Peloton selling Bike, other products on Amazon

Business

FILE – A Peloton logo is seen on the company’s stationary bicycle on Nov. 19, 2019, in San Francisco. (AP Photo/Jeff Chiu, File)

(NewsNation) — Peloton announced Wednesday that its Bike, Guide and other select accessories and apparel will now be sold on Amazon after the two companies reached a deal.

Before now, Peloton’s products were only sold through the fitness brand’s e-commerce site, inside sales channels and global showrooms. Now, through its partnership with Amazon, the company will be able to “expand its distribution,” Peloton said in a news release.

 “We want to meet consumers where they are, and they are shopping on Amazon,” Peloton Chief Commercial Officer Kevin Cornils said. “Providing additional opportunities to expose people to Peloton is a clear next step.”

Peloton Bikes will be available through Amazon with in-home delivery, and customers are given the option to assemble the bikes themselves or select an add-on expert assembly option available in most of the U.S. The bike sells for $1,445 at launch.

Accessories now being sold on Amazon include Peloton Cycling shoes, bike mats, light weights and yoga straps.

Cornils told CNBC that there have already been half a million searches for Peloton’s products on Amazon each month, even though it didn’t have a presence on the site before Wednesday.

Media reports note that Peloton has had its share of financial struggles over the past couple of years, after seeing much success during the COVID-19 pandemic.

Amid lockdowns meant to distance people from each other, Peloton’s bikes and treadmills became more popular with consumers, and during the pandemic, the company recorded its only profitable quarters. Peloton’s shares surged more than 400% in 2020.

Once vaccines were distributed and people were able to get out of their homes and back into gyms, however, Peloton had to reign in its ambitious plans and lower costs.

Earlier this month, Peloton laid off 784 employees and raised prices to make the business more profitable and free up cash, the Associated Press reported.

This follows the company cutting 2,800 jobs in February, including about 20% of its corporate jobs. Instructors leading interactive classes for Peloton were not included in these cuts.

Company founder John Foley ended up stepping down from his role as CEO in February as well, as “costs spiraled out of control and losses mounted,” per CNBC.

As The Verge notes, CEO Barry McCarthy has been outlining his vision for reviving Peloton’s finances by working on a DIY bike redesign. It was at the company’s Quarter 3 earnings release that McCarthy said Peloton was exploring relationships with third-party retailers, The Verge reported.

CNBC said Peloton will report its fiscal fourth-quarter results on Thursday.

The Associated Press contributed to this report.

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