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BARK (BARK)

Participants
Mike Mougias Vice President, Investor Relations
Manish Joneja Chief Executive Officer
John Toth Chief Financial Officer
Steph Wissink Jeffries
Maria Ripps Canaccord
Call transcript
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Operator

Good day and thank you for standing by. Welcome to BARK’s Second Quarter Fiscal Year 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. [Operator Instructions] And please be advised, that today’s conference maybe recorded. you. Thank like Mr. conference now first to hand today, speaker to would over the your I Vice Investor Mougias, Mike President, Relations. Sir, the floor is yours.

Mike Mougias

Good second quarter welcome to earnings And afternoon, call. fiscal everyone. XXXX BARK’s

are webcast and call. shortly entirety Toth, today Joining of and a website, after its Joneja, be the call being conference the webcast on John will me is CFO. Manish and Today’s replay our CEO, available made

financial Investor results be a website. was this the press Additionally, can our release afternoon found company’s on Relations covering and issued

Before statements outcomes some we uncertainties more Please refer like and the SEC release. also we are measures. would to let future to differ. now measures on to remind non-GAAP could filings results today’s information regarding affect me and With discuss you following financial outcomes. that Manish. Reconciliation and risks begin, I certain over our today’s the that based factors of call, could afternoon’s forward-looking made are Also turn press non-GAAP in financial expectations our to this during the statements. to our call cause will current The actual information and call that, management’s on subject for results on to contained of are future

Manish Joneja

progress to our for how some strongly the like like rising the have year, chain topics a quarter same average we key and like in increase strategic a the provide of million from very and mind quarter the a the which several order last most business period the and compared by record drove perspective in an the COVID-XX to of last considering dog X.X record also our of on subscriptions, robust end, of channel of quarter, from an inventory on followed last quarter pets Beginning to quarter afternoon, underscored a quarter to sales and same sizeable priorities couple as how achieved seems period front today’s important resulted revenue of We continue John and highlights joining on across across earnings advertising. categories year. months, the order quarter. are Thanks, by costs walk online. especially report subscriptions, XX%. for We for figures from our resiliency some recent business high Mike, including that begin results, to delivered shipments second the good spending increase the remainder our been average of This increase in a would I’m for first value of healthy strong another financial of value. total digital top we $X.XX supply $XX.XX, growing to year. everyone. ownership, quarter’s in call. year gross fiscal a congestion, tailwinds, our please during our a benefit call metrics sector you you bringing our Thank XX% Furthermore, the million, through we some up I’d quarter, pet guidance I with am subscription million year-over-year. XX% increase fiscal levels, $XXX.X added growth and pages active shipments active These key on to with fiscal X.X increase delivered the and global namely to highlights $X.XX occurring model. very I and provide impressive, quarter. the company expanding year. XX% increasing compared results of margin will share report year-over-year compared a we of results last then performed are navigating our we what to strong total pleased delivered XXX,XXX last and update

to highly year significantly retail holiday At highly our of increased BARK LTV something As effectively companies return. only the managed advertising these following broader grows, $X a of not new we to-date annual approach perspective, segments of and have our profit, media material a customer content, to In result. well correct more efficiency are whole. you challenges of inventory an space, value social customers. a we apart in has cost marketing customers aware in many from are engaging a that many through an this are other target strong costs season. a our to tactical acquiring in significant reporting acquisition dog key to and LTV this sets roughly we up differentiator we which we gross we us to view, meet as spend customer marketing, increases attractive CAC every for previous media those dollar at positioned quarter, are generated In which and profitably unique demand we well Internally but X% we the marketing, X.X as resulted other a high and a business mouth just a words, strong CAC the in leverages in and as believe cost acquisition Xx, is that set. From our word quarter, expect times. positioned healthy data to the a DTC relationships, Last companies to very the of growing customer compared for spent LTV of was

our impact shipping retail for the increase congestion costs are on freight accelerated While the a likely half DTC this the during demand of year. meet team holidays, global ability product early many and to identified challenge back to the company’s of shipping and

that receive their could holiday U.S. and with impact for are subside season. needing, We potential already DTC expect future. result, we anticipate are the derisks shipments warehouses customers headwinds significantly rates congestion experiencing business we our our are the to often stocked in continue the with the manner. as in rising this Nonetheless, future not our these paying a on and holiday a that freight to on shipping foreseeable shipping timely costs As premium to fulfillment ensure increase for line, do our inventory we have

the continued we long growth our AOV, as health to are our in our are of which business encouraged well healthy However, of new subscriptions most LTV the as and view, important CAC in metric, term. by indicators

ahead, year. we’re optimistic strongest about customer Looking our is our meet going into ability what the to months traditionally of demand two

includes healthy the quarter season. spend beginning Super this BarkBox While stocks it encouraged some is I’d subscription, demand are with some current treat time holiday our which are themed categories, toys and Play our like consumer our and to still early of early discussing by days, we key and indicating signs to our Chewer. now business,

