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Brilliant | Acquisition Project | GX 21 Final Submission

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What is Brilliant?

Note: STEM - stands for science, technology, engineering and mathematics

Throughout the assignment, I have used the terms Brilliant & Brilliant.org, which denotes the same company. The screenshots used are from both web portal and mobile app (iOS).

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Why did I choose Brilliant?

From the videos I watch on YouTube, particularly on physics, engineering, and tech-related channels, Brilliant is the one product that consistently caught my eye during sponsorships. While using it, I not only learned new concepts but also found it to be an engaging way to understand complex topics, ones I had previously avoided.

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Overview

Brilliant.org is an interactive online platform designed to make learning STEM (Science, Technology, Engineering, and Mathematics) subjects more engaging and accessible. The platform offers a wide range of courses in subjects like Algebra, Geometry, Calculus, Statistics, Logic, Programming, Science, and Engineering. These courses are tailored to address common challenges faced by learners in traditional education settings, such as passive learning, difficulty grasping complex concepts, and the lack of practical application.

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Courses

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Math Courses: Brilliant.org’s math courses are crafted to transform complex mathematical concepts into understandable lessons through active problem-solving. Unlike traditional methods that rely on memorization, these courses encourage students to actively participate, making the learning process more engaging and effective. Whether it’s algebra, geometry, or calculus, students are guided to understand the ‘why’ and ‘how’ behind the concepts.

Data Courses: The data courses on Brilliant.org are designed to improve logical thinking and analytical skills. By incorporating real-world scenarios into data analysis lessons, the platform ensures that users can directly apply what they learn in their professional lives. This approach bridges the gap between theory and practice, making data-related subjects more relevant and practical.

Computer Science Courses: In these courses, users don’t just learn about programming; they engage in hands-on coding exercises. Brilliant.org’s approach to teaching computer science is focused on active participation, where users write, test, and debug code directly on the platform. This method helps users build real-world programming skills, addressing the common problem of passive learning in this field.

Science Courses: The science courses on Brilliant.org emphasize the connection between theory and real-world application. Through interactive simulations and case studies, users explore complex scientific concepts in a practical context. This approach makes learning science more meaningful and applicable to real-life situations.

Key Features

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Interactive Problem Solving: Traditional education often involves passive learning, where students memorize information without fully understanding it. Brilliant.org tackles this by providing interactive problems that adapt to the learner’s responses. This feature ensures that each learning experience is personalized, helping users build a strong foundation by actively engaging with the material.

Visual Learning: Complex concepts can be difficult to grasp through text alone. Brilliant.org uses visual aids like diagrams and animations to break down these concepts into manageable parts. This method helps users visualize what they’re learning, making abstract ideas easier to understand and remember.

Comprehensive Course Library: Brilliant.org offers a wide range of courses, from beginner to advanced levels. This extensive library ensures that learners at any stage can find content that meets their needs. By offering depth and variety, the platform addresses the problem of limited resources in traditional education.

Daily Challenges: Keeping users engaged is crucial for effective learning. Brilliant.org’s daily challenges provide bite-sized learning opportunities that encourage consistent practice. These challenges help users stay motivated and continuously improve their skills, even outside of formal coursework.

Gamification Elements: Learning can be challenging, and maintaining motivation over time is difficult. Brilliant.org incorporates gamification elements like progress tracking, badges, and leaderboards to keep users engaged. These features reward users for their achievements, making learning more enjoyable and encouraging continuous progress.

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Functionalities

1.Adaptive Learning System

How It Works: Brilliant.org uses an adaptive learning system that tailors content to each user’s progress. As users work through problems, the platform adjusts the difficulty of subsequent problems based on their performance. This ensures that learners are constantly challenged at an appropriate level, making the learning process more effective and personalized.

Why It Matters: This functionality prevents users from becoming bored with material that’s too easy or overwhelmed by content that’s too difficult. It keeps learners engaged and helps them build confidence as they progress.

