As recent news circulates about Peloton reducing its employees since demand has significantly decreased, we became curious of the overall brand and if they expanded internationally or if it was just a US trend. The Hollywood Reporter produced, and article called “The Netflix of Wellness: Inside the Hollywoodization of Peloton”. It mentioned that this bike company had become a global content brand due to their scripting of classes, promotions of instructors, and entertainment industry partnerships. Meaning, Peloton was not only a US phenomenon but also had become increasingly popular across the globe.
When he started the business, John Foley wanted to wipe away the perception that an internet-connected bike was a “suburban mom” thing and strategically licensed tracks from bands that he loved to and shoot for the moon to wipe out the previous image of at home exercise bikes. One interesting fact that the article mentioned was Peloton became increasingly more popular during 2018 for their content and apps. This caught us by surprise because we never really heard about the “buzz” of Peloton until during the height of the pandemic in 2020.
The pandemic was a significant part of Peloton’s success because people were trapped at home and the total 171 million total workouts as compared to a year earlier at 48 million. Peloton continued to increase their content partners and had talent agencies populating instructors featured famous celebrities to increase the popularity of rides. We found it interesting that celebrities found this appealing because they could be featured and promoted by Peloton and didn’t have to show up in person to any events for the promotion to occur.
Peloton’s success story was due to their big picture of their company and never thought small. This meant that they produced content that were in the form of mini shows that could be enjoyed in the UK, Germany, Canada, and US, and people would have a connection with their instructors and continue to ride with them. After they had major success through the pandemic, they rapidly expanded classes to include dance cardio and bike boot camp with the goal of becoming known in a more general space instead of just cycling.
However, now that gyms are not open and at home fitness is starting to decrease and important question is what will happen to Peloton?