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Babbel

By November 9, 2021Case Study

CASE STUDY: BABBEL

Babbel increases sales with a scalable, easy-to-implement student discount program powered by ID.me

Babbel is a subscription-based language learning app and e-learning platform that helps millions of people around the world learn new languages. Subscribers can access more than 10,000 hours of content in 14 languages, including audio examples and dialogues recorded with native speakers. To reach new subscribers and increase loyalty, Babbel’s marketing team leverages discounts, gifting, and referral programs.

Challenge

Babbel wanted to increase subscribers in the 18 to 24 age range, and felt that more aggressively targeting the student segment with exclusive incentives could help. The marketing team initially promoted a student discount through its email list to a limited student audience, and there was significant interest in the offer. They were eager to promote the discount program more widely, however, they worried they couldn’t support a scalable process for a larger audience.

Solution

Babbel explored multiple verification platforms to find one that suited their needs. They ultimately chose ID.me because it offered the most cost-effective solution for the scope of their project, and wouldn’t charge them for failed verifications like other solutions on the market. “We really liked the pricing and that we only pay for the amount of successful verifications. That was really useful,” Michele recalls.

Additionally, ID.me’s solution allowed Babbel to get the verification process up and running quickly. “I’m most proud of the speed at which we initially rolled out the solution,” says Michele. “ID.me was so easy to implement, which was a huge advantage, and the communication was very clear and quick,” says Michele. “One of my favorite things about ID.me is that it is so easy to talk to people and to actually get things done. It does not take a long time to get anything live. It does not take a long time for anyone to respond to me.”

Babbel’s discounts are promoted on their own dedicated landing pages, ID.me Shop, and several affiliate networks. To unlock their discount, customers visit one of Babbel’s dedicated landing pages and apply their ID.me verification in cart upon check-out. These dedicated landing pages enable Babbel to tailor their messaging to different audiences and improve SEO, helping them become more discoverable to thousands of people searching for language learning discounts online.

Results

Babbel has achieved its goal of acquiring new customers and increasing sales with a traditionally underperforming audience. In fact, 1.7% of sales made within the 18-24 age group were made with the ID.me student discount in the US. “I think it’s safe to say we wouldn’t have gotten all of those sales without the student discount,” Michele reports. While Babbel offers a substantial discount for students on their first 3 months of subscription, they have found that almost 4% of people using these discounts end up becoming full-paying customers once the discount ends. Additionally, over 60% of customers using one of Babbel’s group discounts arrive pre-verified, meaning that they’re already affiliated with one of the groups — this indicates that ID.me Shop is helping to drive customer acquisition for Babbel.

Since the initial launch of Babbel’s student discount, the company has expanded its use of ID.me to include additional affinity groups. “That was unexpected and came from our relationship with ID.me. We probably wouldn’t have thought of those on our own,” says Michele. Currently, Babbel also offers discounts for military and veteran discounts, first responders, and healthcare workers, in addition to students. “It’s only gotten easier as we’ve added additional affinity groups,” she says. With ID.me in place, Babbel is now able to promote group discounts via paid media and other marketing channels with confidence. “There’s just a lot more feeling of
safety that we are giving a discount to the right people.”

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