2. Interactive Exercises

How It Works: The platform features interactive exercises that require active participation. Instead of just reading or watching content, users must solve problems, answer questions, and engage in interactive simulations. These exercises are designed to reinforce learning by applying concepts in real-time.

Why It Matters: This functionality transforms passive learning into an active process, helping users better understand and retain information. It encourages critical thinking and problem-solving skills, which are essential for mastering STEM subjects.

3. Instant Feedback Mechanism

How It Works: Brilliant.org provides instant feedback on user inputs during exercises. Whether a user answers correctly or incorrectly, the platform immediately provides explanations or hints, guiding them towards the correct understanding.

Why It Matters: Immediate feedback is crucial for learning, as it helps users understand their mistakes and correct misconceptions in real-time. This functionality supports continuous improvement and helps users learn more efficiently.

4. Progress Tracking and Analytics

How It Works: The platform includes robust progress tracking and analytics tools. Users can see their progress over time, track the topics they’ve mastered, and identify areas where they need to improve. This data is presented in an easy-to-understand format, with visual representations like graphs and charts.

Why It Matters: This functionality allows users to set goals and measure their achievements, which is motivating and helps them stay on track. It also enables learners to focus their efforts on areas that need more attention, making their study time more effective.

5. Mobile and Web Accessibility

How It Works: Brilliant.org is accessible across multiple devices, including smartphones, tablets, and computers. The platform is fully responsive, ensuring a seamless experience whether users are learning on the go or at home.

Why It Matters: Flexibility in learning is important for today’s users, who may not always have access to a desktop computer. This functionality allows learners to fit education into their busy lives, making it easier to stay consistent and engaged.

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Problem Statement

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Problem: Traditional education often relies heavily on memorization, which can lead to a superficial understanding of concepts. This approach can leave students with gaps in their knowledge and reduce their enthusiasm for learning, particularly in complex STEM subjects.

Solution through Features: Brilliant.org addresses these issues by offering an interactive learning experience beyond memorization. The platform’s features, such as interactive problem-solving, visual learning aids, a comprehensive course library, daily challenges, and gamification, help users deeply understand and apply the concepts they learn. This hands-on approach ensures that learners are not just passively absorbing information but actively engaging with the material.

Result: By actively involving users in the learning process, Brilliant.org helps them achieve a deeper, more meaningful understanding of STEM subjects. This approach not only makes learning more effective but also more enjoyable, leading to higher engagement and better retention of knowledge.

​(Value added)

The Design approach of Brilliant makes the user experience and interface a very approaching one along with elements focusing on colors and the shapes that refer to Gestalt Principles.

​Why It Matters:

When the important aspects stand out from the background, users can easily find and focus on them. Brilliant's design makes sure that learners can quickly identify and concentrate on the most crucial parts of the content.

Additionally, No in-app purchases or ads inside the platform fuels enhancement of the user experience, focus, and engagement

Core Value Proposition

For students, educators, and professionals who need an engaging and effective way to master STEM subjects, Brilliant.org, is an interactive learning tool that transforms complex concepts into understandable, practical knowledge. By offering adaptive learning, interactive problem-solving, and instant feedback, Brilliant.org helps users build a deep understanding and apply their skills in real-world scenarios, making learning not just accessible but also enjoyable.

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Though there are multiple players other than the above mentioned, I have chosen the particular companies for relevance and close reference.

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Understanding the Users

I reached out to 15 people, including peers, friends, and my cousins. who are currently in college pursuing their undergraduate studies, friends who are founders, and peers who are aged above 35 years. Additionally, I explored discussions on social platforms like Reddit and Quora to gather more insights.

During our conversations, I asked questions like:

• What difficulties do you face with your current study methods?

• How do you feel about learning subjects like math or science?

• What do you expect from a learning platform?

• Have you used any online learning tools? If so, what did you like or dislike?

