7 ms·

Did Peloton ever have a real business. They were competing with $200 bikes on Amazon and an iPad.

by pl0x 5y ago

whywhywhywhy 5y ago
> They were competing with $200 bikes on Amazon and an iPad Not really when they were selling a far more premium lifestyle experience. Peloton is an aspirational buy.
ubermonkey 5y ago
Yeah, that wasn't their business. Their business was an aspirational service with interactive classes and a built-in community, all sold on a turnkey platform. That's distinct from "just a bike and an iPad."
geodel 5y ago
It could be real business serving well off IT professionals like in FAANG+, or a slice of finance/legal/medical professionals. These folks can spend few hundred easily on fitness along with few thousand dollar devices. But if they want to scale to much larger then as you say they would be competing with 200 dollar bike + ipad. I'd think that just enticing people who could spend 400 dollars / month might be financially viable then reaching out to masses to justify 40 dollars per month on top of already expensive equipment.
uncertainrhymes 5y ago
The bikes were secondary to them being a media company. I wouldn't be surprised if they sold those bikes at a loss. I am not in their club, but their instructors were celebrities with celebrity-sized followings. Even if people entirely stopped buying their bikes, they could be be acquired just for their content and brand.
kristjansson 5y ago
To be fair, they're competing against ~$1000 stationary bikes, not the low end felt/friction stationary bikes.
- nickthegreek 5y ago
  I got an entry level magnetic resistance stationary bike for $500. But I can still sign-up for the $13/mo peloton package and use it with them. I am sure Peloton has many price conscious members taking advantage of this offering. https://www.walmart.com/ip/Echelon-Connect-Sport-Indoor-Cycling-Exercise-Bike-with-90-Day-Free-Premier-Membership-105-Value/533034706 https://www.walmart.com/ip/Echelon-Connect-Sport-Indoor-Cycl...

Did Peloton ever have a real business. They were competing with $200 bikes on Amazon and an iPad.

by pl0x 5y ago

Did Peloton ever have a real business. They were competing with $200 bikes on Amazon and an iPad.

> They were competing with $200 bikes on Amazon and an iPad Not really when they were selling a far more premium lifestyle experience. Peloton is an aspirational buy.

ubermonkey 5y ago

Yeah, that wasn't their business. Their business was an aspirational service with interactive classes and a built-in community, all sold on a turnkey platform. That's distinct from "just a bike and an iPad."

geodel 5y ago

It could be real business serving well off IT professionals like in FAANG+, or a slice of finance/legal/medical professionals. These folks can spend few hundred easily on fitness along with few thousand dollar devices. But if they want to scale to much larger then as you say they would be competing with 200 dollar bike + ipad. I'd think that just enticing people who could spend 400 dollars / month might be financially viable then reaching out to masses to justify 40 dollars per month on top of already expensive equipment.

uncertainrhymes 5y ago

The bikes were secondary to them being a media company. I wouldn't be surprised if they sold those bikes at a loss. I am not in their club, but their instructors were celebrities with celebrity-sized followings. Even if people entirely stopped buying their bikes, they could be be acquired just for their content and brand.

kristjansson 5y ago

To be fair, they're competing against ~$1000 stationary bikes, not the low end felt/friction stationary bikes.

nickthegreek 5y ago
I got an entry level magnetic resistance stationary bike for $500. But I can still sign-up for the $13/mo peloton package and use it with them. I am sure Peloton has many price conscious members taking advantage of this offering. https://www.walmart.com/ip/Echelon-Connect-Sport-Indoor-Cycling-Exercise-Bike-with-90-Day-Free-Premier-Membership-105-Value/533034706 https://www.walmart.com/ip/Echelon-Connect-Sport-Indoor-Cycl...