The paid version of Duolingo is known as Duolingo Plus. It provides students with perks like an ad-free environment and supplementary educational and gamification tools. By 2021, Duolingo Plus had roughly 6% of monthly active users as paying customers. Duolingo’s revenue in 2021 was primarily due to premium subscriptions.
Users who are unable or unwilling to pay a monthly subscription fee can still benefit from Duolingo’s services because the company makes money through the sale of display and video advertisements delivered through advertising impressions. In 2021, 18% of Duolingo’s income came from advertisements and other sources.
Earnings from advertising are directly proportional to the number of free users, the amount of time those users spend on the site, and Duolingo’s ability to deliver user-relevant, creative ad placements that maximize profits for its advertising partners.
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Students can buy temporary app enhancements, like pausing their streak or getting more time on the clock, through in-app purchases. Duolingo earns money from the Duolingo English Test in addition to the Duolingo language learning app by charging a one-time fee of $49 to test takers.