• What would make learning more interesting or easier for you?​

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College/ University Students

• Who: These users are university or college students studying more advanced topics in STEM (Science, Technology, Engineering, Mathematics). They might be majoring in subjects like engineering, computer science, math, or physics.
• Why Brilliant: College students use Brilliant for extra help outside their lectures. They like how the platform goes beyond simple explanations and dives deeper into the details of complex topics. The interactive style helps them practice what they’re learning in class, making tough concepts easier to grasp.

Professionals

• Who: These are adults working in fields related to science, technology, engineering, or math. They might be software developers, engineers, data scientists, business founders, or researchers who want to stay updated with new knowledge or sharpen their skills.
• Why Brilliant: Professionals have limited time, so they appreciate Brilliant’s quick yet thorough learning sessions. The platform’s focus on problem-solving is especially helpful because it mirrors the challenges they face in their jobs. They also use it to learn new skills that can help them advance in their careers.

Self-motivated Learners

• Who: These are people who love learning, regardless of their age or career. They might be retirees, hobbyists, or individuals who have always been interested in STEM but never pursued it formally.
• Why Brilliant: Lifelong learners enjoy the mental challenge that Brilliant offers. The platform allows them to explore subjects at their own pace, dive into topics they are passionate about, and stay mentally sharp. They appreciate that they can learn without the pressure of exams or grades, and just for the joy of knowing something new

Educators

• Who: These are individuals who are K-12 teachers, University professors, and Homeschool Tutors.
• Why Brilliant: They get extra access apart from their resources which helps them stay relevant, and they get subsidised membership plans from the platform as they are serving larger communities. They can create a class on the platform and add their students in, track their progress throughout the course.

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​Ever struggled with understanding a math problem or a science concept that just wouldn’t click?

Do you find yourself wishing there was a way to learn that’s more engaging than just reading textbooks or watching videos?

If your answer is YES – then Brilliant.org is the learning platform you’ve been looking for.

With Brilliant.org, you can dive into subjects like math, science, and programming through interactive problem-solving. You don’t just read or watch; you actively engage by solving puzzles and challenges that help you truly understand the concepts. Simply sign up, pick a topic, and start learning in a way that’s fun, effective, and rewarding. Master concepts in 15 Minutes a day.

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The Revenue Model

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Subscription Model

Brilliant mainly uses a subscription model. Users pay a monthly fee of $24.99 or a yearly fee of $161.88 and a lifetime subscription which is only through gift a plan option of $749.99 to access all the courses and interactive content available on the platform. This approach ensures a steady income for the platform and gives users full access to everything without needing to make extra purchases.

Group Plan

The platform offers group plans for team sizes of 3-50 starting from $11.33/per person/per month.

Freemium Model

Brilliant also offers some free content to attract new users. This free option gives people a preview of what the platform has to offer, to encourage them to upgrade to a paid subscription for access to more advanced courses and features.

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Corporate and Educational Partnerships

Brilliant has formed partnerships with companies like Microsoft, to offer curriculum to both individual users and corporate teams. Through these collaborations, businesses can offer their employees access to Brilliant’s courses to help them improve their skills. This not only brings in additional revenue but also helps Brilliant.org expand its reach into the corporate training market.

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(Team, M. a. Q. (2021, March 30). Microsoft, Brilliant team up to offer quantum curriculum. Microsoft Azure Quantum Blog. https://azure.microsoft.com/en-us/blog/quantum/2019/05/23/microsoft-brilliant-team-up-to-offer-quantum-curriculum/)

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Patterns/ Insights

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Journey Map

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The below image describes the journey of a user right from discovery to customer service. The actions that the users take, the pain points they usually face, and the solutions that the platform provides are distinctly mentioned.

Ideal Customer Profile - Prioritization

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Top Priorities

ICP - A: College Student

Adoption Rate: Moderate – While it may require some effort to get them started, once they’re on the platform, they tend to be highly engaged.

Appetite to Pay: High–College students are generally willing to pay for tools that help them in their studies and future careers.

Frequency of Use: High – They are likely to use the platform regularly, especially during the academic year and exam times.

Distribution Potential: High – This group can be effectively reached through digital marketing, partnerships with universities, and social media campaigns.

