Estimated reading time 2 minutes 2 Min

Peloton to sell its bikes on Amazon in bid to reverse slump

Before the new arrangement with Amazon, Peloton’s products have been mainly sold through its website and physical showrooms.

August 25, 2022
25 August 2022

Peloton’s high-end exercise bikes and other gear will now be able to be bought on Amazon in the US, a partnership aimed at boosting the fitness company’s sales that have languished since the easing of pandemic lockdowns.

“We want to meet consumers where they are, and they are shopping on Amazon,” Kevin Cornils, Peloton’s chief commercial officer, said in a statement Wednesday.

The collaboration is Peloton’s first with another retailer. Before, its products were sold only through its website, physical showrooms and other channels.

And it comes after the company earlier this month said it was shedding jobs, shifting its delivery work to third-party vendors and significantly reducing the number of stores it has in North America.

Peloton shares rocketed during the early stages of the pandemic but have since been sold down heavily.

Shares rise

The news of the Amazon deal sent shares of New York-based Peloton Interactive Inc. soaring 20 per cent Wednesday. They are still down about 88 per cent in the last 12 months.

Products available at the launch on Amazon will include Peloton’s original bike – listed at $1445 – its strength-training “guide” device, as well as its workout mat, dumbbells and glass water bottle.

The company best known for its interactive stationary bikes saw its sales boom during the pandemic, but it has struggled to maintain high demand as Covid-19 vaccines became more widely available and homebound consumers started to go back to the gym.

Amid those challenges, it sought to cut costs and reduce its operating footprint while ramping up prices on some of its popular products. Last month, it said it would outsource manufacturing for its stationary bikes and treadmills.

The company says bike delivery will be available to most of the US. As part of the partnership, customers can get an expert to assemble their bikes, the company said.

More in Top Stories