He started on the production line of a Skittles factory.
Today, he runs a $30+ billion fitness giant.
THREAD: The story about the founder flipping the fitness world on its head.
Today, he runs a $30+ billion fitness giant.
THREAD: The story about the founder flipping the fitness world on its head.
John Foley grew up in Key Largo, Florida.
His dad was a pilot.
His mom was a homemaker.
When John was ready for college, money was tight.
His father gave him the best advice he knew...
His dad was a pilot.
His mom was a homemaker.
When John was ready for college, money was tight.
His father gave him the best advice he knew...
Graduate with minimal college debt.
His father brought home an article from US News and World Report.
"Best Colleges for your Money”
John browsed the list and found the school with the best ROI.
Georgia Tech...
His father brought home an article from US News and World Report.
"Best Colleges for your Money”
John browsed the list and found the school with the best ROI.
Georgia Tech...
Georgia Tech had a program where students could pay their way through school by working while they studied.
John applied to Georgia Tech and got in.
He spent half of his time studying.
And the other half working a Co-Op at a Skittles factory.
John applied to Georgia Tech and got in.
He spent half of his time studying.
And the other half working a Co-Op at a Skittles factory.
In 1994, John graduated from Georgia Tech with a degree in Industrial Engineering.
He got a full-time job as a Shift Manager at M&M/Mars in Waco, Texas.
Sick of candy from his Co-Op, he transferred within Mars to work with dog food brands in Los Angeles.
He got a full-time job as a Shift Manager at M&M/Mars in Waco, Texas.
Sick of candy from his Co-Op, he transferred within Mars to work with dog food brands in Los Angeles.
3 years passed and John was sick of dog food
In 1997, he left M&M/Mars.
The World Wide Web was all the craze.
He wanted to become a Tech Executive...
In 1997, he left M&M/Mars.
The World Wide Web was all the craze.
He wanted to become a Tech Executive...
John got a job at Citysearch as Director of Operations.
It was a big change from making candy and dog food.
He loved working on challenging projects with smart people.
But John was intimidated...
He felt something was holding him back...
It was a big change from making candy and dog food.
He loved working on challenging projects with smart people.
But John was intimidated...
He felt something was holding him back...
Throughout John's 20s, he worked with many people who went to ivy league schools.
Coming from a public school, he felt inferior to his co-workers.
So, in 1999, he applied to Harvard Business School...
Coming from a public school, he felt inferior to his co-workers.
So, in 1999, he applied to Harvard Business School...
In 2001, John graduated from Harvard Business School.
He had a new level of confidence.
From there, he joined Barry Diller at IAC where he acted as CEO for several in-house startups.
He spent over a decade at IAC until he left for a better opportunity...
He had a new level of confidence.
From there, he joined Barry Diller at IAC where he acted as CEO for several in-house startups.
He spent over a decade at IAC until he left for a better opportunity...
CEO of Barnes and Nobles dot com.
His task?
Build a product to compete with Amazon's Kindle.
The Nook was born & quickly killed by the Kindle...
He lost the e-reader battle but learned a valuable lesson about the power of digital media.
It would change his career forever...
His task?
Build a product to compete with Amazon's Kindle.
The Nook was born & quickly killed by the Kindle...
He lost the e-reader battle but learned a valuable lesson about the power of digital media.
It would change his career forever...
One day John was at a boutique cycling class.
Music was blasting, the instructor was screaming, but John was lost in his head.
He looked at his bike and envisioned a tablet between the handlebars.
He saw an instructor on the screen and a leaderboard of cyclists...
Music was blasting, the instructor was screaming, but John was lost in his head.
He looked at his bike and envisioned a tablet between the handlebars.
He saw an instructor on the screen and a leaderboard of cyclists...
The Nook and Kindle were digital books paired with physical products.
John saw the same for fitness.
Digital fitness classes with physical workout devices...
John saw the same for fitness.
Digital fitness classes with physical workout devices...
In 2012, John left Barnes and Noble and started Peloton.
Over the next 4 years, he pitched 400+ VCs and 1,000s of angels.
Almost every investor said no.
Peloton was in 1st gear, slowly pedaling up the hill...
Over the next 4 years, he pitched 400+ VCs and 1,000s of angels.
Almost every investor said no.
Peloton was in 1st gear, slowly pedaling up the hill...
Frustrated with a lack of support from VCs, Peloton launched a Kickstarter which raised $300k from 297 backers.
It wasn't much, but it was enough to put Peloton on the map.
In 2014, Peloton raised $10 million from Tiger Global.
They had money.
Now they needed to sell bikes...
It wasn't much, but it was enough to put Peloton on the map.
In 2014, Peloton raised $10 million from Tiger Global.
They had money.
Now they needed to sell bikes...
The best way to grow Peloton was to get people to try out the bikes.
They launched pop-up shops where people could try out the bikes.
They launched in-person studios to film classes with professional instructors.
The more people they got on bikes, the more sales they made.
They launched pop-up shops where people could try out the bikes.
They launched in-person studios to film classes with professional instructors.
The more people they got on bikes, the more sales they made.
By 2019, they had sold over 500,000 devices and had 1.6 million members.
Time to IPO!
On September 26th, 2019 Peloton went public.
They raised $1.2 billion.
The first few months on the market were rocky.
Their stock price fluctuated, and investors were skeptical...
Time to IPO!
On September 26th, 2019 Peloton went public.
They raised $1.2 billion.
The first few months on the market were rocky.
Their stock price fluctuated, and investors were skeptical...
Then, the pandemic came around and changed everything...
Gyms closed and fitness enthusiasts started exploring other ways to work out.
Peloton sales surged.
From 2019 to 2020 revenue increased ~100%!
2020 to 2021, ~120%!
Gyms closed and fitness enthusiasts started exploring other ways to work out.
Peloton sales surged.
From 2019 to 2020 revenue increased ~100%!
2020 to 2021, ~120%!
Today, Peloton is a $32 billion company.
They have over 4.4 million users.
With a cult-like following logging over 1 million workouts per day!
They have over 4.4 million users.
With a cult-like following logging over 1 million workouts per day!
So what's next for Peloton?
John's goal is 100 million members.
It's an ambitious goal, but one thing is for certain.
There will be hills along the way, but you just gotta keep pedaling.
John's goal is 100 million members.
It's an ambitious goal, but one thing is for certain.
There will be hills along the way, but you just gotta keep pedaling.
As for me...
I've completed two Peloton rides in my life.
They absolutely kicked my ass!
I'm ready for round three.
I've completed two Peloton rides in my life.
They absolutely kicked my ass!
I'm ready for round three.
For more on the Peloton story, check out these resources:
• @reidhoffman - mastersofscale.com/john-foley/
• @guyraz - npr.org/2019/04/05/710…
• @reidhoffman - mastersofscale.com/john-foley/
• @guyraz - npr.org/2019/04/05/710…
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