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ICP - D: Educators

Adoption Rate: Low – Teachers are easy to onboard, especially since they are offered free access to the platform.

Appetite to Pay: Low – Since the platform is free for them, they don’t directly generate revenue, but their influence can lead to higher student use.

Frequency of Use: High – Teachers are likely to use the platform regularly in their classrooms.

Distribution Potential: High – There is significant potential to reach this group through collaborations with schools and educational institutions.

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Influencers / Blockers

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TAM: $7.4 billion -Global market for STEM college students and educators.

SAM: $3.7 billion -Key regions: U.S., Canada, Europe, Asia.

SOM: $74 million - 2% market capture in key regions.

The Calculations have been detailed in the below sections, in consideration of the Two ICPs prioritized. Students and Educators.

TAM - Total Addressable Market

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Students

According to UNESCO's statistics website and other educational data sources, there are approximately 220 million college students globally.

Focus on STEM:

Not all college students are in STEM fields, but STEM education is a significant portion of higher education. Let’s assume around 30% of college students are enrolled in STEM-related courses. This gives us:

College Students in STEM:

220 million students × 30% in STEM = 66 million STEM-focused college students worldwide.

Average Annual Spend on Education:​

College students in developed countries like the U.S. spend a significant amount on educational resources, including online learning platforms. On average, let’s conservatively estimate that a STEM student spends about $100 annually on supplementary educational resources, including platforms like Brilliant.org.

TAM Calculation for College Students:

TAM = Number of STEM College Students × Average Annual Spend

TAM = 66 million students × $100/year

TAM = $6.6 billion

 This suggests that the TAM for Brilliant if targeting STEM college students globally, is approximately $6.6 billion.

Educators

Number of Educators Worldwide:

According to UNESCO and other education reports, there are roughly 80 million educators worldwide, including both K-12 and higher education (college/university) teachers.

Focus on STEM Educators:

If we estimate that 20% of these educators are focused on STEM subjects (math, science, technology, engineering), then:

STEM Educators:

80 million educators × 20% in STEM = 16 million STEM-focused educators.

Potential Market for Educational Tools:​

Educators, particularly in STEM, often seek additional resources to enhance their teaching. Let’s estimate an average annual spend of $50 per educator on professional development tools, online platforms, and supplementary resources.

TAM Calculation for Educators:

TAM = Number of STEM Educators × Average Annual Spend

TAM = 16 million educators × $50/year

TAM = $800 million

This suggests that the TAM for Brilliant, if targeting STEM educators globally, is approximately $800 million.

 Combined TAM for Students and Educators:

When we combine the TAM for both college students and educators:

Total TAM = TAM for College Students + TAM for Educators

Total TAM = $6.6 billion + $800 million

Total TAM = $7.4 billion

SAM - Serviceable Addressable Market

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Students

Focus:

Let’s focus on regions with high online education adoption rates, such as the U.S., Canada, Europe, and parts of Asia (including India and Australia). These regions are likely to represent a significant share of the global market for online STEM education.

Percentage of Global Market:

If we assume that these key regions represent about 50% of the global market for college students in STEM fields:

SAM Calculation for College Students:

SAM = TAM for College Students × Key Region Focus

SAM = $6.6 billion × 50%

SAM = $3.3 billion

So, the Serviceable Available Market for Brilliant.org, targeting STEM college students in these key regions, is approximately $3.3 billion.

Educators

Focus:

Similar to college students, we can focus on key regions where educators are more likely to adopt online tools and platforms, representing about 50% of the global market for STEM educators.

SAM Calculation for Educators:

 SAM = TAM for Educators × Key Region Focus

SAM = $800 million × 50%

SAM = $400 million

So, the Serviceable Available Market for Brilliant.org, targeting STEM educators in these key regions, is approximately $400 million.

Combined SAM for College Students and Educators:

 When combined, the SAM for both college students and educators in key regions is:

Total SAM = SAM for College Students + SAM for Educators

Total SAM = $3.3 billion + $400 million

Total SAM = $3.7 billion

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SOM - Serviceable Obtainable Market

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Students

Market Share:

Given the competitive landscape and the effectiveness of Brilliant.org’s marketing and outreach strategies, let’s assume that the platform can capture 2-5% of the SAM over the next few years.

