Peloton is starting to sell its sports equipment on Amazon, a big first for the currently struggling company. This partnership could help boost sales.
The company Peloton, which has been struggling lately, has just signed an agreement with Amazon to sell a selection of fitness equipment and other accessories on the American giant’s sales platform, according to CNBC. The maker of connected bikes and other sports machines is facing sharply declining sales as people return to gyms. This partnership with Amazon marks the first time Peloton has sold devices outside of its site and stores. All equipment ordered on Amazon has free delivery and assembly, just like on the site directly.
Peloton starts selling its sports equipment on Amazon
“We want it to be very easy to have a Peloton,” Peloton’s chief commercial officer, Kevin Cornils, told CNBC. During the pandemic, the company experienced a big increase in demand for its products, which was difficult to meet. Today, she faces the opposite problem: an overflow of inventory. Peloton has been experimenting with new methods to increase sales, including a rental offer for its bikes and partnerships with universities and hotels. Despite these efforts, sales and subscriptions have stagnated.
A great first for the company currently in difficulty
The company had announced that it was stopping making its own bikes and other devices this summer, which resulted in the layoff of 600 employees at its Tonic factory. A few weeks ago, it also laid off 780 other employees, closed a large number of outlets and increased the prices of some of its products. It also announced that it would no longer deliver its devices itself and was calling on a third-party company for the logistics of the last delivery segment.
This partnership could help boost sales
A few months ago, the Wall Street Journal reported that Amazon was in talks with Peloton about a potential takeover of the company. It didn’t seem to come to fruition, but Peloton’s ever-expanding sales success on Amazon could pave the way for joint efforts.