Corporate Culture in Transition: Are We Getting Too Soft? - with Markus Witte, Babbel

About this episode

Babbel is now the world's largest language learning app with 16 million subscriptions sold and over 250 million euros in annual revenue. What began in 2007 with a simple question—how to bring language learning to the internet and later to mobile phones—developed into one of the few German startup success stories that has remained stable and profitable for over 17 years.

Markus Witte, co-founder of Babbel, left the company at the end of 2019 saying: "I wanted to find out who I am without the company." In this conversation, he shares his insights on corporate leadership, team dynamics, and the question of whether modern corporate culture has become too harmony-oriented.

Building the Foundation for Long-term Success

What distinguishes Babbel from the countless startups that disappear after just a few years? Markus emphasizes the importance of starting with the problem, not the solution. "We asked ourselves: How can you effectively learn languages? Only then did we look for technical solutions."

This problem-oriented approach, combined with a bit of luck and the right timing, laid the foundation for Babbel's long-term success. While many startups begin with a supposedly innovative technology and then search for use cases, Babbel took the opposite approach.

Establishing an Honest Feedback Culture

One of the biggest challenges when scaling from 10 to over 1,000 employees is building a functioning feedback culture. Markus developed a framework for better decision-making: clearly separating decisions that the founder makes alone from those that are discussed as a team.

"The problem with many companies isn't a lack of feedback, but a lack of honest feedback," Markus explains. An overly harmony-oriented culture can paradoxically be harmful to the company when important conflicts are swept under the rug.

The Limits of Harmony

A central discussion point in the conversation: Where are the limits of a harmony-seeking corporate culture? Markus argues that a certain culture of debate is necessary to make the best decisions. "Conflicts aren't inherently bad. They often point to where important decisions need to be made."

The challenge lies in fostering constructive confrontations without poisoning the work atmosphere. This requires a high degree of energy management and adaptability from leaders.

Breaking Points and Difficult Decisions

Every successful company goes through critical turning points. At Babbel, these included decisions about organizational development and handling leadership mistakes. Markus openly shares his learnings from these phases.

Particularly challenging: separating from founding team members without damaging personal relationships. "It's important to understand that business and personal levels can be separated, but that requires maturity from everyone involved."

The Exit as Liberation

Markus' decision to leave Babbel in 2019 wasn't driven by financial problems, but by a desire for personal development. "After 12 years, I had become so intertwined with the company that I had to question my own identity."

Today, he works as a growth facilitator, supporting other companies with similar challenges. His experiences show: successful corporate leadership also means knowing when it's time to let go.

Energy Management as a Success Factor

An often overlooked aspect of corporate leadership is personal energy management. Leading a company from startup to 1,000+ employees over 12 years requires conscious strategies for maintaining one's own performance.

Markus' story shows: long-term corporate success doesn't just come from the right strategy and culture, but also from leaders who know and respect their own limits.