SOM Calculation for Students:

SOM = SAM for College Students × Market Penetration

SOM = $3.3 billion × 2% (conservative estimate)

SOM = $66 million

At the low end, if Brilliant.org captures just 2% of the SAM, the SOM for college students is approximately $66 million

Educators

Market Share:

Similar to the calculation on students, let’s assume Brilliant.org can capture 2-5% of the SAM for educators.

SOM Calculation for Educators:

 SOM = SAM for Educators × Market Penetration

SOM = $400 million × 2% (conservative estimate)

SOM = $8 million

At the low end, if Brilliant.org captures 2% of the SAM, the SOM for educators is approximately $8 million.

Combined SOM for College Students and Educators:

 When combined, the SOM for both college students and educators in key regions is:

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Total SOM = SOM for College Students + SOM for Educators

Total SOM = $66 million + $8 million

Total SOM = $74 million​

UNESCO UIS. (n.d.). https://uis.unesco.org/

SWOT Analysis

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Brilliant’s current traffic primarily comes from direct visits, organic searches, and paid ads, particularly on YouTube. They effectively sponsor educational content on popular channels like Veritasium and Kurzgesagt.

This strategy works well because it targets viewers who are naturally curious and eager to learn. The ads are cleverly placed during moments when the channels are explaining fascinating phenomena, capturing the audience’s interest with both the original content and Brilliant’s offerings.

While this approach has been successful, there’s room to enhance their referral program, currently based on gifting subscriptions to loved ones, by making it more effective at driving sales.

Channel Selection Framework

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Based on the above framework, Let's Choose Organic (SEO) and Referral Program as two channels to be prioritized.

Reasoning Behind Experiment Choices

1. Organic SEO:

Reasoning:

Brilliant.org already benefits from strong organic search traffic, as indicated by its current high rankings for STEM-related keywords. This success demonstrates that users are actively searching for and engaging with the platform’s content. To capitalize on this, focusing on optimizing long-tail keywords can significantly enhance the platform’s visibility. Long-tail keywords, while having lower search volumes, often attract more targeted users who are looking for specific, in-depth information. These users are more likely to engage deeply with the content and convert into paying customers.

Explanation:

The decision to prioritize Organic SEO is grounded in the fact that Brilliant.org has already established a solid foundation in organic search. By refining the strategy to include long-tail keywords, the platform can attract even more users who are precisely looking for the niche, detailed content that Brilliant offers. This strategy is not only cost-effective but also aligns with the platform’s strengths, making it a natural choice for further investment.

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2. Referral Program:

​Reasoning:

A well-designed referral program taps into the natural tendency of users to share valuable resources with their friends and colleagues. Brilliant.org’s existing user base likely includes many satisfied users who would be willing to recommend the platform. The “Refer, Compete, and Win” program adds a layer of motivation by introducing competitive elements, such as leaderboards and rewards. This not only encourages users to participate but also keeps them engaged over time, creating a steady stream of new user sign-ups.

Explanation:

The Referral Program was selected as a key acquisition channel because it leverages the power of social proof and user satisfaction. By incentivizing users to refer others through competition and rewards, Brilliant.org can increase its user base organically. This strategy is cost-effective, as it turns existing users into brand advocates without the need for significant investment in paid advertising. The approach is sustainable and scalable, making it an ideal choice for long-term growth.

To be concise

Organic SEO: Builds on existing strengths, low-risk, high-reward, targeted traffic.

Referral Program: Leverages social proof, scalable, cost-effective, incentivizes users.

What Hypotheses?

Organic SEO: Aims for a 10% increase in organic traffic and a 5% rise in conversions through long-tail keyword optimization.

Referral Program: Targets a 20% increase in referrals and a 15% growth in new sign-ups through competitive incentives.

