Peloton
has
launched
a
partnership
with
TikTok.
Courtesy
of:
Peloton
Peloton
launched
a
partnership
with
TikTok
on
Thursday
as
part
of
its
strategy
to
change
its
public
perception
and
attract
a
broader
array
of
customers
as
sales
and
profits
fall.
The
partnership
will
create
a
new
fitness
hub
on
the
social
media
platform
dubbed
“#TikTokFitness
Powered
by
Peloton.”
It
will
feature
short-form
fitness
videos,
longer
live
classes,
content
from
Peloton’s
instructors
and
collaborations
with
TikTok
creators.
Shares
of
Peloton
surged
more
than
15%
after
the
news
was
announced
and
closed
about
14%
higher.
It
comes
about
six
months
after
Peloton
rebranded
itself
as
a
fitness
company
“for
all”
and
launched
a
tiered
pricing
strategy
for
its
app.
The
changes
were
designed
to
position
Peloton
as
more
than
just
a
bike
company
and
bring
in
new
customers
who
may
not
have
been
able
to
afford
its
pricey
connected
fitness
equipment
but
could
be
interested
in
a
monthly
subscription
for
its
content.
“On
the
one
hand,
there’s
a
longer-term
goal
around
changing
perceptions
around
who
Peloton
is
for
to
multiple
different
types
of
audiences
and
I
think
one
of
the
real
strengths
of
TikTok
…
is
that
it
increasingly
reaches
everyone,
including
the
younger
audience,”
Oli
Snoddy,
Peloton’s
vice
president
of
consumer
marketing,
told
CNBC
in
an
interview.
In
the
short
term,
the
partnership
will
seek
to
build
on
what
Peloton
says
has
been
a
successful
relaunch
by
boosting
metrics
such
as
app
downloads
and
conversions,
said
Snoddy.
During
the
Covid-19
pandemic,
Peloton
became
a
Wall
Street
darling
after
gyms
shuttered
and
consumers
flocked
to
buy
its
stationary
bikes
and
at-home
treadmills.
But
demand
plummeted
when
the
virus
receded
and
consumers
returned
to
normalcy.
In
the
three
months
that
ended
Sept.
30,
Peloton
lost
30,000
members
and
revenue
fell
to
$595.5
million,
down
from
$757.9
million
three
years
earlier
at
the
height
of
the
pandemic.
Peloton
CEO
Barry
McCarthy,
who
replaced
the
company’s
co-founder
John
Foley
in
February
2022,
has
been
working
to
rightsize
the
business
and
set
it
up
for
long-term
growth
and
profitability.
He
has
focused
on
boosting
Peloton’s
subscriber
count
and
opening
up
new
pathways
to
owning
Peloton
equipment
by
offering
a
rental
service
and
refurbished
options.
While
the
initiatives
are
showing
early
signs
of
progress,
Peloton
still
isn’t
making
money
off
the
members
that
it
has,
making
partnerships
with
companies
such
as
TikTok
and
Lululemon
critical
to
its
long-term
success.
“We
have
over
a
billion
users
across
the
globe
of
all
demographics,”
Sofia
Hernandez,
TikTok’s
global
head
of
business
marketing,
told
CNBC.
“People
from
16
to
60
are
on
the
platform
and
when
I
think
about
[Peloton’s]
campaign
of
‘anyone
and
anywhere,’
there’s
not
a
better
place
to
reach
that
level
of
audience
we
have,
that
level
of
a
diverse
audience.”
Hernandez
noted
that
the
partnership
will
go
beyond
workout
videos
and
will
include
“behind
the
scenes”
videos
such
as
“get
ready
with
me”
clips
and
other
fitness-adjacent
content
that
gives
people
on
TikTok
an
inside
look
into
Peloton
and
its
instructors.
At
first,
the
content
will
feature
well-known
instructors
such
as
Cody
Rigsby
and
Ally
Love,
but
the
partnership
also
hopes
to
introduce
some
of
Peloton’s
lesser-known
instructors
to
a
wider
audience
and
boost
their
followings.
“We
know
that
when
people
experience
Peloton,
they
really
get
it,
they
fall
in
love,”
said
Snoddy.
“This
is
really
about
taking
the
instructors
and
the
content
we
have
and
kind
of
dimensionalizing
it
to
a
broader
audience
on
TikTok.”
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