Jared Levine: Okay. And then as my follow-up, any reason why you cannot shift towards [indiscernible] based pricing for payroll? And is this something that you’ve considered or you anticipate considering in the future?
Chad Richison: We don’t comment on specific pricing initiatives in regard to competitive situations. All that’s to say is, we’re looking to win every deal. And that’s the mode that we’re in right now. I know I have our sales organization listening to this call, and they know that. We’re looking to win every deal win. So that includes all the initiatives that would go into that. So I’d just stop with that.
Jared Levine : Got it. Thank you.
Operator: Your next question comes from the line of Jason Celino of KeyBanc Capital Markets. Your line is now open.
Zane Meehan: Great. Thanks for taking our question. This is Zane Meehan on for Jason Celino. I wanted to ask quickly about the competitive environment. Any notable changes you’re seeing there? And maybe any particular strength or weakness you’re seeing in any specific verticals or end markets? Thanks.
Chad Richison: No, I wouldn’t say there has been a change in competitive market. I mean, it’s always been competitive always. And any time I’ve been asked about this, I’ve said it’s been competitive. I do think, that there’s differentiating strategies out there. And I like ours when it comes to automation and really being able to utilize the employee base to leverage that ROI, which they are the ones that care the most about their check and what’s happening to their financial situation and hours and health insurance and everything else individually because it impacts it the most. So — we’ve been able to leverage that. We’ve made that shift. We’ve been leaning into that. To some extent, our messaging around that as we made that shift, could have been better.
And I think, that we’ve corrected course on that as we work with every client to move them toward that. From a go-to-market perspective, though that’s why clients’ companies are calling us. I mean, they get to the point of how many back-end people can they hire to even do this work and then correct at all. And so we do have the best process. People are trusting it more and more. As more and more companies have been deploying Beti. Every client’s deployed Beti since July of 2021. New client that we’ve brought on, and they’ve had a lot of success with both that product as well as the suite of products that goes around it as well. And then now we’ve announced GONE. I mean, the amount of time that managers and a company spend on managing PTO is just incredible.
And 50% of all PTO requests in the US, over 50% of them are approved after the PTO has already been paid. It is already been taken and paid. So people aren’t managing it. And 19 states require you to pay it out when someone leaves. And so that’s just ONE category, but what I’m saying is – there is ROI available to our clients everywhere, and it’s important that we meet them where they’re at currently and be able to display that throughout our sales calls. We’ve gotten better and better at that as we’ve continued to re-enhance our training — sales training programs as well as our go-to-market strategies and lead generation.
Zane Meehan: Great. Super helpful. Thank you.
Operator: Your next question comes from the line of Bhavin Shah of Deutsche Bank. Please go ahead, your line is open.
Bhavin Shah: Hi, thanks for taking my question and two for me. The first one, just, Chad, can you just maybe talk about the promotion of Amy Walker at a head of sales at the beginning of the quarter. Can you just elaborate on this [Susan] (ph)? And any changes to the go-to-market strategy that we should expect over the coming quarters or years?
Chad Richison: Yes. We changed our go-to-market strategy. I mean, Amy was running — Amy got promoted to run outside sales in late November. And then she took over all of sales not long over that. And so we started shifting our go-to-market strategies — enhancing I would say. I wouldn’t say shift, I would say, enhancing our go-to-market strategies especially in regards to the outside sales group, which represents the overwhelming majority of all of our sales. And so she’s had a dramatic impact on that group. And we continue to improve week after week with that.
Bhavin Shah: Got it. And then Craig, can you just maybe help quantify some of the headwinds that you guys are seeing for revenue from your strategic initiatives when there is less paper control due I mean let’s payroll runs through to Beti or even some of the other clients success measures that you talked about today that are kind of impacting revenue?
Craig Boelte: I mean what we talked about was some of those less runs because of Beti, I mean Beti making it more efficient for clients and eliminating some of that. And I mean, that’s better for the client. In the end — that’s really a better process for the client, a better situation for the client. So we call that out that we would start to — we’re starting to see those. And most of those are going to — a lot of those are going to run through the first half of this year. And then towards the back half of the year, we won’t see as large of an impact.
Chad Richison: And a lot of that corresponds to how we are working with our current clients, as well in regards to utilization of Beti.
Operator: Thank you. Our final question today comes from Daniel Jester of BMO. Your line is now open.
Daniel Jester: Great. Thanks for taking my question. Maybe to revisit the sort of innovation and R&D kind of theme that came up a couple of times. I get when you look at your customer base today, where is the least automation in the workflows. Is there any sense of where there’s like the easiest ROI for you to come in and offer some additional automation in the product?
Chad Richison: There are so many places that we can go in our product and really automate full items that were multiple steps before. It again takes appropriate client configuration. It takes a client’s ability to have a mind of change management because it is different than what they’ve done before. It takes some trust because you are giving up some level of control when you turn it over to AI, and you have to prove that out. And so there are certain ways that you can work with clients and help prove that out. And so it’s everywhere. I mean, in answer to your question, it’s everywhere. And we’ve been working on that. I’ve been working over in product and we’ve been having an exciting time doing it. And the world’s our oyster right now in regards to that.
I believe we’ve always been the leader and what’s new and innovation. And we have opportunities to continue to accelerate that, especially now that we are all focused in the same model from a product development perspective.
