Peloton has unveiled a new peer-to-peer resale marketplace called Peloton Repowered, aimed at expanding its preowned equipment offerings.
The platform, currently in beta, is available to sellers in the Boston, New York City, and Washington, D.C. metro areas, with national expansion planned in the coming months.
At this early stage, users can list used equipment and accessories, but the option to purchase will be added in the coming weeks.
Sellers will receive 70% of the sale price and be eligible for discounts of $200 to $600 on new Peloton gear depending on what they purchase.
Buyers using the new marketplace will also benefit from a reduced activation fee of $45, down from the usual $95 for used equipment.
Transactions can be completed via USPS using a prepaid label or through direct pickup arrangements between sellers and buyers.
The platform is powered by resale software firm Archive, which has partnered with brands like The North Face, New Balance, and Dr. Martens.
Archive recently completed a $30 million Series B funding round to support its expansion and innovation efforts.
The launch follows a tough third quarter for Peloton, which saw revenue fall 13% year over year to $624 million and a 27% drop in connected fitness product sales.
The company posted a net loss of $47.7 million. In an effort to reinvigorate growth, Peloton recently introduced discounted pricing for educators, healthcare workers, first responders, and military personnel in the US.
The resale initiative is one of several changes under new CEO Peter Stern, who took the helm in January and has been a Peloton member since 2016.
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