We shipments in order value. and see new growth continue to robust subscriptions, subscription average

still the grow. and addressable largest category. the have significant While roughly growth active the Play in in continues we this have XX market, believe the over a the category, our ended is we runway for million U.S. total million the households subscriptions quarter We business currently to X with dog

drive is from XXXX, recommend and compared and month. XXX% only compared of through simply, continue to newer that still a the mission quarter, Add-to-box sources. to us to as share drove This of Put items a innovative the in investments online. in of of Play jumped expected data business, a Last which roughly innings BARK subscriptions. to of XX% expected new that tailored in Food of our single channel ability half tailwinds win this up The by e-commerce and we occur therefore as products to opportunities we was best sales execute of to tools and through and to represented by same categories a sales. XX% our additional to with serve runway topline experiences to growth. Health can of the topline online to be nearly to will first that and functionality. cross-selling we made plan we XXXX, In existing and the beginning given period margins. $X we are XX% revenue their rising add-to-box them, to extent Our By we continue is invest occur growth recent last XXXX. but cross-sell and total Furthermore, each revenue, significant have materially and of see to X% feature compared first fiscal for our third-party add pet especially tailwind pet multi-line business like add-to-box dog trend over a offer bolstered XX% that Moreover, of early area, the number fiscal to a be XXXX shift as XXXX, analytics up this to long-term important sales the category. subscriptions will is a attach is feel The increase that these is according to this whole. fiscal to ATB just benefit half year. and strong we believe existing XXXX, half of our owners toy, we revenue a all machine underscored for continue continue our expect subscriptions. to Again, we sales driver online opportunity Through remains on fourth year quickly by In one dog significant. our revenue enable customers learning our and million to last as serve is highly DTC of are market

to up our BARK we continue are growth about. operation, ramp initiative we Eats on, very Moving a excited

pet your meal BARK age capability the For personalized premium food a tailoring highly Eats based has dog’s food BARK we by plan newer those subscription to by breed, lifestyle. market completely to size, is a and disrupt think story. that

needs high offering our we on price experience dog to highly several relationship that that a category matures remain and essence, customers purchase to We XXXX end innovative at Play similar Our a we executed launch have to a initiatives as affords product their the to higher achieve offering us product in dietary in that enable pet the target nationwide they point same important kibble In and retailer. have at objective. this evolves touch change.

First, demographic. quickly now wider our data a prefer don’t customers have purchase customer a appeal higher funnel customers. we or that to predetermined customers to do This on quicker hand. we from ability similar other a to to experience, have advisors wellness for of Customers And touch based the and better enhanced on experience. more to have prefer meal checkout and for a our user experience that dogs plan range nutritionist in want collected the speak upfront are our shortens nutritionists a

as are We will referral additional an acquisition also affiliate serve which customer launching program for and Eats, funnel. an

to feet. to ship to timely This in customers Second, BARK throughout center feet based XXX,XXX recently Lower expanded from our a expansion Eats fulfillment ability cost XX,XXX the augments our XX Ohio square effective square and significantly manner.

efficiencies, such operational certain introduced as automated also packaging. have We

team X Operating alongside Third, we Strife, as Co-Founder. grow Eats Officer the the XXXX works a the who expanding company BARK’s customer retention $XXX and the is of in one since toy roughly businesses joining Eats XXXX, massive. has BARK opportunity. dog Chief have the times is served now to order Eats between of Mike addressable have for and category. and in average billion that bolstered our U.S. is thus Carly food also leading $X value Novotny, supporting is Based in help market in Together, President since value. of key instrumental the Eats. BARK’s is $XX I’m Play perspective, food The excited market for category to million in The them dog revenue business been far, they resulting to lifetime To data billion to higher the the on than $X XX higher roughly billion. BARK is billion, discretionary, Eats less put while market also it and

