Hey — It's Nico.
This is edition #7 of 💡 Startup Ideas, a weekly newsletter where I research business ideas and share my findings in 20-minute reports.
This free issue contains only one idea. This week's two other ideas are only for Pro members. If you're interested in getting them, subscribe to Startup Ideas Pro for $9/mo (includes access to a member-only community).
Today’s ideas are:
- AR Virtual Gym
- (Pro) AI Media Tool
- (Pro) Fundraising Platform
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💡 Idea #1: AR Virtual Gym
The fusion of technology and fitness has revolutionized the way we approach health and wellness.
As a testament to this evolution, the release of Apple's Vision Pro headset and the visionOS has unleashed a new wave of possibilities in creating augmented reality (AR) experiences.
While gym-based workouts are a tried-and-true method of getting and staying in shape, the traditional gym experience is not without its pitfalls. Challenges range from a lack of personalized guidance and inconvenient schedules to, in some cases, intimidation or discomfort in a public gym environment.
At the same time, home workouts can often lack the motivation, accountability, and community experience offered by a gym. The COVID-19 pandemic further emphasized the need for effective at-home fitness solutions, as gyms worldwide were closed and people sought safe workout options.
In response to these challenges, I propose an augmented reality fitness platform utilizing the capabilities of Apple's Vision Pro headset. This would be a solution similar to Peloton's offerings, but taken to the next level with the immersive and interactive nature of augmented reality.
The proposed platform will offer virtual fitness classes, real-time leaderboards, community interaction features, both live and on-demand classes, and more.
By leveraging advanced technology and a user-centered approach, the app will offer a comprehensive, engaging, and convenient fitness experience, right in the user's home.
The platform aims to motivate users towards regular exercise, provide personalized guidance to help them reach their fitness goals, and foster a sense of community and social engagement that surpasses traditional home workouts and even those offered in-person at gyms.
🔎 Market Analysis
Market Background
As we know, new technologies can reshape entire industries, and now there is a new paradigm created by Apple's introduction of the Vision Pro headset. This device signifies Apple's first foray into a new product category since the launch of the Apple Watch, which itself successfully linked fitness and technology in new ways.
The Vision Pro headset runs on a new operating system, visionOS, which invites developers to create specific augmented and virtual reality applications, setting the stage for inventive implementations across a variety of sectors.
The fitness industry is one such area that’s currently ripe for transformation. Over time, this sector has seen substantial growth, driven by technological innovations and a shift in consumer habits towards healthier living.
However, there's still a disconnect between traditional gym workouts and home-based fitness routines, presenting an opportunity for a more immersive, engaging, and personalized virtual workout experience.
Our target market includes tech-savvy, fitness-minded individuals who prioritize health, technology, and convenience. These users represent a diverse demographic, from young professionals juggling fitness and demanding careers to older adults looking for an easy and flexible method to stay physically active.
How Big Is This Market?
The global fitness industry is a robust, multi-billion-dollar market showing continued growth year over year.
The global virtual fitness market size alone was estimated at $13.3B in 2022, and is projected to surpass around $187.8B by 2032. This massive market is poised to reach a registered compound annual growth rate (CAGR) of 31.2% from 2023 to 2032.
Simultaneously, the market for AR experiences is blossoming. According to Grand View Research, the global augmented reality market size was valued at $38.56B in 2022 and is expected to grow at a CAGR of 39.8% from 2023 to 2030.
The surge of interest among leading market players, such as Google, Microsoft, Apple, and others, in employing augmented reality in numerous applications is creating new opportunities.
Traditional Fitness Preferences
Traditionally, people have gravitated towards gyms and fitness studios because these venues offer structured workout routines, professional guidance, diverse equipment, and a community of like-minded individuals.
However, these options come with several drawbacks, such as high membership costs, significant time commitments, and the inconvenience of commuting to a physical location.
The shift to at-home workout solutions has been driven by these factors, with digital fitness platforms providing a flexible and cost-effective alternative.
Benefits of this Solution
The AR fitness platform I propose takes the best elements of traditional fitness environments and couples them with the convenience of digital platforms. Here are some of the benefits of using such a solution:
- Increased Motivation: The immersive nature of AR and gamified elements like leaderboards and achievements can significantly boost motivation. Engaging workout environments and interactive classes make each workout session an exciting experience, encouraging users to participate regularly and enjoy their fitness journey.
- Cost Savings: By bringing the gym experience to users' homes, the platform offers significant cost savings. Users can avoid the high costs associated with gym memberships and travel, while still enjoying a high-quality, engaging workout experience.
- Inclusivity and Accessibility: The platform is designed to be inclusive and accessible, offering fitness solutions for various ages, abilities, and fitness levels. With both live and on-demand classes, users can work out at their own pace and convenience, breaking down barriers to fitness.
- Time-Saving: The flexibility of our platform allows users to save time. They can choose when to work out, eliminating time spent commuting to a gym or adjusting to a fitness center's schedule.
Example of Virtual Fitness Experiences
Peloton serves as a powerful example of a successful digital fitness platform. This company revolutionized the industry by offering live, interactive fitness classes that users could join from home.
