June 15, 2017

At A Higher Level

We've been analyzing this business for several weeks now - let's step up to a 30,000 foot level and see what is going on.

Notice that repurchase rates are under 30% - this is a business that is critically dependent upon new + reactivated buyers for future success.

We can see how items per order decreased / while price per item purchased increased.

Notice that existing buyers purchase less-expensive items than new + reactivated buyers purchase.

Notice that this business came up 1,500 customers shy on keeping new + reactivated buyers moving forward.

This is a business that isn't experiencing big declines - it is a business that has subtle issues and a lack of what I call "file momentum". Look at 12-month buyers ... from 132,370 to 123,042 to 119,530. This business needs about 86,500 new + reactivated buyers to get back on track. This is a marketing challenge, one that marketing can fix. Marketing can "fix it"!!

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