Inogen, Inc. (NASDAQ:INGN) Q2 2020 Earnings Conference Call - Final Transcript
Aug 04, 2020 • 04:30 pm ET
Thank you. At this time, we will conduct a question-and-answer session. [Operator Instructions] Our first question comes from Danielle Antalffy with SVB Leerink. Please proceed with your question.
Hey, good afternoon, everyone. Thanks for taking the question. And let me start by saying, Scott, congratulations on your retirement. You will be very, very missed and thanks for all that you've done. I guess, my first question is, you actually did come in ahead of us on D2C and I think the Street as well, modestly, but it did feel like before COVID, you had started to see some stabilization in that business. And I was wondering, Scott, if you or Ali, if you could give a little bit of color on -- you've talked in the past about where you are from a lead and close rate perspective and maybe just dig a little deeper on whether you're seeing or how much you're seeing trends improve there from a closed perspective? And then I have one follow-up.
Yeah. Thanks, Danielle. I'll start with that one and if Ali has something to add, she can chime in. First, thanks for your kind comments. I feel like I'm kind of leaving one family here ultimately at Inogen. Of course, I'm not gone yet. So I'd like to reemphasize that. But I'll be leaving one family. I have been here 15 years and it's been like family, but kind of going back to my other family, being on the road and they're excited about about having me around a little bit more and I'm excited about that too. But thank you for your comments.
On the -- we went through some trials and tribulations a year ago and made some changes in the sales force with our hiring practices, our training practices, changed out some management and through -- probably the last four or five months of last year and the first two to three months of this year, we got enough run time under our belt that we felt really good about the changes that we made and felt like we corrected the root cause issues and we're kind of back on the horse and anxious to get into 2020 and prove that. And I think, as things were going at the beginning of the year, we felt very good about that. COVID-19 has impacted close rates pretty substantially.
We had said in the last call, that close rates were down about 20% versus par and normally close rates would go up as you start getting into the warmer months. So we gave that number to give some context of -- it's not like the travel industry or the hospitality industry, where things are down 95%, but it also does have an impact on us. The nature of the calls that we take are a little bit different. People certainly aren't going on the cruise of a lifetime like they used to right now and virtually none of the elderly, which are the