Peloton Interactive (NASDAQ:PTON) shares are up 10% today after the company announced some new offerings and price changes. A new premium bike will be offered, as well as a lower-priced treadmill.
The company said it will be offering a new Peloton Bike+, costing $2,495. It will also lower the price of its current bike from $1,995 to $1,895. The company is also introducing a new treadmill called the Tread+ priced at $4,295. The cost of the original treadmill will drop significantly, to $2,495.
The new Bike+ incorporates recommendations from Peloton members, the company said, allowing users to complement cycling with other home workouts like strength, yoga, and meditation classes from Peloton. It includes a high-definition screen that rotates for easy viewing when members are off the bike. It also includes easy integration with Apple’s (NASDAQ:AAPL) Gymkit, and software that remembers members’ goals and automatically scales resistance based on the instructor’s guidance.
The additional offerings should help entice some consumers with discretionary funds to subscribe, seeking either a lower entry price or a more advanced equipment model. The company currently has 2.6 million members, and the new initiatives are meant “to grow our Peloton family even bigger,” co-founder and CEO John Foley said in the announcement.
The company is attempting to expand its niche to include different ways to combine cardio and strength training, making for a more holistic workout. Peloton is also offering current cycling members in the U.S. a $700 credit to upgrade to the new unit.