5Mins AI, the gamified learning platform that reinvents employee upskilling, has raised $5.7 million in a seed round led by AlbionVC.
AlbionVC is joined by Chalfen Ventures, Portfolio Ventures, Blue Lion Global and Edenred Capital Partners, the venture arm of the global leader in employee benefits, Edenred, along with a number of notable angel investors.
5Mins aims to solve the number one cause of employee turnover in the last decade: few opportunities for growth and development. HR teams list L&D as one of their most difficult and time-consuming challenges, due to very low employee engagement. Completion rates for online corporate learning courses range from 5-20%, while monthly participation rates are less than 10% for traditional workplace learning platforms. By removing key sticking points, 5Mins has an average course completion rate of 85% and a monthly engagement rate of over 50%. In companies where employees are assigned individual learning budgets, less than 25% of these budgets are actually used due to time constraints and poor guidance on what employees need to learn.
5Mins’ next-generation learning tool removes these key sticking points by presenting workplace learning in a TikTok-style feed and using smart personalization. Complete with gamification and social features, 5Mins keeps employees and teams engaged in learning. HR and L&D teams can treat each employee as an individual and automatically deliver personalized learning paths that fit employees into their daily schedules with ease, five minutes at a time.
Science-backed learning methods such as chunking, spaced repetition, and active recall are built into the product to drive long-term learning effectiveness and knowledge retention. In addition, 5Mins develops granular information about each individual’s interests, priorities, and learning styles, enabling team managers and HR leaders.
The platform features over 15,000 short lessons from over 150 educators and trainers around the world covering over 100 essential technical skills and power skills for the workplace. Since launching in March 2022, over 100,000 lessons have been viewed on the platform and 5Mins’ annual recurring revenue has grown 20x.
All lessons are customized to each individual’s role and needs. Based on a user’s learning interests, the platform recommends deeper learning options such as courses, books, and training through its marketplace.
5Mins was founded by Saurav Chopra, previously the co-founder and CEO of leading employee engagement platform Perkbox. 5Mins has grown rapidly and is used by employees in over 80 countries, from clients including fast-growing extensions such as Spenmo and Beam Mobility in APAC to Smart Pension and Cushon in the UK.
The funds will be used to enhance the platform’s capabilities, such as skills analytics, API integrations, and the learning marketplace, as well as grow its global customer base and impact.
Saurav Chopra, Co-Founder and CEO of 5Mins, said: “Our mission is to help companies build a culture of learning so their people can unlock their true potential and we’ve come a long way in a short period of time. We are creating the first global learning super app that businesses of all sizes can use to upskill everyone, improve employee retention and drive innovation.”
Nadine Torbey, Chief Investment Officer at AlbionVC, said: “5Mins is at the crossroads of two massive changes: employee engagement on the one hand and the ‘TikTokization of everything’ on the other. The impressive business momentum and higher level of user engagement that the company has been experiencing in a short time is a testament to the market yearning for more personalized and engaging learning tools. Saurav has a lot of experience in the space, which puts him in a unique position to disrupt this huge broken market. We are very excited to partner with him and the entire team to achieve this ambitious vision!”