George Iwanyc: Thank you.
Operator: Our next question comes from the line of DJ Hynes with Canaccord. Please go ahead.
David Hynes: Hi guys, I’ll echo the sentiment of others and add my, congrats in the quarter. I’m curious what you’re seeing in terms of activity and engagement in the marketplace ecosystem. It seems like, as you make improvements in scalability and continue to roll out new product, there’s just that much more surface area, for partners to build around. So curious, if you’re seeing any signs of that, playing out and what it could mean, for the model over time?
Eran Zinman: Yes. Hi DJ, it’s Eran. So definitely, we see good momentum there. We’re starting to see more and more – kind of more significant ARR coming from our marketplace. The partnership with both Upfire and Adaptivist are growing really nicely. It takes time, but currently, those two partners have some of the most popular apps in our marketplace. So definitely, we see the momentum that they bring and their experience, it’s definitely helpful. So, we’re very encouraged with everything we see. We see some vertical applications built not just for the platform, but for each one of our apps for CRM, for work management, for dev. So definitely, this really enriches the marketplace and the opportunity for each one of them. And in addition to the bigger partners, we continue to see large momentum, of smaller and indie developers that build in the marketplace. So all in all, like we’re very encouraged with the development and the type of applications that are being built.
David Hynes: Yes. Okay. Good to hear. And then how do you think about sizing the opportunity for monday Devs, maybe relative to CRM? I mean I assume it’s probably narrower, but trying to get an understanding of kind of the composition of your customer base. How big that developer footprint is, and kind of what it means, for the serviceable opportunity for dev in the base, realizing it’s a multiyear journey?
Eran Zinman: Yes. So this is Eran again. Yes. So look, I mean, that is – has great momentum. It’s a little bit younger compared to CRM. But again, if we compare it, to how we grew as a company, like it is growing faster than monday itself. So also has great momentum as a product. And I think there’s great players right now in this market that prove that, you can build a huge business out of it. So, we definitely encouraged by the growth. We’re encouraged by seeing the type of customers that, adopt the product. Still, we have a lot of features, we need to complete. But all in all, it looks very promising, as promising, I would say, as CRM a year ago. So definitely something, we invest a lot into. I’m very encouraged with the results, we see so far.
David Hynes: Great. Thanks for the color.
Operator: [Operator Instructions] Our next question comes from the line of Scott Berg with Needham & Company. Please go ahead.
Scott Berg: Hi everyone. Nice quarter, and I will certainly echo the concerns with all – what you all are dealing with right now, good luck. A couple of questions for me. Eliran, you talked about sales and marketing, expecting to be in the high teens in the intermediate term, your spend in sales – or excuse me, R&D in the high teens, your R&D spend really hasn’t been in the high teens for several quarters. How should we think about your investments there? Are we going to see kind of a ramp back up to the high teens? Or what does that kind of balance look like, I guess?
Eliran Glazer: So it’s a great question. I would say that in fiscal year ’23, to your point, we probably are now looking at more mid-teens. So first of all, when you think about hiring, we continue to hire in R&D, we continue to investment in R&D. The reason why we see lower cost, to a certain extent on the short-term, because on the longer term, we believe it’s going to continue to grow. It’s first of all, the FX currencies, R&D team mostly based in Israel, all of the people. So, we took advantage, or we benefit from the fact that, the dollar was strong versus the Israeli shekel. We had some accounting things like allocation that impacted both cost of sales, as well as R&D. And it is mostly going to be dependent on the recruitment progress.
So, we continue to hire aggressively. R&D people are not easy to find. Always, there is a good fight for them. But we will continue to hire and expand the team. And we believe that for the next year, we’re going to see this number grow.
Scott Berg: Understood. Helpful, thank you. And then from a follow-up perspective, you talked about net revenue retention trends starting to trough out the last couple of quarters. I note items like CRM and dev tools, are still reasonably new in terms of customer adoption, and how you’re selling them. But from your early statistics, how are those modules, or tools impacting your net revenue retention rate? Are you seeing some your different trends there versus, the overall work management platform? Thank you.
Eran Zinman: Yes. This is Eran. So look, it’s still early days in terms of just amount of revenue and our experience with it, but I can share that overall in terms of engagement and potential extension, we see an upside there. I think it’s just, because of the nature of the products that some of them are more, sticky than others. And kind of, once you get a team starts using it, you get the whole department potentially using that tool. So definitely, we see an option there for higher MDR, both in dev and CRM. But again, it’s still early days. We don’t have a lot of cohort data yet. But just judging by the nature of usage right now, it definitely has an upside there.
Scott Berg: Excellent, thanks again.
Operator: Our next question comes from the line of Taylor McGinnis with UBS. Please go ahead.
Taylor McGinnis: Yes hi, thanks for taking the question and like everyone else, I want to extend thoughts to you all and everyone at monday in Israel and well done on execution this quarter considering the circumstances. So just looking at the 4Q rep guide, it looks really solid and assuming some upside, we could actually start to see an acceleration in quarter-over-quarter growth. So first, can you maybe talk about what you’ve seen in terms of the demand environment that’s giving you comfort in this outlook? And then second, there’s been some evidence in – within other software companies this quarter of softening SMB trends and some other macro events. So can you talk about some of – can you just provide more color on the assumption being embedded in the guide for the environment and maybe the level of conservatism for some of these events? Thanks.
Eran Zinman: Hi Tyler, this is Eran. Thanks for joining. So I can comment on the demand and maybe Eliran can talk a little bit about the guidance for the next quarter. So in terms of demand, like we mentioned, we see very strong demand, not just in SMB, but also in enterprise customers. And in terms of usage and attention, we also see positive signs overall. Like Eliran mentioned, although the environment is still kind of choppy like in the beginning of the year in terms of demand and stability of demand like we feel very comfortable. So that’s in terms of what we see in the market. I don’t know if you want to add anything, Eliran, terms of guidance for Q4 or
