When it came to navigating post-pandemic complications for the fitness industry, Equinox saw an opportunity to run away from the competition.
The result? An advantage over the brand’s buzzier rivals in the lucrative connected fitness game, which is projected to reach $60 billion in the next six years.
Equinox began selling stationary bikes last year with a $39.99 per-month subscription through an app called Equinox+ to stream SoulCycle classes from home — and even added Universal Music Group’s entire catalog to its portfolio.
The upscale fitness chain’s membership dues started at $2,200 pre-pandemic, making over $1 billion in revenue each year.
Now, Equinox is using a “tribrid” model for at-home, in-person, and outdoor workouts — it’s currently experimenting with “In the Wild” outdoor gyms.
“We really believe that physical and digital are complementary,” Simon Belsham, president of Equinox Media, told CNN Business. “We think we’ve created the ‘HBO of fitness’ because on HBO there’s no bad programs.”
Equinox is taking advantage of rival Peloton’s recent misfortunes. In the past year Peloton has:
- Recalled treadmills following dozens of injuries and the death of a child
- Faced scrutiny over delivery times
- Been accused of using improperly licensed music
With around 100 U.S. locations, Equinox shifted its business plan amid the pandemic, closing a number of locations at a loss of roughly $350 million last year.
Equinox is in talks with a SPAC from Golden State Warriors minority owner Chamath Palihapitiy for a merger that could value the company at over $7.5 billion, according to Bloomberg.