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

Steve Yi: Yes, that’s also a very good question. Well, I think what you what you are hearing about it is a little bit of slowdown in terms of ambient or organic shopping behavior, because we have been in an environment where rates have been going up for the better part of two years. And so I do think that that in this case and in upcoming years what’s really going drive the market is the desire for growth that carriers are going to have. And our belief is that whenever there is desire for growth, I think the advertising spend will follow and be in proportion with that desire to grow. And so what you are gonna see is our carriers who have largest sat on the sidelines for the better part of two to two-and-a-half years really not growing their policies in force.

And so I think once target profitability is attained by a lot of these carriers, I think the growth pressures will start the build. And regardless of, I think, the amount of organic shopping behavior or behavior that you expect to see in the marketplace, I think the carriers are gonna invest in growth and the way they invest in growth is really through advertising.

Operator: [Operator Instructions] And with no further questions, we do thank everyone for joining. This does conclude today’s MediaAlpha Q3 2023 earnings call. And you may now disconnect. Have a great day everyone.