In Peloton competitors with gyms, health app Strava might win

More than 400 hardware devices can connect to Strava, including fitness and fitness equipment, smartwatches and bike computers, and the company claims it uploaded more than 1.1 billion activities to its platform in the past year.

diet

When this year’s Tour de France left the city of Brest on June 26th, most of the 184 professional cyclists were registered with Strava.

So do millions of recreational athletes all over the world, from runners in Rio to swimmers in Switzerland to mountaineers in Montana. Legions of Strava users were also inside Peloton Ergometers and treadmills, Zwift “smart” trainers and NordicTrack rowing machines.

The Strava mobile fitness app tracks more than 30 different activities in real time and loads speed, distance, cadence and other performance data onto a platform on which 86 million users analyze their own workouts, share and compare them with other users and send them to friendly people Challenges can take part with friends and strangers. Its popularity soared amid the pandemic when gyms closed and home and outdoor workouts boomed.

“We have seen tremendous growth in our community,” said Michael Horvath, Strava chief executive officer. “There were months in 2020 when we had three million new registrants and we are now at around two million per month, double what it was before Covid. This means that Strava motivates people, helps them get through this time and gives them the opportunity to get in touch with other people. “

From the Harvard Row team to a $ 1.5 billion startup valuation

Strava, a privately held company, was founded in 2009 in San Francisco by Horvath and Mark Gainey, former Harvard rowing teammates who now serve as CEO and Executive Chairman respectively. The company has approximately 270 employees and additional offices in Denver, Bristol, England, and Dublin, Ireland – the overseas locations as more than 80% of Strava users are outside of the United States

More than 95% of these 86 million users access Strava for free; the rest pays a monthly subscription fee of $ 5 for additional features. While Strava is not reporting any revenue, analytics firm Sensor Tower estimates it generated $ 72 million last year, up from $ 60 million in 2019, ostensibly from data sales, partner rights, challenges, and subscriptions sponsor.

Strava raised $ 110 million in a Series F round last fall, led by TCV and Sequoia, on new funding valued at more than $ 1.5 billion. The founders said it wasn’t a profitable company yet.

Connection with all types of workouts

More than 400 hardware devices can be connected to Strava, including home fitness and fitness equipment, smartwatches and bike computers. The company said it uploaded more than 1.1 billion activities to its platform in the past year, up 33% from 2019. This is in line with the surge in fitness hardware sales from companies like Peloton.

“Covid has shown the importance of physical activity to people’s lives,” said Tom Cove, president and CEO of the Sports and Fitness Industry Association in Washington, DC, which represents manufacturers and retailers.

At the last count, Horvath said “nearly 50 million peloton activities have been uploaded to Strava,” acknowledging the synergy of his partnerships with equipment manufacturers. “As the hub of the networked fitness landscape, we offer athletes a place where they can keep in touch with their community after training.”

The continued success of fitness products seems a good harbinger for Strava.

Health and fitness equipment sales more than doubled to $ 2.3 billion from March to October last year, according to retail research firm NPD Group. Stationary bike sales almost tripled, while treadmill sales increased 135%. “For the first three months of this year, retail sales were up 30% over the same period last year,” said Matt Powell, vice president and senior industry advisor, NPD. However, sales in March remained unchanged compared to the same month last year, which he proxy for the rest of the year 2021.

Peloton in particular has grown accordingly. Revenue for fiscal 2020, which ended June 30, rose nearly 100% year-over-year to $ 1.8 billion, and revenue from management projects is set to grow up to $ 4 billion in fiscal 2021 – itself under consideration of Peloton expects a $ 165 million loss for its treadmill recall. As of March 31, the New York-based company reported more than 54 million members, each with a monthly subscription fee of either $ 12.99 for digital access to live and on-demand courses or $ 39 for an expanded suite of features will pay between $ 1,895 and $ 2,345 for a Peloton bike or up to $ 4,295 for their treadmill, which is currently not available in the US as a company is working on a solution to the security problems.

Softening of the peloton demand

That demand could fade as personal workouts and gyms reopen. Wedbush Securities downgraded Peloton last week, claiming the company had seen a decline in customer loyalty based on analysis of trends in social media and internet search.

“PTON is now entering the next stage in its growth story, which in a post-pandemic era requires the company to generate its own momentum through clever marketing and compelling new products,” the Wedbush analysts write in their note.

Peloton declined to comment on this article.

The connectivity to Strava has helped Zwift, an online game-like cycling platform that allows subscribers who pay $ 14.99 a month to create animated avatars of themselves that ride from inside the virtual world. Typically, a real cyclist attaches the back end of his racing bike to a digitally controlled smart trainer that is connected to an app that simulates his avatar driving an actual route – from a local favorite to a mountain stage in the tour – seen on one Monitor, tablet or smartphone. The trainer automatically increases and decreases resistance to mimic the altitude of the route. About 75% of the Zwifters upload their driving data to Strava and integrate them into the functions.

My theory is that if you are spending a few thousand dollars buying a piece of equipment for your home, it is very unlikely that you will pay $ 50 a month to go to the gym and exercise on the same piece of equipment.

Matt Powell, Vice President and Senior Industry Advisor for NPD

Since Zwift was founded in Long Beach, California in 2014, 3.5 million accounts have been created. The company didn’t release the current number, but said the number doubled in FY2021, which ended in March. Strava said it uploaded 100 million Zwift activities to its platform, including thousands of grueling “Everstings,” a single virtual ride that climbed at least 29,029 feet in total, the height of the mountain. Everest. During the worldwide Covid bans last year, Zwift held a virtual Tour de France with classifications for men and women.

“Zwift is a platform for people to hunt down any carrot they’re looking for,” said Co-Founder and CEO Eric Min. “Our goal is to motivate people to do more.”

