PTON - Peloton

[Dalal.Holdings]

https://www.cnbc.com/2020/05/06/peloton-pton-reports-fiscal-q3-2020-earnings.html

This co will only come out of this crisis stronger...

[valueinvestor]

I was tempted but ultimately did not pull the trigger before because I don't understand it. I think I'm going to order a bike for my mother, and see what it's all about - however, has anyone tried the product?

[EricSchleien]

I was tempted but ultimately did not pull the trigger before because I don't understand it. I think I'm going to order a bike for my mother, and see what it's all about - however, has anyone tried the product?

yup, it came with my apartment. we have a peloton studio. the bikes are great. its the only cardio I've ever been able to stick to in my entire life, I hate cardio.

[ratiman]

This reminds me of Herbalife. The shorts are all cheap introverts and don't understand that most people need human reinforcement, eg a coach or a class to lose weight.

[TorontoRaptorsFan]

I never bought the stock but own a Peloton bike.
I use it about 5 times a week. I'm definitely a fan of the product. If you find an instructor(s) you like then you'll be more motivated to use the bike.
I usually turn off the leaderboard settings which for a lot of people they like for motivation.

[Dalal.Holdings]

What people don’t understand when they criticize this company’s products as “a bike with a screen on it” is that exercise—particularly cardio—has a big motivation hump for the individual. It’s absolutely essential that the person exercising makes a regular habit of it, but very hard to achieve. It’s why most bikes end up as drying racks...

Peloton addresses that beautifully as the anecdotes on here indicate. And no, Nautilus or one of the copycats will not be as effective at achieving this.

There is a moat here.

At some point I would have said that this company would have been the perfect target for AAPL with all its cash on hand and a significant overlap in customer base, but I do not think Cook is visionary enough to see it. Would certainly do better than the Beats acquisition.

[Castanza]

What people don’t understand when they criticize this company’s products as “a bike with a screen on it” is that exercise—particularly cardio—has a big motivation hump for the individual. It’s absolutely essential that the person exercising makes a regular habit of it, but very hard to do. Peloton addresses that beautifully as the anecdotes on here indicate. And no, Nautilus or one of the copycats will not be as effective at achieving this.

There is a moat here.

If PTON is going to have a moat it's not going to be found in the equipment. It's going to be in the software/platform and quality of instructors. There are a lot of people out there buying either the Sunny Health & Fitness bike ($300) or the  Keiser M3i to avoid monthly bike fees. Couple this with the Pton app and you have a peloton lite version. You miss out on the functionality of riding stats, but to some that's not as important as having good trainers.

[Dalal.Holdings]

What people don’t understand when they criticize this company’s products as “a bike with a screen on it” is that exercise—particularly cardio—has a big motivation hump for the individual. It’s absolutely essential that the person exercising makes a regular habit of it, but very hard to do. Peloton addresses that beautifully as the anecdotes on here indicate. And no, Nautilus or one of the copycats will not be as effective at achieving this.

There is a moat here.

If PTON is going to have a moat it's not going to be found in the equipment. It's going to be in the software/platform and quality of instructors. There are a lot of people out there buying either the Sunny Health & Fitness bike ($300) or the  Keiser M3i to avoid monthly bike fees. Couple this with the Pton app and you have a peloton lite version. You miss out on the functionality of riding stats, but to some that's not as important as having good trainers.

Yep—that’s why they invest heavily in their production studios in places like NYC. It’s tv level production. You’re not going to win with a guy at home in his sweatpants running a class (though maybe that’s what they are doing now w covid lockdowns).

[Kaegi2011]

What people don’t understand when they criticize this company’s products as “a bike with a screen on it” is that exercise—particularly cardio—has a big motivation hump for the individual. It’s absolutely essential that the person exercising makes a regular habit of it, but very hard to do. Peloton addresses that beautifully as the anecdotes on here indicate. And no, Nautilus or one of the copycats will not be as effective at achieving this.

There is a moat here.

If PTON is going to have a moat it's not going to be found in the equipment. It's going to be in the software/platform and quality of instructors. There are a lot of people out there buying either the Sunny Health & Fitness bike ($300) or the  Keiser M3i to avoid monthly bike fees. Couple this with the Pton app and you have a peloton lite version. You miss out on the functionality of riding stats, but to some that's not as important as having good trainers.

Isn't this a win/win situation?  The app's marginal cost is zero, and if consumers like certain instructors and like riding with their friends, then the cost of $10 bucks/month is prob not going to dissaude them to switch to a cheaper alternative. 

[Dalal.Holdings]

What people don’t understand when they criticize this company’s products as “a bike with a screen on it” is that exercise—particularly cardio—has a big motivation hump for the individual. It’s absolutely essential that the person exercising makes a regular habit of it, but very hard to do. Peloton addresses that beautifully as the anecdotes on here indicate. And no, Nautilus or one of the copycats will not be as effective at achieving this.

There is a moat here.

If PTON is going to have a moat it's not going to be found in the equipment. It's going to be in the software/platform and quality of instructors. There are a lot of people out there buying either the Sunny Health & Fitness bike ($300) or the  Keiser M3i to avoid monthly bike fees. Couple this with the Pton app and you have a peloton lite version. You miss out on the functionality of riding stats, but to some that's not as important as having good trainers.

Isn't this a win/win situation?  The app's marginal cost is zero, and if consumers like certain instructors and like riding with their friends, then the cost of $10 bucks/month is prob not going to dissaude them to switch to a cheaper alternative.

Precisely. With just the app it becomes more akin to NFLX. The customers who own the bike will have a stickier relationship though.