How Peloton’s Used Marketplace Gamble Could Cannibalize Sales

Looking to score a used Peloton bike or build a home gym affordably? The used fitness equipment market is heating up, especially with Peloton’s new Repowered marketplace, launched June 3, 2025. We sat down with Ari Kimmelfeld, CEO of Trade My Stuff, the nationwide leader in used Peloton and gym equipment sales, to unpack this development, and compare platforms.

Q: What’s your take on Peloton’s new Repowered secondhand marketplace?

Ari Kimmelfeld: “So Peloton just released the secondhand marketplace for used Pelotons. That means that if you're in New York, Boston, or DC, you can buy a used Peloton from the secondhand marketplace that is facilitated by Peloton. They’re launching it for sellers first in three cities—Boston, New York, and DC. Sellers get 70% of their sale value. So if they sold it for a thousand dollars, they're only getting $700. That means Peloton is charging an additional tax of 30% on any used Peloton that goes through the Peloton marketplace. They’re still charging the buyer a now reduced rate, a reduced tax of $49 instead of the $95 activation fee. So they're taxing the seller and they're also taxing the buyer.”

Q: How did Trade My Stuff get into the used Peloton market?

Ari Kimmelfeld: “Go back about 14, 15 months ago, and we spoke with Peloton and told them, ‘You guys have a problem of oversupply of used inventory on the marketplace.’ To date, they've sold over four and a half million units, and there were only 3 million subscribers. So that meant that there were a million and a half unused bikes sitting out there collecting dust, or as I call them, glorified clothing racks. We went to them and said, ‘Why don’t we start a used Peloton marketplace? We have a vast logistics network all over the US and we can do the pickup and delivery totally white glove and hassle-free so that people that want to get into the Peloton ecosystem can now do it for a much more affordable price, and this will expand the market.’ Peloton was not interested whatsoever. Peloton just needed their cash flow. So we started the Peloton marketplace because they weren’t interested. We successfully launched nationwide, and have saved people tens of millions of dollars in aggregate on their equipment.”

Q: What makes Trade My Stuff stand out for buying used Pelotons?

Ari Kimmelfeld: “We have over 2000 trained white glove delivery drivers who are doing deliveries each day. We have over 140 five star reviews on Google, and our top priority is making each customer happy with a six or seven out of five star experience, not only with our best prices, but with the white glove delivery experience. We also do hot tubs and saunas on a daily basis. People are saving thousands. In total, we’ve saved tens of millions of dollars for people who were buying used gym equipment, and our goal is really for people to be able to furnish their entire home gym for just the price of a new Peloton. So instead of spending $2,000 on a new Peloton, you can spend $300 on a used Peloton, also get a stair stepper, also get a treadmill, and get everything fully delivered, assembled, tested, and insured, and only spend up to $2,000 and get a whole home gym furnished. That is our goal. We wanna make it super frictionless. Our used Pelotons started at $499 with free delivery, going up to $699 for the third generation with free delivery. And since then, we launched a marketplace, and literally right now there is a Peloton bike listed for $180. This is not a joke, and you can get it delivered and set up, and we even offer a 12-month warranty. We offer all the accessories and all of that good stuff.”

Q: How did Trade My Stuff respond to Peloton’s $95 used equipment fees?

Ari Kimmelfeld: “The first thing we did when Peloton announced the $95 tax last summer was we announced that we were refunding the $95 activation fee and subsidizing the activation fee that Peloton was charging. Essentially what that did was, we were the only way that you could buy a used Peloton and avoid paying the $95 activation fee. Now they’ve reduced it to $49, but they’re also charging a delivery fee. What do you get for that $95 or $49? Absolutely nothing. All they're doing is charging a tax.”

Q: Why do you think Peloton’s approach differs from yours?

Ari Kimmelfeld: “Peloton is only interested in their cash flow. They have a lot of debt that they need to pay off because of mistakes that they made during COVID, and they want consumers to pay for it. So instead of making Peloton equipment more accessible so that more and more people can subscribe to their programming, they left prices extremely high. Our focus is strictly reducing the prices of used gym equipment, used appliances, used hot tubs all over the US, and offering same-day or next-day white glove delivery for used products. So if you want to pay with a credit card, you can do that now. You want to pay in monthly installments and save 90%, we make that possible. You don’t have to haggle with somebody and pay cash or Venmo on Facebook Marketplace or Craigslist, and you can get it delivered within a day or two and you can get a warranty. This service is truly unprecedented”

Q: Who’s buying used Pelotons, and where are they shopping?

Ari Kimmelfeld: “Let’s take a second and think about who is buying a used Peloton and where they're going to shop. The person buying a used Peloton wants to get their feet wet, probably never owned a Peloton before, has heard of the brand, wants something that’s high quality, and they’re going to look in the classic places. They might look at the Trade My Stuff marketplace or the Peloton Deal Tracker, where there are thousands of used Pelotons and can get it delivered with our white glove service nationwide, but they’ll probably look at Facebook Marketplace and Craigslist and try and negotiate the best possible rate. Peloton’s goal is not to offer the lowest prices to the consumer. The 30% fee artificially inflates the prices that are on their marketplace. So if I want to get a thousand dollars for my Peloton bike, I’m not gonna list my Peloton bike on the Peloton marketplace for a thousand dollars because I’ll only get $700. I’m gonna have to list it for over $1,300, closer to $1,400. Meanwhile, on Facebook Marketplace, I’m going to list that same Peloton bike for a thousand, and that Peloton bike will move a lot faster.”

Q: How will Peloton Repowered impact buyers and the company?

Ari Kimmelfeld: “The people that are gonna be buying from the Peloton marketplace are actually the people who were going to the Peloton website to buy new, and instead of buying a Peloton Bike Plus for the new price of $2,000 or $2,400, they’re gonna see the same Bike Plus listed for $1,400 and get it delivered within a couple of days because that bike is coming locally. They don’t have to wait for Peloton, which can take 4, 6, 8 weeks. Peloton sales year over year in this last year are already down 20%. Now imagine if every single customer will hesitate before buying new and look at the secondhand marketplace on the Peloton site, and save $1,500. The people that were buying used are still gonna buy used and get the best prices on Facebook, Craigslist, Trade My Stuff. The real incentive for Peloton is cash flow. They need to take 30%, they need to charge the Peloton tax for every single used Peloton that sells because they need the cash flow. They don’t care about the consumer.”

Q: Why choose Trade My Stuff over Peloton Repowered?

Ari Kimmelfeld: “For Trade My Stuff, we don’t have $350 million in overhead to pay, which is basically equal to Peloton’s gross margin every year. Our focus is strictly reducing the prices of used gym equipment, used appliances, used hot tubs all over the US, and offering same-day or next-day white glove delivery that delights the customer. We’ve been told multiple times that we’ve beat Bezon on delivery times and experience. When the focus is the consumer, the goal is to get the price as low as possible, delivery as fast as possible, and the service as good as possible. When the focus is on cash flow, you are really taxing the consumer for the benefit of management, and that’s what’s happening at Peloton today.”