Daniel Double's questions to BRC Inc (BRCC) leadership • Q3 2024
Question
Daniel Double of B. Riley Securities asked if the Q3 marketing spend represents a new baseline and inquired if the no-sugar profile for the new energy drinks was a strategic choice to target a different consumer than RTD coffee drinkers.
Answer
CFO Stephen Kadenacy characterized the Q3 marketing spend as 'spiky' due to promotions and expects a similar level in Q4, with the 2025 cadence influenced by the energy launch. Executive Chris Mondzelewski confirmed the no-sugar profile was a deliberate decision to meet strong consumer demand for healthier options, which is a high-growth segment, and to align with the brand's premium, high-quality ingredient standards.