Peloton customers will pay an extra $250 for delivery and assembly of its Bike and another $350 for its Tread starting Jan. 31 due to inflation and increasing supply chain costs, CNBC reported Sunday (Jan. 16).
Those extra fees will bring the prices of the Bike and Tread to $1,745 and $2,845, respectively, according to the report. Peloton had previously included the delivery and assembly fees in the total price of the Bike and Tread.
Peloton’s Bike+ product will stay at $2,495, the report stated.
Peloton Chief Marketing and Communications Officer Dara Treseder told her fellow executives that the price hikes were due to growing inflation and higher supply chain expenses, CNBC reported.
“Right now, people are raising prices,” said Treseder, according to CNBC. “Ikea just raised prices. We want to go in the middle of the pack.”
She added the company didn’t want to give the impression of a “switch and bait” on customers, per the report.
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A Peloton spokeswoman confirmed the price changes, CNBC reported.
“Like many other businesses, Peloton is being impacted by global economic and supply chain challenges that are affecting the majority, if not all, businesses worldwide,” she said, per the report. “Even with these increases, we believe we still offer the best value in connected fitness and offer consumers various financing options that make Peloton accessible to a wide audience.”
Peloton will keep its connected fitness monthly subscription fee at $39.99 for unlimited on-demand content. The company had dropped the price of Bike to $1,495 in August.
Last month, Peloton promised it will “innovate across all of its product lines” in 2022.
Read more: Peloton Presses on With New Product Development
Peloton CEO John Foley tweeted after a report surfaced that the company wouldn’t make any new products this year that Peloton has “never been more excited about our product pipeline and look forward to what’s to come in 2022 as we continue to innovate to help our members lead healthier lives.”