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Hypothesis:

By optimizing long-tail keywords related to specific STEM topics, Brilliant.org expects to see a 10% increase in organic search traffic within the next three months. This increase in targeted traffic is anticipated to result in a 5% rise in conversion rates, as users who find exactly what they are searching for are more likely to engage with the platform and subscribe to its offerings.

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Rationale:

Long-tail keywords often face less competition and attract highly motivated users who have specific needs. These users are more likely to stay on the platform longer and convert into paying customers because the content directly addresses their queries. By focusing on these keywords, Brilliant.org can attract a more engaged audience, leading to higher retention and conversion rates.

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Let's take the Optimization for long-tail keywords as a strategy to improve on the present methods being followed.

Research - By Using tools like Google keyword planner, Semrush, and Ahrefs to find relevant longtail words to Brilliant's offerings, for example, Instead of "Calculus problems", we can target specific phrases like "interactive calculus problems for students". Let's do a blog on the most search work for brilliant in its organic search keywords - Interval notation, and let's change it to a longtail keyword "Mastering Interval notations- a guide to students and educators"

Content Creation- The blog, similar to the one attached below, if made sure of comprehensiveness, visual aids to understand the concepts will enhance user awareness and increase the likelihood of landing on the platform for more exploration.

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Examples of further Blog topics along with Long-tail Keyword

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Why?

Increased Visibility - Long tail keywords are often less competitive but highly targeted, so targeting more qualified users who are specifically looking for the brilliant's offering.

Better Engagement- Individuals who find what they are looking for, have a high engagement with the content explore the site further, and become potential long-term users.

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Present Status of Blogs by Brilliant:

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Hypothesis

Introducing a competitive element into the referral program will increase the number of active referrals by 20% within the first two months. This boost in referral activity is expected to lead to a 15% increase in new user sign-ups, as users are motivated by the potential rewards and the competitive nature of the program.

Rationale

The competitive aspect of the referral program, coupled with tangible rewards like free memberships, plays on the human desire for recognition and reward. Users are more likely to refer friends when there is a clear, immediate benefit, and the competitive element adds an extra layer of motivation. This structured approach to referrals ensures that the program is not only engaging but also effective in driving new user growth.

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Let's Introduce the “Refer, Compete, and Win Free Membership” program as it can enhance the whole referral flow of Brilliant. At present, Brilliant uses a "gift a membership" program.

Why?

• Leverages Social Proof

 People Trust Their Friends: When someone sees a recommendation from a friend, they are more likely to trust it and take action. This program takes advantage of that by encouraging users to invite their friends, making it more likely that new users will sign up.

Positive Peer Pressure: As friends see others joining and benefiting from Brilliant.org, they’re more inclined to join in, especially when there’s a fun, competitive element involved.

• Encourages Engagement

 Competition is Motivating: The competitive aspect of the program, with a leaderboard and rewards, motivates users to actively refer others. People love to compete, and the chance to win a free membership adds an extra incentive to keep referring friends.

Ongoing Interaction: By tracking progress and offering monthly and yearly rewards, users are encouraged to keep coming back to the site, not just to learn, but to see how they’re doing in the referral contest.

• Provides Tangible Rewards

Clear Benefits: The rewards are clear and valuable—a free membership is something that directly benefits the user, making the effort of referring friends worthwhile.

Instant Gratification and Long-Term Goals: The program offers both short-term and long-term rewards. Users can win something quickly, like a monthly subscription, and work towards a bigger, reward. This keeps them engaged over time.

• It’s Easy to Participate

Simple Process: The steps to participate are straightforward: share a link, track your progress, and earn rewards. There’s no complex sign-up process, and users can start immediately.

Low Barrier to Entry: Because it’s easy to invite friends and those friends get a discount, there’s little risk or effort involved for either party. This simplicity makes it more likely that users will participate.

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1. Who Should We Ask for a Referral?

To get the best results from our referral program, we should focus on users who have already shown they value Brilliant.org by completing a good number of courses. These users are more likely to share the platform with their friends.

