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VTubers, living building materials, + 2 more fast-growing trends

Exploding Topics scours the internet to find emerging trends before they take off.

Here are four of the latest developments, along with some insights and analysis to help you take advantage.

1. VTuber

A VTuber describes a YouTube creator who uses an avatar in place of actually appearing on camera. (VTuber is short for “virtual YouTuber.”)

Typically depicted in anime style, VTubers are currently most common on Japanese-speaking channels. Kizuna AI, often considered the first modern VTuber, has more than 10M subscribers across various social platforms.

KizunaAI and other popular VTubers often utilize high-tech production equipment, including full body-motion rigs.

For newer channels, a webcam and basic face-tracking software can suffice. VTuber Maker, a dedicated VTuber tool on Steam, has over 400 reviews.

And the trend is spreading from Japan. A YouTube survey found that 47% of all viewers worldwide are open to watching content from fictional or virtual characters.

Activ8, the creators of Kizuna AI, raised a $8.7M (1B yen) Series C round last year for global expansion of its virtual YouTubers.

And COVER, a VTuber talent agency responsible for 16 of the top 20 VTuber channels by reach, has raised $8.7M to date.

What’s next:

VTubers are part of the virtual creators meta trend.

Alongside VTubers, virtual influencers are the main players in this space.

A HypeAuditor study found that virtual influencers get nearly 3 times more engagement than traditional influencers.

Lil Miquela has 3M followers on Instagram. Unlike most VTubers, she is photorealistic. And she’s starred in campaigns alongside Bella Hadid, Millie Bobby Brown and Steve Aoki.

Brud, the company behind Lil Miquela, was acquired by Dapper Labs in October.

Other fast-growing topics in the meta trend include Avatarify, TokkingHeads and VSeeFace.

2. Blazepod

BlazePod is a light-based reflex training system.

They essentially sell kits that contain 12 “pods”. Each pod has sensors, embedded lighting, and app connectivity.

BlazePod generated $10M in revenue in their first 18 months.

And the Israeli-based startup has raised $9.8M in total funding, including a $8.5M Series A in December.

What’s next:

BlazePod is a part of the DTC fitness equipment meta trend.

81% of millennials report that they prefer working out at home.

Connected fitness equipment (Peloton, CLMBR, etc.) now makes up 7.5% of the fitness equipment category. Up from only 2.9% in 2015.

Here are examples of fast-growing DTC fitness brands:

Zeno Gym: Resistance cable bench and squat rack that includes access to a Peloton-esque subscription workout library.

MAXPRO Fitness: Smart cable gym including a cable machine, a foldable bench, and fitness accessories.

BALA: Raised $900K in a seed funding round announced in March.

3. OFFEO

OFFEO is a SaaS product designed for generating large quantities of Facebook and Instagram video ads.

What makes OFFE somewhat unique is their AI feature that automatically pulls images from a website. And auto-generates videos using those images.

Bootstrapped OFFEO generated $600K in revenue from apx. 3,550 customers last year.

What’s next:

OFFEO is a part of the “semi-automated video creation” meta trend.

86% of businesses use video as a marketing tool. That’s up from 61% in 2016.

Here are a few fast-growing SaaS startups that help automate video creation:

Typito: Online tool for creating text-focused videos. Currently at $4.5M ARR.

InVideo: Template-focused video editor that’s raised $17.5M in funding to date.

Animaker: Tool for creating animated videos with a library of over 100M assets.

4. Living building material

Living building material is construction material designed to mimic live organisms in some way (for example, by self-repairing).

Often, actual living bacteria or fungi are added to the materials to achieve this effect.

And there’s even early research looking into using bacteria to create building materials from scratch.

In addition to the practical benefits, like self-repair or self-replication, many of the organic processes in living building materials actually draw in CO2 from the atmosphere. By contrast, traditional concrete is responsible for up to 8% of global emissions.

But the technology is still largely at an experimental stage. One major hurdle is keeping microorganisms alive in inhospitable environments like concrete. Even the most successful projects only see a survival rate of about 9-14% of bacterial colonies after 30 days.

Evocative Design is one of the companies at the forefront of this fledgling field. They've raised a total of $90.1M, including a $60M Series D round in March.

What’s next:

Living building material is part of the construction innovation meta trend.

The construction industry as a whole is forecast to be worth $10.5T by 2023.

And technology is starting to legitimately impact many areas of the field. For example, there’s been strong search growth for construction project management software and modular construction.

Rebartek tackles the $160B rebar (steel reinforcement) market. It uses robotics to offer “rebar as a service”, capable of reducing labor cost and installation time by 90%.

Other topics in the meta trend showing strong growth include building information modeling, Plannerly and Touchplan.

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