Peloton's CMO Leaves After 11 Months to Join Verizon as Chief Marketing Officer
Leslie Berland, formerly the CMO at Twitter, has left her position at Peloton after 11 months to become the head of marketing at Verizon With her extensive experience, she aims to revitalize the fitness brand
After just 11 months of being part of the struggling fitness brand Peloton, CMO Leslie Berland has departed to assume the top marketing position at Verizon Communications, the American telecommunications giant.
Berland had joined Peloton in January after serving as the CMO at Twitter for seven years, which is now known as X after Elon Musk’s acquisition. She is set to begin her new role at Verizon on 9 January 2024.
During the pandemic, Peloton experienced a surge in revenue of 99.5% as more people chose to exercise at home. However, this rapid growth proved to be unsustainable, resulting in significant losses of $2.8bn (£2.3bn) by the end of June 2022. Berland was brought in to overhaul the company and in May, Peloton announced a major rebranding effort aimed at reigniting growth. She emphasized the importance of this initiative in an interview with Our Website, calling it "critical".
The business aimed to shift its image from being seen solely as a home exercise bike company to that of a fitness lifestyle brand. Despite the relaunch, it didn't view its brand campaign as a long-term strategy but rather as a snapshot of where the company, product, and community stand at present, according to Oliver Snoddy, Peloton’s VP for global brand. There was no increase in Peloton's marketing spending for the revamp, but instead, the company opted to allocate a significant portion of its investment in diverse and innovative ways, said Berland.
Peloton faced a challenging task to rebrand after facing multiple issues. The brand recalled 2.2 million bikes in May 2023 due to seat breakage and injury concerns. Additionally, a Peloton bike was featured in a scene in the Sex and the City reboot where the character Mr Big suffered a heart attack, leading to a PR crisis for the company. In an attempt to manage the situation, Peloton quickly released an ad featuring the actor Chris Noth, only to pull it shortly after when sexual assault allegations surfaced against Noth.
The decision to refocus on its app and fitness classes made sense for Peloton as it sought to distance itself from its troubled products. In a statement, Berland expressed confidence in the "power of Peloton and its future."
She mentioned that they rejuvenated the brand, broadened their influence and importance, and connected with potential customers in new sectors and demographics. Although she feels both happy and sad about the move, she is looking forward to the future and is reassured by the fact that the proficient and enthusiastic Peloton marketing team will carry on the crucial task of showcasing the magic of Peloton.
CMO Hans Vestberg of Verizon praised Berland's skill in transforming the marketing strategies of some of the most well-known brands, ahead of her joining the company.
He added, "Her blend of creative talent and business expertise will be instrumental in guiding and expanding our marketing strategy as we capitalize on our upcoming growth phase."
Berland will be in charge of overseeing the global brand and marketing strategy for the business. She expressed, "Verizon's brand is at a thrilling turning point as the essential need for human connection has never been more crucial."
The replacement for Berland at Peloton has not been confirmed yet. The CEO of Peloton spoke highly of Berland, stating, "In a brief amount of time, she rejuvenated our brand, expanded our influence and importance, and improved our team dynamics."
