Y#nbsp;Combinator’s Demo Day is#nbsp;a#nbsp;key soirée on#nbsp;the startup calendar. This year, however, instead of#nbsp;a#nbsp;packed room replete with short pitches and lackluster catering, Demo Day has gone virtual. Even more, it#nbsp;was moved up#nbsp;by a#nbsp;week, pushing the public debut of#nbsp;a#nbsp;host of#nbsp;companies to#nbsp;this coming Monday.
TechCrunch will be#nbsp;covering it#nbsp;closely, so#nbsp;make sure to#nbsp;stick around the site for notes and interviews. But who wants to#nbsp;wait that long? I’ve gotten to#nbsp;know one of#nbsp;the pitching startups, FitnessAI, over the past few weeks. Let’s take a#nbsp;look at#nbsp;its business.
FitnessAI
FitnessAI is#nbsp;a#nbsp;mobile application that helps users lift weights, helping them set new goals, gain strength over time and avoid frustration while dodging burnout.
The company was founded by Jake Mor in#nbsp;2019, leveraging a#nbsp;workout data set that Mor had previously collected. Mor told TechCrunch that in#nbsp;college he#nbsp;built a#nbsp;tool called Lift Log (you can find it#nbsp;on#nbsp;the App Store here). That app was "just a#nbsp;very simple weightlifting tracking tool," Mor said, but "over the course of#nbsp;three years over 40,000 users logged 6 million workouts."
That huge set of#nbsp;workout data points helped Mor construct FitnessAI’s core weight-lifting algorithm.
Peering through his mountain of#nbsp;data, Mor said that he#nbsp;was able to#nbsp;discern "the perfect rate of#nbsp;progression for each exercise." Regular progression isn’t a#nbsp;nice to#nbsp;have, according to#nbsp;Mor, but a#nbsp;key way to#nbsp;keep people in#nbsp;the gym (and using his service), saying that he’s found that breaking personal records "makes working out a#nbsp;little bit more addicting, and more motivating to#nbsp;keep going back to#nbsp;the gym."
But data isn’t the full story to#nbsp;FitnessAI, despite it#nbsp;featuring "AI" in#nbsp;its name. During the life of#nbsp;his company, Mor found that a#nbsp;human touch was key to#nbsp;keeping users engaged. He#nbsp;told TechCrunch that lots of#nbsp;folks are self-conscious about going to#nbsp;the gym and working out in#nbsp;its environment, so#nbsp;while he#nbsp;was "so busy working on [the] algorithm" that powers the company’s service, "what users cared most about was tutorials."
The helping hand of#nbsp;crafted guides and human outreach work together with the app’s code to#nbsp;keep people engaged. According to#nbsp;Mor, his team "will reach out to#nbsp;every single user if#nbsp;you don’t go#nbsp;to#nbsp;the gym," adding that "half of#nbsp;fitness#nbsp;AI is#nbsp;the human touch."
So#nbsp;from a#nbsp;data set to#nbsp;an#nbsp;algorithm to#nbsp;a#nbsp;mobile app to#nbsp;a#nbsp;guided weight-lifting experience, FitnessAI has gotten a#nbsp;lot done in#nbsp;the last year or#nbsp;so. And it#nbsp;has done so#nbsp;while largely self-funding.
Money
To#nbsp;date, the company told TechCrunch that it#nbsp;has bootstrapped, apart from its standard Y#nbsp;Combinator check. That said, it’s looking to#nbsp;raise during the Demo Day cycle.
How has it#nbsp;gotten to#nbsp;where it#nbsp;is#nbsp;today on#nbsp;such little capital? By#nbsp;growing its revenues and paying for its own development. Indeed, the mobile app company is#nbsp;now north of $#nbsp;100,000 monthly recurring revenue (MRR), giving it#nbsp;annual recurring revenue (ARR) of#nbsp;more than $#nbsp;1.2 million. For a#nbsp;team of#nbsp;four today that was 1.5 not too long ago, that’s lots of#nbsp;cash.
But with more money comes more opportunities for product improvements, and go-to-market work. What FitnessAI has shown so#nbsp;far is#nbsp;that people need help lifting, and they are willing to#nbsp;pay for assistance. (FitnessAI has a#nbsp;number of#nbsp;price points, but costs a#nbsp;little less than $#nbsp;100 yearly, looking at#nbsp;its App Store listing today.)
More after Demo Day if#nbsp;FitnessAI raises the round it’s hunting for.
Published by TechCrunch#nbsp;— on#nbsp;March 14, 2020