Online foreign language courses help you win during the pandemic
First language online school on the stock exchange
For example, as Deutsche Welle notes, demand for the German language learning app Babbel is steadily growing. In the first six months of 2021 alone, the developer's turnover increased by 18 percentage points to 83 million euros. And last year, according to Babbel, was a record year – with revenue of 147 million euros. Startup CEO Arne Schepker notes in an interview with the dpa news agency that the pandemic served as an impetus for growth.
"We have noticed changes in attitudes towards digital learning. No one needs to be explained anymore that languages can be learned online," he says. And it seems these changes are long-term. The startup observes that even in countries where many residents have been vaccinated against coronavirus and where restrictions have been significantly eased, interest in virtual language courses remains high.
In September, the platform's creators announced plans to debut on the Frankfurt Stock Exchange. Thus, Babbel will become the first German technology company in the education sector to go public. Its founders expect this to bring in about 180 million euros gross. The proceeds from the sale will be used to expand the business in other countries. The startup was founded in 2007 in Berlin. The lion's share of revenue comes from subscriptions, which cost between 10 and 13 euros per month.
Subscribers are offered exercises on vocabulary and grammar in 13 languages, listening dialogues, spelling tests, podcasts, and tutoring lessons. And with the improvement of the epidemiological situation, the startup plans to resume educational language trips. So far, about 10 million subscriptions have been sold. How many of them remain active, the company, however, does not disclose. The startup's services are most in demand in the USA – among English-speaking residents learning Spanish.
Other language platforms
This summer, Babbel's competitor, the American startup Duolingo, already went public. On Wall Street, it was valued at 6.5 billion dollars. The founders of this company, which offers learning about 40 languages via a website and mobile app, also note a big jump in the popularity of its services due to the pandemic. Duolingo has 40 million active users.
Growing interest and profits are also reported by the Berlin-based online language school Lingoda. More than 1,500 native-speaking teachers conduct individual lessons in English, German, French, and Spanish via video conference. Lessons also take place in small groups. In the first months of the coronavirus crisis alone, according to the company, the number of platform users almost doubled.
The startup's employees explain this popularity partly by the fact that people have become accustomed to video conferences and now the psychological barrier to taking online courses is not as big. A few months ago, additional investments were made in the startup, and entry into new markets is planned.
Popularity grows, but what about quality?
According to the Statista portal, in 2020, every eighth resident of Germany attended various online courses. Ten years ago, only 3% of Germans used such offers. And with the onset of the pandemic, primarily the younger generation used free time for self-education. This is indicated by the results of a survey conducted by the portals YouGov and Monster.de. Among those surveyed who invested in themselves by using e-learning services, including foreign language courses, the largest share was in the age group from 25 to 34 years.
Demand for learning languages online is growing, but what about the quality of such platforms? Can they help achieve good results? Professor of digital learning at the University of Duisburg-Essen, Michael Kerres, is not surprised by the popularity of language platforms. "Work on their creation and development has been going on for decades. And much has been done to improve quality, as well as in the field of research," he notes in an interview with DW. Platforms are getting better and use different approaches to language learning. The scientist recommends that users first understand for themselves which competence is their priority: reading, listening comprehension, developing written or oral speech.
Do not rush to subscribe – first, it is better to check in a free trial version whether the software meets your goals. Developing conversational speech is still difficult, the professor notes, but for training other skills, such platforms can be effective. And the best thing is to combine virtual and real forms of learning.
The sector of online language learning services is experiencing a boom. And this trend will continue, the expert has no doubt, although Germany still lags behind other countries in the field of educational technology. At the same time, Michael Kerres is confident that in the future, online platforms will not replace traditional courses, and researchers are now thinking more about how to effectively combine both formats.