Peloton`s Struggles: Can the Fitness Giant Regain its Mojo?

Case Code: BSTR691 Case Length: 14 Pages Period: 2019-2024 Pub Date: 2025 Teaching Note: Available

Price: Rs.400 Organization : Peloton Interactive Inc. Industry : - Countries : United States Themes: Turnaround Strategy, Brand Revival Organizational Crisis,Leadership and Change Management

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Introduction

In October 2024, Peloton Interactive Inc. (Peloton), a US based connected fitness equipment manufacturer and media company that was on a hunt for a new CEO for months to steer the company back to profitability appointed Peter Stern (Stern), a product innovator, strategist and an experienced executive in subscription based businesses and the co-founder of Apple Fitness+ as its new CEO and President. Effective from January 1, 2025, Stern was entrusted with the responsibility to lead the revival of the long-struggling fitness giant. According to Jay Hoag, Chairperson of Peloton’s board, “Peter is a seasoned strategist with a track record of driving sustainable growth through innovation, and we have every confidence in his ability to lead Peloton during this important time. He brings meaningful expertise in scaling differentiated technology-oriented platforms and has a deep understanding of the health and wellness sector – making him uniquely suited to serve as Peloton’s next CEO. What’s more, Peter embodies Peloton’s core values, including operating with a bias for action, empowering teams of smart creatives and working together.”..

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