Peloton: First Profit, the Spotify Deal and Why the Stock Still Fell

SEP 29, 202615 MIN

Description

For the first time in its history as a public company, Peloton turned a profit. After years of billion-dollar losses, the fitness brand posted $63 million in net income this fiscal year. Just three years ago, it was a punchline. Today, Sammi unpacks how Peloton went from pandemic darling to cautionary tale and back again. She revisits the crash that wiped out $40 billion in market value, founder John Foley's exit, and the Sex and the City reboot that turned a Peloton bike into a plot device. Then, she breaks down the turnaround strategy led by CEO Peter Stern, the former Apple executive who built his career on subscriptions, not hardware. Sammi walks through the bets that got Peloton back in the black: aggressive price increases and cost cuts, a viral ad campaign starring Heated Rivalry's Hudson Williams, a global partnership with Spotify, and a new push into commercial gyms. Plus, she explains why the stock dropped more than 11% on the day Peloton announced its historic profit, and what that says about whether Peloton is really back. Follow Sammi Cohen on Instagram Subscribe to the Social Currency newsletter Here's What Sammi Covers Today: 00:00 Peloton's First Profitable Year 01:50 Partner Message - Mercury 02:50 From $50 Billion to Punchline 03:45 John Foley's Exit and the 87% Wipeout 04:15 The Pandemic Bubble Cautionary Tale 04:55 Enter Peter Stern, Peloton's Apple Hire 05:45 The Four-Pillar Turnaround Plan 06:15 Price Hikes and Cost Cuts 07:30 The Heated Rivalry Ad That Went Viral 08:15 The Spotify Partnership 08:58 Peloton's Commercial Gym Bet 09:55 The $63 Million Turnaround 10:25 Partner Message -Mercury 12:45 Why the Stock Fell Anyway 13:15 A Shrinking Subscriber Base 14:40 How to Show Social Currency Some Love Learn more about your ad choices. Visit megaphone.fm/adchoices