It is no secret that the label of a foreign degree counts for much in Pakistan. It doesn’t even have to be Harvard or Oxbridge. It could be a community college tucked in a cranny of a small state in the US, and a Pakistani parent would still proudly boast about their child getting a degree overseas.
Approximately 10,000 students from Pakistan go to the United States each year, often with the assistance of expensive college admissions counsellors. These counsellors can charge hundreds of thousands, sometimes even millions of rupees, making them affordable only to a small segment of society, which is an issue prevalent not only in Pakistan, but globally.
This situation restricts access to education, as those who can afford such costly counsellors are not necessarily the most deserving of scholarships compared to others but end up getting these scholarships. It’s not that they aren’t deserving at all, but it creates an inequitable system, where those lacking the social capital miss out on important guidance and assistance that would improve their chances of attending prestigious global universities. Consequently, the majority of Pakistanis find these services inaccessible and the class divide between those who can and cannot afford fancy college counsellors, and later attend world-class universities, becomes more palpable.
But can AI disrupt this sector and make access to counselling services more equitable?
Well, we don’t have the answer yet, but there is one company that is on a mission to revolutionise this sector.
Kollegio has created an app that uses AI to perform 90% of the tasks a college counsellor would perform, but better than a college counsellor would perform. Or so they claim.
In 2019, Profit reported on the much lucrative college counselling business that Dignosco runs. Let’s re-hatch this topic from a new AI-integrated lens and see how Kollegio’s AI-drive model can help address gaps in the traditional college counselling process.
What does the world of academic counselling currently look like?
Education consultancy businesses operate by advising students on securing admissions to both partner and non-partner universities. Under the partnership model, counsellors act as agents for their partner universities, earning a commission based on the number of students they send to these institutions.
Non-partner universities are top-tier institutions like Stanford, UC Berkeley, Ivy League schools in the US, and Oxford or Cambridge in the UK. These universities do not need partners due to their high global demand and competitive admissions process. Counsellors help students build strong applications for these universities and charge applicants heavily for their services.
“Different universities appoint agents worldwide to help with international student recruitment. This practice started in the UK and has spread to colleges in Canada, Australia, Turkey, Malaysia, and the US. Typically, the agent receives a commission based on the number of students they send to a university,” Abrar Rahman, founder of Dignosco told Profit in a 2019 interview.
Foreign universities appoint partners to attract international students, who bring in talent and stimulate the economy with their tuition and living expenses. Some countries promote agency models in developing countries to recruit these students.
According to International Consultants for Education and Fairs (ICEF), Pakistan sent nearly 40,000 students abroad for higher education in 2013, and the number has grown to about 50,000 or more annually. Assuming each student spends an average of $30,000 per year, Pakistani students spend a conservative estimate of $1.2 billion on foreign education annually, benefiting developed economies due to the perceived inadequacy of local universities.
Dignosco, one of the most coveted education consultancies, does not handle local admissions but provides guidance on local universities to students also applying abroad. “We don’t deal with students targeting only local universities. Those applying abroad often apply locally as a backup,” Rahman highlighted.
Dignosco, previously only focusing on the non-partner segment, entered the partnership model around five years ago. While Dignosco has established a reputable business, other firms in the industry operate unregistered and may scam students with promises of foreign admission.
However, Dignosco addresses this concern by claiming to be ‘need blind’. This means that if a candidate has outstanding academic records but also has financial resources, they must still pay the full amount. However, if a candidate has similar grades but lacks the financial means, they would be subsidised by those who can afford to pay. The fee structure of Dignosco looks something like this– an aspiring applicant who walks in through the doors of Dignosco pays an initial consulting fee of Rs 5000 per session. For those who decide to register with Dignosco, depending on the span of services they need, pay between Rs 50,000 to 1.5 million.
There is discomfort around operations of Dignosco and its counterparts, possibly due to the realisation that wealthier students have easier access to these services because they can pay consultancies not only for assistance but also for completing their entire application, including writing their essays. This puts students lacking resources to pay hefty amounts to counsellors at a disadvantage, limiting their access to some of the best schools around the world.
Despite concerns about fairness, college counselling has become a profitable business, creating demand and competition.
Can AI be a better academic counsellor than trained professionals?
Founder of Kollegio, Senan Khawaja answers this question, “Yes, that’s exactly what we’re focused on building at Kollegio right now.”
“Essentially, we leverage my three years of experience in the college counselling industry, where I’ve personally assisted over 100 students through my own small company. Additionally, I’ve collaborated with other former admissions officers and prominent firms to gather a wealth of knowledge. We’ve consolidated all this expertise into a completely AI-driven platform. This platform performs 90% of the tasks of a traditional college counsellor but at a significantly reduced cost.”
Let’s have a look at how Khawaja conceived the idea of building an AI platform that would allow aspiring students to access academic counselling services at the tip of their fingers and without spending a single penny.
Khawaja told Profit, “Having worked in the industry for years, I encountered a recurring challenge: many incredibly bright, hardworking students lacked access to resources available to those who could afford costly counselling services—often priced at 5 to ten lakh rupees or more. This disparity troubled me deeply about the industry as a whole.”
He acknowledged that counsellors’ time is valuable, as well, considering it is their bread and butter, but that does not justify the unequal opportunities that wealthy versus non-wealthy students get.
“When the generative AI boom emerged in late 2022, I saw an opportunity to merge these two worlds—generative AI and college admissions counselling—to significantly reduce costs and enhance accessibility, addressing a fundamental market issue.”
