Sasan Goodarzi: Yeah, great question. I’ll share two different perspectives in terms of what we’re seeing. The first one is, it really doesn’t matter what the economic environment is. If it’s great, they don’t behave differently. If it’s challenging like it is now, they don’t behave differently. We certainly don’t see them — any of our customers wanting not to switch because the economy is not good, which leads to the second point I wanted to make. So the headline on the first question is, it’s not a tailwind or a headwind, whether it’s good times or bad times. However, what I would say is we see some green shoots that’s early when we do bundling for our customers. When we go to our customers and share with them that they can digitize all of their payments, all of their payroll and the benefits that it will have for our customers from a cash flow perspective, we see that having traction with our customers.
And as we’ve continued to build out our sales team, we’re doing, I think, a far better job of account management. And this is an area where if you look back five years ago, we didn’t have the kind of value-added account management teams that we’re building now where we’re engaging our customers, they’re are hearing from us, right? We’ve been entirely a [self-sell] (ph) platform. And now that we’re engaging our customers, a lot of them are starting to realize, wow, you have payments, I didn’t realize you have payroll. I didn’t you have time tracking. I didn’t realize your own Mailchimp. And that is an opportunity for us to drive an increased penetration in wallet share. So I share that just to say that’s where we’re getting traction. That’s where we’re seeing progress, and that’s where we see an opportunity as we look ahead.
Sandeep Aujla: And Brad, what I’ll add is beyond just the QuickBooks side, we also are seeing strong progress on the Mailchimp side in terms of mid-market where historically before we acquired the company was not a focus and now with some of the stuff was Sasan mentioned, including account management, better onboarding, we’re seeing better customer acquisition on the mid-market as well as better retention year-over-year in the mid-market, so that opportunity extends beyond just the QuickBooks for us across the entire platform, including Mailchimp.
Brad Reback: Excellent. Thank you.
Sasan Goodarzi: You’re very welcome.
Operator: Our next question will come from Kirk Materne with Evercore ISI.
Kirk Materne: Yeah. Thanks very much and congrats on the quarter. Sasan, I was wondering if you could just talk about the — I realize you have a vast and sort of wide open TAM in your markets on the small business side. But I was kind of curious if you’re seeing any evidence that small businesses are looking to consolidate multiple technologies onto one platform. You all obviously offer a lot both on the front office and as well in the back office. Are you starting to see any of that sort of activity happening now that you’re sort of integrating Mailchimp with QuickBooks? I realize it’s early days, and you need that to happen to be successful. But I was just wondering if you’re seeing any evidence of that yet? Thanks.
Sasan Goodarzi: Yeah, Kirk, the short answer is, it’s early, but we’re seeing green shoots, and it’s primarily because of what I shared just a moment ago, as we’re building out our account management team across Mailchimp and QuickBooks platform, as we’re talking to our customers, and in fact, I personally spoke to three of them in the last month that are very large mid-market customers, two of them in LA and one of them in Miami. And it actually starts with — they didn’t know even know we have, Payments, Payroll. They didn’t even know we’re the same company that owns Mailchimp as an example. Some of them will use Mailchimp but they’ll use QuickBooks. Some of them use our Payroll, but don’t use our Payments and so the thing that we’re inspired by and where we believe there’s a big opportunity is the fact that we actually have a huge differentiation, which is around data, AI and network of experts and an ecosystem of applications.
And the applications are all the things that a small business would want. And our account management team is really discovering for us the fact that our customers just don’t know. And so therefore, we engage them, build relationships and talk about the benefits of all of our applications and then what could be done based on all of the capabilities that we have around AI and how that could fuel their success. That’s what’s really opening up doors for us is just the unknown. And that’s what we’re excited about as we continue to accelerate building out our talent management team. So I think the long answer to your short question is, yes, customers would prefer to be on one platform. And what we’re learning is a lot of customers are not because they just actually don’t even know what we do holistically, and that’s the mission that we are on.
Kirk Materne: Thank you so much.
Sasan Goodarzi: Yeah, you’re very welcome.
Operator: Our next question will come from Mark Murphy with JPMorgan.
