Freeletics, the AI-powered fitness coaching app, announced the closing of its $25M Series B funding round.
This latest round is led by U.S.-based JAZZ Venture Partners and Causeway Media Partners, with support from KKCG. The funds will be used to develop new technologies, expand the company’s global footprint and build new business verticals.
“We are very grateful for our success and the support of our fantastic community over recent months and years. With our current trajectory and strong growth efficiency, this funding will drive us through the next turning point in our journey, fueling major product innovations as well as global expansion, especially in markets such as the U.S.,” said Freeletics CEO Daniel Sobhani. “Now more than ever with the effects of COVID-19, it’s crucial that we provide the most holistic and personalized solution we can to help people become their best selves physically, mentally and emotionally.”
According to Freeletics, it is on track to double its new customer revenue this year and is establishing a stronger presence in the U.S. market. In the last 18 months, the company said it has:
- Doubled its subscribers to more than 600,000;
- Tripled daily active users year-over-year;
- Seen more than 200 million workouts completed within the app;
- Introduced product enhancements such as mindset coaching with educational and mindful audio courses, running workouts, Apple Watch and Spotify integrations and more flexible and customizable personal coaching options to fit users’ needs.
“While a relatively new player in the U.S., Freeletics is a clear global leader in at-home fitness, and we believe they are perfectly positioned to continue leading the fitness industry into the future post-COVID-19 in the U.S. market,” said investor and lead John Spinale, managing partner at JAZZ Venture Partners. “Not only is their hyper-personalized digital fitness coaching based on the most advanced AI technology in the industry, but they also take a completely holistic approach to long-term behavior change. In an ocean of unpersonalized fitness streaming concepts, they offer a sophisticated and adaptive personal coach for every aspect of performance and well-being—whether mental or physical. This is a promising indication of what is still to come.”
“Despite the significant user success we’re already seeing, we are just at the beginning of a new industry paradigm,” commented Sobhani. “Our vision at Freeletics is to provide a life-changing experience at scale, delivering our users ten times the long-term behavior change typically achieved by people starting a new fitness regime. To achieve this, we have to think unconventionally and take big steps, expanding into further markets and introducing new verticals. The next few years are definitely going to be very interesting for the industry.”
Photo courtesy Freeletics