A New Approach to Workplace Training with Ethena

Roxanne Petraeus and Anne Solmssen, the co-founders of Ethena, established their company with a distinct objective: to develop a more contemporary and impactful method for delivering anti-harassment training to personnel. Ethena’s innovative solution involves delivering concise, monthly learning “nudges” – brief lessons lasting approximately five minutes – as an alternative to traditional, hour-long annual workshops, offering greater flexibility in learning.

Securing Further Investment for Growth

Having initially secured $2 million in funding in June, the company has now announced a subsequent round of investment, again totaling $2 million, and led by GSV. Currently, Ethena has amassed $5 million in venture capital, with participation from investors such as Homebrew, Neo, and Village Global.

Expanding Client Base and Demonstrating Impact

This additional capital arrives following a period of substantial growth for Ethena. The startup has successfully secured significant contracts with prominent organizations including Netflix, Zoom, and Zendesk. TechCrunch reports that over 20,000 active employees are currently participating in Ethena’s monthly training programs.

A Shift in Focus: Beyond Initial Expectations

While strong growth and new funding represent a positive trajectory, Petraeus shared with TechCrunch that the company’s initial success has prompted a re-evaluation of its overall goals.

“Initially, when we launched in February 2020, our assumption was that scaling companies and startups would be the primary adopters of our innovative compliance training approach,” she explained. “However, we’ve discovered that even large enterprises are seeking a more effective solution, a more profound impact, and are open to innovation in a field traditionally governed by legal counsel and established e-learning platforms.”

Broadening the Scope of Training Courses

Ethena is now expanding its offerings beyond anti-sexual harassment training to encompass a diverse range of compliance-focused courses. These will include training on financial compliance and adherence to codes of conduct. This expansion wasn’t driven by a lack of customer interest, but rather by requests from existing enterprise clients for a broader spectrum of training topics.

“We believe that a highly specialized, sector-specific approach could potentially limit our overall impact,” Petraeus stated. “Therefore, we are committed to adopting a comprehensive and inclusive approach from the outset, ensuring that all relevant topics are addressed as more than simply ‘checkbox’ exercises.”

Leveraging Military Insights for Effective Learning

Petraeus, a veteran of the armed forces, emphasizes that Ethena’s confidence in its effectiveness stems from research on adult learning principles derived from military data.

“We recognize that conventional training methods often fail to induce lasting behavioral changes, and some studies even suggest they can inadvertently increase unconscious bias following training,” she noted. The startup distinguishes itself from other micro-learning platforms through its carefully designed curriculum.

A Year-Long Curriculum for Continuous Reinforcement

The curriculum is structured for continuous engagement throughout the year, rather than being confined to a single, annual hour-long session. This iterative approach provides employees with repeated exposure to the material, reinforcing understanding. “We are actively experimenting with formats like graphic novels and podcasts to deliver training content,” Petraeus said. “Our priority is to ensure that the lessons learned today remain relevant tomorrow, and that we maintain agility in content creation.”

Adapting to the Challenges of a Changing Workplace

Petraeus highlights that the pandemic has introduced new challenges for employees, necessitating proactive guidance and support. Ethena’s monthly schedule allows for rapid adaptation to contemporary workplace scenarios, such as navigating Slack culture and Zoom etiquette. In 2020, the most popular training modules focused on preventing online harassment and promoting mental health inclusivity.

Micro-Learning and Positive User Feedback

The micro-learning approach, commonly utilized by edtech companies, aims to integrate small, engaging lessons into daily workflows. Ethena reports that over 90% of the 150,000 in-app learner feedback responses have been positive, indicating that the content is both engaging and relevant. The company experienced learner growth exceeding 250% quarter-over-quarter in the fourth quarter.

Industry Validation and Future Potential

Deborah Quazzo of GSV, who led both Ethena’s seed funding and this follow-on investment, emphasized that the company’s early success in attracting high-profile clients is no accident. Quazzo believes the compliance market is ripe for innovation, despite its substantial size.

“The strong product-market fit they are demonstrating, coupled with customers actively requesting expanded content offerings, clearly justified providing them with additional resources to accelerate their growth,” she concluded.