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Peloton's new commercial arm sets aim on the hospitality market

By Tom Walker    20 Sep 2021
Peloton said it would initially be targeting the hospitality market with its commercial operations / Peloton
Peloton has completed the merging of its commercial operations with Precor
The expanded Peloton Commercial division's product range will combine Peloton's bikes and treads with Precor’s catalogue of strength and CV kit
Peloton said it would initially be targeting the hospitality market
It will do this by offering both fitness club and in-room exercise solutions

Peloton has completed the merging of its commercial operations with Precor, the equipment brand it acquired earlier this year.

The new, expanded Peloton Commercial division will now offer a suite of fitness products that combines Peloton's bikes and treadmills with Precor’s catalogue of strength and cardio equipment.

Announcing the move, Peloton said it would initially be targeting the global hospitality market with its new, extended offer.

The company said it will do this by offering both fitness club and in-room exercise solutions.

Brad Olson, Peloton's chief business officer, said: "It's no secret that Peloton invented the connected fitness category and has experienced massive growth.

"In just the last five years that I've been at Peloton, we've introduced new products, expanded to new markets, and grown our community to nearly six million members around the world.

"But one of the things that will never change is the incredible feeling of that very first Peloton ride, which for so many members, takes place at a hotel equipped with Peloton Bikes.

"We're excited to scale that experience with even more hospitality partners around the world.

"And this is just the first step for Peloton Commercial – we look forward to bringing this experience to even more shared spaces in the months ahead.”

Peloton completed the acquisition of Precor in a deal worth US$420m in April 2021.

By doing so, it became an important player in the commercial fitness market overnight.

As well as acquiring Precor's portfolio of products, Peloton gained 625,000sq ft of factory space in North Carolina and Washington State, US, along with a 100-strong R&D team, in-house tooling and fabrication and a quality assurance set-up.

Peloton plans to begin manufacturing its products in the United States before the end of the calendar year 2021.

Precor  Peloton 
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