BARK, Inc. (NYSE:BARK) Q3 2023 Earnings Call Transcript

Matt Meeker: Yes. Not a specific timeline, but if you will see it. It’s not — we don’t feel the best way to bring this out is to work on it under the covers for a long period of time, and then just debut a whole new platform. And so we’re bringing this out day by day, little by little and learning how to sell in new ways and learning how to introduce new products in new ways. So if you look at the food platform right now, food.bark.co, what you have there is we’re selling the core kibble and the food on that breed-based approach. But we introduced new products there as well, like food toppers, so still in the food family, treats, and soon you’ll see our dental products start to appear there. And now we’re starting to move more and more into having all the products on that platform.

And the platform is really where we’re getting the leverage, because it is — it’s far more flexible, much easier for us to optimize and improve on. And we’re seeing those day-to-day gains in our conversion rate and our cross-selling ability. And so we’re taking it one step at a time moving those products over, but it’s going rapidly. And then we’ll have the, I’d say, the window dressing of, there’s going to be a date where we changed the URL from food.bark.co to bark.co, create some new navigation. But you’ll see in the coming weeks, changes start to be made there, especially new products being introduced.

Ryan Meyers: Got it. That’s helpful. Thanks for taking my question.

Matt Meeker: Thanks.

Operator: Thank you for your question. The final question is from the line of Ygal Arounian with Citigroup. Your line is now open.

Ygal Arounian: Hey, good afternoon, guys. And apologies if I address this, but jumping around a few calls, but I just want to kind of come back to the demand environment, I think some of the credit card data we’ve — you’ve been following this in surveys that we’ve seen suggest that the pet category remains resilient in this kind of environment and obviously there’s a little bit of a step down here? Are you seeing something different or do you think this is more broad-based? Is the subscription component of the business? And I know people can turn on and off. Is that a factor? Just how should we think about that? And how do we get back to a rebound? Is it just the macro environment improving? Are there other things that you can kind of put in place to drive some improvements in the demand environment?

And then second, it’s very related. Your LTV to CAC is still — it’s strong, it’s improving as your (ph) goes up and your cross-selling on these products. But how do you think about marketing spend in a softer environment? Do you slow down marketing? Are you a little bit more cautious on it? Do you step into marketing to keep demand higher? How do you think about that LTV to CAC in that environment? Thanks.