Peloton’s ‘New Era’ of AI-Powered Workouts Isn’t Working Out 

Artificial intelligence can do a lot of things. Getting us on an exercise bike doesn’t appear to be one of them. 

Sales are slow for Peloton’s AI-powered equipment that launched in October, according to Bloomberg, which cited managers at dozens of Dick’s Sporting Goods and Johnson Fitness & Wellness locations, the main spots where shoppers can buy Peloton products in person. Customers have been kicking the tires on the new treadmill and bike, but they’re not buying them. 

Fingers Crossed 

It’s a tough break for the former pandemic darling. Peloton’s sales and stock price surged in 2020 and 2021 as SoulCycle studios and gyms across the country closed. But what followed was a years-long struggle to succeed once people were allowed to exercise outside of their homes again. The launch of Peloton IQ with AI-enabled personalized guidance and the refresh of Peloton’s entire product lineup via the new Peloton Cross Training Series were meant to usher the company into, in its own words, a “new era.” 

But Peloton’s warehouse movement remained slow in early November, according to the Bloomberg source. Peloton did not respond to The Daily Upside’s request for comment. 

Peloton IQ — which was made available to original equipment via a software update as well as to new models — includes a workout generator, movement-tracking camera that counts reps, feedback on form and more. Peloton is hoping that will tempt new buyers: 

• The company expects sales to pick up through the holiday shopping season, Bloomberg wrote. Its Black Friday sale includes $700 off the new Peloton IQ-powered bike. 
• During its most recent earnings report, the company’s revenue outlook for the current quarter was $665 million to $685 million, beating Wall Street’s expectations. CEO Peter Stern said during a call with analysts at the time that Peloton was “exceptionally well-positioned” as it entered the holiday season, thanks in part to its new equipment and Peloton IQ.  

The Price Tag: Part of shoppers’ willingness to try the new equipment in person but hesitancy to buy it could be due to the cost. Peloton raised equipment prices by 11% on average during its recent revamp, and subscription fees jumped by about 19%.