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PITCH
The first to use digital technology to boost education standards in Indonesia, Ruangguru’s range of complementary products enable students and teachers to produce better results.
WHY?

Fragmented market

There are more than 14,000 small, scattered private tuition services in Indonesia.

Lack of feedback/review system

Students are not able to ascertain the quality of private tutors.

Outdated tech in schools

Indonesian schools are equipped with computers but lack suitable learning/teaching software.

MARKET

60 million

Students enrolled in Indonesia

The world’s fourth-largest education system. Ruangguru targets students, parents and local governments as adopters of its edtech.

PRODUCT
Starting out as an online marketplace that connects students with private tutors, Ruangguru has since also developed a learning management system for teachers to create and assign homework on its platform, an exam practice feature and an app that co-founder Adamas Belva Syah Devara dubs the “Uber for tutoring service”.
Starting out as an online marketplace that connects students with private tutors, Ruangguru has since also developed a learning management system for teachers to create and assign homework on its platform, an exam practice feature and an app that co-founder Adamas Belva Syah Devara dubs the “Uber for tutoring service”.
BUSINESS MODEL
Ruangguru takes a 20% cut on every transaction in its tutoring marketplace. But it’s the learning management system (LMS) that drives its income model. Once adopted by schools, the LMS will allow Ruangguru to acquire users rapidly. Converting LMS users into paid users of its other products will be easier.

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The company also minimizes back-door transactions by factoring in the number of hours that teachers register on its platform as a main component of its teacher rating system.

TIMELINE

  • Launch
  • Growth
  • Recent Developments
  • Future Plans
  • 2014 - Ruangguru.com launched; gained funding from East Ventures.

    Read in detail:

    The launch

    April, launched Ruangguru.com.

    • Founders Adamas Belva Syah Devara and Iman Usman were inspired to start Ruangguru following their own struggles in finding a good private tutor as students.
    • Both founders worked on the startup remotely as they were completing their graduate studies abroad.

    August, received early stage funding from East Ventures.

    • East Ventures’ first education portfolio company in Southeast Asia.
    • Cash would be used to further develop the online platform, achieve product-market fit, and scale up services in key cities in Indonesia.
    • Aim is to eventually expand to the Southeast Asia market.
    • With five employees.
  • 2015 - Series of teacher outreach efforts and new products; clinched Series A financing.

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    Products and services

    June, partnered with DBS Indonesia Bank to unveil tes.ruangguru.com, an exam preparation website with game-like features.

    • Provided graphical analysis on students’ performance and strengths and weaknesses.

    November, launched Ruangguru.com Community Leaders Program 2015; partnered with Microsoft Indonesia to organize a Teachers Development Program; launched the Teachers’ Rewards and Referral Program.

    • Ruangguru.com Community Leaders Program 2015: A four-month program aimed to build leadership and entrepreneurship skills. Opened to recent graduates and final semester university students. Consisted of field experiences, classes, and mentorship from CEO and top executives from Indonesian startups. Co-founders Iman and Belva were part of the mentor team.
    • Teachers Development Program: Opened to private tutors. Aimed to increase teacher quality through technology.
    • Teachers’ Rewards and Referral Program: Offered incentive bonuses up to IDR 1 million for high performing private tutors in the Ruangguru.com network.

    December, launched free online try-out program for its public school curriculum.

    • Targeted students from 6th grade in elementary school to 12th grade in high school.
    • Designed to prepare students for national standardized exams in mathematics, Indonesian language, English language, sciences and social studies, depending on students’ grade level.
    Fundings

    December, raised a 7-digit Series A financing from Venturra Capital, with participation from East Ventures.

    • With the funding, co-founder Iman said the company was looking for talent across several areas, especially technical, business development, education development and digital marketing. 
  • 2016 - Opened local government talks to partner schools; launched on-demand tutoring app.

    Read in detail:

    Products and services

    March, released Android app.

    • Students can take photos of homework questions and consult directly with tutors through chat messengers or audio calls.
    • Service was free until 15 April 2016.

    July, released mobile app for iOS devices and introduced new features.

    • Single account system to access all of the company’s services from searching and booking a private tutor.
    • Introduced smart search system.
    • Direct messaging system to tutors.
    • Practice tests features.
    • On-demand online tutoring via the app feature.
    Expansion

    January, established an MoU with Republic of Indonesia’s Central Teachers’ Association (YPLP Pusat PGRI) to promote the use of technology in public school system.

    • Aimed to implement tes.ruangguru.com in schools under YPLP Pusat PGRI
    • Planned to familiarize teachers with tes.ruangguru.com.
    • Teachers under YPLP Pusat PGRI would also receive additional training.

    June, represented Indonesia at Google Developers Launchpad Accelerator.

    • HijUp, Talenta, Jarvis Store, Ruangguru, IDNtimes and CodaShop were selected to represent Indonesia in the second Google Developers Launchpad Accelerator program in the US. 

    July, reached 20,000 downloads on Android Play Store.

    Key personnel

    July, co-founder and CEO Iman Usman became the company’s Chief Product Officer, and was replaced by co-founder Adamas Belva Syah Devara as the new CEO.

    • Iman would be in charge of products, strategic partnerships (particularly with local governments) and communications, in his new role.
  • 2017 - Launched Digital Bootcamp and LINE Academy; received grant from global mobile operator trade organization; raised Series B funding; won awards at the MIT competition.

    Read in detail:

    Products and services

    March, Ruangguru launched the Digital Bootcamp feature for distance learning and partnered with LINE to launch LINE Academy, an exam tryout service for high school students planning to take the national university entrance exams.

    • The Digital Bootcamp will be aimed at students from sixth grade to high school, costing as low as IDR 350,000 (US$ 22.15) for one year’s worth of study materials. The fees can be paid by instalments and the learning materials may be downloaded for self study before commencement of the classroom-style chatroom sessions.

    Expansion

    September, Ruangguru competed against almost 1,000 contenders from 103 countries to win three awards at the global MIT-Solve contest in New York, USA.

    • Its Digital Bootcamp plan won the prestigious “Solver of MIT” award, the Atlassian Prize and DFAT Indo-Pacific Development Prize. The latter two prizes were awarded by the Atlassian Foundation and Australia’s Department of Foreign Affairs and Trade (DFAT) respectively.

    • The bootcamp will help high school dropouts pass high school equivalent exams in order to access more job opportunities.

    Fundings

    May, received grant from GSMA, the international trade body for mobile operators. The grant comes from GSMA’s Ecosystem Accelerator Innovation Fund.

    • The funds were used to launch its mobile-based educational content marketplace for personal tutors to be accessed by students on a freemium basis.


    July, raised undisclosed Series B funding led by UOB Venture Management and also from the two existing investors East Ventures and Venturra Capital.

    • The funds were used to increase market reach, product adoption and to improve the content, technology, marketing and operations divisions of Ruangguru.

  • Recent Developments

    Achieved 1.6 million users.

    Over 80,000 private tutors in its network.

    Partnerships with the education departments of Jakarta, Bogor, South Tangerang and Bekasi.


  • Future Plans

    Lock in partnerships with schools across Indonesia. Currently in talks with local governments in Java, Sumatra, Kalimantan.

    Educate parents, the primary household decision makers, about the shift to digital technology in education.

    Build an education ecosystem and be the largest tech-enabled education provider in the region, focusing on enabling access to quality teachers and content.

Updated: 09/2017

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