Khawaja, teaming up with his co-founder and CTO Saeed Naeem, a graduate of UC Berkeley, embarked on developing this platform. The company secured a pre-seed round totaling $750,000 with leading investors, like Tuesday Capital, known for backing giants like Uber and Airbnb. Additionally, Reach Capital, a renowned EdTech investor with stakes in educational platforms like Duolingo, Quizlet, and Desmos, also joined the round. Lastly, Aatif Awan from Indus Valley Capital, along with other angel investors were a part of Kollegio’s pre-seed funding round.
Khawaja disclosed that, “Within months, we launched it to over 3000 users, with our user base growing daily by hundreds. Our aim by year-end is to surpass 50,000 users.”
The app is available in 125 countries and over 40 states. The top three countries where Kollegio is currently popular are the US, followed by India, with Pakistan at number three. Uzbekistan, Nepal, Turkey, Indonesia, and several other nations also feature prominently.
The company is also in works to initiate a $500,000 seed round early next year.
As promising as this entire scheme sounds, you may be wondering how exactly it works. And whether it is actually completely free of cost?
Khawaja explains, “Kollegio operates as a completely free product. Our current priority is not monetization but rather fostering user growth and enhancing the product’s quality. We intend to keep Kollegio entirely free for the coming year, focusing solely on expanding our user base. While considering future strategies, such as potential monetization, it remains secondary to our current objective of providing a high-quality, no-cost service.” The pre-seed VC funding rollout is currently enabling the company to offer their services for free.
When we raised eyebrows at the cost-free service, Khawaja defended, “Our current focus is solely on growth as we’re in the startup’s growth stage. Our strategy revolves around achieving a milestone of 1 million students on the platform first, before exploring monetization strategies. Similar to Uber, which prioritised growth over profitability for several years, our approach resonates well with investors who prioritise scaling.”
How will Kollegio’s AI replace college counsellors?
Khawaja says that Kollegio is not out to replace college counsellors, however AI surely can take over several tasks performed by these individuals and do the job much more efficiently.
According to Khawaja, in a broader academic context, AI excels in aiding educators today.
“The software I’m developing not only supports independent consultants but also enhances the capabilities of teachers. AI thrives in roles that are supportive and involve repetitive tasks. What sets our software apart is its ability to perform 90% of the tasks of a traditional college admission counsellor—and in some cases, even outperform them,” he informed proudly.
He says that by analysing thousands of data points, Kollegio’s AI tool generates innovative ideas and solutions. He believes that AI has the potential to revolutionise the job market, particularly in replacing entry-level white-collar positions. “However, my aim is not to displace individuals working as college admissions counsellors, especially those serving affluent families who can afford their services. For the vast majority, 99%, of the global population, including Pakistan, who lack financial means, our platform seeks to level the playing field. We’re dedicated to making higher education accessible and equitable, regardless of economic background.”
Kollegio’s counselling tool is developed with guidance from an esteemed ex-Yale admissions officer, therefore designed to be world-class and accessible to all, free of charge. Whether users hail from wealthy families or remote rural areas, with limited resources, Khawaja says, their goal is universal education access. “This disruptive approach intends to reshape the higher education landscape, empowering schools with a broader pool of qualified applicants. We anticipate this shift will prompt institutions to rethink their admissions criteria, fostering collaboration to build a fairer system.”
Coming onto our next big concern, we asked Khawaja whether his AI is capable of tailoring the application process to every individual student’s personalised needs, considering that every applicant has a unique journey?
Profit was assured that AI excels surprisingly well in this regard.
“Imagine I’m your counsellor and I ask about your hobbies, challenges, and various aspects of your life. While human counsellors can manage about 20 students, AI has the capacity to remember every detail you share—a capability that might seem daunting but ensures personalised assistance,” Khawaja explained.
For instance, when crafting an essay for Princeton, AI can remember what skill you had fed into the system and suggest highlighting your role as captain of the rowing team, knowing Princeton values leadership. Meanwhile, college counsellors may not always be able to keep track of every skill of yours.
“This level of personalised feedback surpasses what a human counsellor can provide due to AI’s superior recall and access to extensive data points. Unlike humans who rely on imperfect memory and intuition, AI operates with a robust dataset, offering insights and guidance that are more comprehensive and tailored.”
so, in essence, AI can effectively handle 90% of tasks typically performed by human counsellors, and in many cases, it excels beyond human capabilities. Its ability to retain and analyse vast amounts of information ensures that each student receives personalised support that enhances their application strategies and overall success in the college admissions process.
But what is Kollegio’s solution for the remaining 10% of a counsellor’s tasks that their AI cannot currently do?
“At present, our product operates entirely on AI and data-driven principles, devoid of any human intervention. However, as we strive to maintain a free service, scaling up to accommodate our growing user base, which is projected to reach 50,000 by year-end. This sort of growth necessitates keeping costs minimal.” Khawaja elucidated, highlighting that introducing human involvement would inevitably lead to expenses that could translate into user charges.
However, the Kollegio team does include some employees, who fill in these gaps.
Khawaja said, “To enhance our AI’s capabilities, we’ve recently onboarded an ex-Yale admissions officer and a highly accomplished team member, who secured admissions to all eight Ivy League universities, plus MIT and Stanford.”
These experts are playing a crucial role in training Kollegio’s AI, to improve its capabilities from 90% proficiency toward 91%, 92%, and beyond, according to Khawaja.
While AI remains indispensable for its efficiency, it’s important to acknowledge its limitations compared to human intuition and adaptability. So, Kollegio’s realistic goal at the moment is to approach that level of human insight as closely as possible.
Deciding whether AI is a better academic counsellor than humans is beyond the scope of this article, however, based on early feedback Kollegio has received after less than a year of making its services available, around 95% of users claim to find this tool beneficial. “This positive sentiment is reflected in the satisfaction of returning students,” says Khawaja.
