Peloton is still looking to expand to new countries. During the company’s latest earnings call, CEO Peter Stern hinted that international expansion is still on the table, with the company looking to enter new markets as early as next year.
While much of the call focused on core financials and strategy, Peloton also invited pre-submitted questions. Of the two pre-submitted questions answered, one touched on a topic that has not seen much development as of late: when will Peloton expand into more countries?
Stern acknowledged the question was one he was particularly excited to answer. He stated: “I love this question, because the world would be a better place with more Peloton in it.”
Currently, Peloton operates in six countries: the United States, the U.K., Canada, Germany, Austria, and Australia. But Stern acknowledged that the brand’s market penetration outside the U.S. still has plenty of room to grow. The near-term focus, he explained, is on improving customer acquisition efficiency and finding the right balance between first-party and third-party operations. He explained:
“And then, like in the U.S., we need to earn the right to grow before we expand further internationally. So, right now, our international team is focused on trying to dial in the right mix of first-party versus partner-led growth. And we’re also trying to drive up the efficiency of our customer acquisition. When we do that, we’re going to be able to achieve both meaningful scale and profitability.”
That latter point ties into comments made last year by Peloton Chief Financial Officer (CFO) Liz Coddington, who explained at a 2024 conference that using third-party partners helps Peloton become more efficient and sustainable internationally – and makes launching in new countries more feasible.
Thus, the long-term vision hasn’t changed, and Peloton wants to be a global brand. According to Stern:
“Like in the U.S., we need to earn the right to grow before we expand further internationally. But we do see some opportunistic markets that are adjacent to the markets we’re already in, where they speak the same languages. And so, we’re going to look at doing some of that starting next year.”
While Stern did not name specific countries, it is worth noting Peloton’s three instructional languages: English, German, and Spanish.
This is not the first time Peloton has discussed expansion into “adjacent markets.” Back in 2023 former CEO Barry McCarthy discussed this plan, which was reaffirmed by Coddington. We have previously speculated that Ireland, France, and Spain could be possible candidates Peloton expands to next.
On the earnings call, the company also noted that the new automatic subtitle feature could also be a tool that let them further expand to new languages & countries in the future.
After a relatively quiet period on the international front, Stern’s comments suggest the company is still actively looking to expand to new countries, and could do so as early as 2026.
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