In total, there are approximately 2,360,000 children in Italy. In any case, we would not be able to reach everyone: not everyone will be interested in this, not everyone will be able to reach us with marketing. Most likely, in the best case scenario, we would reach about 10% of these children, that is, 118-120,000 per year to be brought into the system. With an average market conversion (CR) of 5% and 6,000 paying users per year, the maximum that could be earned would be 300-480,000 euros for such an application only within Italy, without expanding. Such revenue would hardly cover the costs of developing the application, with the participation of a team (Methodologist, Designer, 2 developers, Project/Product Manager and Marketer). That is why it is better to launch such applications on horizontal markets rather than on vertical ones.
In the broader market context, competitors in this niche have engaging characters, dynamic animations, and compelling narratives. Such products, designed for horizontal market segments, boast millions of users worldwide. Many applications also offer you a level assessment test at the beginning, which distributes your current level of knowledge in the application’s grade system, and based on this result, it also suggests further exercises.
Global trends that are necessarily present for competitive digital products for kids and were unfortunately lacking in the discussed product:- Gamification/gamification is a market must have
- Socialization (working in teams)
- Communication with animated characters (via ready-made algorithms)
- Using mobile devices. Especially for schoolchildren. The teacher interface can be done on the web, but for the younger students it should always be mobile
- Tactility (getting feedback from the device itself)
- Personalization
As can be seen by these features, the market for such applications and games is actually very active and dynamic. It is important to constantly change the content, develop, add, change the methodology, because otherwise the viewer’s focus and interest will instantly disappear. These applications actively compete with each other and also compete with social networks, Youtube and other content platforms. This is a highly competitive market in which it will not be possible to develop with weak development.
All in all, the market is extremely ripe with profit with 80% of the best-selling apps being apps for children and about 72% of best-selling educational apps aimed at preschool-aged kids. The most popular age category across all subjects is preschoolers and toddlers, at about 58% and growing. So, the market is promising, and people are ready to spend money on it - this part of the idea struck on point.
To thrive in this competitive landscape, a unique concept and presentation are imperative. Comparing a couple of proposals and assessing a couple of things that could be done better can often not be enough. It is also important to attract experts who have competencies, including directly in the digital environment, and not just in education. Education is a rather conservative environment in all countries where changes take a long time to be introduced, so a successful teacher may not be the most informed specialist in terms of developing a methodology specifically for a digital product. It makes sense to contact teachers of ultra-modern advanced schools or individual specialists in digital products; now this is already a full-fledged specialization with its own unique specifics, which is not a simple transfer of traditional educational material to the screen as proven by the digital textbook and virtual labs projects that I used as examples of digital solutions for edtech in this article.
All in all, the conclusion was clear: the product needed a comprehensive overhaul. From technical enhancements to methodological restructuring, a shift towards gamification, and a more nuanced localization strategy, multiple aspects required attention. With total recommendations summarizing as followed:
- Create a style and gamification concept from scratch, use a different technical solution
- Choose only one topic, for example logic + mathematics
- Rework content (texts/infographics)
- Select only one grade
- Expand the market (English or Spanish speaking)
- To implement MVP, you can either use a ready-made quiz platform, but remake all the infographics and texts
The project's failure to keep pace with market trends, especially in the competitive realm of children's educational apps, highlighted the need for a unique concept and presentation.
This case serves as a testament to the intricate challenges startups face, emphasizing the importance of technology choices, market research, and ongoing adaptation to stay relevant in the competitive landscape. To transform this venture into a success story, a reimagined approach, from content to technology, is imperative—embracing the demands of the digital age while maintaining a keen eye on educational efficacy.