PELOTON, THE CONCEPT OF THE MONTH
United States. Home-use anchored bike specialist Peloton is “Retailer of the Year” according to Forbes magazine. As consumers flock to Internet-connected bikes and treadmills to exercise at home whilst working, the firm is experiencing unprecedented growth. The company has invented a bold and forward-thinking business model and has won over a wave of new users who no longer pay to go to a gym. The model is a mix of retail (stores selling clothing and equipment) and “Netflix of fitness”, with Web-connected video fitness classes. Peloton is counting on a minimum of US$3.9 billion in revenue for 2021. Turnover rose in 12 months from US$228 million (3rd quarter 2019) to US$758 million in the 3rd quarter of 2020. This calculates as annual growth of 232%. Sales exceeded US$1 billion for the first time in the 4th quarter.