EdTech unicorn GoStudent launches its one-on-one online tutoring services in the US

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Mar 25, 2022, 13:07 ET

GoStudent has opened its US headquarters in Austin, Texas
The EdTech scale-up will offer individualized online tutoring for standardized tests, academic support and interest-based learning
GoStudent aims to grow its US business to 150k sessions booked monthly by the end of 2022

AUSTIN, Texas, March 25, 2022 /PRNewswire/ -- As part of its ongoing mission to become a world-leading education provider, EdTech unicorn GoStudent has announced its expansion to the US, with headquarters based in Austin, Texas. Following a successful soft launch in November 2021, GoStudent is ready to provide tailored online tutoring sessions in over 30 subjects to a potential market of 50 million K-12 students. Prioritizing sustainable learning success, GoStudent offers a range of memberships, with price per session ranging from $32 to $50, based on the duration and level of intensity chosen. GoStudent is the highest valued EdTech scale-up in Europe, and operates in 23 markets, including numerous countries in Latin America and Europe, as well as Canada and Turkey.

US holds promising market potential for GoStudent's online tutoring services

GoStudent aims to offer millions of families in the US access to affordable, tailored, one-on-one tutoring for their children, including coaching for standardized tests, such as the SAT. The company also offers tutoring in core school subjects as well as support in interest-based learning, such as coding. Tutoring is delivered remotely, via video, and carried out via GoStudent's online platform. Within this platform, lessons can be scheduled and feedback shared.

"The market potential of more than 50 million students between the ages of six and 18 is enormous," says GoStudent's Chief Growth Officer, Laura Warnier, who is responsible for driving GoStudent's global expansion. "The market conditions we've found entering the US are advantageous. We expect a high-quality tutor supply, due to the strong number of top universities and the fact that university students pursue side jobs while studying," Warnier explains. "We are also mindful that in the US, online learning is already trusted and established. This, paired with the fact that there are large rural areas where access to quality physical tutors is limited, and where online tutoring will be welcomed, makes for a promising launch."

Recent market studies conducted by GoStudent in the US show that more than 65 percent of surveyed parents have organized one-on-one tutoring for their child in the past 12 months and have paid an average of $68 per session. The typical price per session with GoStudent, depending on the package selected, is $41, which is 40 percent less than the US average. "Our vision is to unlock the full potential of every student. On our journey to reach this goal, we are committed to offering access to high-quality education by using online solutions and by setting rates that are more easily affordable. Digitalization has always helped to democratize industries and applying this logic to education is long overdue," says Felix Ohswald, Co-founder and CEO of GoStudent.

Start-up Hub Austin, Texas, selected for GoStudent's US headquarters with Sam Best leading the entry into the US market

Sam Best, an experienced sales expert with vast leadership experience in a hyper growth environment, as well as a proven track record in building foundations for successful software and tech start-ups, was appointed to launch the US market in January 2022. "Beside Sam's extensive experience, he is an inspirational leader who knows how to motivate his team with passion and energy. Overall, we are convinced he is a great cultural fit for GoStudent," shares Laura Warnier.

The EdTech unicorn has chosen to open its US base in Austin, Texas, becoming part of Austin's exciting start-up environment. GoStudent will join the more than 7,000 high-tech companies and 100 incubators, accelerators and coworking spaces that are located in the city. Central to the strategic considerations in selecting this location is the rich talent pool in Austin. The city has the fifth highest concentration of college-educated adults, and more than one-third of the population is between 25 and 44 years old. "We are looking for a bright and diverse workforce to fuel further growth. Austin has a very attractive talent pool of multifaceted individuals. This makes it a very promising location for us to source talents fitting our culture in order to gain a leading position in the US tutoring market," says Sam Best, US Manager at GoStudent.

Ambitious growth plans

Throughout 2022, GoStudent aims to grow its Austin-based team to more than 130 talents, spanning tutor management, customer success and sales. By the end of the year, GoStudent aims to reach a volume of 150k sessions booked per month across the country. GoStudent's US launch comes just weeks after its acquisition of the UK-based learning and revision platform Seneca Learning and Spain-based Tus Media Group, which offers an open marketplace for tutoring. In January 2022 GoStudent announced its $340 million Series D funding round led by Prosus and the subsequent company valuation of $3.5 billion¹.

New York-based venture capital and growth equity firm, Left Lane Capital, has been investing in GoStudent since its Series A funding round in early 2020. "We have seen many past investments, such as Hellofresh and Blinkist, come from Europe to the US with great success. We are thrilled that students in America will finally have access to high quality, one-on-one tutoring at affordable rates. GoStudent's promise of affordable, personalized and convenient tutoring will be a great aid to students here, especially those in rural and lower income areas," says Vinny Pujji, Managing Partner at Left Lane Capital.

About GoStudent

GoStudent is one of the world-leading online tutoring providers and, with a $3.5 billion valuation, Europe's highest valued EdTech company. GoStudent was founded in Vienna in 2016 by Felix Ohswald (CEO) and Gregor Müller (COO). Via its platform, GoStudent provides paid, one-on-one, video-based tutoring to K-12 students in over 30 subjects, using a membership model. Investors including Prosus Ventures, SoftBank Vision Fund 2, Left Lane Capital, Coatue and DST Global have already invested a total of over $669 million in the rapidly growing platform. In 2021 GoStudent acquired FoxEducation, followed by Seneca Learning and Tus Media Group in 2022. Currently, GoStudent supports more than 11 million people worldwide. GoStudent is serving customers in 23 countries, employs more than 1,800 people, and works with +19,000 tutors. Over 1.5M tutoring sessions are booked each month. https://www.gostudent.org/us

¹ 3 billion euro conversion calculated 11th January 2022.

Contact:
Kristina Bassett, Head of PR and Communications at GoStudent
[email protected]

SOURCE GoStudent