Williams-Sonoma, Inc. (NYSE:WSM) Q2 2023 Earnings Call Transcript

Marni Shapiro: Thanks, guys and Laura, that LoveShackFancy has taken over TikTok. Congrats on that. Can you just touch back again on the pricing and promotion? It seems from being in your stores and on your sites on a very regular basis that you’ve taken a very focused and consistent view on pricing on furniture and not really promoting on furniture, where it’s a considered purchase. Somebody is not passing your store and saying, oh, I think I want to update my couch today. It’s a considered purchase and you’re pulling promotions where you’d need to in things like seasonal, holiday, even something like a throw or something like that, where a consumer might be on your site and say, oh, you know what, 20% off, I think I will buy that. Is that sort of the path forward? Is that how we should think about your use of promotion and pricing going forward for the brands?

Laura Alber: Yeah, it’s an interesting comment, Marni. And I think you’re right about consider purchases versus things that just inspire you to buy, but we’re not actually actively doing it that way. We’re looking at, as I said earlier, what’s the best price for the product in the market and how do we win and really being self-critical to constantly improve our pricing value equation and sometimes that means reducing a price. Sometimes that means changing the color or making something smaller or making something larger and it’s really based on the customer’s reaction to the product and every day they vote with their sales and we can see we have a lot of data, what they’re interested in and what is exciting them and as I said, I’m optimistic about not just the near term, but the future of the business because we have such competitive advantages with our proprietary product pipeline and platform that others don’t who don’t design and source their own products.

So thank you for the question and yes, LoveShackFancy is fantastic.

Operator: This will conclude today’s question-and-answer session. I would like to turn the call back over to Laura Alber for any closing remarks.

Laura Alber: Well, thank you all. I really appreciate your support and all your questions and your interest and I look forward to seeing you all soon.

Operator: This concludes today’s conference call. Thank you for your participation. You may now disconnect.