Business Case Studies & Business Publications

Peloton's Post-Pandemic Predicament

Harris, Jared D., ...

Case

Peloton's Post-Pandemic Predicament

Harris, Jared D.; Tongate, Julia

S-0413 | Published November 28, 2023 | 11 pages Case

Collection: Darden School of Business

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Peloton, a manufacturer of exercise equipment and a platform for interactive fitness, combined elegant hardware, top-notch fitness classes led by world-class athletes, the largest network of subscribers in the industry, and user-to-user social connectivity that provided a more engaging experience than the usual at-home workout. The COVID-19 pandemic brought unprecedented demand for Peloton’s products, but decreased post-quarantine demand and a series of strategic missteps and negative publicity presented unanticipated challenges for the fitness giant. Furthermore, it operated in an increasingly competitive industry: boutique fitness operations, connected fitness platforms and trackers, and enterprise fitness efforts all vied alongside Peloton for consumer interest. How would it meet these strategic challenges?