expansion to international markets significantly easier.