Get Ready For Peloton Media?
Even if you’re not an avid spin cycler you know about Peloton. They’ve taken the home gym concept to the next level by allowing Peloton bike owners all over the world to participate in live/archived spin classes from elite instructors who are filmed in their NY workout studio. On the surface Peloton is selling fitness equipment and exercise class content through internet connectivity. But the company’s ambitions are so much more, including the development of a streamed video media business.
During their latest round of funding, which raised $550M, Peloton CEO and co-founder John Foley articulated the vision of a “media company akin to Netflix.” Here’s why that analogy makes sense. While riders are using their Peloton bikes they’re following a workout on a main screen. Those screens are currently being used to deliver spin class content, but they could also be used to serve ads and cross-promote lifestyle endemic brand partnerships. So could Peloton eventually start selling media to run on its bikes’ screens? It’s definitely possible if they have enough scale. As of January they had sold 200,000 bikes to date – not bad for what’s essentially a tread mill on wheels at $4K a pop. But in the world of media 200,000 eyeballs doesn’t get you very far. So Peloton may need to sell a few more bikes before it gets into the media game.