Pelotone Ad Costs Company $1.6 Billion

by DABK
7 replies
https://youtu.be/F72RvkJuLsU
This is the link to an ad that seems to have reduced the value of the company by $1.6 billion. The company seems to think controversy as it is still standing by it.

What do you think? Can learn anything from this?
#$16 #ads and controversy #billion #company #costs #pelotone #pelotone bike ad
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  • Profile picture of the author Kay King
    I think it is a Pelaton driven 'controversy' - that media (and forums) are buying into. It's a 'first world problem' - which is to say, ridiculous waste of time/energy/attention.

    My view of a stock that would drop 10+% quickly based on a bad commercial is ....the stock is perhaps bloated and over priced to begin with....

    Social media - political correctness - and what is basically a way overpriced indoor bike....would not buy the stock...or the bike.


    Smoe will 'learn' there can be a downside to manipulating social media - others will fall for the next big dramatic moment in advertising.
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    • Profile picture of the author DABK
      I think they're overpriced (the company stock and their bikes). But I still find the whole thing interesting. Am always on the lookout for a chance to go against political-correctness or dumb-assery and make some money. Unfortunately, I'm not big enough to take advantage at this level. I mean, I'm not even into exercise bikes, so can't even begin to corner the market. Still, it's interesting to think about doing it. Worst outcome for me: keeps dementia at bay.



      But, maybe, others can learn something all the same.




      Originally Posted by Kay King View Post

      I think it is a Pelaton driven 'controversy' - that media (and forums) are buying into. It's a 'first world problem' - which is to say, ridiculous waste of time/energy/attention.

      My view of a stock that would drop 10+% quickly based on a bad commercial is ....the stock is perhaps bloated and over priced to begin with....

      Social media - political correctness - and what is basically a way overpriced indoor bike....would not buy the stock...or the bike.


      Smoe will 'learn' there can be a downside to manipulating social media - others will fall for the next big dramatic moment in advertising.
      {{ DiscussionBoard.errors[11563588].message }}
  • Profile picture of the author Kay King
    I could be wrong ( that has happened many times...) but my view of this one is that it is a fake controversy.


    The reasons for being 'outraged' seem forced and my guess is the Peloton folks hired some so-called influencers to complain....
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  • Profile picture of the author shawnlebrun
    Think this many people are talking about Peleton without the ad?

    Definitely not.

    The only way to get more eyeballs to your company, and more revenue... is
    to stand out and get noticed.

    The ad did that for them... much like the Nike ad with Kaepernick.

    And most of the time, if it's not an ad that leads to overwhelmingly negative
    feelings... a huge increase in eyeballs will ultimately lead to more sales.

    Since it's perfect timing... right around the new year fitness rush... I'm willing
    to get that the ad and the talk about it will give Peleton its most profitable quarter
    it's had.
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    • Profile picture of the author Virginia Sanders
      You are absolutely right. They will get a big boom out of this advertising conroversy and make a bundle.
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  • I get what you's are saying about the fake controversy, but it's not as if this type of thing doesn't happen on its own in this day and age. It's interesting nonetheless. "Attention" is what it is; good or bad, it's still attention.
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  • Profile picture of the author ChrisBa
    Yeah that's interesting. Didn't expect it.

    What I think is funny, the wife from this commercial is now in a vodka commercial for Ryan reynolds vodka company which looks like it ties in directly to the peloton commercial.
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