ClassPass has the distinction of being the first startup to be labeled a unicorn in 2020. Unicorns are non-public tech companies that are valued at $1B or more. That valuation is based off it’s latest funding round that brought in an additional $285 million to the studio subscription service which was led by L Catterton and Apax Digital, with some more investment from existing partner Temasek.
“We are motivated by the impact we’ve had on members and partners, including 100 million hours of workouts that have already been booked,” said ClassPass Founder and Chairman Payal Kadakia in a statement about the recent funding. “This investment is a significant milestone that will further our mission to help people stay active and spend their time meaningfully.”
This shouldn’t come as a surprise as the health and wellness market, which covers boutique fitness gyms, yoga studios, day spas and more, are collectively valued at an eye-popping $4.2 trillion growing approximately 13% in the last two years.
ClassPass is certainly aware of the industry trends and looking to lock themselves as the dominant player in the market with much of that funding likely headed to continued aggressive (and costly) user acquisition and marketing.