While subscriptions “really are where the value lies to us as a company,” Min said, the company is developing its own smart trainers and indoor bikes that are likely to hit the market next year. Zwift won’t be ruling out its existing hardware partners including Wahoo, Elite and Tacx, “but we think we should be the ones who set the bar,” said Min.

Future of Home Fitness When Gyms Reopen

As Covid restrictions continue to relax, people are returning to the gym. In May, gym traffic across the country was back to 83% of January 2020 levels and only 6% lower than the same period in 2019. according to the research results by Jeffries.

But does that mean Zwifters, peloton enthusiasts, and other exercise bikes are losing their mojo and using their equipment as coat hangers? “My theory is that if you are spending a few thousand dollars buying a piece of equipment for your home, it’s very unlikely that you would pay $ 50 a month to go to the gym and work out on the same piece of equipment,” said Powell.

The challenge for the home fitness industry then is to retain its millions of new customers. The key, Powell said, is keeping users connected to the other exerciser’s communities and “improving the experience so people will want to keep using it”.

This is music to Strava’s ears because no matter where people train, the data can be uploaded to their platform.

Despite Strava’s success, the fitness tracking app marketplace remains highly competitive. MyFitnessPal, which was sold by Under armor to the private equity firm Francisco Partners for $ 345 million in October 2020, which had more than 200 million users at the time of the transaction. Under Armor also owns MapMyRun and MapMyRide, which record running and cycling, respectively, while shoe brand Asics owns RunKeeper. Apple and Google have their own health tracking apps that include some physical fitness activities like walking and cycling that are more geared towards casual athletes.

“It’s pretty simple,” said Horvath of Strava’s loyalty strategy. “We are 100% focused on making Strava essential for athletes everywhere. If we do this well, it will fuel our community growth. “

“We believe there are 700 million people in the world who want to wake up and be active every day. We haven’t met them all yet, but we’re trying, ”he said.

COVID-19: Restrictions On Gyms, On line casino, Leisure In New York To Be Lifted

New York is lifting some of its COVID-19 restrictions and curfews as the state continues to recover from the virus’ winter flood.

Governor Andrew Cuomo announced on Wednesday March 17 that the state is lifting restrictions on its five remaining COVID-19 “yellow zone” clusters and allowing companies to continue opening.

Starting Monday, March 22nd, indoor fitness classes with a capacity of 33 percent can reopen nationwide. Health exams and contact information are required when registering. Classes should be scheduled so that there is additional time for cleaning and disinfection between sessions.

The local health departments will be tasked with inspecting the fitness centers within two weeks of the site reopening.

As of Monday, April 5, the curfew currently in force in casinos, cinemas, bowling alleys, billiard halls, fitness studios and fitness centers will be lifted at 11:00 p.m.

The curfew for food and beverage establishments at 11 p.m. and the curfew for events with catering at 12 p.m. remain in effect. Both curfews will be evaluated at the end of April.

“New York is reopening our economy and looking forward to a post-COVID world,” said Cuomo. “We know the vaccine is the weapon that defeats this invisible enemy, and we are getting more gunshots than ever before.”

“As we reopen and more New Yorkers get their vaccines, it’s more important than ever to continue the practices we know about to stop the spread of COVID-19.”

to sign up for Daily Voice’s free daily email and message notifications.

Gyms, indoor leisure reopened Friday, listed here are the principles

For the first time since November 2020, fitness centers and other facilities offering indoor activities were able to open on Friday in countries where there is an extreme risk of the spread of COVID-19.

This includes facilities in Marion, Polk, and Lane counties.

The state published detailed rules for opening in these counties on Friday. Here’s what you need to know.

What’s in the new rules?

Indoor recreational and fitness facilities include gyms, indoor K-12 sports, indoor college sports, fitness organizations, indoor recreational sports, and indoor pools.

Indoor entertainment facilities include aquariums; Indoor theaters, arenas and concert halls; Indoor gardens; Indoor museums and other indoor entertainment activities.

How many people are allowed in?

Facilities 500 square feet or larger can have up to six customers, with no employees. Multi-room facilities can have six customers per room, up to a total of 24.

This number was chosen because it complies with indoor collection guidelines, state health officials said at a news conference on Friday.

Facilities smaller than 500 square meters can have a customer and an employee.

Are there any other rules?

In leisure and fitness facilities, customers are limited to 45 minutes. People from different households must be kept at least 25 feet apart. Eating and drinking is prohibited except for individual water bottles.

Indoor entertainment facilities require that people from different households be kept a minimum of six feet apart. Eating and drinking is prohibited.

More:Oregon’s next phase of COVID-19 vaccination will include approximately 1.2 million people

Both types of devices must ensure that everyone wears a mask unless it is not possible, e.g. B. when swimming or showering. And employees must follow the cleaning protocols.

What about senior centers with fitness facilities?

Senior centers across Oregon will have to remain closed for the time being.

Which counties are affected by the new rules?

The counties with “extreme risk” change every two weeks. Until February 11th they are:

  • baker
  • Benton
  • Clackamas
  • Clatsop
  • Columbia
  • Coos
  • rogue
  • Deschutes
  • Hood River
  • Jackson
  • Jefferson
  • Josephine
  • Klamath
  • roadway
  • Linn
  • bad luck
  • Marion
  • tomorrow
  • Multnomah
  • Polk
  • Umatilla
  • union
  • Wasco
  • Washington
  • Yamhill

Tracy Loew is a reporter for the Statesman Journal. She can be reached at tloew@statesmanjournal.com, 503-399-6779 or on Twitter at @Tracy_Loew. Support local journalism through Subscribe to the Statesman Journal.