Ian Siegel: This is Ian and I will again take the question. So the way we think about market share is, it’s really hard to measure quarter-to-quarter, better measured over years, and especially when you’re experiencing the kind of seismic changes in the labor market that we’ve undergone over the last one and a half years, it gets really tricky. But that said, we definitely believe we are gaining market share. And while our top line has come down, we are certainly not alone there. Our entire industry has effectively suffered a decline. And while there are a few larger players and many smaller ones, what still seems clear is that online is taking share from offline and that we ZipRecruiter have been winning share in that online segment of the market.
Let me explain why we believe that and why we are confident that we’re going to continue taking share in the future. I already mentioned that our organic job seeker traffic is up over 40% in 2023. That is a significant amount of increase in traffic. That going up allowed us to turn paid job seeker acquisition down. And while we didn’t invest at the same levels, we effectively were able to keep job seeker traffic flat because there were so many job seekers coming to us for free. Further, those job seekers were highly engaged. As I mentioned before, the total applications were up 17% in 2023, which we view as validation of our strategy on improving our matching algorithms and also improving Phil. So the more we make Phil feel real, the more conversational and warm Phil becomes, and the better key guides, job seekers, through their process of putting together a resume and looking at the right jobs, it seems to be a virtuous cycle in terms of not only are we getting more traffic now, but we are optimistic about the future of what this strategy could bring to the site in terms of both users and their engagement.
So if we zoom back out, we’ve also achieved 80% aided brand awareness with both employers and job seekers, which means we are a top of mind solution for both sides of our marketplace. And that has proven to be incredibly valuable because it generates a foundation of effectively organic traffic. And it gives us tremendous flexibility when it comes to navigating downturns like this because it gives us optionality in terms of control of our expenses. But further, and what we’re also excited about is, there definitely is a value in having a recognizable brand when it comes to marketing and advertising in terms of the level of response that you get. So being a known brand, having higher brand recognition, that increases the efficiency of advertising.
And when we see the recovery come and when we’re investing into that recovery, it’s just another advantage that we are able to press, as the category resumes to something that looks more like normal. I want to stress, again, the flattening we’ve seen is very, very early and we have seen signals of flattening before and then downturn resumes, so too soon to call it. But we are watching closely and staying very focused, and keeping optionality for now.
Justin Patterson: Got it. That’s helpful, Ian. And the second question might also have some too early to call pieces in it, but I’ll try anyway. Dave highlighted several examples of how LLMs are being used across the business. When you step back and just look at a lot of this AI investment, do you think you’ll see more of an impact on either the revenue side or expense side this year? And I’m just curious, why you think one or the other?
David Travers: Well, I’ll talk about it like this, which is a ZipRecruiter has been an AI company for almost a decade now, and we’ve explored a variety of different techniques in order to bring this best-in-class matching that we have produced so far. And now you have these new large language models which effectively allow software to develop a personality and a voice, but there is so many ways you can use it and we have allowed it already to permeate our experience. And I would say that this is something that is going to dramatically improve the process of employers finding the right candidates and candidates finding the right job. It will certainly be a tailwind for us as it is already part of the recipe that has led to the increase in the great matches that we see increase in the number of applicants that we’ve been able to generate per employer.
And so it is already having an impact. There is a — I think there is going to be a lot more to talk about as it relates to these large language models and how they can allow us to improve our service. And while I don’t know the when of — when the revenue impact will come, I do believe better service over the long-term leads to better revenue. And that is — that seems very clear to us that that is available to us in the future through continuing optimization.
Timothy Yarbrough: Yeah. To add onto that, Trevor, one of the things we’ve seen thus far as we bring on new technologies to make us more efficient, for instance, the campaign creation process for enterprise customers used to be highly manual now, only a tiny percentage of campaigns are made manual, as I spoke about earlier. That’s a case where rather than reducing expenses, what we’ve done is redeployed the resources that would’ve done that to spend more time with customers, align upfront on a shared definition of success, drive results faster, analyze and optimize campaigns, et cetera. So I think we’re seeing early signs that that’s going to really payoff for us, but that’s how we’ve approached it thus far. And I look forward to reporting on more about what the results are as we continue to invest.
Justin Patterson: Thank you.
Operator: Your next question is from the line of Mark Mahaney with Evercore.
