Kenneth Suchoski : And just to make sure I got it. So FX impact in 4Q, just on an absolute basis, it seems like a little bit of a headwind year-over-year in 4Q?
Michael Ellis: In Q4, yes, it will be. Yes.
Operator: Next question comes from the line of Pat Ennis with Credit Suisse.
Patrick Ennis: Wanted to touch on domestic education and some of the potential indirect benefits of continuing to win business there, especially in the U.S. So as you continue to add clients on the domestic side where you may already be the cross border payment provider. Is there more opportunity to gain exclusivity where you’re out with a competitor in the cross border business, so you can gain greater wallet share on that side as well?
Rob Orgel: Yes, that’s exactly right. Rob speaking here. So there are obviously 2 benefits to winning the full suite domestic set of capabilities. One is that the set of domestic payments that we then power are themselves essentially a revenue multiplier. The other thing is that it does allow you to create really great integrated experiences that also have the effect of bolstering sort of that FX utilization. So that is part of why we always talk about these land and expand as being a revenue multiplier. Those are the 2 things I just described.
Patrick Ennis: And just had a quick follow-up, I was hoping you could contextualize the typical ramping period when you do announce a new win within the cross education business. I know you focused marketing and education sessions around the Flywire platform in other schools, which helps with awareness over time, but if you can maybe give some directional idea of what the typical utilization ramp looks like over the first few years after an integration is complete?
Rob Orgel: Yes. We see a significant uptick soon after the go live, but really based on when the first major billing cycle is, right? So what you’re always expecting and trying to do is make sure that you get that deployment live in advance of whatever the next major billing cycle is. And obviously for things like B2B, they tend to be more regular monthly kind of things for the school deployments, they tend to have bigger lumps associated with semester starts and so on, as you’d understand. So our goal is to get them live in advance there. You won’t get the full ramp in that year one. You’ll see significant progress and it’s a great opportunity in the year one. Typically what you see is that the ramp happens over the course of the first year or two as you get more and more coverage across an institution.
People get used to the new capabilities of the payment plans and you see more and more people taking advantage of them as that’s one of the revenue drivers. But you get inside that relatively short number of billing cycles, you will see a very nice ramp.
Michael Massaro: And the only thing I’d add to what Rob said, this is Mike. What you don’t get in that year, you have very clear predictability of that because you are really controlling the invoice and kind of know what that kind of full year effect will be. And so from a modeling perspective, it’s a plus. And then the only other thing is just the payback period. Almost on no matter what we’re deploying that payback period is usually within the first bill cycle, if not the first year for a client. So again, very strong economics when it comes to the cost of acquisition of the customer in the payback period.
Operator: Thank you. Due to time constraints, we are out of time for more questions. So this concludes today’s teleconference. You may disconnect your lines at this time. Thank you for your participation.
