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Competitive Re-Creation

Peloton

Peloton has re-created the indoor fitness class cycling experience – complete with a totally new bike design, new apps, and a new cult following. According to CNBC’s Tom Huddleton Jr., “Peloton was founded in 2012 to create a new concept in fitness. The founding team loved cycling but had a hard time finding a workout that consistently fit with their busy schedules, and at-home workouts never felt quite as good as a class. They set out on a mission to create a world-class indoor cycling studio experience that would rival the in-class experience – all from the comfort of home.”

Importantly, Peloton is not competing primarily against other home fitness equipment companies; it is competing against health clubs and fitness studios by recreating – and in many ways enhancing – the fitness studio experience. According to CEO John Foley, “Four out of five Peloton bike buyers were not in the market for fitness equipment. So we’re not effectively selling fitness equipment, we’re selling fitness.

People want to be fit. They want fun, effective, convenient fitness experiences from their home. And that is what we provide them. And nobody else provides them, so we are kind of a category of one when you think about where we’re taking our business.” Peloton is playing a game only it can win.

Peloton has since added the Peloton treadmill and other fitness activities on its Peloton app. Foley said that “’We plan to be the global digital fitness technology platform that allows you to work out at home and not have to travel.”

Peloton epitomizes Transcender companies that seek not only to rise above its rivals but also to elevate its passionate followers. Foley has proclaimed that “Peloton is so much more than a bike — we believe we have the opportunity to create one of the most innovative global technology platforms of our time. It is an opportunity to create one of the most important and influential interactive media companies in the world; a media company that changes lives inspires greatness, and unites people.”

Source: Brands Don’t Win

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