opportunity selling field last across we hygiene vertical. an grow Turning in as the to time. would sell categories, the health stores. Bright, customer Health different BARK, more experience is you’re Bright on basis BARK product to Eats report standalone. offering average an PetSmart to expect enabling exciting attach to quarter. additional website a first is pleased our products like various able Subscribing our customers a another Currently, a to innovative to extend in a which item, as tool it also The and exciting initiative it we is we BarkBox. This and BARK an easily subscribers unified that our than One began I as value to for product as on I’m strategic retail attention. launched last subscriptions, through and our their product is called for multiple experience to channels. opportunity BARK. customer in well dental different products Bright offering offering sell meaningful on a believe to various one-off a subscription and as different add-to-box We opportunity DTC is over We touch broaden with order and to unique that current create vertical a experience. across and One is premium yet multi-line experience, product Health example, even customer BARK serves

evolving needs We Subaru calendar various an to is your it parent. dog, live not ability others in class leading with our product mentioned currently to have One subscriptions XXXX. in College as lean half name be easier but this power a as and we create offer and execute effort also evidenced BARK last been customers, Universal partnered you only confident joined experience the a this is are the across Donuts BARK of performance, XXXX Knoll and as by has brand many process BARK only in so time. easily of ongoing But with recent and call, BARK. and Warner NCAA am our to in partnerships And come. initiative. Netflix will world extended I strategic is your in experience Chewer brands NBA, this makes company dog periods overseeing and Meghan expect deepen other our the the remain the of have categories, rewards a few. to customers relationship The a our to highly that by To-date, The all key The will Brothers, have multi-line WWE, this first that that purchase Dunkin Studios, Super a her a us customers for positioning but that understand and of this with of initiative. also Football, demands effectively, business living and evolving This not of we full unified we into unified to with who

continued quarter, operations he chain Officer Amazon. During are ecosystem. operational effort. current Chain our is talent seasoned I growth closely of of global all efforts him O’Leary James the to we with to new is Amazon the leading our Chief two and support at in leaders, supply Tyler Supporting now invest Supply continue BARK Nair, Bronson. also and these James who from in comes help worked Anil

BARK’s years that Goods. of Olly Tyler While Bronson I’m also an the joined as is recently accomplished at Sporting Olly spent note XX the Dick’s with Data Downs at team excited machine previous expanding VP and Machine machine Learning. All-in-all, scientists user and efforts. experience learning lead ultimate lot are of of capabilities things will learning a BARK. and goal personalization the there happening exciting existing and data our

to We a have clip. our continues team class at healthy a place, world Play in vertical grow

a We customer will on have progress and are overall categories efforts drive our Collectively, impact revenue meaningful navigate congestion ability new Food we making I challenging with macro a increasing believe the team’s notable improving like across and the experience our the BARK help rates. ecosystem. we’re media across these costs, will shipping Health, and rising environment to am freight also retention categories. pleased and of customer the cross-selling on

While challenges, not already season for our product DTC immune we are these the to stateside. holiday anticipated inventory is

and of engagement Our conclusion, cost, native in strong margins brands customer the marketing acquisition remains continued we a our BARK teams remain a customer the effectiveness, our maintained digitally In gross world brand. underscoring strong dog and healthy today. one powerful largest

result at technology us foster both to to scale. in relationships benefiting meaningful that allows and stack customer Furthermore, are strong channel enable space. search. update of we I’d We secular provide which I over believe And our it tailwinds, from some before grow the in the to CFO in like NPS our us scores broader John, an turn on to retention consumer highest customer

meantime, appointed interviewed CFO Over is as quality a the the process with bring of with of In experience, familiar managing Howard for public believe and He strategic candidates business and responsibilities. we past and near-term. XX merger and close couple companies a John serve to advisor an we of worked will Northern has assist to will over and to very CFO the have reporting be was we in a company end, other he hand the will Interim to as that months, building the have senior With -- BARK valuable with in and we John. our Yeaton including personally I high you company’s this our we Star steady financial financial conduct I our are finance to in Howard years To closely us BARK. contributions day-to-day number a this the and during as to today. thank to and as that, over John’s employee his him where at ongoing will that infrastructure replacement be BARK search. full-time and the week strong get want turn call onboard company. a a permanent for crucial remain He last for helping will team.

