Peloton is hiking prices on some retail products, mostly in markets outside of the US, the company said in a September 12 statement.
In the U.S., the Peloton Row had a 10% price increase, jumping from $2,995 (according to Amazon) to its current price of $3,295.
The United Kingdom was affected the most by the price updates. All of its bike equipment, new and refurbished, owned and rented, saw a price boost. The Peloton Bike (new) had a 16% price increase and the Bike+ (new) had a 9% price increase.
The Canadian, Australian, German and Austrian markets saw price adjustments as well. Last time Peloton updated its prices was on April 14 of 2022. Worldwide, the markets saw a price reduction in bikes and treads. While in North America, the all-access membership saw a price surge.
The pick up in prices this time comes after the company adopted new technology in its products, such as the ability to follow a workout plan while allowing the member to access its Kindle library or watch a movie. Other perks include the ability to track and benchmark the user’s progress over time, amplified scenic content and audio training programs to use outdoors.
As Peloton grapples with a decline in business since their peak during the pandemic, they continue their mission to offer innovative products in hopes of retaining and attracting members.
“Open questions remain around the company’s evolving strategy over the long-term (as it relates to the connected fitness product, mobile app, distribution, and customer acquisition/retention), which we expect the appointment of a permanent CEO to provide more visibility,” Eric Sheridan, managing director at Goldman Sachs & Co., wrote in a research note on August 22 of this year.
Year to date, Peloton shares have slipped 22%, while the S&P 500 index has gained 20%. Wall Street is mostly neutral on the company — two analysts give it a buy rating, 17 say to hold and three recommend selling shares.