Peloton is hoping to win back customers with a new pricing model that some users will find more affordable.
Instead of making customers buy one of their expensive bikes – which sell for as much as $2500 – Peloton will instead charge a monthly fee that covers the cost of both the equipment and their on-demand fitness classes.
If the customer cancels, Peloton takes the equipment back. Fees will range from $60 to $100 monthly. The new model will launch a test run soon in Texas, Florida, Minnesota, and Denver.
Peloton has been struggling with a lack of profits and a tanking stock price recently and hired a new CEO, Barry McCarthy, last month.
