The Drill Down Ep. 74: Porch Group with Villere’s Lamar Villere, Tattooed Chef, Rocket Companies, Honest Company
Aug 13, 2021
Lamar Villere, a portfolio manager at Villere & Co. in New Orleans, dives into the fascinating world of Porch Group, likening it to the Amazon of home services. He shares insights on the Tattooed Chef's surprising struggles with inflation and Rocket Companies' impressive Q2 performance across various loan sectors. Villere also discusses Honest Company’s ongoing challenges with destocking issues post-IPO. Packed with engaging analysis, this conversation sheds light on innovative business models and market dynamics.
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Rapid Consumer Sentiment Drop
- Consumer sentiment plunged to its lowest level since 2011 with one of the fastest month-over-month declines on record.
- The drop suggests rising public anxiety possibly tied to COVID variants, inflation, and other acute concerns.
Inflation Crushed Margins
- Tattooed Chef grew revenue 46% but swung from a $2M operating profit to a $6M loss in one year.
- CEO and CFO blamed unexpected, persistent inflation in freight, fuel, and packaging for margin collapse.
Lending As A Marketing Engine
- Rocket Companies treats lending as a marketing funnel that yields multiple revenues per customer.
- A single home purchase can generate roughly $18,000 across mortgage, agent, appraisal, title and ancillary products.