By Seth Gellman
After months of lockdown due to the COVID-19 pandemic, people have been looking for new ways to exercise without going to gyms. Many turned to Pelotons, or exercise bikes where an instructor can teach an online exercise class to any who would like to join.
Aside from working out with friends online, another appeal of the Peloton is that it tracks your progress. It tracks your speed, distance, and calories burned. Encouragement from instructors can make you feel more motivated than just running on the treadmill by yourself.
With a new spike in cases, Peloton sales are rising again. Peloton CFO Jill Woodworth confirmed that on November 5th, saying, “The recent spikes in Covid cases and newly imposed lockdowns in some of our markets have had a significant positive impact on sales.”
Peloton said that their first quarter sales more than tripled. They now expect their first billion dollar quarter for sales, with analysts predicting around $939 million.
However, deliveries are being delayed due to the increased number of sales, with the company not expecting shorter deliveries until next year.
Despite the wait, Peloton users are hooked. Peloton said the average number of monthly workouts in the past year has doubled to 25 classes per subscriber. They announced that they are looking to lower the cost of their most popular bike by 15%, making it more affordable for those who want to exercise at home.
While this year was a disaster for many, Peloton’s business has boomed, and they have very few negatives to take from this year regarding sales. Their shares increased 343% this year, emphasizing the demand for exercise at home. This may be a permanent fix, with exercise bikes like those that Peloton offer eclipsing traditional gym memberships and moving workouts to home.