Peloton's Monthly Subscription Fee Is Going Up. Is It Still Worth It?
- Peloton is lowering the price of its equipment to make it more affordable and accessible.
- Some users will see a $5 monthly subscription fee increase beginning June 1.
Is a $60 yearly increase worth being a Peloton all-access subscriber?
Many people purchased Peloton bikes during the pandemic to stay active while spending more time indoors. But in the early days, its equipment came with a high price tag. The brand recently announced its plans to lower the price of its equipment. However, Peloton also announced that one of its monthly subscription fees is increasing soon. Find out more about this news.
You're not alone if you started using a Peloton bike or treadmill to exercise indoors. The company's popularity boomed in the earlier days of the pandemic.
Now that the pandemic is more under control, people are headed back to the gym. That likely means fewer people are rushing to buy Peloton equipment.
Peloton's fitness equipment is about to cost less
Peloton is hoping to attract a wider audience by making its equipment more affordable. The brand will announce new, lower prices for its bikes and treadmill later today.
Even with cheaper equipment costs, purchasing a Peloton bike or treadmill is an investment. Peloton operates on a subscription-based model. You need an active subscription to access the brand's many classes and workout programs.
Subscription fees will increase on June 1
Peloton noted that it has made significant improvements to its fitness content since its start in 2014. Examples include more instructors, additional classes, new features, and an increased program variety. For this reason, Peloton feels a subscription price increase is necessary.
Here is a breakdown of the current pricing for U.S. subscribers:
- If you use the Peloton mobile app, the monthly app subscription fee is $12.99. This subscription is available to one user.
- If you own a Peloton bike or treadmill, the monthly all-access membership subscription fee is $39. You can share this membership with multiple household members.
But that will soon change. Beginning on June 1, 2022, U.S. users with Peloton equipment will pay $44 instead of $39 per month for an all-access membership.
Is Peloton still worth it?
You may be asking yourself, is a Peloton subscription still worth it?
While $5 per month may not seem like a lot of money, that's an extra $60 annually per household, and more money coming out of your bank account.
If you've been meaning to buy a Peloton bike or treadmill, you could save money by purchasing equipment at the newly reduced rates. But you'll still need to pay a monthly subscription fee.
How to pay less for a Peloton subscription
Are there ways around this price increase? Technically, yes.
The fitness brand will continue to offer its mobile app membership at a monthly price of $12.99. You could save money by committing to this cheaper membership. However, you won't get all of the same features that come with the all-access membership.
Here are some of the notable drawbacks:
- You won't get access to Peloton's entire catalog of content.
- You won't show up on the leaderboard.
- You won't be able to use the mobile app on the screen that is attached to your Peloton equipment.
So, while you could pay a lower monthly subscription price, it won't be the same experience that all-access subscription members get.
Should you pay $60 more per year?
You'll have to decide if a $44 monthly subscription fee is worth it in addition to the cost associated with buying a Peloton bike or treadmill. If you have multiple household members using the subscription, the new price is still a great deal.
Since they paid higher prices for their equipment, it'll be interesting to see what current Peloton owners think about this subscription fee increase.
Subscription prices are on the rise
It feels like higher prices are now the norm. Peloton isn't the only company to raise its prices.
In February, Amazon increased its membership pricing for Prime. An Amazon Prime membership costs $139 per year instead of the previous price of $119. Netflix also increased its subscription costs earlier this year.
As the price of everyday products and services continue to rise, it takes planning and habit changes to reduce your spending and save more money.
Check out our personal finance resources for additional financial tips and guidance.
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