Peloton is raising subscription costs for the first time but simultaneously slashing the prices of its workout equipment to make its products more accessible to customers. The move is an attempt to regain market share that was lost during the COVID-19 pandemic. Although the economic slowdown initiated by the pandemic affected nearly all industries, Peloton was hit particularly hard. The company miscalculated its supply and demand numbers, forcing it to cease production for a period of time in early 2022.

Those factors have contributed to a dire situation for Peloton — over 2,800 employees were fired in February, alongside the company’s then-CEO — which sparked rumors of an acquisition. Amazon, the tech and shipping giant with a breadth of capital, was a seemingly-perfect fit. However, the heat dissipated on an Amazon-Peloton deal, and the company now wants to revive itself by increasing subscription costs, while making hardware more accessible.

Related: Peloton Reportedly Sold Rusty Bikes To Buyers On Purpose

Peloton is hiking subscription prices in North America starting June 1, 2022. In the United States, the All-Access subscription will cost $5 more per month, increasing from $39 to $44 dollars monthly. In Canada, the same All-Access membership is up by $6, going up from $49 to $55 per month. Peloton attempts to justify the price increase by noting that the membership fee has been unchanged in eight years of offering its services. In that span, the company has instituted more workout programs, workout types, instructors, and classes. International markets will remain unaffected by the price increase since they have not seen the same growth.

Peloton Bikes & Treadmills Are Now Cheaper

Woman running on a Peloton treadmill

Peloton is also attempting to lure new users by lowering costs for its most popular workout equipment — bikes and treadmills. The original stationary Bike costs $300 less, coming in at $1,445, which includes a $25o initial setup fee. The Bike+ is a more versatile version of the stationary bike that features a rotating screen to be used in other full-body workouts and is $5o0 cheaper, now retailing at $1,995 including the same setup fee. The company’s Tread, which has faced intense scrutiny for design flaws leading to the death of a child, also has a lower price — it comes in at $2,695 including a $350 shipping and setup fee — and is now $200 less than the original price.

Peloton’s justification for the price increase is valid, at least on paper. The company says it offers more than 80 types of workout classes in 2022, compared to just five types of classes when the service launched in 2014. All the while, the subscription price remained at the same monthly rate. However, the new subscription costs are still a tough sell for users looking to enter the Peloton ecosystem. Financing plans for a piece of Peloton workout equipment can result in a monthly payment north of $50, which doesn’t include an All-Access membership. Once the cost of the subscription service is added to the cost of the equipment itself, it’s easy to end up paying over $100 per month. Compared to a gym membership — which costs significantly less monthly and provides more flexibility — it’s hard to see Peloton’s price restructuring moving the needle for buyers on the edge of entering its ecosystem.