- Home fitness brand Peloton will enter the Australian market in the second half of 2021, the company announced.
- Local riders will be granted access to Peloton’s live-streamed and on-demand stationary bike workouts, which have attracted a dedicated following overseas.
- That access won’t come cheap, with the brand’s base-model bike starting at AU$2,895.
- Visit Business Insider Australia’s homepage for more stories.
Upmarket fitness company Peloton says it will expand into Australia over the second half of 2021, granting local workout warriors access to its cult-favourite classes – and its three-thousand dollar stationary bikes.
The US-based firm confirmed its entry into the Asia-Pacific market on Tuesday, with the company hoping to grow its 4.4 million-strong user base down under.
“Health, fitness and sport is a central part of Australia’s DNA, which is why it was a natural decision to launch Peloton in Australia”‘ said Kevin Cornils, Peloton’s international managing director.
Would-be Peloton users will be offered the company’s proprietary smart bikes, which sport hefty touch screens and access to the company’s live-streamed and on-demand cycling classes.
Peloton’s training programs – and its individual instructors – command dedicated followings, and true believers have long called for the company to enter the Australian market.
But that access won’t come cheap. Peloton says its base-level bike will set Australian users back AU$2,895, or AU$3,695 for the Bike+ model. Membership will cost AU$59 a month, too.
Fortunately, Australians will be allowed to try before they buy, with Peloton saying it will open Sydney and Melbourne showrooms to complement its online sales.
Ahead of the pack
Peloton’s announcement follows a massive December quarter for the company, which saw its revenue grow 128% to AU$1.38 billion (US$1.06 billion,) outstripping market estimates.
In its Q2 2021 earnings report, Peloton admitted the lingering impact of the coronavirus pandemic had spurred sales.
“With many of our markets reaching record level COVID-19 cases and implementing new stay-at-home orders, we continue to see robust demand for our products,” the company said.
The situation is somewhat different in Australia. Gyms and spin classes have mostly reopened to the public, the nation’s vaccine rollout is underway, and new COVID-19 cases remain at minimal levels, meaning local riders aren’t confined to the living room to get their exercise endorphin fix.
Those who do choose to work out at home also have nearly unlimited options, from paid subscription classes like Les Mills On Demand, or free programs offered through YouTube.
Peloton will also combat other smart bike manufacturers who have already entered the local market, many of which offer comparable equipment at much lower prices.
But Peloton hopes the allure of its in-group will convince Australians to carve out some space in the lounge room – and the wallet.
“Our global growth is fuelled by our passionate, growing community,” said Cornils, who described his company as a “global fitness phenomenon.”