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MMM - Marley Spoon AG

Discussion in 'Stocks I-P' started by System, Jun 7, 2018.

  1. System

    System Administrator

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    Founded in 2014 in Germany, Marley Spoon is a subscription-based weekly meal kit service that services customers in three primary regions: Australia, United States and Europe (servicing Austria, Belgium, Germany and the Netherlands). Since launch, Marley Spoon has delivered over 14.5 million individual meals and developed more than 9,000 recipes. As at 1 March 2018, Marley Spoon had over 111,000 Active Customers across both the Marley Spoon and Dinnerly brands.

    It is anticipated that MMM will list on the ASX during July 2018.

    https://marleyspoon.com
     
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  2. So_Cynical

    So_Cynical The Contrarian Averager

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    Martha & Marley Spoon sends the recipes of your choice and the fresh, pre-portioned ingredients you need to cook them directly to your door, so you can enjoy something new and delicious any night of the week.

    Why???
     
  3. greggles

    greggles I'll be back!

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    Because we now live in a world of convenience where cooking from scratch is too hard. It takes time, thought and visits to places like supermarkets.

    Marley Spoon appear to be tapping into the high disposable income but time poor market consisting of people who don't want to think about dinner but want something more interesting than a BBQ chook and a plastic container of coleslaw.
     
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  4. McLovin

    McLovin

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    But you still have to cook whatever they drop at your door. I don't get the attraction of Marley Spoon. I live in inner-Sydney, the supermarket up the road from me has everything I need to make a meal and it takes about 10 minutes to go there buy what I want and come home and cook it. They also have a plethora of pre-cooked (not frozen) meals that range from lasagne through to soups and salads. There's an abundance of food recipes on the internet, it's not as though I need Marley's recipes. To me it just looks like a service providing very expensive groceries. The other drawback for the time poor is the use it or lose it nature of having fresh food delivered. If you get home from work at 8pm or later can you really be f**ked cooking a meal from scratch?
     
  5. greggles

    greggles I'll be back!

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    I don't understand it either. But I've never understood the Weight Watchers meals that they deliver to your door either. I don't get home delivered food that isn't a pizza or something that shows up hot and ready to eat and is usually ordered after a sixpack has been consumed.

    It's winter so my practice this time of year is to make a hearty slow cooker meal on Sunday afternoon to eat that night but with enough leftovers for three dinners that week. Freeze in separate containers and microwave when you want a quick dinner. Cheap and quick meals.

    Still, they have 111,000 customers according to their prospectus, so somebody is buying it and they are raising $70 million in the IPO. I wouldn't go near it but I will be watching with curiosity when it lists.
     
  6. McLovin

    McLovin

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    I understand the convenience of a microwavable meal, or what M&S in the UK do which are high quality oven re-heatable meals for home. I don't see the point of delivering someone a bunch of ingredients and a recipe card and saying now go cook. How far can you get with a product that has to run a very fine line between having recipes that are simple enough for lazy, amateur home cooks to attempt but complex enough to justify the price? Their natural competitors are supermarkets, Ubereats etc not pre-cooked meal delivery services imo. Portion sizes would be interesting to understand to. Do they load their meal kits up with cheap carbs and/or vegetables to offset the costs of delivery? If they do then my $15 steak at any of the ten pubs within spitting distance of my house start to look much more appealing.



    They spend millions on advertising so not surprising the customer count is relatively high. What would be interesting to know is customer churn. That'll give you a much better insight in to whether customers perceive value.
     
  7. PZ99

    PZ99 ( ͡° ͜ʖ ͡°)

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    To me it sounds like a wheel and deal meal for people working from home and not away.

    The basic idea works for me - I live in a tower block, I can order only what I want, cook, eat, dispose little and keep my days off (if any) for quality of life rather than shopping.
     
  8. greggles

    greggles I'll be back!

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    Yes, I'd like to know this too. I suspect that it is probably quite high. I also noted this on their website concerning the use of funds raised in the IPO:
    So, apart from funding its growth strategy, the money will be used to fund expected losses, pay off debts and to gain an enhanced profile from being a listed entity so that they can attract and retain quality employees. Doesn't sound very innovative.

    marleyspoon.png

    Their net losses are increasing and an IPO is the best way to fund future losses without having to go around shaking a cup at venture capitalists. I also think that the IPO is probably designed to allow early investors in the company an easy way to exit their investment quietly.
     
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  9. So_Cynical

    So_Cynical The Contrarian Averager

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    This was the point of my why - its an uncooked meal and as such would have very limited market appeal.

    Marley Spoon is really just a grocery retailer of sorts...ill pass.
     
  10. greggles

    greggles I'll be back!

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    Offer price = $1.42
    Current price on Day #2 of trading = $1.097

    Not a good start for Marley Spoon.
     
  11. tech/a

    tech/a No Ordinary Duck

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    Many years ago when AMP floated My Old man had 4000 issued to him as a long term client.
    He asked me what to do with them. I told him to sell on open.
    He did! $24.12 a share----the rest is history!
     
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  12. greggles

    greggles I'll be back!

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    I like it tech. Sounds like a t-shirt to me.

    2dbb9z.gif
     
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  13. john5

    john5

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    ubereats and menulog are examples of ready to eat deliveries, but they are limited in terms of which businesses work with them, in my area, for example, the choices atm are mainly fast-food style, if i want something "healthier" i either have to cook it myself or go out to eat it, or get it, meal kit models are going to appeal to time poor families who want to watch their nutrition, cooking takes time, sure, but it cuts out the time GETTING the ingredients together (recipes, shopping lists, etc) and that is a bonus, food is a pretty safe moat
     
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