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Axonify acquires Nudge – Communitech

Waterloo-based Axonify has acquired Nudge in a deal that integrates online employee training, communications and task management.

Axonify uses gamification and other e-learning techniques to deliver online training and knowledge reinforcement to frontline staff in a variety of industries. Nudge’s productivity platform helps employers communicate tasks, resources and guidance to “deskless” employees while giving staff the opportunity to respond and provide feedback.

“Together, we will enable a digital workplace for frontline teams that is easy to access and inspires success while reducing staff turnover and prioritizing cross-skilling and communication,” said Carol Leaman, CEO and co-founder of Axonify.

Financial terms of the acquisition were not disclosed.

Nudge’s 65 employees will be offered jobs with Axonify, according to the company. As well, Nudge CEO and co-founder Lindsey Goodchild will join Axonify as Chief Strategy Officer. When the deal is completed, Axonify will employ nearly 300 people at offices in Waterloo and Toronto.

The current labour shortage in numerous industries has put a spotlight on the critical role played by frontline workers. A recent study commissioned by Axonify found that nearly 50 per cent of frontline workers are prepared to leave their jobs, due mostly to overwork and burnout.

“Understanding and incorporating the needs of frontline workers have never been more important,” the company said in a news release. “Career advancement, skill development and a sense of connectedness are among the top motivators for frontline workers.”

Axonify began as a corporate learning venture called 17muscles, which Leaman acquired in 2011. A few months later, she secured an initial investment round and changed the company’s name to Axonify. The company grew to profitability over the next decade, landing big-name customers such as Walmart, Levi’s and Bloomingdale’s. In April 2021, Luminate Capital Partners of San Francisco acquired a controlling stake in Axonify for an estimated US$250 million.

"Communitech helps tech-driven companies start, grow and succeed. Communitech was founded in 1997 by a group of entrepreneurs committed to making Waterloo Region a global innovation leader. At the time it was crazy talk, but somehow this community managed to pull it off. Today, Communitech is a public-private innovation hub that supports a community of more than 1400 companies — from startups to scale-ups to large global players. Communitech helps tech companies start, grow and succeed in three distinct ways: - Communitech is a place – the center of gravity for entrepreneurs and innovators. A clubhouse for building cool shit and great companies. - Communitech delivers programs – helping companies at all stages with access to capital, customers and talent. We are here to help them grow and innovate. - Communitech partners in building a world-leading ecosystem – making sure we have all the ingredients (and the brand) to go from a small startup to a global giant."

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