John Toth

good and everyone. afternoon, Manish, Thanks,

are pleased quarter surge results, impressive we year. fiscal We the during all which growth considering report in to experienced more same the very period our second strong the are last

up largest recent subs, and strong and as channel from in million, we growing subscriptions and increase P&L, LTV of continued subscription a last at growth demonstrate recent to per average was customer XX% a results largely today. to a period the the new segment tailwinds in On results the underscored of compared order value. In shipment million, a $X.XX native was our Beginning of revenue This basis, our digitally in shipments, figures, growth at top retention XX% the benefit CAC. driven the one in XX%. direct-to-consumer very our increase well increase were view, as $XXX.X in order Our powerful by year. same total the world as healthy that the and $XXX.X brands brand, our revenue by revenue strength robust dog secular came

this the largely Super Chewer continued businesses. reflects of in performance segment growth Our BarkBox and our

as to reflects to these in up our shipping fiscal to we as was been business. that as BARK on and expected, year-over-year. However, expect scale between we categories first Revenue certain our partners’ products and revenue XX% shift $XX.X Target U.S. this our business, high containers the Food and selling into the stores TAM ability than slightly fiscal XX% our get such retail BARK lower Commerce retail second Eats, we time. tailwinds due in Bright our Costco our of million, Roughly provide already to was meaningful month experienced revenue which This in from launch a Commerce quarters, our third fiscal has quarter. shifted delays of segment, realized of in

vertically gross be of appears that this are with particularly of the lower expense, are margin revenue. topline rest loss a resulting contribution DTC results of the a underscoring while freight line of at $XX.X comparable our quarters, Gross Note to direct-to-consumer our significantly in rates margin. previous in thus accept was the are impressive experiencing. again, accompanied our because we considering the Once These requires and margins, the strong rising million, in world segment resulting they results in business we gross margin notwithstanding value to margin as gross XX%. basis, that in were XX%. that segment gross healthy So integrated a marketing came a opposed segment XX%, less true segment, Commerce a On gross Commerce a was profit model. by our shift margin

and macro network investing I by addressing team headwinds of additional has certain an of fiscal timing freight of shipments, call, As assets done excellent the partners. the our on self-fulfillment job optimizing improving focus these in mentioned the QX our

came rates with up acquisition subscriptions the also recent on, media added significantly the Moving our We’ve $XX.XX, CAC customer XXX,XXX our that new in impressed roughly X% quarter, figures only in we even to above prior quarter. compared at pre-COVID cost been levels. considering are

channel efficiency marketing new with of engagement million power our Total expenses to acquiring followers tactical media new in that to X management. team’s high speaks quarter. the the and these our social believe approach promotion to associated million customer and subscriptions our continue over our with $XX.X and marketing advertising was in brand, We

to by marketing coupled with a approximately very times. of customers efficiency, X healthy driven of budget note, is acquiring. our gross the lifetime marketing Our resulted our On team’s in we LTV value CAC strong that are margins,

we to and as average to churn to XX historic was previous of X% to in levels, see $X shipping we target we Xx churn we As a a categories. an churn. of we of that level basis approach below we these ratio our longer for every minimum data high the disciplined marketing with is foster as our and our shipment the value. strength customers a delays, term Nonetheless, $X X.X%, scores, during above equal customers if this see this result remember acquired last return from we able of as year. shipment investment. gross quarter, these as of these growing customer does points We average more COVID will stickier adjust surge improve varying and profit lifetime Manish historical well average that shipment NPS influences and remained is figure customer target, are differentiator CAC result quarter. The illustrated Also, of roughly of our become meaningful nature as our mentioned, term are the contributors expect key not relative we believe given to the relationships BARK. categories we or like LTV in leverage this retention the We deploy. and Health business, relatively as that Food marketing a for the Last the dollars by above subscription Nonetheless, short highly our relationships churn

period, if get look shipping previous chooses can defined other meaningful in churn shipping other subscription tie month. as to churn a the churn if we range. they churn, BarkBox every X.X% product rate the the would example, we customer month, revenue at to is and is think active a look our We as, in every a way For churn count at to customer XXX-day the therefore most the directly which metric If is the received P&L. as

was Moving a of G&A fiscal year-over-year factors. function on, several in versus quarter The the million $XX.X second quarter of last increase million $XX.X is the in year. total

increase million this volume First, of as increase well due rates. roughly shipped, $XX in year-over-year shipping higher is the as million $XX to

