[raiyu]

This is the same as Blue Apron that had heavy marketing spend to acquire new customers because old customers were churning very quickly.

If you had a scalable channel you would expect to accrue more customers as old cohorts retained customers, but this instead just looks like exchanging ad dollars for one, two-time purchase customers which is why the ad spend is so high and the life blood of the company.

Hard to imagine this company not getting hammered by the street unless they have a one-time lift from COVID shopping, but long term hard to bullish on this company especially when comparing their S&M expense vs R&D expense.