As of 2023, Peloton's market capitalization stands at $2.87B, illustrating the potential for technology-driven fitness solutions. Their user base's growth and engagement signify the market's appetite for convenient, personalized, and community-based fitness experiences.
However, Peloton's platform is screen-based, limiting the level of immersion it can provide. My proposed solution seeks to go beyond these limitations by introducing AR technology, creating a more interactive and immersive fitness experience.
⚙️ Product
Keep in mind that the documentation regarding visionOS for developers is yet to be released, but here is some information from Apple about how you can prepare to build your own app for the new operating system:
- Learn About visionOS: Familiarize yourself with the visionOS platform and its capabilities. Apple provides best-in-class frameworks and tools for creating spatial experiences. Whether you're planning to develop games, media experiences, SharePlay collaborations, business apps, or update your website to support visionOS, there are resources available, including 46 WWDC23 sessions dedicated to learning about visionOS development, spatial experience design, and testing and tools.
- Obtain the visionOS SDK: Once the visionOS software development kit (SDK) becomes available, download it along with Xcode, the integrated development environment for iOS app development. The SDK will include the necessary APIs and tools for building AR apps for visionOS.
Here is a more in-depth guide on how to prepare for the iOS software development kit coming out soon.
Main Features
- Live AR Fitness Classes: By using the Vision Pro headset's AR capabilities, you can create live fitness classes that are more immersive. Instructors can appear as if they're in the same room as users, guiding them through exercises in real-time. Users can choose from a wide variety of classes — like HIIT, yoga, Pilates, and Boxing — and follow along with professional instructors who demonstrate correct form and technique. The headset's AR technology can also create dynamic and stimulating environments to enhance the workout experience. For example, a yoga class could take place on a peaceful beach, while a spinning class could occur on a scenic mountain trail.
- Real-Time Leaderboards: Real-time leaderboards are a powerful tool for motivation and engagement. During live classes, users can see their performance metrics, such as reps completed, calories burned, or effort level compared to others in the same class. This creates friendly competition and can push users to work harder to improve their rank. Leaderboards can also be customized based on users' preferences, so they only compete with others who have similar fitness levels or goals.
- Community Interaction: Community interaction can significantly enhance the social aspect of fitness. During live classes, users can interact with each other and the instructor using the headset's communication features. This could include sending motivational messages or cheering each other on. Post-class, users can continue their interactions on a community forum where they can share workout tips, progress, and encouragement.
- Scheduled and On-Demand Classes: Having a well-planned schedule of live classes gives users something to look forward to and plan their day around. The schedule can be tailored to accommodate different time zones and work schedules, ensuring everyone has a chance to participate in live classes. After the live class has ended, it can be added to an on-demand library. This allows users who couldn't attend the live session, or those who want to repeat the class, to access it whenever they want. The on-demand library should be well-organized and searchable, allowing users to easily find classes that meet their interests and fitness goals.
🆚 Competitors
It's worth noting that, with the newness of Apple's visionOS development environment and the lack of released documentation, there are currently no direct competitors specific to visionOS.
Nevertheless, examining Meta's AR experiences and Peloton's offerings can provide valuable insights into the broader AR and virtual fitness landscape.
Peloton’s Virtual Fitness Offerings
Having raised $1.9B in funding and with an estimated revenue of $792.7M, Peloton is a prominent player in the virtual fitness industry. The company offers a wide range of proprietary exercise equipment and a vast digital content library.
Peloton’s exercise equipment includes stationary bikes, treadmills, and strength training equipment, all designed to deliver a seamless and immersive fitness experience that ties in with their thousands of live and on-demand workout classes spanning various disciplines.
For example, Peloton provides users with access to expert-led sessions in cycling, running, yoga, and more.
The instructors at Peloton are highly skilled and charismatic, and professionally trained to create engaging and motivating experiences for users as they strive to reach their fitness goals.
Meta’s AR Apps
Litesport (formerly Liteboxer), which has raised $37.4M in funding, is a trainer-led VR fitness brand that transitioned from boxing to total bodyweight workouts.
The service’s rebranding showcases its creators’ commitment to expanding their offerings and attracting a wider audience.
Litesport incorporates strength training using dumbbells or weights, offering a diverse range of workouts and personalized trainer guidance through virtual reality.
FitXR, which has raised $27.8M in funding, offers a diverse range of home workouts in VR, including boxing, combat, HIIT, dancing, Pilates, and Barre.
With immersive studios, progress tracking through a smartphone app, and multiplayer voice chat, FitXR provides users with an engaging fitness experience. The app’s inclusion of low-impact workout options like Pilates and Barre diversifies it from some competitors.
Where My Solution Fits In
The proposed app takes inspiration from its competitors in the AR fitness market, while also establishing its unique value proposition.
Drawing from the success of Peloton, it recognizes the importance of offering a wide variety of workout options and a sense of community.
Similarly, it looks at Litesport's focus on trainer-led VR fitness and FitXR's immersive studio experiences.
By leveraging the strengths of its competitors, the augmented reality fitness app combines these elements with its own innovations to create a distinctive fitness platform that offers an engaging and immersive AR fitness experience.
