Technology provider AD1 Holdings (ASX: AD1) is on the path to expanding its mentoring platform globally with its first contract signed in the United States.
The deal, inked between AD1 wholly-owned subsidiary Art of Mentoring (AoM) and North America-based HR.com, will see AoM’s virtual mentoring program matched with more than 1,000 human relations (HR) practitioners in the first year with a view to scale.
The contract is valued in excess of $100,000 in the first 12 months and the program will be managed by AoM.
AD1 chief executive officer Brendan Kavenagh described the contract as an “exciting development” for AoM and not only because of the deal’s value.
“It gives AoM direct contact with the HR professionals participating in the program, who are themselves potential customers for the AoM Software-as-a-Service (SaaS) platform and related services.”
“In addition to the program, AoM will contribute to HR.com’s educational calendar, delivering mentoring expertise via virtual events, webcasts and joint research projects, marketed to the entire membership base,” Mr Kavenagh said.
Pathway to global expansion
This latest contract marks the beginning of AoM’s expansion outside of Australia.
“This new HR.com development will open a significant opportunity for accelerated offshore expansion and allow the Art of Mentoring brand to compete more aggressively on the world stage,” Mr Kavenagh said.
“We look forward to working with HR.com to deliver our mentoring programs for their members in the US, Canada and beyond, in line with the success we have demonstrated in the Australian marketplace,” he added.
‘Nearly 100 times’ bigger than similar local organisations
HR.com operates a membership program that offers access to educational tools and resources that HR professionals need to stay ahead and compliant in the ever-changing HR landscape.
The company also specialises in connecting HR professionals through dozens of annual virtual conferences, consisting of hundreds of webcasts.
AD1 said AoM’s virtual mentoring program is expected to provide HR.com members with an “opportunity for deeper levels of human connection and professional development”.
While most of HR.com’s 1.9 million HR professional members are based in the US, some are in Canada and other regions around the world. According to AD1, HR.com has nearly 100 times the membership of similar local organisations in Australia.
Art of Mentoring’s recent performance
According to Mr Kavenagh, AoM is “reaping the benefits of explosive growth” in HR tech in Australia, as demonstrated by the company’s “outstanding” growth performance over the last 12 months.
“AoM September quarter revenue so far is 74% ahead of the same quarter last year, and 51% higher than last quarter,” he said.
Partnership arrangements with HR membership organisations similar to HR.com in Australia have contributed significantly to AoM’s strong growth.
Today’s announcement follows several new contracts signed in Australia since the start of the new financial year, including a $130,000 12-month deal signed with the Department of Defence plus six other new clients with combined lifetime value of the contracts expected to exceed $600,000.