Dive Brief:
- Peloton has named Charles Kirol its chief operating officer, a new role for the company that will report to CEO Peter Stern. At the same time, the company appointed its current chief emerging business officer, Dion Camp Sanders, as chief commercial officer, the fitness tech and equipment company announced Wednesday.
- Kirol, who joins Monday, will lead supply chain, IT, cost management and other operations functions. As a result, Peloton’s current chief supply chain officer, Andy Rendich, will exit that position and serve as an adviser through the end of the fiscal year.
- Peloton is also searching for a new chief information officer to manage the company’s IT strategy, operations and infrastructure. When hired, that person will report to Kirol.
Dive Insight:
Peloton’s leadership shakeup is part of the company’s overall turnaround efforts, which are focused on driving innovation, connecting with customers through more channels, improving customer service and managing its costs better.
With the addition of Kirol to lead operations, Peloton is bringing on a longstanding retail vet who most recently led operations and technology for iRobot. Kirol’s experience also spans Sensata Technologies, Stanley Black & Decker and GE Capital. He also holds the rank of Rear Admiral in the U.S. Navy Reserves and leads a team of 3,600 logistics professionals, the release noted.
“With his extensive manufacturing and operational experience across both the private and public sectors, Charles has a proven track record of leadership that will be invaluable to Peloton as we continue to transform our business and work to empower millions of Peloton members to live fit, strong, long, and happy,” Stern said in a statement.
Stern himself joined the company recently. In January, the executive — a subscriber to the company since 2016 — became its new CEO, bringing with him prior experience at Apple Fitness+ and Time Warner Cable.
Peloton has been on a long turnaround path. The company has been trying to reposition itself as more than an exercise bike company and reach new customers. It changed its brand identity and introduced a variety of new tiered content memberships in 2023. In December, the company debuted Peloton Strength+, a stand-alone app for strength training. And earlier this year, the company began selling its apparel and accessories through Target’s third-party marketplace, a move it made after striking a similar deal with Nordstrom last year.
It remains to be seen whether Peloton’s rebranding efforts will result in a resurgence for the company. In its most recent quarter, revenue dropped 9% year over year to $673.9 million, while its connected fitness revenue plummeted 21% from the previous year to $253.4 million. However, the company narrowed its losses, with operating loss improving from $187.1 million the previous year to $45.9 million and net loss likewise moderating.
