CASE STUDY
DESIGN
Readability tech case study
Education Technology AI
Country
USA
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Platforms
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Mobile
2020 - present
Readability
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investment
$640k
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Duration
3 years
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Effective team scaling
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Successful technology transition
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Considerable growth in user base and revenue
A photo with a tablet and phone showcasing a screen with the children and their books and another one with the parent dashboard.
01
Project Overview
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Empowering early literacy with AI
Readability is an innovative EdTech solution from Los Angeles, designed to help children aged 3 to 7 learn to read in English. 
Using an AI Tutor, the app interacts with children by reading to them, listening, and engaging them in learning activities.
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Industry challenges
Creating engaging, effective, and user-friendly digital literacy tools for young children.
02
Results and Achievements
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Outcomes
The period from 2020 to 2023 marked a remarkable transformation in both user engagement and financial health, driven by strategic development and team expansion. The company was able to more than 30x its revenue, accelerate its feature release cadence and stabilize its core technology.
A photo with the mascot of the app.
MONTHY RECURRING REVENUE (MRR)
BEFORE
Readability started with a modest user base and initial revenue figures. The focus was on stabilizing the product and refining the AI Tutor's capabilities.
The Monthly Recurring Revenue (MRR) at the time was just below $3k, with a revenue churn of 30% and 145 active subscriptions.
after
The team achieved a substantial increase in active subscriptions, reaching the 7,000 milestone, while MRR reached $108k, with a net revenue indicating healthy growth.
They managed to keep revenue churn around 15% half from the initial metric, reflecting effective customer retention. Also, the lifetime value per customer almost doubled in this timespan.
The Monthly Recurring Revenue (MRR) at the time was just below $3k, with a revenue churn of 30% and 145 active subscriptions.
They managed to keep revenue churn around 15% half from the initial metric, reflecting effective customer retention. Also, the lifetime value per customer almost doubled in this timespan.
03
Linnify's Involvement
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Role in the project
Linnify’s team transitioned from individual iOS and Android developer resources to a complete product team led by a Product Success Manager.
Our first objective was to stabilize the mobile versions on each platform (Android and iOS) of the application. After achieving this goal, the team was increased with complete product roles: Product Success Manager, UX/UI Designer and QA Specialist.
The product team’s objective was to find ways to accelerate the product’s path to product market fit, through discovery and usability testing with existing users, A/B testing, product analytics, and UX audits of the existing product. A complete overhaul of the product’s brand was also achieved with the purpose of appealing to the target audience.
Linnify’s dedication to the success of the project was seen through its extensive efforts to schedule discovery sessions with US customers throughout the market research phases of development. Also, multiple proof of concepts for providing technical feasibility of new AI solutions were continuously tested by the team in order to find the optimal customer experience.
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Application of expertise
The team leveraged its technical expertise in order to stabilize the software, and then went into product strategy and management with the purpose of reaching product market fit.
The UX audit conducted by Linnify’s Design expert resulted in more than 40 improvement recommendations, prioritized in order of importance based on severity, user impact and effort. These helped clarify the product’s roadmap over the next 6 to 12 months in order to dramatically increase customer growth and retention.
Most recently, we facilitated the shift to React Native for more efficient cross-platform development, focusing on scalability and user experience.
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Services
• Market Research
• UX/UI Design
• Product Strategy and Management
• Software Development
• Quality Assurance
• Generative AI integrations
Photo with product success manager from Linnify working on the project that provided the testimonial.
'Leading Readability's success is highly rewarding. We prioritize user research, including interviews, surveys, and A/B testing, to tailor our approach for diverse educational needs. I'm thrilled about Readability's ongoing positive impact on children's reading, vocabulary, and comprehension skills, as validated by ongoing positive user experiences.'
Andreea Sima, Head of Product Management 
04
Geographical Focus
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Primary market
Children between 3 - 7 years old that are learning to read at home and are in need of a tutor to help them get through the difficulties of attaining this valuable skill.
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Cultural considerations
Adapting the AI Tutor for a diverse range of English dialects and learning styles.
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05
Problem
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Client's challenge
Readability’s team needed to transition from a technical focused development team to a scalable, complete product team, while maintaining product quality and catalyzing user engagement.
Their challenge was two-fold, due to the urgent need for product stability and desire for sustainable customer growth.
They needed to scale up quickly to meet growing demand and create competitive advantages in the EdTech space.
06
Solution
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Proposed solution
The best solution for Readability was to adopt a validation-driven approach to product development that focuses on continuous market research and iterative development experiments through a React Native mobile application.
This way, the app can provide an engaging and adaptive learning environment for children and compete with the bigger players on the market, by benefiting from a complete product team.
The team applied Linnify’s validation methodologies throughout the product development cycle, from discovery to design and development.
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07
Conclusion and Future Outlook
Summary of success
Readabilty's journey from an emerging startup in 2020 to a leading EdTech player by 2023 highlights our ability to support and scale innovative software solutions.
Learning and Growth
During this project, we developed a deeper understanding of scalable solutions and effective team management in a dynamic market, managing to integrate a validation-driven mindset into complete product development teams.
Photo with Readability's CEO that provided the testimonial.
'We sought a company with exceptional talent and minimal turnover since investing in a company is truly a partnership. It was important to us that the company we selected had a great culture, as this is a crucial factor in retaining talent. That is why we chose Linnify.'
Ameeta Jain, CEO Readability
You can read the full review here

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