Zip snaps up Peloton partnership as Affirm exits Australia

Leading buy now, pay later (BNPL) platform Zip has announced a new partnership with trailblazing fitness platform Peloton.

Zip Co (ASX:ZIP) today announced a brand new partnership with Peloton Australia, bringing its financing option to Peloton customers nationwide.

Former competitors Affirm exited the Australian market in early March and Openpay going into receivership a few weeks before that, Zip seized on the opportunity to continue leading the BNPL charge in Australia.

With Zip seeing a 24% increase in users splashing out on gym and fitness purchases in the last half of 2022, Australians can now benefit from Zip’s innovative financing products on new purchases of the Peloton Bike and Bike+, as well as the newly launched Peloton Tread.

Zip Money will be available for Peloton customers, where they will have access to a 43-month interest free period for purchases on Peloton products; something that has never been done before.

Thrilled by the partnership

“We are thrilled to announce our partnership with Peloton in Australia, and offer Zip customers a flexible and transparent financing option for Peloton’s products,” said Zip ANZ CEO Cynthia Scott.

“By giving customers the ability to achieve their fitness goals in a way that best suits their financial needs with 43-months interest free, we are giving them the confidence to spend on the things that matter most to them.

“This is also incredibly timely, with shifts in spending habits and preferences in a post-pandemic world becoming the new norm. For many, that means incorporating online workout subscriptions and at-home sports equipment into their fitness routines, over traditional gym memberships.”

Peloton Australia’s Country Manager Amanda Gilmore said the company’s mission is to help people be the best version of themselves, by making it easier to access world-class fitness and wellness content, removing many of the physical and mental barriers to exercising.

“Australians will now have the opportunity to purchase our leading connected fitness products using Zip Money, giving them the opportunity to buy now, pay later,” said Amanda.

Late last month Zip announced the divestment of its Central and Eastern Europe, and South African businesses, which is expected to generate cash inflows during the second half of this financial year.

In February the company reported record revenue figures and the second half of 2022 saw Zip partner with a number of significant Australian merchants, including eBay Australia and Jetstar.

This article was developed in collaboration with Zip Co, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.