FLEETCOR Technologies, Inc. (NYSE:FLT) Q4 2022 Earnings Call Transcript

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So your plain gets canceled, you know, here in Atlanta tonight. First, you got to find a place to sleep. And then you got to figure out how to go well, let’s say you’re on, you know, Air Canada, and it doesn’t have any flights or any flights available. Our tech basically looks and books you on other airlines literally as you’re walking off the plane, you’re getting to hotel and getting rebooked. So the customer sat that the airlines are getting from having less unhappy people when they get off a plane. I think this is going to become table stakes for the couple airlines see the couple that are picking this thing from us early, that this thing we could literally run the table on this. So, this is an example of bringing kind of syntactic kind of an old-fashioned problem and it’s working.

Unidentified Company Participant: Got it, thank you. I now want to sneak one more in. Can you talk maybe a little bit about your digital marketing? How that’s coming along? Maybe any recent examples that’s there?

Ron Clarke: Yeah I mean other than the micro thing, I think the answer is, it’s representing obviously, in every business, a larger and larger piece, for example, Lodging, which we just talked about, I think it’s up now about 15% of the sales in that line of business, it was probably 5% two or three years ago, is taking a way bigger chunk of the marketing leads, we used to do old-fashioned, you know, trade shows for middle markets and things like that. So I’d say that not only are digital sales that we close on, you know, compounding a good rate. But I think the lead sources from digital are also way up. Again, a lot of this is the world, right, we’re just chasing along with the world making sure that we’re in the right places.

Unidentified Company Participant: Got it. Thank you very much.

Operator: And our next question will come from Trevor Williams with Jefferies. Please go ahead.

Trevor Williams: Great, thanks. Good afternoon, I guess with Global Reach now closed, just wanted to see if you can give us an update on the revenue mix within Corporate Payments between FX, Cross-Border, virtual card, full AP, and then within the 20% growth outlook for the year just any sense for which of those buckets you expect to be the primary contributors I know this is a really good FX year with elevated currency vol, so just kind of how you’re thinking of the moving pieces within the segment for €˜23? Thanks.

Jim Eglseder: Yeah, Trevor. This is Jim. I mean the best way to think about it you know that Cross-Border is probably going to be closer to 65% now I call it 25% direct and then 10% – 60? Yeah, so all in Cross-Border 60 about corporate payments is 40%. So they’re going to move around a little bit.

Ron Clarke: I mean, your question is a good one, Trevor in terms of the growth thing having you know, markets that are pacing interest rate moves differently, right like Brazil cut out super early and then I guess we, the US cut out and now Europe is chasing so having you know different timing and differential the rates obviously you know, creates FX volatility. So that obviously is helpful run in here into the beginning of €˜23.

Trevor Williams: Okay, and then €“

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