ClassPass, the subscription service that for fitness classes and gyms, has today announced the close of a $70 million Series C money round is presided over by Temasek. Existing investors such as Acequia Capital, CRV, General Catalyst, GV, M13 and Thrive likewise participated in the round.
According to the press release, ClassPass has doubled its member base in the past time and has now grown to 35 million reservations to date.
ClassPass operates by re-tooling the fitness business modeling. Consumers pay ClassPass for a monthly membership to the service, which gets them access to hundreds of shop fitness classes and gym hour. Plus, it makes customers the added convenience of searching for and booking grades through a mobile app.
While the service has grown speedily, thats not to say that ClassPass has had an easy journey.
The original iteration of the company, Classtivity, struggled to survive, and the first two years of the company were spent discovering. Eventually, the team realised that simply rendering breakthrough and booking didnt necessarily lead to transition. With the ClassPass subscription model, nonetheless, the company has continued to thrive.
That told, last year ClassPass was forced to raise prices to equal out the margins across all of its users previously, low-usage users were subsidizing high-usage unlimited users, stimulating it difficult to continue entering new markets in a sustainably healthy way.
Though the cost hike expense the company ten percent of its users, it seems to have worked out well for the company, which has been growing its user numbers and its usage numbers ever since.
The company has also made recent leadership changes, appointing investor Fritz Lanman to CEO and moving former CEO and cofounder Payal Kadakia to Chairman of the Board.
The release is to say that ClassPass will be using this funding to invest in product and expand operations.
This latest round brings ClassPasss total funding to $154 million in total.
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