The easiest business decision would have been: force every parent into an annual plan, 30% off, cancel only after 12 months. Every major Indian edtech does this.
We chose not to.
The math against us
The math is real. With monthly plans:
- Average customer lifetime drops from ~14 months (annual lock-in) to ~8 months (monthly).
- Cost to acquire a customer (CAC) stays the same — ~₹1,200 per sign-up.
- Unit economics are tighter. We have less room for waste.
On paper, we leave ~₹4,000 of LTV on the table per customer.
Why we did it anyway
Three reasons.
### 1. Kids change fast
An 8-year-old in January is not the same kid in December. Interests pivot. Attention spans shift. Mental math gets faster. A 12-month contract bought in January might be wrong for the kid in June.
We'd rather lose them in June than trap them till next January with a course they no longer need.
### 2. Parents have been burned
Every Indian parent we interviewed had a story. Edtech A sold them a 2-year course, the kid hated it by month 3, refunds were impossible. Edtech B auto-renewed without clear consent. Edtech C's annual "discount" was actually a price hike when you did the math.
We're the new kids on the block. Every parent is still deciding if they trust us. Making the trust decision monthly, not annual, is how we earn it.
### 3. It forces us to stay good
The most underrated thing about monthly billing: it's a fire under our seat. Every month, the parent has the option to walk. If we get lazy with content quality, classes, or support, they leave.
Annual lock-in lets companies coast. Monthly doesn't.
What "no lock-in" actually means on WisdomJr
- Cancel any month from the parent dashboard. Takes 2 clicks. No retention call.
- Prorated refund for any unused days within a month.
- 30-day money-back on your first month, no questions asked.
- Data export available at any point — your child's XP, badges, progress as a JSON file.
We're betting that kids stay because they want to, not because their parents are stuck.
The financial reality
At 8-month average retention, we need ~₹800 of lifetime value per student to break even. That's two months of subscription. We get there easily.
If we ever raise prices, existing subscribers grandfather in at their current rate. Forever.
That's the deal.