NEW YORK, United States — Digital health and wellness app Aaptiv has raised $22 million in Series C funding led by Millennium Technology Value Partners (backer of Spotify, Facebook and Alibaba), with participation from strategic investors including Amazon’s Alexa Fund, Disney and Warner Music Group.
Joining them is 14W, a venture capital firm with a portfolio that includes Glossier, Lyst and Goop. Existing investor Insight Venture Partners also participated in the round, bringing Insight’s total investment in Aaptiv to over $30 million.
“We are honoured to be supported by the world’s leading investment firms and technology companies,” said Ethan Agarwal, Founder and CEO of Aaptiv. “Aaptiv is now uniquely positioned to continue its dominance in the rapidly growing digital wellness content market. This capital – along with the support from our strategic investors – will allow us to continue to improve the world-class product experience we build for our hundreds of thousands of members,” he added.
Launched in 2016, Aaptiv’s audio-guided fitness classes have been streamed more than 14 million times by approximately 200,000 paying members. The startup’s success has attracted over $50m investment from leading venture capital firms and top companies, enabling it to scale rapidly. However, with this latest round, it’s the strategic investors that are likely to hold the most opportunities for the brand.
Speaking to TechCrunch, Agarwal commented on the potential to develop training services that could work with Amazon’s Alexa voice-based assistant and Amazon’s Echo devices. Over time, this could extend to Amazon’s Prime subscription package.
“Connected fitness is emerging as a compelling new domain for consumers,” commented Paul Bernard, Director of Amazon’s Alexa Fund, in a statement. “We’re excited about Aaptiv’s voice-first approach to personal training and look forward to helping them explore innovative ways to bring that experience to Alexa.”
Meanwhile, as part of Disney’s investment, Aaptiv will join its accelerator programme, giving the startup access to a range of The Walt Disney Company’s creative expertise and resources.
Behind the scenes, Aaptiv has revealed that it will also focus on ways to better utilise its data, in order to offer users more personalised and bespoke recommendations.
With such strong backing, “Aaptiv is running toward becoming the next big name in the fitness tech market, due substantially to a rather advanced technology strategy and approach to growth,” said Harley Miller, Vice President, Insight Venture Partners.