When it comes to the future of education, the classroom is moving online. Everything from online classes and learning management systems are paving the way for learning and interacting with peers and educators online. Another trend in online learning is tutoring. Some companies that are online tutoring platforms are Wyzant and Tutor Universe but one of their competitors, InstaEDU is making a name for itself. Chegg, the online textbook resale company has recently acquired InstaEDU for $30 million.
This acquisition was a smart move for Chegg as they work to expand their website to become an overall resource for the high school student to the college undergrad. In addition, InstaEDU is also one of the only online tutoring services that is available regardless of the users location. Chegg had been looking to find a tutoring platform that fit within their company for sometime. This is important as Chegg is around a $60 billion global market that is constantly looking to expand. CEO of Chegg, Dan Rosenwieg was sold on InstaEDU because it didn’t limit their users to a geographical location to receive the help and support they need. This is an issue as many students are unable to receive the help and resources they need because of their locations. This is a major advantage of InstaEDU, and this will set Chegg far apart from its competitors. Currently, InstaEDU offers users 2,500 subjects, standardized test prep, and college level concepts to its users. Chegg gained a lot of resources from this deal and so did InstaEDU. By joining Chegg, the platform now has access to the sites 13 million high school and college users.
Chegg included a direct link to the InstaEDU website from the main Chegg website as a trial to test if their users would visit the InstaEDU website. From their records, growth for Chegg was up 103% each month for the past three months. Chegg is also working on a system to connect users to the right tutors based on their area of study, and grades in addition to scholarships and test prep. This growth is very promising from Chegg and it will be interesting to see if Chegg acquires any more companies. In addition, to Chegg time will tell if InstaEDU will have the success its projected to have. The CEO of InstaEDU, Allison Johnston Rue will continue to work with InstaEDU and will stay to help lead Chegg with its new online tutoring business. It will be interesting to see if other competitor websites to Chegg will adapt to the changes that Chegg is having.