Peloton is cross-training.
Slip up. Reporting Q3 2025 earnings, the company posted its third straight quarterly revenue decline. Despite narrowly beating expectations, hardware sales fell 27% and app subscriptions dipped 4%, extending its post-pandemic slump.
Stronger. Pivoting from hardware to holistic fitness, CEO Peter Stern said, “Peloton is the largest strength subscription service in the world.”
After a late-February launch, 70K users completed kettlebell workouts. Meanwhile, 500K enrolled in its AI-powered workout planning service, with many focused on strength training.
Tread carefully. Downplaying tariff impact, hardware is still in the mix, with Stern calling Tread Peloton’s “biggest product opportunity.” Running and walking workouts grew 5–11% YoY, with 80% of smart treadmill users engaging with new features like Pace Targets.
Testing ground. To meet new users where they are, Peloton opened a branded facility at the University of Texas, piloted content integrations with Precor gym equipment, and launched a Nashville micro-store that outperformed full-size showrooms.
IRL comeback. Forging community, Peloton plans to triple the number of in-person events—from group runs to instructor-led pop-ups—bringing its leaderboard to life offline.
Punchline: With hardware fading, Peloton is repositioning around strength, personalization, and real-world connection. If the bike built the brand, strength might save it.
