obé Fitness Raises $15M to Revolutionize Home Workouts

Obé Fitness and the Concept of "Entertrainment"

The co-founders and co-CEOs of Obé Fitness, Mark Mullett and Ashley Mills, frequently utilize the term “entertrainment” to describe their approach. This isn't a reference to the Ohio-based amusement park known for its extensive train display, but rather a blended word, similar to infotainment or webinar, commonly used within the industry.

Differentiating Through Engagement

Mills articulates that “entertrainment” represents the company’s primary distinction in a competitive market. It signifies the intersection of entertainment and fitness. A crucial element is the selection of instructors who not only deliver effective workouts but also possess a captivating presence. They must have the capacity to connect with viewers and evoke emotion even while exercising remotely.

Building a Network of Influencers

Obé Fitness has been actively cultivating relationships with prominent influencers. Notable figures such as Kelly Ripa, Kate Hudson, and Tiffany Haddish have shown support, with Haddish contributing to the recently announced $15 million Series A funding round.

Strategic Use of Capital

According to Mullett, the newly acquired capital will primarily be allocated to expanding the team and increasing brand awareness through key business development initiatives. In the current environment, where numerous home workout options are available, securing resources for growth is paramount. This funding aims to maximize Obé’s reach and visibility.

Investors and Partnerships

The funding round was spearheaded by CAVU Venture Partners and included investments from Athleta, Samsung Next, Wheelhouse Entertainment, and WW International, Inc. Existing investors, including Cassius Ventures, Ludlow Ventures, Harris Blitzer Sports Entertainment, and BDMI, also participated.

Expanding Platform Accessibility

The diverse group of investors reflects a broad range of interests in the platform. Samsung, for example, currently integrates the Obé platform into its smart TV offerings. The service is also accessible via iOS and Android devices, allowing users to cast content to their television sets.

A Premium Pricing Model

Obé positions itself as a “premium” fitness service. With a monthly subscription cost of $27, it is priced higher than alternatives like Apple Fitness+ ($10/month) or Peloton’s $13 monthly fee. Unlike Peloton, which relies on proprietary equipment, Obé initially launched without requiring any specialized hardware.

Growth and Evolution

Founded in 2018, the company experienced significant user growth during the pandemic. While specific subscriber numbers remain undisclosed, the founders report a fourfold increase in the platform’s user base over the past year.

Responding to the Pandemic

Mullett explains that the company was well-prepared when the pandemic began in March 2020. The team, instructors, and platform interface were all ready to accommodate the surge in new users seeking movement and motivation during a challenging period.

Adapting to User Needs

While initially equipment-free, Obé has gradually introduced optional accessories like free weights and trampolines for its bounce classes. These additions cater to users while remaining suitable for smaller living spaces.