𝚂𝚕𝚎𝚎𝚙𝚒𝚗𝚐 𝚄𝚗𝚜𝚘𝚞𝚗𝚍𝚕𝚢: 𝙼𝚊𝚝𝚝𝚛𝚎𝚜𝚜 𝙲𝚘. 𝙲𝚊𝚜𝚙𝚎𝚛 𝙹𝚞𝚜𝚝 𝙲𝚘𝚞𝚕𝚍𝚗'𝚝 𝙼𝚊𝚔𝚎 𝙰 𝙿𝚛𝚘𝚏𝚒𝚝
"Mattress-in-a-box" company Casper announced recently that it was being acquired, taking the company private less than 2 years after the company's IPO.
The deal values Casper ~$300m, way down on the frothy $1.1bn valuation 2 years ago.
Casper was one of the most successful early direct-to-consumer businesses, selling mattresses and sleep accessories since 2014.
Casper's filings reveal a consistent history of losses, with the company's generous returns policy and aggressive marketing spend both burning millions each year.
Cutting out the middleman, and going straight to the consumer, is extremely tempting. For brands like Nike, which everyone already knows, it makes a lot of sense. But if you need to get the word out? That's going to keep costing you. Casper spent $157m just on sales and marketing last year - 32% of its revenue.
𝙲𝚑𝚊𝚛𝚝𝚛 | 𝙳𝚊𝚝𝚊 𝚂𝚝𝚘𝚛𝚢𝚝𝚎𝚕𝚕𝚒𝚗𝚐
