Peloton's success in reinventing the space hinged on three core factors:
- Spotting the opportunity: Foley's own busy schedule and personal habits didn't allow him the flexibility to book the best instructors at the best boutique studios at the perfect times. This led him to consider how he might create that same intense and motivational experience with more flexibility. He needed to deliver the equivalent quality of engaging content in a new way that didn't require him to be across town at exactly 6 a.m. Foley successfully translated a real-world personal need into a new entrepreneurial idea, creating a new lifestyle category of fitness.
- Understanding the value of community voice: Built into the design of the Peloton experience are user interaction, gamification and instructor feedback. Users are prompted to share achievements online, join social media affinity groups ranging from LGBTQ Ally Group to the Peloton Moms Book Club, and follow star instructors online. Peloton relies upon customers' connection to their communities to encourage engagement frequency, which retains customers and pleases Wall Street.
- Grasping the enabling power of technology: Technology is woven into every element of the Peloton experience, from the recording and streaming of classes, to the touch-screen stationary cycles to interaction between active users and instructors to the capacity to share experience seamlessly via social media. Technology not only drives engagement, but also locks in customers.
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