Two years ago we broke new ground with the release of Babbel 2.0. This was a significant step forward. Instead of Babbel being a platform almost entirely financed by advertisements (with some additional products on the side) we decided to create a high-quality learning portal that would be financed solely through user subscription fees. You can read more on the reasoning and thought behind that decision in my blogpost of November 2009.
The orientation of a product is always determined by those who pay for it. We wanted Babbel’s orientation to be determined by language learners themselves. This ultimately led us to conclude that the transformation of Babbel into a fee-based portal was a necessary step. Nevertheless, we realised what a radical decision this was.
Babbel is very reasonably priced when compared to traditional e-learning products like CD-ROMs (our business model was initially questioned for being “too cheap”). But we benefit from the advantage of not having to press CDs and ship them around the world. While you have to fork out between 80 and 500 euros for most mail-order products, with Babbel language learning costs only a few euros each month. Despite this,
In November 2009 Babbel had 500,000 registered users. Today the number of people using Babbel, both online and on smartphones, rose to over 3 million. This proves that many people are willing to pay for high quality courses, even if they are online-based. In the past six months alone, our customer base has more than doubled. The numbers speak for themselves. Some of our users are so motivated that they take an active part in Babbel’s development by acting as beta testers. They continue to inspire us with their feedback and I would like to take this opportunity to thank these users for their dedication. You contribute greatly to the success of Babbel and to the ongoing growth of the team and its products!
In the meantime, six new learning languages and two new interface languages have been added to Babbel. That means 20 possible language learning combinations have turned into 70! In addition to just studying vocabulary, you can now choose from a broad range of integrated courses: from the beginner’s course for those with no prior knowledge, to the more challenging refresher and grammar courses; from idioms and tongue-twisters to numbers and “Denglish”. With new music courses coming up, and many others in development – that’s hundreds of courses in various formats covering a wide range of topics.
In the technical field, Babbel has also made giant leaps forward. We’ve developed and introduced, for example, a real-time browser-based speech recognition tool that doesn’t need to be installed and that helps you perfect your pronunciation. With the introduction of eleven iPhone apps (downloaded by over 1.5 million users!), you are now able to learn and practise vocabulary on the go.
2011 has been the first year since Babbel was founded that we have been able to pay salaries solely from our earnings. In other words, our company is now stable and can continue to grow self-sufficiently.
Our new office in the Kreuzberg area of Berlin is now home to 30 permanent employees – three times as many as there were only a year ago – and that’s not counting our pool of over 60 freelancers. That makes a total of almost 100 people working on content development, translation, technical development, and support. (We are, by the way, still looking for specialised staff in several departments. Read more!)
We count ourselves lucky in that we have forged a team of exceptionally motivated and gifted people. This makes working at Babbel fun, which, of course, has a direct impact on the product itself.
We now have a development team working specifically with mobile apps. At present, they are working on new apps for Android and iPad. These are all due for release later this year with more mobile offers to follow next year.
A highly-skilled specialist from Norway is now working on further improvements to Babbel’s speech recognition tool and on ways of implementing more voice-controlled exercises. Furthermore, specialists from AI research, cognitive science, and the many linguists and teaching experts who surround me are all using their knowledge to develop even more new features and content. These include new course formats that cater to the requirements of specific career profiles, changes to the platform itself and, last but not least, completely innovative approaches that will change the learning experience with Babbel profoundly.
We really do have a lot in mind for the future – so everybody stay tuned!
Read this post in German (Deutsch)