Fitness-as-a-Service: Peloton Explores New Pricing Models

The big picture: this crisis is amplifying concerns brick-and-mortar operators have been wrestling with in recent years. Mainly, will on-demand and connected fitness offerings poach their members?

In a crowded software market, hardware can be your moat. The most successful of these companies is Peloton. If you buy a bike (or presumably a Tread), to just get your hardware to turn on, you have to pay Peloton $39 a month for a subscription. And while your parents’ generation ended up using exercise equipment mainly as a clothes horse, these new... See more

Speaking of Peloton, let’s not forget that they’ve spent hundreds of millions of dollars on production studios, music licenses, and instructor talent to create a premium experience. So, when they heavily discount their app, making it free for 90-days, it’s hard to imagine fitness-seekers won’t defect from their local studios.

One possibility is a hardware product bundled with a subscription. This is what Fitbit has done

Today's consumer subscription leaders are aggressively expanding the definition of what it means to serve their customers — Peloton's lofty vision in its S-1 and Daniel Ek's reframing of Spotify as an all-encompassing audio platform are the two most notable examples.

Peloton is now a $32B company. Today's @ScreenshotEssay explores their future. Is Peloton the Roku of Fitness, the Netflix of Fitness, or Neither? https://screenshotessays.com/peloton