Ideal Users to Target:

Engaged Users: Those who have completed 5 to 10 of the 70+ courses available on the platform. These users are interested and committed.

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Power Users: Those who have completed more than 15 courses. These users are deeply involved with the platform and are likely to encourage others to join.

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2. How Will They Find Out About the Referral Program?

We need to make sure the referral program is easy to find and participate in, especially for users who have already completed several courses.

In-App Notifications: After a user finishes their 5th or 10th course, they get a pop-up or banner that congratulates them and introduces the referral program.

Email Campaigns: Send personalized emails to users who have completed at least 5 courses, inviting them to refer friends and earn rewards.

Dashboard Feature: Add a section on the user dashboard that shows their progress in the referral program, including how many friends they’ve referred and the rewards they can earn.

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3. Why and How Will They Share the Referral Link?

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Users who have completed multiple courses will likely share the referral link because they’ve experienced the benefits of Brilliant.org and are motivated by the rewards.

Easy Sharing:

Pre-Written Messages: Provide a ready-to-send message that users can easily share via WhatsApp, SMS, email, or social media. This makes the process quick and simple.

Multiple Platforms: Users can share their referral link through WhatsApp, social media, or email, whichever they prefer.

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Why They’ll Share:

Immediate Rewards: The promise of a free month of membership for each successful referral is a strong incentive.

Low Effort: With pre-written messages and easy access to the referral link, sharing requires little effort, making it more likely that users will do it.

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4. How Will They Track Their Referrals?

It’s important that users can easily track their progress in the referral program to keep them engaged.

Referral Dashboard:

Progress Tracking: A simple progress bar shows how many friends have signed up using their referral link and how close the user is to earning a reward.

Referral Status: Users receive real-time updates on each referral (e.g., “Friend Signed Up,” “Friend Completed 3 Courses”).

Reward History: A section where users can see the rewards they’ve earned through the referral program.

5. How Will We Keep Them Referring?

To keep users engaged for them to refer more friends, the program should offer ongoing motivation.

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Regular Challenges:

Monthly Leaderboard: Feature users who have referred the most friends in a month, adding a competitive aspect to the program.

Bonus Rewards: Offer extra rewards for referring multiple friends within a specific period, like a month.

Continuous Reminders:

Email Nudges: Send periodic emails reminding users about the referral program, their progress, and how close they are to earning the next reward.

Milestone Rewards: Give additional rewards when users reach referral milestones (e.g., their 5th, 10th, or 20th referral).

In a nutshell, the rules of Referral should be as follows:

For the Referrer:

Eligibility: The referrer must have completed at least 5 courses to join the referral program. This ensures that only engaged users are participating.

Reward: The referrer earns a free month of membership for each successful referral, as long as the referred friend completes at least 3 courses in the first month.

For the Referee:

Engagement Requirement: The referred friend must complete 3 courses within 30 days of signing up for the referrer to get their reward. This makes sure the new user is actively using the platform, which justifies the reward for Brilliant.

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​Why Estimate LTV

The Lifetime Value (LTV) of a user is a crucial metric that tells us how much revenue a user is expected to generate over their entire relationship with Brilliant.org. Understanding LTV helps us determine how much we can afford to spend on acquiring new users through the referral program. It ensures that the rewards we offer, like a free month of membership, are sustainable and won’t negatively impact the company’s finances.

How We Estimate LTV

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To calculate the LTV for Brilliant.org, we need to consider the different membership options and make reasonable assumptions about how long users stay subscribed.

1- Consider the Membership Plans

Monthly Subscription: $24.99 per month

Annual Subscription: $161.88 per year (equivalent to $13.49 per month)

Group Plan: $11.33 per person per month

Lifetime Plan: $749.99 (one-time payment)

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2-Estimate the Average User Lifespan

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Since we don’t have exact data on how long users typically stay subscribed, we can make educated guesses based on general trends in subscription services. For instance, users who subscribe monthly might stay for about a year, while those who opt for an annual plan might stay longer, perhaps 18 months. These assumptions help us estimate the LTV more accurately.

