Operator: The next question we have is from Gabriela Borges of Goldman Sachs.
Unidentified Analyst: This is Max [ph] on for Gabriela. Two questions from us. First is, can we get an update on your Engage product suite? If you had to narrow it down, what functionality within Engage is currently having the most traction in your customers? And if you could share any data points on adoption of Engage, that would be helpful.
Noah Glass: Max, Noah here. So on Engage, I think the hero products without a doubt is the guest data platform. What is in horizontal software referred to as customer data platform. We — as I’ve mentioned in the past, call it, the guest data platform because that’s how restaurants think about their customers as guests. That is the way that restaurants are able to really have a database that they’re focused on growing, they’re focused on adding transactions to tie back to their guests and resulting to guest lifetime value. It’s also what then drives the other capabilities of the Engage suite marketing automation which we’ve just embedded artificial intelligence assistance into to script messages to get the right message to the right guest at the right time and upgraded sentiments tool also that involves artificial intelligence and pulling in third-party review sites and surveys and additional touch points all hubbing into the guest data platform.
But the goal of this is, again, to understand every guest and then to really target those guests who are the highest lifetime value guests. There’s a Pareto principle where the top 20% of guests tend to drive 60% of the overall traffic at a restaurant. So increasing their traffic, increasing their order frequency has an outsized impact on the business. And that’s really an evolution for restaurants to be able to focus more than just on loyalty or e-mail marketing programs but to think about capturing all of the guests that they see into their guest database and having a way to make every guest feel like a regular through a platform like the Engage platform.
Unidentified Analyst: And how does the competitive environment change as you move down market? How are you approaching this market differently or the same versus what you’re doing in the large enterprise segment?
Noah Glass: Well, interpreting that question as holistic in terms of the order pay and Engage suite because typically, that is how we’re going to market with emerging enterprise. I’d say a lot of our focus in the past year has been scaling our go-to-market effort and having more demand generation and assigning the emerging enterprise accounts out there in the market to an expanded go-to-market team, having solutions architects, having sales engineers so that we can sell to a brand for a larger digital platform than just purely a digital ordering offering that the enterprise brands on the platform know us for. Emerging brands now are coming on with order and pay, typically and many of them are also coming on with Engage. So telling that larger story to emerging enterprise brands that we’re a digital platform that they can get started with now and grow and scale with over time.
is critically important to the way that we go to market and tell the Olo story to that emerging market segment.
Operator: The next question we have is from Andrew Harte of BTIG.
Andrew Harte: Hello, Noah, Peter. You talked about that enterprise customer that split into the fourth quarter. Is there any color you can share on what type of customer that looks like in terms of locations or ARPU, anything along those sides? And I guess, more generally, what does this new location pipeline look like? How would you characterize it today?
