Skip to content
#StartupLokal

How Edtech Startups in Indonesia Overcame Investor Skepticism and Built Sustainable Models

May 19, 2016

Written up from #StartupLokal Meetup v.65 — Unbeatable Edtech Startup

Startup founders in Indonesia’s edtech space are not chasing the next big funding round. They are solving real problems—like outdated curricula, rural access gaps, and parental anxiety about digital safety—while surviving on limited funds. Their success comes not from perfect products but from persistence, team trust, and a clear mission.

What Drives Edtech Founders Beyond Funding?

The most powerful motivation for edtech founders in Indonesia is not investor interest but personal experience. One founder, who once struggled with gaming addiction and lost years of his life, built an app to help parents control their children’s device use. He didn’t start with a business plan. He started with a memory: a child playing games nonstop, even in the bathroom, while parents remained unaware. His product, Kakaku, was born from that moment. It wasn’t about being the most advanced tool. It was about creating a bridge between parents and children in the digital world.

Another founder, Winastwan Gora of Kelase, began his journey after realizing he didn’t know his own academic strengths. As a student, he only learned his performance after receiving a test grade. That gap between effort and feedback haunted him. He saw the same issue in classrooms: teachers couldn’t track which students needed help, and students didn’t know where they stood. His platform was built to close that gap—not with flashy features, but with simple tools like instant quiz feedback and public question banks.

"I didn’t start with a product. I started with a problem I lived through."

Why Perfect Products Fail in Edtech

Founders often believe that a flawless product will attract users and investors. But the reality is different. One founder shared that after launching, they gained 5,000 users—but only 400 stayed. The issue wasn’t the idea. It was the product’s flaws: a confusing registration process, poor user interface, and no clear value. They didn’t fix the product to attract more users. They fixed the product to make it work for the users who stayed.

"Don’t chase users. Build a product that doesn’t leak."

The lesson is clear: early growth doesn’t mean success. A product that loses 90% of its users in the first month is not a success. It’s a warning sign. The real test comes when users stick around. Founders must focus on fixing the leaks—what the team calls the "bocornya"—not on marketing campaigns or investor pitches.

The Real Challenge: Surviving with No Money

Most edtech startups in Indonesia don’t have a war chest. One team survived on Rp100,000 per month for several months. They didn’t have salaries. They didn’t have office space. They ate together, shared supplies, and supported each other. One founder even married during this time—when they were out of money. But they stayed because they believed in the problem.

"We didn’t quit because we couldn’t afford to. We quit because we believed in the problem."

This period wasn’t a failure. It was a test. It proved that the team could survive hardship together. When they finally grew, they didn’t change their culture. They kept the same values: trust, shared sacrifice, and focus on the mission. The team became the most valuable asset—not the product, not the funding.

How to Build a Team That Stays

A founder’s biggest mistake is focusing on external wins—investors, events, media coverage—while ignoring internal health. One founder admitted he spent months chasing investors and speaking at conferences, but never checked in with his team. The result? A team that felt disconnected and unvalued.

"The team is not a resource. It’s the foundation."

A strong team doesn’t need constant motivation. It needs shared purpose. When one founder left because he wanted to pursue a different vision—building a powerful Android app—the others didn’t panic. They asked: Can we still work together? Is the mission still clear? They found a way to align. One focused on child safety, the other on app performance. They didn’t need to agree on everything. They only needed to agree on the goal.

Why Schools Are the Hardest Market

The biggest barrier to edtech adoption isn’t technology. It’s institutions. Schools are slow to change. Curricula are rigid. Teachers are overworked. The OECD report shows Indonesia ranks 64th in education quality. Yet schools still rely on paper notes and handwritten records.

"The education institution is the only system that hasn’t fully adopted technology."

Even with global examples—Thailand’s 1 million tablet program, Turkey’s 17 million tablet project—schools in Indonesia remain resistant. Why? Because change requires effort. Teachers don’t have time to learn new tools. They’re already overwhelmed. The solution isn’t to force adoption. It’s to build tools that fit into their existing workflow.

How to Reach Rural and Underserved Schools

One founder discovered that Kelase’s biggest users weren’t from Jakarta or Surabaya. They were from Pemalang, Sangata, and Depok—places with poor internet and low device access. This changed their strategy. They built a version that works offline. The platform runs on a local server. Teachers can download content when they have internet. Students use it without needing constant connectivity.

"We didn’t build for the city. We built for the village."

This offline model is now a core part of their product. It’s not a fallback. It’s a design choice. They also partnered with Facebook’s Internet.org to reach users with limited data. The goal isn’t to sell a product. It’s to deliver value where it’s needed most.

The Real Metric of Success

For edtech founders, success isn’t funding, user count, or media coverage. It’s impact. One founder said they’d rather have 10 schools using their product every day than 100,000 users who never open the app. Another said they’re happy when a teacher says, "I finally know which students are struggling."

"We don’t care if you bought the product. We care if you used it."

The most powerful moment for a founder isn’t a pitch deck. It’s a teacher saying, "This saved my class."

Key Takeaways

  • Founders should start with personal problems, not investor trends.
  • A product that loses users quickly is broken, not scalable.
  • Team trust and shared values matter more than funding.
  • Offline access is not a limitation—it’s a design opportunity.
  • The real success metric is daily use, not user count.

Tags

  • edtech
  • startup journey
  • sustainable business
  • team building
  • investor skepticism