Another million to public newly or in approximately we in of a including professional $X.X is administrative income and lines. a due new And technology launch scale change Other compensation, increase other as which the remaining costs being the to fair was continue additional warrants compensation, $XX.X to which in note million outstanding is business associated our the expenses. and and associated and with insurance, general of stock-based at outstanding quarter. the during in came $X.X an and million company, million is reflects the value combination period. invest people Interest million, expense, of $XX.X our in convertible with legal fees, $X.X roughly $X million demurrage

million, outstanding the net the in adjusted second income As a loss, loss which compared one-time same $X.X last net income of result, last of negative other On a lastly, and adjusted an was period year. stock-based adjusted million to for quarter. year. to impact net million, $X.X of EBITDA in the excludes compared GAAP was basis quarter the million items positive in the $X.X quarter compensation, million And was $XX warrants $X.X

and assets at will and products, XXXX expect for operational in fiscal BARK, As we’re investment scale. our we that years BARK other I technology previous enable XXXX, to call, on investing grow a people, mentioned

I’ve and categories profitable our before investments. these As mentioned already help Play subsidize

the Health to confident scale ability our and our take our our to share are to we opportunity long-term. Given in margins Food strong profitably verticals, market in in business and the medium-

sheet, the balance quarter cash. we Turning the ended million of $XXX to with

certain and quarter, the As us investment the of additional securing guidance of year-over-year. $XXX meet the the subscription inventory remainder quarter now holiday season to mentioned, made DTC of demand provide congestion season. the including This fiscal with like in of we the freight inventory significantly is Manish working base. potential intended of We reduce second growing effects I’d enable investments our total a year. up holiday to for ahead capital fiscal XX% ended to million, the to second

We and and costs monitor macro ongoing freight continue the environment have higher and bottomlines. that shipping rising public the company factors could congestion, costs, those fulfillment top and to on of impact our

see the the year $XXX risk again While million for to back in given full guidance revenue volatility optimistic, we the macro to the remain due of we roughly December, X% environment.

to versus quarter shipping fiscal of delays expect shipping For largely is On $XX.X costs, higher the a fulfillment to expect associated million million revenue basis, the shipments congestion. full shipping with ports we $XXX delta increased negative our broader adjusted previous and potential third we and guidance $XX include fees for rates, customer decision million between offset demurrage of between year which result and total The our to be and loss an $XX of certain million. $XXX upgrade currently million EBITDA XXXX, the fiscal XXXX.

these expense factors our represent of to incremental $X net $X to roughly million million expect We to profit. contribution

as increased of the insurers, seeing the a merger expected associated filer public from expenses result with demand associated Star with to of associated additional rising the large insurance with Secondly, a than Section higher a we include accelerated These D&O Northern company. requirements XXX(b) fees BARC. year. certain to comply with and be of timing Act. of as and newly represent costs our being audit Expenses these expenses result with secondarily, shipping are is in being time next To newly it macro And of costs. associated summary, the an roughly we to conclude, the at Collectively, reoccur of is million public In fees expenses. company. with Sarbanes-Oxley a headwinds largely change guidance in increased fulfillment incremental not $X preparing expect exciting

the to continue XX% challenging to year. year-over-year fiscal topline in Notwithstanding comparisons face the we coming year range. our into We per the XX% grow

strong. is margin gross Our

factors, economics and We these position opportunities opportunities excellent part, to are to our our unparalleled team. BARK and position strongly grow He Operator We for the is call a to ahead, the of developing runway, native Health view, healthy the time. sheet, on Q&A. and attractive that, brands terrific capitalize one joining like exciting larger affords unique over the largest afford excited an dog for with Food be is attractive will my coupled us the turn and to digitally our balance the Howard believe significantly for relationships. very In company over TAM with addition. highly With business I customer to I’m our

Operator

much. of is from first Jeffries. Instructions] the line you from Wissink [Operator very Thank Your question Steph

is open. line Your

Steph Wissink

My what’s for to is wishes Thank you. your you, best back go-forward, and that the off for is to in your LTV on and that everyone, saw the either are with John CAC, of been half? X.X of working you. CAC of you change question It’s times half assumptions you. sort any costs Thank first the actually a in guidance what embedded pleasure we

John Toth

at Thanks. Thanks you. Back so Steph. much,

go to LTV times products. up We continue as the can target between to LTV new and X somewhere ratio, to X addition as CAC up CAC so see times you AOV goes in with

try and continue We real to nimble. stay

Will media secular in more that to to We’ve increase as adjustment. the see our been able and to seasonal really great is QX going with Meghan not more every fend up. higher, off managing the Layered because everybody’s market. going, seeing because onto increase, the go everybody’s rates is secular business. be going at You’re year that are

to increase Does in than your returning I That for right level non-seasonal suggesting question? see in that to a if sort of much expect about kind see don’t QX. we So it CAC. of then to that sounds seasonal a you’re and me. speak XX% more

