Financial Data and Key Metrics Changes - The first quarter GMV was $94.7 million, up 3% year over year, outperforming end markets that continue to contract [23] - Net revenue was $22.5 million, up 2%, with transaction revenue making up approximately 75% of total revenue [29] - Adjusted EBITDA loss was $1.7 million, compared to a loss of $1.8 million last year, with an adjusted EBITDA margin loss of 8%, flat year over year [32] Business Line Data and Key Metrics Changes - Consumer GMV grew mid-single digits, while trade GMV was flat; jewelry and fashion posted the strongest performance, both growing double digits [26] - On-platform average order value (AOV) was nearly $2,600, up 4%, while median order value was approximately $12.50, also up 4% [24] - Unique seller accounts decreased by 23% year over year to approximately 5,900, but listings grew 5% to over 1.8 million [20][28] Market Data and Key Metrics Changes - The company experienced a return to organic traffic growth in Q1, with over 70% of traffic coming from organic sources [12][25] - Conversion rates increased year over year for six consecutive quarters, with a 10% improvement in Q1 compared to Q1 2023 [19] - The company noted a significant drop in conversion from March to April, primarily driven by changes in the macroeconomic environment [41][50] Company Strategy and Development Direction - The company aims to maintain growth and expense discipline while capturing additional market share, focusing on product-led growth strategies [4][11] - The 2025 roadmap includes themes such as accelerating organic traffic growth, competitive pricing, funnel optimization, and elevating service levels [11] - The company is committed to managing costs carefully and delivering on key initiatives that position it for long-term success [35] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a tougher demand backdrop for luxury home discretionary spending due to evolving trade policies and macroeconomic effects [5] - The company expects continued listings growth throughout 2025 and anticipates churn to normalize in Q2 [28][34] - The guidance for Q2 includes GMV of $85 million to $92 million, reflecting a decrease of 7% to an increase of 1% [33][34] Other Important Information - The company ended the quarter with a strong cash position of $101 million, down $2.9 million sequentially, which includes share repurchases [33] - The company has repurchased approximately 6.9 million shares for a total of $33.4 million since launching its first share buyback in August 2023 [33] Q&A Session Summary Question: Organic traffic and conversion gains - Management noted that organic traffic had declined for over a year but was restored to growth in Q1, with conversion gains being stable despite a drop from March to April [40][42] Question: Churn normalization - Management confirmed that churn is expected to normalize in Q2 as the company has passed the changes in the subscription pricing plan [44][45] Question: Active buyers growth - The increase in active buyers is directly related to conversion changes, with management emphasizing the need to remain vigilant regarding macroeconomic conditions [50] Question: Market share gains - Management indicated that market share has grown for five consecutive quarters, measured against syndicated credit card data for online furniture and luxury furniture markets [54] Question: ML pricing models - The rollout of ML pricing models has seen high adoption for items priced below $9,000, while adoption for higher-priced items remains lower due to fewer data points [56][58]