James Caci: Yes, good question, Jason. And you’re right. Our focus has been that our long term goal here is to be 90 plus in terms of our gross retention rate. That’s our stated focus. We’ve got multiple initiatives working on that from everything from customer engagement, all kinds of different retention scenarios around that, including some of the things that we’re talking about here with AI and really looking at behavior of customers, all the way through their lifecycle with us as a customer. So I do think we have a lot of things that are in place that we’re working on that are going to reap rewards and improvement for that. I do think this year in particular, we’ve talked about this uncertainty, and I think we are seeing it show up in terms of some of our activities.
And keep in mind that most of our licensing is seat based or employee driven. And so we are seeing that impact a little bit this year as well. And so I think when you factor in the macro and our kind of licensing base today, I think we’re pleased right now that we’re in that 87% range right now in terms of growth retention. But again, we are initiating a bunch of things that we anticipate over time will definitely improve that gross retention.
Jason Ader: All right, thank you.
Tianyi Jiang: Jason, I would just say that.
Jason Ader: Yes, go ahead, TJ.
Tianyi Jiang: Yes, Jason, I would just say that in 2020, our gross retention is 83%. So we’re sitting at 87% now. It’s a market improvement. Also, enterprise is about half of our business now, with mid-market being 30% and SMB being 20%. So given that mix, we’re actually decently happy with the current mixture. Of course, we’ll continue to work to improve that, but we do have quite a sizable non enterprise business now.
Jason Ader: Would you say the gross revenue retention for the 50% that’s enterprise is north of 90? Would that be fair?
Tianyi Jiang: It is definitely higher, as you would expect the tiers are the way you would expect. Our enterprise group has the highest retention. Mid-market is slightly lower, and then SMB is the lowest. So, yes, you’re directionally absolutely correct.
Jason Ader: All right, thanks, guys. Good luck.
Tianyi Jiang: Thanks, Jason.
Operator: This concludes our question-and-answer session. I would now like to turn the conference back over to Mr. TJ Jiang for any closing remarks.
Tianyi Jiang: Thank you. First, I want to thank the entire AvePoint team for delivering another strong quarter. We’re laser focused on advancing the digital workplace, capturing growing markets, and prioritizing profitable growth. After speaking with many of our customers and partners at our #shifthappens Conference last month, more energized than ever about the opportunities ahead of us to help companies harness the full potential of AI in their business processes. Thank you for joining us today.
Operator: The conference has now concluded. Thank you for attending today’s presentation, and you may now disconnect.
