We hope you are safe and healthy in these turbulent times.
In the light of the COVID-19 pandemic and its impact on the economy, we would like to give you an overview of how Barking is affected by this situation, and how we have adapted our strategy.
We have seen a 24% decrease in parking sessions in March compared to a month before due to the reason for people staying at home and not visiting theaters, restaurants etc. However, car washes purchased through Barking App increased by 14.4% in March compared to February. Comparing the first half of April against the first half of March the number of sessions has stayed the same to 2100 washes within 15 days.
Taking the current economic situation into account we have adjusted our strategy and reduced spending to shift more on sustainability. We have cut travel costs and reduced the speed of hiring. Barking team has 5 full time people and the expenditure base in March was under 25k€. We believe Barking is operating on lean principles which puts us in a good position to overcome the possible downturn.
We pushed the initially planned second financing round further down the line which gives Barking a strong 18+ month runway.
We see the current situation as a good opportunity to double down on bringing new merchants on board and expanding locations. We feel strong on onboarding 200 new merchants to Barking App within the next 12 months.
These changes are reflected in the updated financial projections as well (updated on 15th of March, 15th)
Kustas Kõiv – Barking CEO
Marko Oolo – Lead investor