Peloton Urges You to Sell Off Your Old, Dust-Covered Exercise Bike
Peloton, the popular fitness equipment company, has announced the nationwide expansion of its resale marketplace, Repowered. This strategic move is a key component of Peloton's broader turnaround plan, focusing on sustainable growth, subscriber retention, and market repositioning.
The Repowered platform allows users to buy and sell pre-owned Peloton equipment directly, with Peloton managing the process. This ensures standardized pricing, brand trust, and integration with its subscription services. Sellers receive 70% of the resale price, while Peloton and its tech partner Archive take the remaining 30%. Sellers also benefit from discounts up to $600 on new equipment purchases, encouraging ecosystem loyalty.
Initially launched in June in select cities—Boston, New York, and the D.C. metro area—the marketplace has seen promising results, with around three dozen sales and 400 listings in the initial beta phase. Starting today, Peloton owners across the country can list their used equipment and accessories on the resale marketplace. Buyers nationwide will be able to make purchases beginning in August.
Peter Stern, Peloton's CEO, highlighted the importance of the secondhand market in bringing new members into the Peloton community. Stern, who was previously head of the services division at Apple and Ford, was brought in as Peloton's CEO earlier this year.
The resale marketplace is expected to fuel sustainable revenue streams outside traditional new hardware sales, which had declined. It will also increase subscriber retention by keeping users within Peloton’s ecosystem through hardware upgrades and re-purchases incentivized via discounts.
Moreover, the expansion of Repowered positions Peloton as a leader in circular economy practices within fitness tech, aligning with consumer preferences for sustainability. It also enhances brand control over pricing and product experience in the secondary market, reducing reliance on third parties.
Financially, Peloton’s 2025 performance, including a significant adjusted EBITDA improvement, reflects these efforts aligning well with cost-cutting and margin expansion strategies, with the Repowered platform playing a pivotal role in this evolution.
In May, Peloton reported a 27% year-over-year decline in equipment sales during its fiscal third quarter. The expansion of the resale marketplace is a response to this decline and consumer demand for trusted, reliable resale options, which third-party platforms fail to provide effectively.
Bikes on the marketplace are listed for as low as $289, hundreds of dollars cheaper than their original retail price. Peloton suggests prices based on market trends and the condition of the user's gear, but sellers can set the final price.
In summary, Peloton’s resale marketplace expansion is a foundational element of its business model pivot, combining economic pragmatism and innovative service design to drive sustainable growth and strengthen its market position during its turnaround.
- The nationwide expansion of Peloton's resale marketplace, Repowered, is a key part of its turnaround plan, focusing on creating sustainable growth, retaining subscribers, and repositioning the market.
- Sellers on the Repowered platform, which allows users to buy and sell pre-owned Peloton equipment, receive 70% of the resale price, while Peloton and its tech partner Archive take the remaining 30%.
- Bikes on the Repowered marketplace are listed for as low as $289, hundreds of dollars cheaper than their original retail price, responding to consumer demand for trusted, reliable resale options.
- The expansion of Repowered positions Peloton as a leader in circular economy practices within fitness tech, enhancing brand control over pricing and product experience in the secondary market, and aligning with consumer preferences for sustainability.
