MINDBODY, San Luis Obispo, California, has acquired Lymber Wellness for an undisclosed amount, according to an announcement Tuesday from MINDBODY.
Lymber Wellness is an early-stage technology company specializing in breakthrough yield management solutions for class and appointment-based businesses that will add a dynamic pricing engine to the product platform of MINDBODY, a provider of cloud-based business management software for the wellness services industry.
Built on MINDBODY's API platform, Lymber's technology enables business owners to set dynamic pricing parameters for class and appointment sessions. The technology identifies open class and appointment inventory, and it automatically adjusts session prices in real time to match supply and demand.
Similar to yield management systems found in the hospitality and travel industries, automated dynamic pricing enables wellness business owners to increase class and appointment sales without degrading their existing full-price paying customer base, according to MINDBODY's announcement. The net effect is to enhance the business' revenue and profitability, while providing a broader audience of price-sensitive wellness seekers with more affordable options.
"The Lymber team has created a breakthrough technology addressing the holy grail of our industry – yield management," said Rick Stollmeyer, MINDBODY CEO and co-founder. "By embedding this technology into our business software, consumer apps and the MINDBODY Network, we intend to enable our subscribers to better achieve their business goals by more effectively selling the millions of available classes and appointments they offer each day. This is a win-win for wellness business owners, practitioners and consumers everywhere, and a huge step forward in our mission of creating a global wellness services marketplace."
Deep integration of Lymber's technology into the MINDBODY platform will begin immediately, with initial rollout expected in the second half of 2017.
MINDBODY reported 2016 revenue of $139 million, a 37 percent increase from 2015. Stollmeyer attributed the growth in part to a number of partnerships that the company entered into in 2016, include a partnership with Google to help users book classes directly via Google Maps.