What could be the long term impact of Equinox losing customers to Peloton?
Adarsh Nigam
Partner - Singapore & India at Stanton Chase | Leadership & CXO Hiring | PhD Scholar
"Equinox customers shifted to Peloton during the lockdown"
What does this graph mean?
Equinox is considered as Gold Standard in terms of Gyms within the Fitness Industry. It is known as a temple of well-being with world-class personal trainers, group fitness classes, and spas. It has more than 100 gyms, also owns multiple other fitness bands like Soul Cycle, & Equinox hotels. It has been voted as Best Gym in America by Fitness Magazine
Peloton Interactive is a new generation firm, they make home workout cycles (price starts at US$1,895 and requires a fairly pricey monthly subscription) that are connected via internet and give you an experience of being a part of spin studio or outdoors even while workout at home.
Analysis
If the best gym chain starts losing it's customers to a "new" product, then that product (in this case Peloton bikes) is more than a fad, it is here to stay.
As the workouts with Peloton (or similar internet connected bikes) are addictive and effective, the consumer may consider gym membership as optional. This will be a longterm blow to not just Equinox gym chain but to the overall fitness industry.
This also means that many other internet connected home-use cycles / bikes (Bowflex, Technogym, Echelon, Myx Fitness, NordicTrack and ProForm, Schwinn) will slowly but surely find way into homes of people as an alternative to gym membership.
Conclusion:
If you are a gym enthusiast, you may want to consider the long term usage before you purchase an expensive equipment like a digitally connected cycle with monthly subscription. Also see if any of your friends have bought a Treadmill in past and are they being used for workout or for hanging clothes? Chose smartly.
In case you are a fitness equipment manufacturer, this would be a great time to focus on semi-commercial and home use compact equipments.
About me
My writing are based on my learning’s over last 2.5 decades. Happy to exchange ideas and thoughts. I write mostly about subjects related to my work but sometimes just-like-that as well. I can be reached at @AdarshNigam on Twitter or Linked
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