motosumo Raises $6M to Compete with Peloton | TechCrunch

Motosumo Secures $6 Million in Series A Funding

Denmark-based Motosumo has successfully raised $6 million in a Series A funding round. The investment was spearheaded by Magenta Partners of London, with participation from existing stakeholders. These funds will be allocated to expanding the company’s network of spin instructors throughout Europe, North America, Asia, and Australia.

Further investment will be directed towards bolstering its technology team and intensifying marketing efforts.

Innovative Cycling Cadence Measurement System

Founded in 2015, this fit-tech startup has pioneered a system for gauging cycling cadence without the need for supplementary sensors. Users simply attach their smartphone or tablet to a stationary bike to receive instantaneous performance feedback.

This eliminates the requirement for costly, connected bikes like those offered by Peloton; simply secure your smartphone and begin cycling on any available exercise bike.

Shifting Focus to Direct-to-Consumer Sales

Initially, the startup concentrated on the B2B market, providing its software to fitness instructors and gyms seeking to enhance spin classes with real-time tracking capabilities. However, Motosumo is now strategically expanding its B2C operations.

This move capitalizes on the growing demand for at-home fitness solutions, driven by the ongoing challenges presented by the coronavirus pandemic to traditional gym environments.

Growth and User Engagement

“We have recently transitioned to our B2C offering, branded as Motosumo,” explains CEO Kresten Juel Jensen to TechCrunch. “On the B2B side, known as Momentum, we currently serve over 25,000 users and surpassed 100,000 downloads in the past year.”

“With the launch of the B2C version, we are making a significant upfront investment in attracting users and converting them into active members.”

“Early performance metrics for our B2C marketing are highly encouraging, with an average session rating of 4.9 out of 5. We anticipate rapid growth in our Motosumo member base.”

Features and Motivational Tools

Motosumo’s mobile-based quantification technology measures cadence, speed, distance, and calorie expenditure. This data is integrated into a cycling training app that features interactive 3D games, team challenges, and global leaderboards to enhance motivation.

Proprietary Technology and Accessibility

“Our core movement technology uniquely positions Motosumo – we empower any bike owner to compete on leaderboards, participate in challenges, and receive guidance from our instructors,” states Jensen.

“We utilize signals from accelerometers and gyroscopes within smartphones or tablets to calculate key cycling metrics, including cadence, calories burned, and distance traveled. We do not rely on proprietary hardware, bike sensors, or heart rate monitors.”

“While these sensors can be connected for additional data, they are not essential. Even users with older spin bikes lacking sensors can participate, climb the leaderboard, and engage with our community. Motosumo’s algorithms are proprietary and refined through machine learning, achieving accuracy comparable to built-in bike sensors – a significant barrier to entry for competitors.”

Live Classes and Competitive Pricing

Motosumo combines its unique tracking technology with a platform that streams a schedule of live spinning classes led by a global network of fitness instructors. Subscription pricing begins at $13 per month, offering unlimited access to content – a price point lower than competitors like Peloton.

Differentiating Factors: Interactivity and Low Latency

Beyond affordability, Motosumo emphasizes interactivity as a key differentiator. The platform boasts a near-zero delay in livestreamed classes, enabling instructors to provide genuinely real-time feedback.

Currently, five coaches are active on the platform, with another five scheduled to join within the next six weeks, according to Jensen.

The Value of a Live Fitness Experience

“The Motosumo live fitness experience is transformative,” Jensen argues. “The live format allows our coaches to personalize workouts, fosters a stronger sense of community, and creates a more interactive experience.”

“Motosumo currently offers over 40 live workouts weekly, a number that will expand alongside our growing team of coaches and member base. Many other platforms experience delays of 15-60 seconds in their live streams. We have relentlessly minimized our delay to just 0.5 seconds, to replicate the authentic studio experience where instructors respond to real-time data and participant interactions.”

“This includes acknowledging ride milestones and providing dynamic feedback – it’s the genuine studio experience we are dedicated to delivering in every aspect.”

Note: This report has been updated to reflect the correct number of Momentum (Motosumo’s B2B tech) users, which is 25,000, not 2,500 as previously reported.