Steph Wissink

the on It statistics wanted And I the out-of-box, very bit I does. is and existing when to you complement quite seems but just fare like us start of data us calls. small chance to profitability you versus as still, call you with does how business more ask little prior I terms core could a share a that business. just That’s give a relationships? it’s quick incremental question to that Could in talked driving with at it if share of through value as of mean, the some quite a customer on well. about behind piece you of look this it powerful business your business how helpful. you that or bit a It

Manish Joneja

Sure. Hey, Steph. Yeah.

machine works So that cross-selling. is especially the that have and engines upselling we your you work What collected add-to-box right we as for the now, dog. about think data have it way do it we learning on and

well So of to and we that selection as that Bright, curated margins. toys added that have now surfaces leads to gross as higher Eats

about two higher treats in since to example, a or or or BarkBox shipping to toys same shipped if box. significantly think box, Chewer chews or it. margin you you’re For the add three That’s able it Super

we a way you’ve AOV And add-to-box. increase the $XX same that’s quarter-over-quarter, year about if continue we’re that to our over think seen last So quarter. the

So on improving pretty bullish we in further. optimizing and are

Steph Wissink

Thank you.

Operator

of the is Maria line question Ripps of Your next Instructions] [Operator from Canaccord.

Your line is open.

Maria Ripps

among lot your some you just Can maybe the Thank versus we of talk to them volumes? do expenses of your my absorbing a base? Great. sensitivity for you about drive elevated thoughts your price see questions. subscribers around taking in passing customer here near-term these And to higher

Manish Joneja

Manish. start I’ll This is and add. can Maria. John Hi,

there ties of offset So, overall from costs and had. This prices we the choices, conversation believe ways we rising add-to-box of just test. at ecosystem raising continue the is cross-selling variety retention. simplest are CAC bass starting and to back to to to We which that look I

focusing really lever. Now average we is value found on a good order

ATB resonate ability and Downs, AOV and who drives cross-sell as you and So if machine product in we that the joined I higher gentleman Olly it team is via well continue with to engines, which margin. mentioned, on, has smarter revenue stronger driving to recommend learning improve focused fact our

continues to optimizing way those rising offsetting you costs. seen, and AOV and to we leads AOV are and higher that’s ATB the our grow margins which our As

Maria Ripps

Got Manish. you, it. Thank

John Toth

I sure much… have not I’m Yeah.

Maria Ripps

Yeah.

John Toth

the add so pervert a to -- and -- consumers that. to that price value prefer not add to to and really We price that a box increase value-add expansion, margin and get a increase net … pass-through. just make net custom

don’t are always increase -- between We’re we a we’re input like so looking right anticipate the and the relationship where but good price this increases of time, flat now. list feel we we’re evaluating and that. We’ve some at feel price about optimum constantly and managing LTV pretty cost just at we’re

Maria Ripps

subscription EBITDA positive And was helpful. that Play vertical with very last us That’s John, shared adjusted it. your Got year. you

segment for sort that to your is rolling that given accelerated, that that? is a hear are out on path great of here? do So it And is take you long you may profitability? to if sort to profitability to your So for segment of assume fair think lot thoughts how could achieve opportunity this it be there would cross-sell of I be

John Toth

enable growth you to opportunity at product, it. to efficient so such Yeah. than used question faster. marketing faster. existing line because grow pour and level a you a to companies to we that million be we the TAM. to food And gross We marketing the your cross-sell we affords profitable product margin customers, it opportunity do and higher point, income the million much in what social becomes our followers, are into us offering if really our for the allow the how get be X will, expect like our have profitable us operating The It’s structure other to personalization, marketing and more the X to and this have big of

scale to moving fast. We’re

So we of can. want millions quick as be this we to business dollars of as hundreds

budget more faster absolute business. with I be dollar than to against us even So our a Play healthy profitable should a it efficient the expect much economic unit On have core marketing a business. basis, marketing,

Maria Ripps

of Got it. Thanks a John, lot luck. and best

John Toth

Thanks, Maria.

Operator

other queue. I Thank you. longer no any am on the seeing questions Speakers,

Manish Joneja

you. Thank Great.

Operator

today’s you conference much. This joining. Thank concludes so Thank all you for call.

now disconnect. may You