And so where this customer success motion is critical and what we need to work on going forward here is establishing truly the integration and orchestration enabling conversations across the entire enterprise, which is what customers who are moving into a digital transformation are looking for. And those are the ones that are staying with us and expanding. And so we have to bring that to more of our customers than just an isolated view here and there. It has to be a much more structured way to engage with them. John Collins if you want to add anything on the history what you saw prior to me joining I’m happy to have that commentary.
John Collins: No, I think your answer captures most of the history. As you said the motions that we’re seeing manifest and cancellations today began nine to 12 months ago.
John Sabino: Yes. Thank you for the question Dan.
Operator: Thank you. [Operator Instructions] The next question we have comes from Zach Cummins of B. Riley Securities. Please go ahead.
Zach Cummins: Yes, hi. Good afternoon. Welcome aboard John and thanks for taking my questions. My question is really geared towards potential changes towards your pricing and packaging for some of your solutions. Can you talk about maybe some of the issues you saw with the old go-to-market motion and maybe what are some easier kind of blocking-and-tackling things that can be done to improve that here over the next couple of quarters?
John Sabino: Yes, I’m glad you asked the question because I do want to elaborate on this. This is one of the things that I observed as soon as I stepped into the company both in talking with our customers, looking at third-party information that we have from investors and consultants. And I do believe that historically LivePerson made it a little bit difficult to do business with us. We either sold or engaged with our customers more on a selling of functionality or capability than truly providing a full solution set that enables a digital transformation. So going forward, our intent is to package our capabilities and our pricing and packaging around enabling customers to use the full suite of products and capabilities that we have today.
This is what we know customers want. This is what we know retains customers and helps them expand. And what I’ve observed in my 50 days from some of our larger customers and the ones that are having a great experience with LivePerson is that that is how they’re using the product. So our pricing and packaging needs to make it easier to get that off the ground from the very beginning. Lastly, I’ll point back at the CS motion. Once you’ve sold to a customer in that way, it’s imperative that you walk them through that value path of how to leverage the whole platform. And so we’re going to engage it on both fronts, pricing and packaging to make it easier to buy the full suite and get the most value out of it and a CS team that acts in a much more consultative way, leading a customer through a digital transformation for their conversations than just looking at product feature and functionality.
Both of those things together really should help us out in the marketplace.
Zach Cummins : Understood. That’s helpful. And my one follow-up question is really just around the cost structure. Can you talk about where you sit right now in terms of head count? And any potential changes that you need to make to execute on this multi-quarter transformation for the business?
John Collins: Yes I’ll start with that one. Zach, as you know, we’ve gone through more than a year of more or less continuous restructuring. We’ve taken additional costs out of the business in the first quarter. And I think we have a reasonable cost structure given the guide that we have today. And we’re obviously very conscious of the capital structure and the need to produce cash. And we’ll be continuously reevaluating our performance on top line and what that might imply for the cost structure. But at this moment in time we feel that we have a reasonable balance and we have our sort of heads down to execute on the go-to-market side of the equation as described on this call.
Zach Cummins : Got it. Thanks.
Operator: Thank you, Zach. The last question we have comes from Arjun Bhatia of William Blair. Please go ahead.
Unidentified Analyst: Hi. This is Chris on for Arjun. And thanks for taking my question. One of the first things I want to touch on was — so looking at the transformation plan, there’s a lot of pretty significant operational strategic changes. There’s been a number of changes at the senior management level over the past couple of quarters. Kind of want to get an understanding for what your approach is to help get everyone within the organization realigned around some of these new priorities and surely you executed on this plan successfully?
John Sabino : Yes. So what I’ve laid out today really is in line with what I have seen in the past. And this really is around operational go-to-market, which is what is being impacted today. So I’m confident that the transformation plan that we’ve laid out today for everybody will return us back to growth. And these problems are very solvable. Again, they are all about our go-to market. And we already started bringing in leaders that we know can help us in scaling on that side. And the leadership team, we have today really is aligned on where we need to go. And we since the 50 days of joining the company came together to actually put together the strategy to execute with details behind the plan that I’ve laid out here. Additionally, as with all transformations, it’s about your communication strategy, setting your targets and your metrics and your systems and data to align to that and that’s the operational improvements that I’ve already mentioned in my prepared remarks that we’re moving against.
