Dive Brief:
- Smart-home gym brand Tonal has named Darren MacDonald its new CEO, succeeding Krystal Zell who is stepping down for personal reasons, per a news release.
- MacDonald joins the fitness brand from Petco, where he served as chief customer officer and chief marketing officer. He previously managed Walmart’s U.S. e-commerce entertainment business and held positions with Jet.com, IAC and Avery Dennison.
- With the appointment, MacDonald also became a Tonal board member.
Dive Insight:
MacDonald is Tonal’s third CEO in the past two years.
The company’s last CEO, Zell, spent two years at Tonal — first as president and then as CEO after founder Aly Orady left the position and transitioned into the chief technology officer role.
“It was a hard decision, but I found myself wanting a break to spend more time with family (less commuting to SF) and to recharge my batteries after an intense few years,” Zell wrote on her LinkedIn page on Tuesday. Zell noted that her time at the brand marked a “pivotal period in its history.”
“I am incredibly proud of what we have accomplished together — from transforming our financial grounding while growing our membership with a focus on experience innovation,” Zell said in a statement. “I am confident that Darren’s passion for innovation and commitment to our members will continue to propel Tonal forward.”
Tonal has secured several rounds of funding over the years, including in March 2021 when it raised $250 million, which the company said valued the business at $1.6 billion, and in April 2023 when it raised an additional $130 million.
The change in brand leadership at Tonal comes at a challenging time for the personal home fitness industry. After experiencing growth during the pandemic when people were stuck at home seeking ways to exercise, the space has slowed. Peloton has faced its own challenges over the years. The company’s CEO left this year amid a 15% reduction in its workforce as sales declined.
And Activewear brand Lululemon last year discontinued its Studio Mirror division, which it had acquired in 2020 for $500 million. The apparel brand instead formed a partnership with Peloton.
