Peloton unveils ‘critical’ brand relaunch, as the struggling company eyes growth
After seeing revenue and profit plummet, Peloton is betting on a relaunch to turnaround the business, moving away from its bike brand positioning and pursuing a new visual identity to appeal to more customers.
The last two years have not been kind to Peloton. As one of the companies that found its fortunes during the pandemic, when customers flocked to buy its bikes and treadmills to exercise from home, the business reported a substantial profit. However, after a rapid growth phase, decline soon followed.
Lockdown fuelled growth saw revenue soar 99.5% in the 12 months to 30 June, demand that proved unsustainable with revenue dropping by more than a quarter two years later. Net losses have spiralled culminating in a huge $2.8bn (£2.3bn) loss for the year ending June 30 2022.
Peloton is betting big on a brand relaunch which it hopes will help it gain momentum towards growth.