Anne Samuel: That makes a lot of sense. And then just you had a lot of really nice outperformance on the operating income line in the third quarter. you held on to the full year guidance. So I was just wondering, is there any shift of expenses there or anything incremental in 4Q that we should be thinking about?
Brent Bowman: Yes. Regarding Q4, it’s always our seasonally lower operating margin quarter. Why is that? Service Services utilization with the holidays is always a factor as well as kind of the reset on benefits and payroll tax type items. So that’s a big seasonal reduction you will see. And then we’re continuing to invest for long-term growth. Those are the two factors, but nothing else unusual.
Operator: Your next question comes from the line of Craig Hettenbach with Morgan Stanley.
Craig Hettenbach: Just following up on some of the macro commentary. Any sense in terms of just what you’re seeing from a number of add-ons and any tightening on that front kind of quarter-to-quarter?
Paul Shawah : Yes. The others are pretty similar to what we’ve seen over the last couple of quarters. I think in we were talking to you back in June, we highlighted a little bit of a slowdown in the SMB space that particularly the lower end fewer expansions, not getting any — not improving significantly or not worsening either. So really haven’t seen much of a change there.
Craig Hettenbach: Got it. And then just a question on Crossix you called out is growing about 10%. And clearly, the broader advertising market has been under pressure, but that’s an area of relative strength. Just what you’re seeing in that market and any sense of when that market could maybe start to reaccelerate again? Any visibility into that?
Peter Gassner: Yes. Certainly, the overall, a little bit of caution in the advertising spend as far as when that would turn around or stay the same or get worse, I really don’t have a crystal ball on that. What our focus on that project is just increasing the value from the application. So increasing functionality, increased integration with our other CRM products — CRM-related products and moving to more multiyear agreements, enterprise license agreements with customers to provide a baseline of revenue and stability and service for the customers. So really excited about the Crossix business. I think we have a clear road map, and it’s going quite well.
Operator: Your next question comes from the line of Gabriela Borges with Goldman Sachs.
Gabriela Borges: Paul, Peter, could you walk us through what the transition looks like for a customer to switch from CRM with Salesforce to CRM with Vault? And more specifically, is there a risk that they look to evaluate competitive products when they do that transition?
Peter Gassner: So when it looks like really we’re you could think about as moving the back end of the application, the back-end platform, and we’ll have migration tools that will bring the data across, including the customers customization and still be able to use all their content that they’ve developed, their multichannel e-mail templates. And we’ll use the same front-end applications such as on the iPad. So that’s what it will look like. We’ll develop a lot of tooling. The customer will have integrations to ride, things like that. And in terms of competitive it’s only out there, right? It’s always a competitive market, whether you’re moving platforms or not, and you have to continue to mind your customer relationships, continue to add value and innovation.
So I don’t really see anything different there. And the main thing is we’re replatforming the application CRM. We’re not rewriting it. We’re not introducing any kind of a new paradigm. So I feel comfortable that the vast majority of customers will migrate over time. And I guess the other thing is that the Veeva Vault platform is a very mature application. The bulk of Veeva’s revenue is on the Veeva Vault application, and that’s where our customers actually have the majority of their Veeva business for most of them is on the Veeva Vault platform. So I think overall for customers, this is a positive that simplifies their landscape.
