Peloton's new $95 activation fee for secondhand equipment buyers is positioned as a means to ensure quality onboarding, but is revealed to be a revenue source.
A company representative explicitly stated that the $95 fee serves as a source of incremental revenue and gross profit, shedding light on the motivation behind the charge.
The company offers a 'virtual custom fitting' and usage summary for secondhand buyers, but users must accept the activation fee to access features.
Peloton's decision to impose fees for secondhand purchases has transformed a once attractive consumer experience into a new barrier, affecting pricing and accessibility.
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