BARK, Inc. (NYSE:BARK) Q2 2024 Earnings Call Transcript

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And so that commerce mix being lower at the gross margin level will bring down our overall consolidated gross margins. But the key here is not to just focus on gross margins because the cost to serve on the commerce channel is lower from a shipping and fulfillment and marketing perspective relative to B2C. And actually, when you look at the two channels at a contribution margin level, they are both very similar at around 20%. So, we are ultimately indifferent in driving growth between the two channels and not – the gross margin mix isn’t necessarily the driver.

Max Rakhlenko: Perfect. That’s great. Thanks a lot guys.

Matt Meeker: Thank you.

Operator: And ladies and gentlemen, this concludes today’s conference call and we thank you for your participation. You may now disconnect.

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