EdTech Consumer Due Diligence: Catching the Affordability Perception Gap
Led end-to-end consumer due diligence for a PE-backed EdTech player, uncovering a pricing perception discrepancy through primary validation.
Riddhi Sharda
Business Analyst - ECM & Technology Internet Vertical at 1Lattice
From their time as
Analyst - Insights and Consulting
1Lattice • 2023 - 2024
Overview
Riddhi took on this consumer due diligence when a PE fund was evaluating an EdTech player and needed a clear read on how the market actually perceived the brand.
The Story
Riddhi took on this consumer due diligence when a PE fund was evaluating an EdTech player and needed a clear read on how the market actually perceived the brand.
She owned the survey questionnaire design and the data book construction, with one analyst supporting on callbacks. As she built the data book, she noticed a discrepancy: the company's core selling point was affordability, but the affordability ratings in the survey data were coming in low. The numbers did not match the narrative.
Rather than flag it as noise, she went back to primary. She and the team conducted in-depth interviews with respondents to understand where the divergence was coming from. Through those calls, she identified the mechanism: the company's website displayed low, accessible prices, but when consumers called a counselor to purchase, they were upsold to significantly higher-value packages. The affordable entry point was real; the actual transaction price was not.
This insight changed the client's read on the asset. The PE investor received a finding that explained why affordability perception was scattered across the data, grounded in how the sales funnel actually worked, not just what the survey surface showed.
Riddhi presented the findings and the validation approach to the client, walking them through the data, the discrepancy, and the primary evidence that resolved it.