FAQMBA Salary & ROIAre new and baby IIMs worth joining or should

Are new and baby IIMs worth joining or should candidates take a drop?

Claude's answer·3 min read·710 words·✓ verified Mar 2026

The drop-vs-join question for newer IIMs deserves a direct answer, not a deflection. Here is a structured breakdown of the actual trade-offs.

What "new IIMs" means in this context

The newer or "baby" IIMs include campuses like Trichy, Raipur, Rohtak, Kashipur, Ranchi, Udaipur, Nagpur, Sambalpur, Jammu, Bodhgaya, Sirmaur, and Vizag. These were established post-2010 and are meaningfully different in brand, infrastructure, alumni depth, and placement outcomes from the older IIMs.

The core placement gap

This is the honest starting point. The canonical data does not include batch-level placement averages for newer IIMs, which is itself a signal - these campuses do not publish verified numbers with the same consistency as older schools.

Students from recent batches at newer IIMs commonly report average packages in the Rs 12 to 18 LPA range, with significant variance by campus, specialisation, and batch year. That is a real gap compared to IIM Indore at approximately Rs 26 LPA (2024 batch) or IIM Kozhikode at approximately Rs 30 LPA.

For context, some non-IIM schools with verified data perform comparably to or better than newer IIMs on average:

SchoolAvg Package (approx, 2024 batch)Fees
IIM IndoreRs 26 LPARs 21L
IIM KozhikodeRs 30 LPARs 22.5L
MDI GurgaonRs 26 LPARs 23.6L
IIFT DelhiRs 25 LPARs 21L
JBIMS MumbaiRs 30 LPARs 7L
FMS DelhiRs 32 LPARs 2L
NMIMS MumbaiRs 21 LPARs 22L

A newer IIM admit, depending on campus, may sit below several of these on placement outcomes while carrying Rs 16 to 20L+ in fees.

When joining a newer IIM makes sense

  1. 01You are at a CAT percentile where a drop is unlikely to significantly change your outcome. If your realistic ceiling after a drop is still a newer IIM or a similar-tier non-IIM, the drop costs you a year and a salary cycle with no guaranteed upside.
  2. 02You have a specific domain goal, such as rural management, operations in a region, or public sector roles, where the IIM tag matters more than the campus ranking.
  3. 03You are older (26+ with substantial work-ex) and the opportunity cost of a drop is high. A missed year compounds the ROI problem.
  4. 04Your alternative without an MBA is weak, and the IIM name, even from a newer campus, opens doors your current profile does not.

When a drop is worth considering

  1. 01You are 22 to 24, fresh out of undergrad or with under 2 years of work-ex, and your CAT score was genuinely close to cracking an older IIM or strong non-IIM (FMS, JBIMS, SPJIMR, XLRI). One more attempt with focused prep is a reasonable bet.
  2. 02Your sectional scores were uneven. Many students miss older IIM shortlists not because of overall percentile but because of weak sectionals. This is a fixable problem, not a ceiling.
  3. 03You have a high-quality work-ex gap you can fill during the drop year, making your profile genuinely stronger, not just your score.
  4. 04The newer IIM you have been admitted to has a fees structure above Rs 16 to 17L and placement data that does not support that investment on its own terms.

The honest middle ground

A newer IIM is not a bad outcome in absolute terms - it is a credentialed, nationally recognised degree. But students often report that the ROI calculation only works if you are aggressive about internships, lateral networking into older IIM alumni networks, and targeting roles where the IIM brand name matters more than campus tier.

Passive reliance on placement cell outcomes from a newer campus carries real risk.

The drop question is not "is this school good or bad" - it is a probability bet. If your expected outcome after a drop is materially better and the cost (time, income foregone, psychological toll) is manageable, the drop has merit.

If the ceiling does not move much, joining and executing well is the smarter path.

Compare school outcomes side by side or check where your profile realistically lands before making this call on speculation alone.

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