Guy Melamed : Fatima, it’s a great question. When we build kind of the comp plan we try and align it to what the company is trying to do from a strategic perspective. So we worked a lot on trying to align them. And when you think about where the company is going, it kind of goes back to the color that we gave about Phase 1 and Phase 2, having kind of Phase 1 targeting new customers and trying to sell them SaaS. So building the comp plan is really kind of a — it’s a combination of an art and a science. We try to align having our reps focused on selling SaaS to new customers. And if they do that, there’s a lot of character. Obviously, we want to see how this progresses and we’ll give more color as we go along. But the whole concept of the comp plan is to align where we want the company to go and that’s focusing on that Phase 1 selling SaaS to new customers.
Operator: And the next question comes from the line of Joel Fishbein with Truist Securities. Please proceed with your question.
Joel Fishbein : Thank you. And thank you for taking my question. I guess this is for both of you guys. Yaki, you talked about that the SaaS is really selling bundles to the platform. And I’m just curious if you can share — I know it’s early, but share how it’s like-for-like, what you’re selling on-prem with the SaaS solution that would justify a 25% to 75% uplift in price? I think that’s on a lot of people’s minds with regard to how that transition actually works.
Yaki Faitelson : I think that’s even unrelated to the bundle, it’s very easy for us to justify because this is the total cost of ownership on prem. And we built a very sophisticated and coherent calculator, and we can show it to the customer. So far, the understanding very well. In terms of buying the bundle, it’s easy for the customer because at the end of the day, they want automation. If you take a step back, in security, there is an end means to an end. The end is always data. The issue is that data protection is very hard. And once you provide a lot of automation, you’re really taking the bottleneck out of the process. And the only way to get automation is really to buy all the bundles. And with the bundles, the licenses, it’s 1 plus 1 equals 5 many times.
So in most cases, it works very well. Total cost of ownership a lot of — and just a lot of automation. This provides very good ROI. Everybody understand that they need to protect data. So, so far, we see that the offering is very compelling.
Guy Melamed : And just to touch on the bundling, like Yaki said, we’re basically doubling down on the success that we saw with the on-prem subscription bundling. So customers, they’ll see more value in the initial deal, and they’ll buy more over time, which really increases the initial deal size, but also the retention metrics and the customer lifetime value. But it also helps our sales force because really, it’s a simpler discussion both on the initial deal and on the renewals as well. So we’re not trying to sell 40 different products. We’re trying to sell the outcomes. We’re trying to sell the Varonis platform and that really both helps our customers and helps our sales force.
Yaki Faitelson : The discussion is about just about the value and then you can represent it with one SKU and not to start and say, this is a license and that is a license people trying to solve problems, and this is what we are going to do.
Operator: And the next question comes from the line of Brian Essex with JPMorgan. Please proceed with your question.
