Peloton has announced a comprehensive revamp of its product lineup, aimed at boosting sales ahead of the holiday shopping season. The company has introduced a new commercial equipment line, raised prices, and upgraded features across its machines.
Key Changes in Peloton’s Offerings
The updated product assortment includes significant enhancements. These upgrades feature improved audio, processors, and WiFi capabilities. A standout addition is the AI-powered tracking camera, part of the refreshed Plus line, which also boasts a 360-degree swivel screen and hands-free control.
- AI-powered tracking camera
- 360-degree swivel screen for better accessibility
- Improved audio and WiFi features
- Multi-disciplinary workout approach
Peloton’s CEO, Peter Stern, emphasized the importance of integrating various workout routines. The new items aim to provide a balanced mix of cardio and strength training, as well as incorporating yoga and meditation.
Price Adjustments
As part of the revamp, Peloton has increased prices for its equipment and subscriptions. The price adjustments are significant:
| Item | New Price | Previous Price |
|---|---|---|
| Bike | $1,695 | $1,145 (refurbished) / $1,495 (new) |
| Bike+ | $2,695 | $2,495 |
| Tread | $3,295 | $2,995 |
| Tread+ | $6,695 | $5,995 |
| Row+ | $3,495 | $3,295 |
The All-Access membership fee will rise from $44 to $49.99, while the App subscriptions will see similar price increases.
Commercial Equipment Line Launch
In a strategic move, Peloton is also launching the Peloton Pro Series, which will cater to commercial environments like gyms, hotels, and corporate wellness centers. This is designed to address concerns that existing products may not withstand frequent use.
- Commercial versions of Bike+, Tread+, and Row+
- Target markets include small gyms, hotels, and apartment complexes
Dion Camp Sanders, Chief Commercial Officer at Peloton, noted that the commercial segment is one of the fastest-growing areas for the company. The new offerings are expected to enhance both durability and service quality, thanks to the inclusion of Precor’s equipment capabilities.
Future Growth and Revenue Plans
Despite the recent decline in Peloton’s overall revenue, the commercial unit has shown positive growth year-over-year. This new approach is crucial for enhancing brand visibility and acquiring new customers, with Sanders highlighting the potential for commercial settings to serve as a gateway for consumer engagement with Peloton products.
As the holiday season approaches, Peloton aims to attract both new and existing members by highlighting the value of its redesigned and newly priced offerings.
