Proactive Investors - Peloton wants to be more than just a purveyor of luxury exercise bikes, and the company hopes a rebrand will help it get there.
For a start, the company introduced new pricing for tiered membership that ranges from US$12.99 to $24 per month and said that the Peloton (NASDAQ:PTON) app now offers more free classes than ever.
"We're shifting perceptions from in-home to everywhere, fitness enthusiasts to people at all levels, exclusivity to inclusivity across all Peloton members present and future," chief marketing officer Leslie Berland said in a statement earlier this week.
More than half of its classes didn’t even involve its signature bike. That’s reflective of Peloton’s goal of becoming “more than a bike company,” the statement said.
The new bikeless offerings include walking, yoga, meditation and various strength and conditioning programs.
The shift is thanks in part to CEO Barry McCarthy, who replaced founder John Foley at the top of the org chart just over a year ago. McCarthy has pushed to move away from high-priced machines and instead toward software and a fee-based app.
Peloton sales surged during the Covid-19 pandemic but fell sharply as people eventually began to return to the gym. In October, the company announced it was cutting about 500 jobs, adding to the roughly 800 layoffs it made in August.
Shareholders felt the falloff significantly, as Peloton stock went from a high of $160 in 2021 to just $6.93 Thursday morning.