Thinkific Cuts 30% of Staff in Shift Toward Enterprise Market
AI-generated image · Bay Street Wire
The Vancouver-based course creation platform is eliminating SMB-focused roles to prioritize mid-market and enterprise contracts.
Thinkific is restructuring its global workforce, eliminating 96 positions in a move to pivot away from small and medium-sized business (SMB) customers. According to reporting from BetaKit, CEO Greg Smith confirmed the layoffs represent a 30% reduction in staff.
Smith told BetaKit that the company decided to focus exclusively on enterprise and mid-market customers because the legacy SMB segment is no longer showing the same growth trajectory. While the cuts affected most departments, Smith noted that customer-serving teams saw less impact. He emphasized that the reorganization was driven by strategy rather than AI or cost-cutting, citing "consistent proof" that the shift toward larger deals is working. Thinkific recently added a top-20 American bank and one of the world's largest media companies to its client list, which already includes Nasdaq, GoDaddy, and the University of Oxford.
Financially, Thinkific expects the restructuring to cost approximately $5 million USD ($7 million CAD), but it projects the move will generate roughly $19 million USD in gross annualized cost savings. Following the announcement, investors responded positively; BetaKit reported that Thinkific ($THNC) shares on the Toronto Stock Exchange rose 70%, climbing from $1.20 CAD to $2.10 CAD.