3-Calculate LTV for Each Plan

1. Monthly Subscription:

• Estimated Lifespan: 12 months

• LTV Calculation: $24.99 × 12 = $299.88

2. Annual Subscription:

• Estimated Lifespan: 18 months (since annual subscribers are more committed)

• LTV Calculation: $161.88 × 1.5 = $242.82

3. Group Plan:

• Estimated Lifespan: 12 months (assuming a similar engagement level)

• LTV Calculation: $11.33 × 12 = $135.96

4. Lifetime Plan:

• This plan has a one-time payment of $749.99, providing immediate revenue but no ongoing subscription income.

Why These Estimates Matter

Calculating the LTV helps us understand how much value each user brings to Brilliant.org. If we know a typical user brings in, for example, $300 over their time with us, we can confidently offer a $24.99 reward (one free month) for each successful referral without risking our profitability. This ensures that the referral program is cost-effective and aligned with the long-term financial health of the company.

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​Retention Curve Analysis

Why We Use a Retention Curve

The retention curve shows us how user engagement changes over time. By tracking how many users continue to use Brilliant.org after they sign up, we can identify patterns that help us improve both the user experience and our marketing strategies. The retention curve also helps us determine when and how to ask users for referrals, targeting those who are most likely to stay and recommend the platform.

How We Analyze Retention

A retention curve typically looks at how many users continue to engage with the platform after their initial sign-up. We track this engagement over various time periods, such as Day 1, Week 1, Month 1, and beyond. Here’s how we can break it down:

1- Define Key Time Periods

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• Day 1 Retention: Percentage of users who return the day after signing up.

• Week 1 Retention: Percentage of users who are still active one week after signing up.

• Month 1 Retention: Percentage of users who remain engaged one month after signing up.

• Ongoing Retention: Longer-term engagement, such as at 3 months, 6 months, and 12 months.

2- Analyze Hypothetical Data

Let’s assume the following retention rates:

• Day 1: 70% of users return the day after signing up.

• Week 1: 50% of users are still active one week after signing up.

• Month 1: 30% of users remain engaged one month after signing up.

• 3 Months: 20% of users are still active after three months.

• 6 Months: 15% of users continue using the platform after six months.

• 12 Months: 10% of users remain active after one year.

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3-Interpret the Retention Curve

Early Engagement (Day 1 to Week 1): High early retention indicates that new users are finding the platform valuable. This is the best time to encourage them to explore more courses.

Long-Term Engagement (Month 1 and Beyond): Users who remain active beyond the first month are likely finding significant value in the platform and are good candidates for the referral program. These are the users we should focus on for referrals because they are more invested and more likely to bring in friends who will also stay engaged.

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Why the Retention Curve Matters

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Understanding the retention curve allows us to see when users are most likely to drop off and when they are most engaged. By targeting users who have shown strong retention, such as those who stay active beyond the first month, we can maximize the effectiveness of our referral program. We can also use the retention data to improve the user experience, ensuring that more users reach the engagement milestones.

By using LTV and tracking user retention, we can design an effective and affordable referral program that helps Brilliant.org grow its user base effectively.

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Present Referral Program run by Brilliant.

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While the “Gift a Plan” option is a nice way to encourage current users to share Brilliant.org with friends or family, it does have some limitations. People are generally less likely to spend money on gifts unless they feel it’s their only option, and the process can seem like a lot of effort. On the other hand, the “Refer a Friend” program is much easier for users since it doesn’t require them to spend money. The immediate reward of a free membership for referring someone makes it easy and appealing for users to participate. This not only helps quickly grow the user base but also ensures that new users are genuinely interested in learning since they were referred by someone they trust.

Additionally, Brilliant is well-positioned for early scaling, and these two channels—referrals and gifts—are cost-effective ways to expand. Although some tweaks to the current format might be necessary for better results, focusing on these strategies will help prepare the company for further growth. It’s important to keep refining these approaches to ensure Brilliant can scale successfully while meeting user needs.

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