💵 Pricing
Peloton offers three membership options, starting with the Peloton App Free membership, which, like the name implies, is free of charge. This free subscription provides access to 50 classes across 12 exercise types, excluding certain boot camp classes.
The Peloton App One membership, priced at $12.99 per month or $129 annually, offers thousands of on-demand classes, three equipment-based classes per month, live classes, challenges, programs, and collections.
The premium tier, Peloton App Plus, costs $24 per month or $240 annually, and provides unlimited access to all classes except for specific options tied to Peloton's hardware.
Litesport offers an app subscription priced at $18.99 per month, granting users access to a wide range of fitness content. With this single Litesport subscription, users have the opportunity to experience over 1,000 boxing, boot camp, and strength training workouts.
FitXR offers a seven-day free trial that allows users to explore the app before committing to a subscription. The app subscription itself is priced affordably at just $10 per month, making it accessible to a wide range of fitness enthusiasts.
Suggested Pricing
- Free Tier: This complimentary membership offers access to a library of 50 classes across diverse exercise types, with the exception of certain advanced AR experiences. It's a great way to explore the platform and see firsthand the transformative power of AR fitness.
- Premium Tier: Priced at $14.99 per month or $149 annually, this level offers a more extensive on-demand class library and includes live classes, challenges, and community features. This tier also allows members to participate in five multiplayer sessions per month, bringing the social gym experience right to their homes.
- Premium Plus Tier: At $29 per month or $290 annually, the premium tier provides unlimited access to all classes, advanced AR experiences, and unlimited multiplayer sessions. It also includes priority access to new features and classes, ensuring that members at this level are always at the cutting edge of AR fitness.
📈 Customer Acquisition Channels
App Store Optimization
ASO is the process of optimizing your app's listing on the App Store to improve its visibility in search results. This strategy is the most important, but also the easiest, since there won’t be too much competition to start with.
Best practices for ASO include choosing the right app name and keywords, using a compelling app icon, creating engaging screenshots and app previews, and encouraging positive user reviews.
Given the innovative nature of our platform, staying ahead of trends and frequently updating our app with new features and improvements can also boost our visibility and attractiveness.
Influencer Marketing
Influencer marketing is a powerful tool in the fitness industry, offering the potential for substantial growth and heightened user engagement when executed effectively.
A notable example of this is Peloton's multi-year collaboration with globally renowned artist Beyonce. The partnership, which featured themed workouts, was an instant success, propelling Peloton's stock up by 8.6% on the day of the announcement.
While this is admittedly an extreme example that not every company should necessarily aspire to, it's worth noting that the power of influencer marketing isn't limited to partnerships with international superstars.
Smaller influencers, or "micro-influencers," can also provide significant engagement and exposure for a brand, particularly if they have a highly engaged, niche audience. The key to successful influencer marketing is finding partners whose values, audience, and style align with your brand.
Partnerships
Partnering with other businesses can help extend our reach to new potential users. For this, it's important to choose partners whose products or services complement ours, and whose audience overlaps with our target market, so fitness businesses and fitness-adjacent brands would be ideal.
An example of this is FitXR and Myprotein's "Power Your Potential Challenge" campaign, where users completed fitness classes to earn discounts and a chance to win merchandise.
Furthermore, Myprotein offered a free FitXR trial, providing an immersive VR fitness experience to its customers and promoting physical activity. Both companies also ran a social media competition, further engaging users and attracting new potential customers.
💭 Conclusion
The constantly evolving ability to mix fitness and technology opens up a world of new opportunities for startups.
By harnessing the power of Apple's Vision Pro headset and its augmented reality capabilities, we have the potential to make home workouts more engaging, immersive, and social through an AR gym app.
The fitness market, as demonstrated by the success of companies like Peloton, is ripe for innovative solutions that meet the evolving needs of consumers who are tired of traditional workouts.
With Apple's Vision Pro headset being a new entry in the market, we are uniquely positioned to leverage first-mover advantage, which could prove instrumental in shaping the direction of AR-enabled fitness experiences.
By integrating live fitness classes, real-time leaderboards, and community interaction, our platform is designed to provide an unparalleled fitness experience.
Through careful consideration of pricing strategies and customer acquisition channels, the aim is to offer substantial value to customers and reach a broad audience through effective and relevant channels.
💡 (Pro) Idea #2: AI Media Tool
This is an AI tool oriented to content creators and media businesses. Some details:
- It's in a fast-growing sector.
- It has no direct competitors.
- It integrates with other tools being used by thousands of users.
- Customers may pay $50-$100/mo.
💡 (Pro) Idea #3: Fundraising Platform
This is a platform idea solving a specific problem startups face when fundraising. Some details:
- It's in a huge market (+$200B).
- It's relatively easy to build it, even with no-code tools.
- Has some weak competitors.
- You can charge +$100/month.
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- 🔎 Market Analysis
- ⚙️ Product
- 🆚 Competitors
- 💵 Pricing
- 📈 Customer Acquisition Channels
- 💭 Conclusion
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Cheers,
Nico
