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Discussion Starter · #1 ·
From Bicycle Retailer
It will be interesting to see what kind of development they do with this.

We already know they are adding treadmill support, which should bring in some runners, and solidify the multi-sport user base.

More maps? More routes? New social features? In game voice chat? More group ride/race features?

Zwift lands $27 million in venture funding | Bicycle Retailer and Industry News

Among the new investors are a Korean bike maker and the co-founder of PayPal.LONG BEACH, Calif. (BRAIN) —

Zwift, the maker of an online cycling platform, has raised an additional $27 million in venture capital funding, according to CrunchBase.com.
The company’s first round (or “Series A”) of venture capital funding includes five investors led by Novotor, a London-based investment firm. Also investing was Max Levchin, the co-founder and former CTO of PayPal and a former chairman of Yelp. The others were the California investment firm Shasta Ventures, the Swiss investment firm Waypoint Capital and Samchuly Co., a Korean bike maker that had sales of about $100 million last year.
According to an article last month in TechCrunch, Zwift plans to use the new funding for product development.
The Japanese gaming company Colopl announced earlier this year that it had invested an undisclosed amount in Zwift.



Zwift was founded by Eric Min, Alarik Myrin, Jon Mayfield and Scott Barger. It claims to have registered about 200,000 users and is expecting more growth when it publicly releases an iOS version soon. A beta iOS version has been available for several months.
 

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I hope they get on-screen, zoom-able GPS. Something that draws your completed route, and gradually deteriorates as you complete your lap. Another pro "mountain" race/stage map would be nice, along with the ability to choose maps (without editing files).
 

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From Bicycle Retailer
It will be interesting to see what kind of development they do with this.

We already know they are adding treadmill support, which should bring in some runners, and solidify the multi-sport user base.

More maps? More routes? New social features? In game voice chat? More group ride/race features?

Zwift lands $27 million in venture funding | Bicycle Retailer and Industry News
I guess this is good. I hope they greatly increase the number of routes. I think I read on the Zwift forum that the have only 6 software developers right now. This should dramatically increase that
 

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Discussion Starter · #10 ·
I vote for picking your own route/course for the day.
this is not a techincal challenge. They made the choice to have all riders on the same scheduled course in order to keep the routes 'populated'. They feel this is important from a social standpoint. If everyone is on the same map, the sprint, lap and KOM jerseys are more competitive, and it gives the feeling of a being around other people, as opposed to playing in a standalone game.

I'm in the IOS test program, and they have recently updated the client to allow you to end a ride without terminating the app, and then re-enter the world, and, as I understand what was published in the patch notes, you can, at least theoretically, enter a different "world" (presumably as time/date changes move to a different map, as I see no option to manually select). I'm hoping that selecting a map won't be far away.
 

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Very worth the time to listen:
https://zwiftcast.com/2016/11/02/episode-13-zwiftcast-special-eric-min/

Includes lots of direct plans and hints at their direction.
I was thinking about this some more and I am confused on the business case that would prompt investors to pony up $27M. If I had to guess, Zwift probably has a few thousand subscribers (let's say 10,000). At $120 a year that is only $1.2M a year revenue. I can understand adding runners as that is probably a bigger market, but I can't imagine that Zwift could increase the number of cyclists by an order of magnitude. Those folks that invested certainly expect to make a profit but from where?
 

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They have 200,000 subscribers, but do not confirm how many are paying. What I'm confused about is how they need (70) employees, and of those, there are only supposedly (6) developers? The other question is how many paying customers will pay for the full year, vs. "just the winter"? Although I can see people living in larger cities wanting to be able to ride Watopia type maps year round.
 

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They have 200,000 subscribers, but do not confirm how many are paying. What I'm confused about is how they need (70) employees, and of those, there are only supposedly (6) developers? The other question is how many paying customers will pay for the full year, vs. "just the winter"? Although I can see people living in larger cities wanting to be able to ride Watopia type maps year round.
Colnago, curious as to where you found that number? There must be a large percent of subscribers that use it infrequently because its rare to see more than a 1000 riders online. I keep my subscription going all year because its cheap, but if they had an option to suspend it I am sure many folks would take advantage of that
 

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200,000 subscriber number is from previous articles, along with attached article in first post in this thread. Users can cancel at any time, and the account is supposedly saved if you rejoin. I thought there was a "prepay" plan, based on wording on the site, that was cheaper than "month to month", but I couldn't find it.

Also, keep in mind that people found out how to ride other maps...and not everyone rides everyday, or goes hard in one ride like this:

 

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I missed that number in the article. I still find it hard to believe that there are that many active users but maybe it like all those people that sign up fof gym memberships and never go
 

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200,000 is the number of total accounts, NOT PAID SUBSCRIBERS.

They have stated it is less than the 200,000 number, but won't state the exact amount. Speculation ranges from 50%-70% of that max number.
 

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Discussion Starter · #18 ·
It doesn't matter how many subscribers, or accounts, or whatever. What matters is that some investors believe there is enough potential there to invest a lot of money in it.
 

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Ok...but was anyone disputing that?
Just clarifying because your original statement "200,000 subscribers" implies "payed" even though you mention that later in that sentence.

"Accounts created" and "paid subscribers" are very different groups in Zwift business terms.

"Accounts created": Anyone with an email can create an account, and even ride 30 miles for free. The account is not deleted if they choose not to pay and subscribe. Many people pay for only a few months and deactivate payment for all other months.

Zwift keeps the account and all your accumulated stats for when you return with payment again. So, at any time there are accounts that never paid, some deactivated and plenty of active ones.

Maybe I'm being overly semantic, but I am trying to be clear since the 200k number got repeated as "subscribers".

Edited above for clarity and more detail.
 

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It doesn't matter how many subscribers, or accounts, or whatever. What matters is that some investors believe there is enough potential there to invest a lot of money in it.
The number of paid subscribers may not matter much now, but at some point, they need enough to make a profit and sustain whatever business model they have in mind.

Many of these ventures are forecast to lose money for years at a time initially, but that is not possible forever. So the ultimate success and continuation of the product/service hinges on how well they build the user base.

Their plan to branch out into different sports (running, MTB, other exercise equipment?) is necessary to grow the paid user base enough to keep it operating.
 
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