The leading membership to the fitness network, ClassPass has raised $70 million in its Series C round of funding. The round was led by Temasek, along with its existing investors Acequia Capital, CRV, General Catalyst, GV, M13 and Thrive. This is the company’s largest round of funding till date. The company claims itself to be world’s largest fitness network.
On the investment, Investor Adam Valkin, Managing Director at General Catalyst, said:
Group fitness has become a social phenomenon in the U.S. and increasingly internationally as well. ClassPass has emerged as the leading platform connecting us to those experiences. This financing round will enable us to expand our geographic footprint and widen our product offering to meet the needs of even more fitness enthusiasts.
Founded in 2013, the company connects members to a variety of fitness experiences, including yoga, cycling, pilates, barre, running, strength training, dance, sports, videos and more. The company claims to have over 8,500 partners in 39 cities worldwide. The company is also recognized as one of Forbes’s Next Billion Dollar Startups. The venture leverages proprietary technology to dynamically merchandise and surface over a million fitness classes for a seamless booking experience that facilitates discovery.
On the development, Fritz Lanman, CEO of ClassPass, said:
I’m looking forward to using this new injection of funds to build on our momentum and to further deepen the technical sophistication of our platform. This year we’re focused on improving our customer and partner experiences while expanding into new fitness categories and audiences
He further added that:
We’re aiming to become the ultimate destination for all things fitness, and this financing will allow us to accelerate our investments in market expansion and product innovation while better curating customer recommendations and increasing partner revenue
The company claims to have doubled its member base in the past year, starting off 2017 with the strongest usage and acquisition quarter to date. The company claims to have faced a pace in their growth and has also made key executive and board appointments with pedigrees from world-class marketplace companies such as Amazon, Expedia, Priceline, Porch, and Microsoft.
Commenting on the company, Payal Kadakia, Founder, and Executive Chairman, said:
The acceleration we’ve seen this year is validation that our new plan offerings and recently rolled out product features have incredible traction and engagement. With this new round of funding, our potential is endless as we reinvest in our core product and continue to further innovate on how we motivate people to be active
The platform is now introducing new users to fitness by merchandising and surfacing over one million classes available on the platform to the benefit of both its members and partners. Based on evolving market trends and opportunities, The company is further investing in innovative technology and infrastructure while expanding its total addressable market.
With the recent roll out of social features, video on demand and the ability to return to favorite studios more often, the company will continue to launch inspiring products, doubling-down on sophisticated technology with the goal of connecting members to a broader range of fitness activities that align with their varied needs and goals. The company claims to have reached over 35 million reservations till date.
The company is expected to use the financing to fuel their growth and also will invest in product innovation. The company is also planning to expand its operations.