A Peloton stationary bike at the company’s showroom in Dedham, Mass. Photographer: Adam Glanzman/Bloomberg Peloton Interactive Inc. is planning to redesign its bikes so that customers can self-assemble them at home and will explore letting users beam its content to rival workout machines, part of a wide-ranging turnaround bid under Chief Executive Officer Barry McCarthy.
When a customer currently orders a bike from Peloton, the equipment is delivered and set up by a professional in the user’s home. The idea going forward will be to design the bike so customers can unbox and assemble it themselves, McCarthy said in an interview. Peloton CEO Barry McCarthy. “We’ve been working on it for a while, and it’s a real thing,” he said. “We’ll continue to cost-reduce the hardware and we will engineer it so that you can assemble it, so that we can ship it via FedEx.”
The do-it-yourself push is part of a broader effort to slash costs . The New York-based fitness company said Friday that it would lay off about 800 workers, raise the prices of its equipment, and outsource deliveries and some customer service functions. It’s also looking to wind down much of its retail footprint in North America starting next year.
Peloton shares, which had fallen as much as 6.2% on Monday, pared their losses on the news. They traded at $13.26, down 2%, as of 12:21 p.m. in New York. The stock has lost more than 60% of its value this year.
McCarthy took the helm in February and […]