The global pandemic continues to expose challenges of the modern supply chain. Businesses are seeking to reshore and onshore operations in the U.S. with a location that provides an open, secure, and cost-effective home for their supply chain. This change presents a generational opportunity to build a future that reflects the full potential of Ohio and Ohioans.

Ohio has a large, comprehensive manufacturing industry of innovation, ingenuity, partnerships, and grit that took generations to build. The state’s manufacturing legacy and expertise produce a skilled labor pool. Additionally, Ohio has the programs and infrastructure to support new production facilities. Being a one-day drive to over 60% of the U.S. and Canadian populations, Ohio has quick access to numerous markets.

After conducting a nationwide search where Peloton evaluated numerous potential sites, they landed in Ohio because Troy Township delivers the right state and local partnerships along with the outstanding talent needed to build its team.

 

The Story of Peloton

Peloton is the leading interactive fitness platform, with a loyal community of more than 6.2 million members.

In an effort to create an even better Member experience, Peloton began establishing a strong foothold in the U.S. to manufacture Peloton Bikes and Treads to complement and diversify the company’s existing manufacturing capabilities in Asia and within its other U.S. manufacturing facilities.

 

Peloton Chooses a Home

After a rigorous selection process, in May 2021, Peloton announced that it would build Peloton’s Output Park (POP), a state-of-the-art manufacturing facility in Northwest Ohio’s Troy Township, about half an hour south of Toledo. Peloton’s first U.S. manufacturing facility will produce the company’s award-winning Peloton Bike, Peloton Bike+, and Peloton Tread starting in 2023. Peloton will invest over $400 million throughout the multi-year development and create over 2,170 news jobs at the new facility. The new facility enables the company to onshore manufacturing with access to an existing supplier network, speed to market, and an effective cost structure. Now Peloton can meet increased demand, reduce logistic costs, and support speed to market.

 

The Easy Onshoring Plan for Peloton

As a renowned name, Peloton had a lot of sites and states to consider. So, why Ohio? JobsOhio and our partners laid out a four-part plan to help Peloton succeed quickly:

  1. Central Location for Logistics Advantage
  2. Development-Ready Sites
  3. Talent Pool with Best-In-Class Manufacturing Expertise
  4. Partnerships and Collaborations Built to See Peloton Succeed

 

Central Location for Logistics Advantage

To reach customers (and suppliers for parts) easier, Peloton’s investment in Ohio made it easier to do both. With a one-day drive, companies have access to 60% of the U.S. and Canadian populations. Ohio also offers road, rail, ports, air infrastructure, and foreign trade zones to make moving goods, products, and materials easier for companies. Now, Peloton will be closer to customers, saving it time and money on production and shipping.

 

Development-Ready Sites

To expedite construction and save cost, Peloton chose a SiteOhio authenticated site in Northwest Ohio for its investment.

SiteOhio is a JobsOhio program that goes beyond the standard certified sites process. SiteOhio puts properties within industrial zoning through a more rigorous and comprehensive review and analysis than any other state site certification process in the U.S. SiteOhio authentication guarantees that all utilities are on the property and have adequate capacity, that due diligence studies are complete, and that all state and federal entities have provided concurrence with the investigations.

This means companies like Peloton can start construction immediately without worrying about the financial and time investment or hassle associated with site vetting. With a site pre-certified, Peloton will be manufacturing in the U.S. many months faster.

 

Talent Pool with Best-In-Class Manufacturing Expertise

One of the most significant challenges across the country is finding the skilled talent needed to build success. The best sites are also centrally located to talent pools. That’s where Ohio helps companies excel.

Ohio is built on a legacy of manufacturing. Ohio’s manufacturing sector employs nearly 700,000 skilled individuals, the third-largest manufacturing workforce in the U.S. This surplus means there are more dedicated, well-trained workers in Ohio. Peloton could find quality workers to make products that could meet its standards.

Ohio has dozens of trade schools, technical centers, job training and certification programs, and colleges and universities specializing in current and rising manufacturing needs. Moreover, Ohio and JobsOhio have services and incentives to find talent easier.

 

Partnerships and Collaborations Built to See Peloton Succeed

Partnerships are the cornerstone of helping businesses succeed in Ohio.

JobsOhio understands the importance of working collaboratively with a wide range of organizations and cities to put Ohio’s best opportunities forward. Ohio has a unique network of economic development entities consisting of JobsOhio at the state level, six regional economic development organizations, and hundreds of local economic development organizations that collaborate on solutions for companies and drive economic prosperity across Ohio – like Peloton!

Peloton’s investment wouldn’t have been possible without the partnership between JobsOhio, its Northwest Ohio regional partner, the Regional Growth Partnership, the Ohio Department of Development, the DeWine-Husted Administration, the Wood County Economic Development Commission, the Ohio Department of Transportation, and local utility partners.

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