{"id":397059,"date":"2022-01-20T23:59:32","date_gmt":"2022-01-20T20:59:32","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/peloton-delays-opening-of-400-million-us-factory-as-demand-tanks-source\/"},"modified":"2022-01-20T23:59:32","modified_gmt":"2022-01-20T20:59:32","slug":"peloton-delays-opening-of-400-million-us-factory-as-demand-tanks-source","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/peloton-delays-opening-of-400-million-us-factory-as-demand-tanks-source\/","title":{"rendered":"#Peloton delays opening of $400 million US factory as demand tanks: source"},"content":{"rendered":"<p>&#8220;<strong>#Peloton delays opening of $400 million US factory as demand tanks: source<\/strong>&#8221;<\/p>\n<div>\n<aside class=\"single__inline-module alignleft\">\n<\/aside>\n<p>Peloton is delaying the opening of a $400 million US factory by a year because the company is stuck with a glut of exercise machines and too little demand, sources tell The Post.\u00a0<\/p>\n<p>The Troy Township, Ohio, factory will now open in 2024 rather than 2023, a current employee said. The delay is expected to save between $100 million and $200 million during the fiscal year 2022 to 2023, the source said.\u00a0<\/p>\n<p>Meanwhile, Peloton\u2019s warehouse and delivery centers have had their hours cut to 20 hours per week amid lower demand for exercise equipment, another source close to the company said.<\/p>\n<p>The <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> comes as Peloton plans to temporarily halt production of its bike and treadmill products for several weeks amid plummeting demand, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.cnbc.com\/2022\/01\/20\/peloton-to-pause-production-of-its-bikes-treadmills-as-demand-wanes.html\">CNBC reported<\/a> on Thursday.\u00a0<\/p>\n<p>The company plans to pause bike production for February and March, while treadmill production will be halted for six weeks starting next month, the site reported. The company doesn\u2019t expect to produce any pricey Tread+ machines in fiscal year 2022, according to the report. <\/p>\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" loading=\"lazy\" width=\"1024\" height=\"682\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-stock-ohio7.jpg?quality=90&amp;strip=all&amp;w=1024\" alt=\"Peloton has delayed the opening of its Ohio factory by a year, a company source told The Post.\" class=\"wp-image-20905592\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-stock-ohio7.jpg?quality=90&amp;strip=all&amp;w=1535 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-stock-ohio7.jpg?quality=90&amp;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-stock-ohio7.jpg?quality=90&amp;strip=all&amp;w=512 512w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\"\/><figcaption>Peloton has delayed the opening of its Ohio factory by a year, a company source told The Post. <\/figcaption><figcaption><span class=\"credit\">Getty Images<\/span><\/figcaption><\/figure>\n<p>Peloton shares were recently off nearly 25% at $24.07 on Thursday afternoon after being halted multiple times on volatility. The company did not respond to requests from The Post for comment.\u00a0<\/p>\n<p>A current Peloton employee told The Post that the company had been scaling back production at factories in North Carolina and Washington to a \u201csnails\u2019 pace\u201d for months prior to the reported pause in an attempt to \u201ckeep [workers] h<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>y and the public quiet without announcing a shutdown.\u201d <\/p>\n<figure class=\"wp-block-image size-large is-style-default\"><img decoding=\"async\" loading=\"lazy\" width=\"1024\" height=\"682\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-Tread.jpg?quality=90&amp;strip=all&amp;w=1024\" alt=\"Peloton\" class=\"wp-image-20902490\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-Tread.jpg?quality=90&amp;strip=all&amp;w=1535 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-Tread.jpg?quality=90&amp;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-Tread.jpg?quality=90&amp;strip=all&amp;w=512 512w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\"\/><figcaption>Peloton also plans to temporarily halt production of its bike and treadmill products, CNBC reported.<\/figcaption><\/figure>\n<p>Peloton currently has about 500 days worth of bike and treadmill inventory on hand, the employee added. Prior to the pandemic, the company would only have on a few months of inventory on hand any given moment \u2014 and during the boom times in late 2020 and early 2021, Peloton had essentially no backup inventory, according to the employee.\u00a0<\/p>\n<p>In one attempt to clear out the excess of machines, Peloton slashed prices during a 2021 Black Friday sale. The promotion boosted year-over-year sales by double or even <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/trip-and-travel\/\" data-internallinksmanager029f6b8e52c=\"10\" title=\"Trip &amp; Travel\" target=\"_blank\" rel=\"noopener\">trip<\/a>le digits for a few days but demand dropped off im<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a>tely after the promotion ended, according to company figures shared with The Post by a source close to the company.\u00a0<\/p>\n<p>On Cyber Monday, for example, Peloton sold more than 23,000 bikes, but the next day that number dropped to barely 2,000 bikes sold, representing a 54% decline from the year ago period, according to internal sales data seen by The Post.<\/p>\n<figure class=\"wp-block-image size-large is-style-default\"><img decoding=\"async\" loading=\"lazy\" width=\"1024\" height=\"656\" src=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-stock-ohio2.jpg?quality=90&amp;strip=all&amp;w=1024\" alt=\"Peloton's share price has slipped dramatically in recent months and was at $24.07 on Thursday afternoon.\" class=\"wp-image-20905594\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-stock-ohio2.jpg?quality=90&amp;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-stock-ohio2.jpg?quality=90&amp;strip=all&amp;w=512 512w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\"\/><figcaption>Peloton\u2019s share price has slipped dramatically in recent months and was at $24.07 on Thursday afternoon.<\/figcaption><\/figure>\n<p>Peloton\u2019s pandemic-era boom spurred the company to dramatically scale up production, buying up competitors and <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.wtol.com\/article\/news\/local\/gov-dewine-lt-gov-husted-to-give-remarks-at-the-groundbreaking-of-peloton-factory-in-wood-co\/512-c4d33936-914e-42c3-a2d0-3eb2d5d46116\">breaking ground on the Ohio factory<\/a> in an event attended by Gov. Mike DeWine and Peloton CEO John Foley in August. Even before the factory has opened, Peloton is stuck with with too much production capacity and too little demand. <\/p>\n<p>\u201cPeloton built up a meaningful inventory right before demand faltered,\u201d BMO Capital retail analyst Simeon Siegel told The Post. \u201cNow there is more supply than demand.\u201d\u00a0\n                        <\/p><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/nypost.com\/2022\/01\/20\/peloton-delays-opening-of-400-million-us-factory-as-demand-tanks-source\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;#Peloton delays opening of $400 million US factory as demand tanks: source&#8221; Peloton is delaying the opening of a $400 million US factory by a year because the company is stuck with a glut of exercise machines and too little demand, sources tell The Post.\u00a0 The Troy Township, Ohio, factory will now open in 2024&#8230;<\/p>\n","protected":false},"author":1,"featured_media":397060,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/01\/Peloton-stock.jpg?quality=90&strip=all&w=1024","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[124400,61594,72201],"class_list":["post-397059","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-1-20-22","tag-exclusive","tag-peloton"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/397059","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=397059"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/397059\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/397060"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=397059"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=397059"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=397059"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}