Industry News - Peloton purchases PRECOR Inc.
What an exciting time to be in the fitness industry!
Voted in 2021 TIME100 Most Influential Companies, Peloton is the largest interactive boutique fitness platform in the world with over 4.4 million members. As of this week this fitness tycoon have now acquired Precor for $420 million allowing their exponential growth to continue through Precors U.S Manufacturing capabilities. At the time of the purchase PELOTON had a market capitalisation of USD 25 Billion.
Rob Barker, CEO, Precor, and General Manager, Peloton Commercial stated this week, “The next few months are going to be some of the most exciting as Precor and Peloton work together to build for the future and empower more people to live the lives they desire,” said Barker. “With Peloton Commercial, we expect we’ll be able to not only continue our relationship with our current customers, but scale the Peloton experience that millions of people have at home to even more hotels, campuses, and multifamily residences.”
Precor is well known in the fitness world for providing commercial-grade stationary bikes, ellipticals, treadmills, climbers and strength-training equipment to gyms, hotels, apartments, college campuses and other corporate locations. Up to now, Peloton’s business has focused on sales to consumers, but it has been speculated that the company plan to use Precor’s relationships to expand into the commercial market.
In 2012, Peloton brought the best talent in technology, hardware and production together to accomplish an ambitious goal: bring the community and excitement of boutique fitness into the home. An innovator at the nexus of fitness, technology, and media, Peloton has reinvented the fitness industry by developing a first-of-its-kind subscription platform that seamlessly combines the best equipment, proprietary networked software, and world-class streaming digital fitness and wellness content, creating a product that its Members love.
"This is a major milestone for Peloton and our global community," said William Lynch, Peloton's president. "We've spent the last few months learning more about Precor's relentless focus on the customer experience, and we're now even more enthusiastic about welcoming this talented team to Peloton. Now with Peloton and Precor, we believe we're even better positioned to achieve our goal of bringing the best experience in connected health and fitness to more people around the world."
Precor have been a pioneer in delivering fitness experiences for commercial customers and exercisers for more than 40 years. Precor serves more than 100 countries worldwide with offices in the Americas, EMEA, and APAC and operates two U.S.-based manufacturing locations. Precor products and services span across all major categories, including cardio, strength, functional fitness, group training, and connected solutions.
PRECOR has been distributed in New Zealand by Blue Fitness since 2017. Managing Director of Blue Fitness, Ben Davies stated ‘‘Precor have been a great company to deal with over the years and it is assuring to hear that both existing management and staff have been retained through this merger’’. So, what does this mean for us? Well, as much as it is business as usual, Davies quoted to ‘watch this space’ over this acquisition with regards product and market development as it certainly is an incredibly exciting time for the fitness industry.
