Blue Apron had to take a price cut, but it made its debut on the New York Stock Exchange Thursday.

Shares of the New York-based meal-kit delivery startup opened at $10 Thursday, in line with the company's slashed issue price of $10. That values the company at just $1.9 billion, a serious drop from the $3 billion valuation had the IPO been priced at the midpoint of its original $15 to $17 range.

The company sold 30 million Class A shares to raise $300 million.

Blue Apron APRN, +6.27% began its service in 2012. In addition to the meal kits, the company launched a wine-pairing service in September 2015, in which the company works with vineyards, wineries and its own winemaker to deliver wine along with the meals. In 2014, it launched an e-commerce site for cooking tools.

Goldman Sachs & Co., Morgan Stanley, Citigroup and Barclays are the lead underwriters on the offering.

See also: Blue Apron IPO to test Wall Street’s appetite for ‘lazy’ people’s favorite tech startups

Here’s what you need to know:

There was a brief quarter of profitability

Blue Apron recorded growing revenue of $795.4 million in 2016, up from $340 million in 2015 and $77.8 million in 2014. This was on top of net losses of $54.9 million in 2016, wider than losses of $47 million in 2015 and $30.8 million in 2014.

There was a brief period of profitability in the three months ended in March 2016, with net income of $3 million, but the company swung to a loss of $52.2 million for the same period this year.

Blue Apron has said that its first quarter of the year, the three months ended in March, is seasonally stronger and it increased its marketing spending to $60.6 million in the March 2017 quarter, up from $29.7 million in the year-earlier period.

In that first quarter of 2017, Blue Apron reached the milestone of 1 million customers, up from 879,000 in the fourth quarter and 649,000 in year-earlier period.

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It has a customer problem

The first quarter of the year is the strongest for Blue Apron whereas the summer months and end of year holidays typically mean a drop in customers, as people go on vacation.

But beyond seasonality, Blue Apron appears to have an issue with customer retention. Orders per customer incrementally fell from 4.5 in the first quarter of March 2016 to 4.1 in the first quarter of 2017. Average revenue per customer fell from $265 to $236 in the same period.

“Over time our customers on average order less frequently or sometimes cease ordering, as evidenced by the declining increases,” the company said in its prospectus.

Six months after a customer’s first order cumulative net revenue per customer was $402 in 2014, $451 in 2015 and $387 in 2016. Blue Apron points out that these revenue amounts include the marketing spend per customer and in 2016, it cited the increased its use of promotional discounts to bring on more customers as the primary reason beyond the decline.

It had a private valuation of $2 billion

Blue Apron was last valued at $2 billion in June 2015, according to The Wall Street Journal. The company was backed by Bessemer Venture Partners, which owned 23.8% before the IPO; First Round Capital, which owned 10.5%; SG Growth Partners, which owned 6.5%; and Fidelity with 6.2%.

The company's chief executive, Matt Salzberg, worked at Bessemer Venture Partners before starting Blue Apron.

The fair value per share calculated for the company’s stock options climbed from $3.69 in February 2016 to $5.53 in December 2016. In the past three months, the value had climbed from $7.04 to $15.99 as of May.

Its workforce is growing

The company has been rapidly increasing its employee numbers. It had 1,051 full-time employees in 2014 and now has 5,202 as of March 2017.

The majority of its employees work in fulfillment centers, where the meals are packaged, in New Jersey, Texas and California. Blue Apron is building another center in Linden, N.J., and just signed a lease for a center in Fairfield, Calif.

Blue Apron notes that none of its employees belong to a labor union, but may join one in the future, which could affect its business. This could be an issue as a BuzzFeed report from October 2016 reported unsafe conditions and worker discontent at the warehouses.

There’s competition

As a subscription-box startup, Blue Apron operates in a space that has largely been untested by the public markets.

It has competitors in the private market, including meal-kit startups Plated, Munchery and to an extent, grocery delivery startup Fresh Direct as well as Amazon Inc.’s AMZN, +2.49% , which recently made a bigger push into the space with its bid for Whole Foods Market Inc. US:WFM

Blue Apron had 300 food suppliers in 2016 and said it spent 70% of its food spending with suppliers that agreed to sell only to Blue Apron and not to other boxed meal companies.