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Inside Levels - Friday Forums and Investor Updates

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Overview

https://www.loom.com/share/597cd43c7c1b403f84194265ed413961

Levels Investors & Team –

Through the first half of 2023, we executed on a strategy to increase growth and retention by significantly reducing the cost of using Levels. Our hypothesis was that we could build a software-first experience that was more affordable and de-emphasized mandatory continuous glucose monitor (CGM) use in favor of content and community-driven education about metabolic health. The intention was to create a low hurdle way to onramp into the Levels ecosystem and become familiar with concepts like CGM use without having to commit to a $multi-hundred purchase on day 1.

After several rounds of betas, and with all the available data points — from beta engagement and retention rates to smoke test and survey results — we did not have high enough confidence that we’d be able hit the growth numbers needed by continuing down that path.

As a result, we adjusted our focus and strategy and, as part of the changes, made the decision to reduce our team size. This meant saying goodbye to 15 team members primarily from within the Product, Design, and Engineering org, bringing our headcount down to 40 full-time employees.

This reduction allows us to not only decrease our monthly burn rate of $1.2m (extending runway) but to also refocus our team and resources to best fit with our next stage of strategy.

• The learning from the software-first product effort has strengthened our conviction and understanding that biofeedback is what the market wants, and what we can deliver through our app used together with CGM. As such, in the Product and Engineering org, we’re limiting further major evolution of the app experience and doubling down on the core CGM and data driven experiences we know create value for our members today by helping them understand how food and lifestyle choices affect their health in real time.
• At the highest level, our top company priority is hitting our growth goals with our core product offering, targeting 10% month-over-month growth, starting now. We’re increasing our internal focus on business metrics and using those insights to steer decisions with a leaner team. We are reinforcing a culture of ownership and accountability over the core function-level metrics that each DRI is responsible for when shipping a project. Projects will not be considered complete until we have measured the impact on that function’s core metrics.
• Within operations, our focus remains on working with our partners to expand access to increasingly affordable CGM options for all who want to use Levels.

Over the past two quarters, the team took a difficult problem and worked relentlessly to build and ship a number of exceptional features on very tight deadlines. These features led to some valuable learning which has been instrumental in our updated strategy decisions and have sharpened our understanding of our market and problems to be solved. Cutting the size of the team and shifting those priorities is not an indictment of the people we had in place, it is a reallocation of resources based on an evolved understanding of where we need to focus.

We’re proud of the team we’ve built and what we accomplished in these recent high-stakes months. The team moving forward is excited and motivated by our precise focus on what we need to do in order to succeed over the coming 6-12 months. We have the resources we need and the people in place to nail an exceptional CGM+ experience and execute on our growth goals, led by our brand and thought leadership, which is highly trusted in the space.

All in all, we’re continuing our mission of solving the metabolic health crisis using closed loop feedback to show people how their food and lifestyle choices affect their health, in real time. We’re doing it with a renewed energy and focus and look forward to sharing our progress in the coming weeks and months.

• Table of Contents

<aside> <img src="/icons/meeting_green.svg" alt="/icons/meeting_green.svg" width="40px" /> Levels Alumni Directory

The teammates that left Levels are all exceptional in their respective disciplines – across people ops, support, strategy, engineering, product, & design.

They’ve given the Levels mission and team their full effort over the last few months and years, and we’re extremely proud to endorse each of them. So, if you're hiring or know someone who is, please reach out to those team members. Individual references and support are available.

You can find a list of those open to opportunities at .

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