Taylor Offer’s Post

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Helping brands liquidate their excess inventory. Featured in NY Times, Entrepreneur, Forbes 30 under 30 for Ecom

Casper is filling to go public at over a billion valuation. I love when these “unicorns” or “billion” dollar companies decided to go public because you get access to their financials. To simplify these numbers- They sell a mattress for $1,000 That mattress cost them $500 to make Now they have $500 of profit left 20% get returned, so subtract another $100 Now they have $400 of profit left They spend $290 on advertising to get that one order Now they have $110 of profit left They spend $270 per mattress sold on employees costs/admin/office/etc. Now they are at negative $160. Every mattress they sell, they lost $160. In 2019, they lost $65M dollars. Can someone please explain to be how this company is worth a billion dollars??? What am I not understanding? #casper #dtc #ecom

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Troyan Brad

Charge Hand at Advanced Saw inc.

4y

Lol

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Taylor Biehn

Wealth Advisor at RBC Wealth Management

4y

any product a techy feel founders spewing sentence fragments about innovating disruption^3 = a Billion Tried and true business model brah...get with it:)

Trent Epple

Procurement Agent III at The Boeing Company

4y
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Evan Mendelsohn

Co-Founder and Co-CEO at Tipsy Elves

4y

These numbers don't work.  And it's a product people buy once every 5-10 years at best.  So terrible lifetime value.  You can't lose money on the first order unless you have a strong LTV -- which they don't have.  They have their work cut out for them.

Amanda T.

Helping | Innovating | Building | Growing | Transforming

4y

Advertising needs to be reduced dramatically, and a small profit is possible.

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Patrick Williams

Strategic Seller and Relationship Builder. Also Dabble in PR and Marketing.

4y

I love this analysis. Had to hit follow thanks for this. There are many companies getting valued at billions using the same method.

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Dexter Grant II

Project Manager at 3MG Roof & Solar

4y

You also have to consider, when companies are evaluated, it is also based on future projections of revenue as well. They also may have real estate holdings that causes their value to be higher than what you see on a P&L sheet. A lot more that goes into the equation than income and expenses

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Alex Rabaev

CEO | Leading the Charge in Mental Health Transformation

4y

at least they are consistent :) 😂🤣🤦♂️

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Terrence A.

Product Leader | Driving Product-Led Growth and Digital Transformation

4y

Evan A. Huggins

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