Millions of dollars are pouring into the Learning Management System (LMS) industry. However, only a handful of companies truly acknowledge the benefits of adopting Mobile Coaching platforms in their HR Tech stacks. Most employers understand the need to optimize and deliver mentoring, training, and development programs to their employees. Professional education is getting sophisticated backed up strategic investments to make HR Technology more powerful and relevant to modern business needs. This week’s biggest HR Technology funding update came from a pioneer in Professional LMS provider that pioneered and revolutionized the Mobile Coaching scenario altogether. BetterUp, founded in 2013, announced its Series C HR Tech funding of $103 Million. Lightspeed Venture Partners, with participation from Threshold Ventures (formerly DFJ Venture), Freestyle Capital, Crosslink Capital, Tenaya Capital, and Silicon Valley Bank have led this funding round.
BetterUp is also funding $20 million in evidence-based behavioral research as part of its commitment to the whole person, encompassing a holistic and aspirational vision for human flourishing in every domain of life.
What BetterUp Brings to the HR Tech Ecosystem?
BetterUp is a Corporate LMS software company that provides Mobile Coaching solutions. Today’s tech-driven LMS tools are laced with automation and gamification modules that empower Employers and Trainers to deliver a world-class learning experience in the classroom and online. BetterUp, the company that pioneered mobile coaching to help all workers live their lives with more clarity, purpose, and passion already helps employees working in 28 of the Fortune 1000 Companies. By concentrating on the whole person and enabling each worker to be a little bit better, BetterUp transforms entire organizations from the inside out.
What does Funding Mean to the Training, Learning and Development Tech Market?
The financing, which brings the company’s total raised to over $142 million, will fuel BetterUp’s international expansion, the hiring of new employees and coaches, and the development of new products and services that enable companies to intelligently scale personalized human development and support.
The funding—believed to be the largest ever in the burgeoning field of tech-enabled employee coaching, behavior change and wellness—underscores faith in BetterUp. BetterUp was first to market in this space and which is now rapidly being deployed by leading global, multinational organizations. Their customers include Airbnb, AppDynamics, Equinix, Instacart, Logitech, Mars, Symantec, and Workday.
For instance, Equinix, a global interconnection and data center company, has benefited from BetterUp. The company saw a 24% dip in stress levels, a 25% improvement in focus, a 15% reduction of burnout, and a 14% improvement in resilience since deploying BetterUp in 2017. Alexi Robichaux, BetterUp CEO, and co-founder said, “We are proud to be enabling innovative companies who recognize that their biggest asset—their people—deserve an elevated employee experience that speaks to who they are as whole persons, not just employees.”
Alexi also added, “By combining human expertise, the latest advances in scientific research, and digital technologies including AI and Machine Learning we’re delivering unprecedented levels of personalized learning at scale. We’re transforming people and workplaces in the only way that’s sustainable—bottoms-up—one person at a time.”
You can Help Employees Reach Their Potential with Creative Training and Development using Mobile Coaching
In the age of high attrition and mass firings from jobs, employees often find themselves risking too much at the workplace. Employees need stability; they seek appreciation, motivation and creative mediums to feel safe and secure at their workplace. Employers and trainers can help such employees through on-demand, virtual coaching sessions, users practice and reinforce new behaviors and skills to manage stress and disengagement at work.
Using data visualization tools and reporting platforms, each individual’s growth is measured and tracked, inspiring employees to build the skills to thrive personally and professionally.
“BetterUp’s platform is designed to help people see and reach their potential,” says Adam Grant, renowned organizational psychologist, best-selling author and member of BetterUp’s Science Board.
Adam added, “People are the heart of every workplace, and making them better makes the organization better.”
More than $200 billion is spent annually on learning and development, but only 10% of it is effective because so much of the learning is quickly forgotten or doesn’t transfer to the workplace. With BetterUp’s one-to-one personalized coaching, provided in the flow of work, clients have seen results including a 26% jump in job performance, a 25% increase in focus and a 15% reduction in burnout. Employee intent to stay with one organization increased by over 63% with BetterUp coaching.
“BetterUp is the one company fundamentally investing in the most important part of the future of work—human beings. No other company drives measurable outcomes that change lives and workplaces,” says Will Kohler of Lightspeed Ventures, which also led BetterUp’s Series B round.
Will added, “Its focus on driving change via human coaching—empowered and informed by technological tools—is the winning recipe for true, personalized human capital transformation and persistent behavior change.”
Along with its core coaching product, BetterUp last year expanded its platform to offer on-demand coaching and an extended network of experts to address such issues as public speaking, sleep, and nutrition.