Jennifer Hyman: Well, I think said by opening up the funnel, one of the primaries, primary ways we’re going to do that is by diversification of our marketing channels. So really just expanding the channels through which we reach customers. So we, like some other businesses had spend too much of our paid marketing dollars concentrated into the meta platform into the Google platform. And you’ll see us dramatically diversify our channel mix to drive additional traffic to the site. The other thing that we’re focused again on is content and a lot of that content is social first. So really driving, you know, the organic nature of our business in social channels, which is where brands are being built as it relates to the psychographic of our customer which is extremely wide.
There are 16 year olds who use Rent the Runway. There are 76 year old to use Rent the Runway. It’s about a woman who appreciates designer brands and who also has this busy life who are trying to optimize around for time. We do see our customers using us for work for special events for traveling for weekends. With the TAM, it has never been a problem for us. And so you’ll see us focus on this psychographic, which is a more sophisticated customer and leveraging more channels and especially leveraging kind of social first content in order to draw this customer ends. That’s really how you want to if you want a specific example, Blake, you know, yes, we know that many of our customers have many agents have careers. And we just this week launched a workwear hub on our site of merchandise content for them for different kinds of office environments.
Styling them for everything from a creative office to a bank to a tech firm differently. And we’re kind of speaking to the exact customer that we have, which is someone who wants a solution. She doesn’t have time to spend shopping. We’re able to cater to her via our content. And you’ll see us not only activate and what we’re doing on the site. But we’re also following this up with in real-life pop-ups that are focused on styling for we’re inviting her into a retail environment where we partnered with the celebrity stylists to help to style our customers around workwear. So it you’ve seen 360 degree activations across many different channels to address this really unique psychographic that we cater to.
Unidentified Analyst: And that’s interesting about the workwear segments you’re offering. Would you say that fits under your initiative improving the search tools? Because I know that was a big focus.
Jennifer Hyman: Exactly. So we have we started a significant focus in 2023 on product discovery, which is really like how do we help people figure out what those 10 items per month that they get from their respiratory subscription, which ones to Beach feedback and our customers want advice and they want advice for the specific use cases that they have going on in their lives. So in April, they might be going on spring break and they’re going to be up. So now they can go to clinic use case-based hub that we have on the site that provide real feedback of okay for their travel that they’re taking to some sunny destination here. All of the Luxe analysis that we’ve put together here are the key trends here are the key items that they need, they can go into the workwear hub and get styling advice and suggestions in that way.
So this is really about taking the discovery work. We did in 2023 and really taking it to the next level in 2024 based on the learnings that we had in ’23.
Unidentified Analyst: That sounds great. And then the last one was, I know you’ve given Q1 guide, but any color you can talk about on kind of how the months progressed in Q4 and what you’re seeing so far quarter to date?
Siddharth Thacker: I would just say we’re encouraged with the business we think where the reason we provided this guidance is because we obviously feel good about where the business is and the trends that we’re seeing are consistent with the guidance we provided. But there’s no color on kind of the monthly trends that we’re sharing at this point.
Operator: There are no further questions at this time. I would now like to turn the call back over management for any closing comments.
Siddharth Thacker: Thank you, everyone. I just wanted to reiterate that we do expect fiscal ’24 to be a really important year for Rent the Runway. We’re making significant progress on revenue on free cash flow and on becoming a significantly capital-light company. We’ll see you next cycle.
Jennifer Hyman: Thank you.
Operator: This concludes today’s teleconference. You may disconnect your lines at this time. Thank you for your participation.
