And likewise, teams in other parts of the business, whether it’s customer service or sales and marketing, finance, et cetera, being able to leverage the product for what we call interrupt work. At the end of the day, it all comes down to helping our customers understand from a high level perspective that our platform is all about modernizing your operations and improving your productivity while at the same time ensuring a seamless digital experience for customers. And this current macro environment seems to be really well suited for where our customers are trying to go, more with less, less infrastructure spend, less duplication in terms of point solutions within the ecosystem, and yet better, faster innovation and service to their end customers.
So again, kind of right platform at the right moment for the current environment that we’re in.
Howard Wilson: Yes. I could
Joel Fishbein: Great. Follow-up, Howard. I’m sorry.
Howard Wilson: Yes. I was just going to add to that. And the way that that’s also showing up is that if we have a look at opportunities right now, platform opportunities are making up a much higher mix of our total pipeline than a year-ago. So our sales team is really getting that message of selling the integrated story of when you’re putting incident response, AIOps, automation and customer service ops together, you unlock a different level of power for the customer.
Joel Fishbein: And what does that do to deal size? It’s just generally if you
Howard Wilson: So there is two effects. The one is that it will in some cases make for larger deals, but because of the way our platform is constructed, customers are able to, they could be an incident response customer and they can add automation, or they could be an automation customer and they could add incident response. So it opens up the opportunity to create a roadmap with the customer that they don’t necessarily have to execute on all at once, but it gives them a pathway to how they can actually build and create an Operations Cloud within their environment.
Joel Fishbein: Thank you.
Jennifer Tejada: Thanks, Joel.
Operator: Excellent. Moving next to Chad Bennett from Craig-Hallum. Chad?
Chad Bennett: Hey, everyone. Thanks for taking my questions. So Howard, maybe just to drill down a little bit on net retention for the year in 117% to 120% range that you gave. So how are you thinking about that in terms of seat expansion versus use case expansion relative to what you saw last year historically?
Howard Wilson: Yes. So seat expansion or user expansion still remains one of the primary drivers for us in terms of growth. But increasingly, we are seeing the adoption of other products within the platform as being a key element. And most notable in that is our AIOps solution, particularly with the strengthening of our offering around event orchestration is making that even more relevant to customers. And in terms of automation, the fact that we now have multiple lands and different ways in which customers can use our process automation means that it’s much easier for us to in fact grow those customers with these additional offerings. And that’s reflected in the average revenue per customer continuing to increase again this quarter as it has every quarter very consistently over the past few years has continued to grow up €“ grow and in fact, it was up 23% at the end of Q4.
So our customers are using more of PagerDuty and that’s showing up both in terms of users, but increasingly in terms of more of the use of the platform.
