Peloton announces $95 “used equipment activation fee”
by Scharon Harding from Ars Technica - All content on (#6Q5Z4)
Peloton will start charging people a one-time $95 "used equipment activation fee" for used bikes purchased from outside of Peloton and its official distribution partners.
The fee will apply in the US and Canada. As pointed out by The Verge, Peloton confirmed in its fiscal Q4 2024 earnings call today that people who buy a used bike directly from Peloton or one of its third-party partners will not be subject to the fee.
During the call, Peloton's interim CEO, Christopher Bruzzo, said that the activation fee "will be a source of incremental revenue and gross profit" and support Peloton's "investments in improving the fitness experience for our members."