For this product, we don’t have the name rights to be able to actually say those customers, but rest assured, this is being battle tested with some customers. I think it’s going to be really well received as we share it with some of our customer advisory board companies. That would be great candidates for it, as well as bring it to Rainmaker in a few months and demonstrate it.
William McNamara: Great. Thanks for taking my question.
Jason Blessing: Thanks, Bill.
Operator: Next question, Adam Hotchkiss with Goldman Sachs. Please go ahead.
Adam Hotchkiss: Great. Thanks for taking the questions. I’d be curious how you’re positioning the sales force now that you’re mostly past the SaaS transitions. Do you see a significant amount of capacity that’s being freed up here for customer success and other expansion activity? And then how do you think that piece impacts net revenue expansion, if at all, over the next few quarters into next fiscal year?
Jason Blessing: Yes. Thanks for the question, Adam. I’ll take the first part of that. So we have the same sales force that’s been selling SaaS transitions, then transitions on and sells add-on products or cross-sell, upsell and the three motions that we sales motions that we’ve talked about for cross-sell, upsell are adding new products or expanding the footprint, moving into other divisions or moving into new geographies. And so, as I kind of said, I think in response to one of the other questions at the top of the call, that team, the relationships that they’ve built going through SaaS transitions, I think uniquely positions them to identify these opportunities. And then particularly as customers get live and are stable in the cloud, it really opens up the full customer base to resell because we had a sales force that was really load balanced to handle SaaS transition.
And now some of the upsells, we haven’t anticipated or we don’t see the need for large investments in the customer base sales force. One of the things I have talked about is that if you go back a couple of years ago, most of our resources, or let me put it this way, our sales resources were disproportionately aimed at the customer base to make sure we didn’t get stuck in the middle of the SaaS transition. We had to make some difficult trade-offs as a result of that. And so new logo did suffer a bit in terms of investments in 2021 and 2022. But knowing as we went into 2023 that we were coming to the end of SaaS transitions, we did start to invest more in building out that new logo team to bring a little more balance in our sales capacity. And it’s nice to start the year with that team posting a great quarter and see that there’s still a meaningful opportunity on the new logo side.
John Ederer: And Adam, this is John. I’ll just chime in quickly on the net retention numbers. Just as a reminder, that net retention metric is going to track very closely to the fact ARR growth rate numbers. So if you look historically, you’ll see that’s the case. And so this year, we’re going to have tough comparisons for the net retention number, just like we do on the ARR growth rate. If I look out a few years and if we look at the mid-term target that we talked about on the last call where you have SaaS growth in the 15% to 20% range, in that scenario, I would expect net retention to normalize in the low to mid-teens. So call it kind of the 1.10% to 1.15% range with the remainder of growth coming from new logo activity.
Adam Hotchkiss: Great. That’s really helpful. And then just on the High Tech side, it’s good to see the momentum there with Taiwan Semi. Could you just remind us how we should think about the long-term mix of that business compared to Life Sciences and what the path forward looks like from here, given you’re a little less penetrated there.
Jason Blessing: Yes. So the revenue mix today is about 15% High Tech and the balances on Life Sciences. And my guess is that mix doesn’t shift materially over time just because of the flywheel that spun up in Life Sciences with SaaS transitions and then some of the add-on customer base sales and of course, new logos piling on top of that. That’s not to say we’re not excited about the High Tech business. We did talk over the last couple of years during COVID and rising interest rates, that market did seem to get disproportionately more conservative relative to Life Sciences. But it’s exciting to see the performance in Q1. And I’m very optimistic about this segment of the business as we look forward to the second half. We’ve got great products and we’ve got a really good High Tech team, so I think they’re set up to have a great year.
Adam Hotchkiss: Okay. Really helpful. Thanks, Jason. Thanks, John.
Jason Blessing: Thanks, Adam.
Operator: Next question, Craig Hettenbach with Morgan Stanley. Please go ahead.
Craig Hettenbach: Yes. Thank you. Jason, just going back to the cloud transitions, can you give a rough sense of how many customers are remaining, and then importantly, what type of indications, through discussions do you hear from these customers in terms of visibility that they’ll move over through the course of the year?
