Online Teaching Platform Pricing: Revenue Share vs Fixed Cost Models Explained (2025 Guide)

  • Post author:
  • Post category:Blog
  • Post comments:0 Comments

Starting an online teaching business or moving your coaching institute digital? The biggest question you’ll face is: how should I pay for my teaching platform?

Let’s break down the two most popular pricing models so you can make the smartest choice for your education business.

What is Revenue Sharing in Teaching Platforms?

Revenue sharing (also called profit sharing or commission-based pricing) means you pay a percentage of your earnings to the platform provider. Think of it like having a business partner who only gets paid when you do.

How It Works:

  • You pay 10-30% of your course fees or tuition revenue
  • Zero or minimal upfront costs
  • Platform provider shares your risk
  • Costs scale with your income

Best For:

  • New educators starting their online journey
  • Coaching institutes testing online education
  • Teachers with irregular or seasonal income
  • Anyone wanting to minimize initial investment

Real Example: If you earn ₹50,000 this month with a 20% revenue share, you pay ₹10,000. If you earn ₹10,000, you only pay ₹2,000. Your costs always match your success.

What is Fixed-Cost (Non-Revenue Sharing) Pricing?

Fixed-cost pricing means you pay a set monthly or annual fee regardless of how much you earn. It’s predictable, transparent, and lets you keep 100% of your revenue.

How It Works:

  • Pay a flat monthly/annual subscription
  • Keep all your revenue
  • Predictable expenses for budgeting
  • Often cheaper long-term for high earners

Best For:

  • Established coaching institutes
  • Educators with consistent student enrollment
  • Businesses wanting predictable expenses
  • High-revenue teachers who want to maximize profit

Real Example: Pay ₹5,000/month fixed. Whether you earn ₹50,000 or ₹5,00,000, your platform cost stays the same.

The Break-Even Calculation

Here’s the math that matters: At what revenue point does fixed-cost become cheaper than revenue sharing?

Simple Formula:

  • Fixed monthly cost ÷ Revenue share percentage = Break-even monthly revenue

Example:

  • Fixed plan: ₹5,000/month
  • Revenue share: 15%
  • Break-even: ₹5,000 ÷ 0.15 = ₹33,333

Once you’re consistently earning above ₹33,333/month, the fixed plan saves you money.

Our Unique Advantage: Best of Both Worlds

Unlike most teaching platforms that lock you into one model, we offer both:

Start with Revenue Share:

  • Launch with zero risk
  • Pay only when you earn
  • Get all premium features
  • Build your student base

Switch to Fixed Cost When Ready:

  • Move to fixed pricing as you grow
  • Keep more of your revenue
  • Maintain all your data and students
  • Scale without increasing platform costs

Most Affordable in the Market

Whether you choose revenue sharing or fixed cost, our pricing beats competitors by 30-50%. Here’s why:

  • No hidden fees or surprise charges
  • All features included (no costly add-ons)
  • Unlimited students and courses
  • Free updates and new features
  • Indian pricing for Indian educators

Beyond Pricing: What Else Matters?

The cheapest platform isn’t always the best value. Consider:

Support Quality: Our average response time is under 2 hours. We help you succeed, not just use software.

Feature Completeness: Application + Website included. Live classes, recorded content, payments, student management—everything in one place.

Customization: Your branding, your domain, your style. Not a cookie-cutter template.

Reliability: 99.9% uptime. Your classes run smoothly when students expect them.

Making Your Decision: 5 Questions to Ask

  1. What’s my current monthly education revenue? (Helps calculate break-even)
  2. How stable is my student enrollment? (Unstable = revenue share is safer)
  3. What’s my growth plan for next 12 months? (Fast growth might favor fixed cost)
  4. What’s my risk tolerance? (Low risk tolerance = revenue share)
  5. Do I need budget predictability? (Yes = fixed cost)

Real Success Stories

Priya’s Coaching Institute (Mumbai): Started with revenue sharing, earning ₹25,000/month. Grew to ₹2,00,000/month within 8 months. Switched to fixed cost, now saves ₹25,000/month compared to revenue share.

Rahul’s Online Tutoring (Delhi): Chose fixed cost from day one. Predictable ₹6,000/month expense. Scales from 50 to 200 students without platform costs increasing.

Conclusion: Choose What Works Now, Scale Later

The beauty of our dual-model approach? You don’t have to predict the future perfectly. Start where you’re comfortable, switch when it makes sense.

Ready to explore which model fits your needs? Our team offers free consultations to help you calculate your ideal pricing structure.

Get started with zero commitment: Try our platform with revenue sharing and transition to fixed cost whenever you’re ready.

Leave a Reply