The Problem
Studying a language online or through courses is easy, but often the conversational practice is more difficult to do as one on one practice is often the best, but also the most expensive. People have limited time to go to conversation classes and sometimes the best way to learn is in the moment. Currently, the only way to get on demand learning would be to hold up a sign on the street like the man in the photo above.
This is a global issue because as travel becomes less expensive people who speak different languages are starting to need to interact with each other more often for work or tourism purposes.
According to Stats Canada:
Additionally, Canada receives many tourists each year from all over the globe who speak multiple languages. In the month of May 2014, Canada received the following number of visitors from each of the countries seen in the infographic below, with an increase of overall visitors from each country compared to May 2013 except visitors from France.
This is a global issue because as travel becomes less expensive people who speak different languages are starting to need to interact with each other more often for work or tourism purposes.
According to Stats Canada:
- As of 2011, Canada had a foreign-born population of about 6,775,800 people. They represented 20.6% of the total population, the highest proportion among the G8 countries.
- Three-quarters (74.5%) of the foreign-born population were able to conduct a conversation in more than one language.
Additionally, Canada receives many tourists each year from all over the globe who speak multiple languages. In the month of May 2014, Canada received the following number of visitors from each of the countries seen in the infographic below, with an increase of overall visitors from each country compared to May 2013 except visitors from France.
Image by the Canadian Tourism Commission: https://en-corporate.canada.travel/sites/default/files/image/infogrpahic/may_14_ig.jpg
What does this mean?
It means that the number of users for this application in Canada alone in the millions. Canada is the perfect place to develop and launch this mobile application and test it before expanding to other regions of the world.
How to reach this market
LanguageBuddy´s creator, Ashley Bayles, is well connected in different cultural circles in Vancouver and will use her connections to help spread use of the app via word of mouth. Suggested meeting places will be free at the beginning, based on businesses we wish to target (such as local coffee houses instead of large chains), and once we have data for check ins based on our app suggestions these businesses will be more likely to become advertisers.
Additionally, our business contacts in major cities across Vancouver will act as ambassadors for the application in order to find both users and subscribers. There will also be well placed multilingual advertisements placed in high traffic areas of Vancouver, Toronto, and Montreal.
Additionally, our business contacts in major cities across Vancouver will act as ambassadors for the application in order to find both users and subscribers. There will also be well placed multilingual advertisements placed in high traffic areas of Vancouver, Toronto, and Montreal.
The competition
In the online world there are competitors from sites such as Couchsurfing, Internations,and Meetup.com, but none of these sites offer the simplicity of LanguageBuddy and have different main focuses than the application we are developing and do not offer the possibility of meet-ups-on-the-go based on GPS location services. It is the simplicity and dedicated focus of this application on language learning that sets it apart from the competition. The only mobile application on the market that has similar simplicity features is Tinder, but that is a dating application and it targets a completely different market of users.
Why LanguageBuddy?
LanguageBuddy is an app that connects speakers of two different languages together to have a conversational language exchange on demand! The mobile app will use GPS coordinates and its database of users to connect users to each other based on desired language learning objectives.
LanguageBuddy´s simple design and easy GPS locator system, means it will be easy for individuals adapt to using it and once it has reached a critical mass of users there will be many options for ways to monetize the system.
LanguageBuddy´s simple design and easy GPS locator system, means it will be easy for individuals adapt to using it and once it has reached a critical mass of users there will be many options for ways to monetize the system.
What we need
An investment of $20,000 will allow us to build our database and application functionality. We can also develop our user interface design and start with basic marketing for the application. With this investment, LanguageBuddy can be ready for business partnerships by January 2015 and will recoup investor costs once just 40 businesses have enrolled in its one-year promotional plan package (currently only $500/yr per business for the basic plan).
What you get
LanguageBuddy is currently valued at $200,000 in the development stage. With your investment you will receive 10% of the company and its profits. We are also willing to negotiate other possibilities instead, such as a percentage of all advertising revenue.
Cost structure:
The app will be free to all users. The cost of the app will be supported by advertising fees paid by local businesses. Initially advertisements upon log in ($500/yr per business) will be the only source of income until suggested meeting places and other promotional options are in place and developed.
Users will receive an advertisement upon opening the app, based on their GPS coordinates and then once they agree upon a match a suggested meeting location will be offered based upon a location that is between the two users.
As the app´s popularity grows and it proves its value, the options for monetization will increase even more.
Monetization possibilities include:
LanguageBuddy´s simple design and easy GPS locator system, means it will be easy for individuals adapt to using it and once it has reached a critical mass of users there will be many options for ways to monetize the system. These possibilities are just the beginning!
Users will receive an advertisement upon opening the app, based on their GPS coordinates and then once they agree upon a match a suggested meeting location will be offered based upon a location that is between the two users.
As the app´s popularity grows and it proves its value, the options for monetization will increase even more.
Monetization possibilities include:
- Offering advertising via suggested meeting locations - Starbucks etc pay a fee for having their shop be the preferred meeting place.
- Discounts & promotions - user get special discounts or promotions when they check-in at a suggested meeting spot
- Find a tutor - subscription or pay per use options
- Online language guides - could even be collaboratively created within the app and then re-sold to future students
- Buddy-branded apps - StudyBuddy, CoffeeBuddy, BikingBuddy, MovieBuddy, etc.
LanguageBuddy´s simple design and easy GPS locator system, means it will be easy for individuals adapt to using it and once it has reached a critical mass of users there will be many options for ways to monetize the system. These possibilities are just the beginning!
Exit strategy
LanguageBuddy has a promising future as a leader in social meeting and educational apps with a global presence. At the correct time, LanguageBuddy would be happy to sell the company and the project inventory to a larger company such as Facebook or Google for $5,000,000.