Hello, everyone. Thank you for your time and interest in Cloopen’s development.
We are pleased to report robust first quarter 2021 results with overall performance exceeding expectations.
Our revenues were RMB204.5 million surpassing the top end of our guidance range and representing a 54.4% increase year-over-year. Notably, our first quarter gross margin reached 43% higher than the 40% gross margin for the full year of 2020 as we benefited from the optimized business mix.
In addition, our dollar-based net customer retention rate recovered to 111.6%.
Our value proposition has always been very clear, which is to provide enterprises with intelligent cloud-based products to enable better marketing and customer services so as to improve their customer acquisition efficiency and retention rates.
As I have mentioned in our IPO roadshows, we are proud to be a forerunner among the China-based communication solutions providers to go public and the United States. But this is not our endgame.
We are not satisfied with being an ordinary company.
Our goal is to be a Chinese company with global influence using our SaaS-based tools to help transform the enterprise communications industry.
As we advocated during our IPO, our strategic focus is on leveraging the vast capabilities of our cloud-based contact center, or CC.
Over the last few years, we have extended the boundary of CC from merely a communication channel between enterprises and customers to a more comprehensive tool that includes subsequent customer management mechanism, such as CRM and SCRM. CRM is the software that manages customer information and communication records, whereas as SCRM, or Social CRM, manages private domain traffic and sales processes.
Our CRM product is named as EliteCRM and SCRM product is named as Juco [ph]. Through the extension of the functionalities of the CC and establishment of product interconnections, we can help enterprise customers improve their conversion rates from traffic to sell fleets and ultimately to others, creating value from end-to-end income tax and communications, customer acquisitions, customer retention and satisfaction improvement.
For our product development, we have adopted a cloud-based and AI-driven approach. We attach great importance to AI applications and consistently invest in our artificial intelligence R&D teams, while also exploring new AI-based avenues and use cases. Leveraging our AI capabilities, we are steadily enhancing the value proposition of our products by identifying and accumulating data through facilitating connections and we are helping enterprises utilize data to help intelligent operations ultimately empowering our enterprise customers with smarter customer acquisition and customer service capabilities. With a solid product strategy in place, we have recently made significant advancements.
First, we adjusted our organizational structure to effectively improve sales and operational efficiency. We integrated multiple divisions in four major departments. Based on the characteristics of our customers, each of them has its own core products and a complete product development path. These four departments includes: one, the industrial digital division, which provides the contact center SaaS-based products and industry solutions for large enterprise customers. Two our new marketing services division, which provides standardized contact centers and SaaS-based products for small and medium-sized enterprises.
The third one is the SOE and government smart operations division, which caters to large state-owned enterprises and government agencies providing video and audio capabilities and deep learning based video analysis technology with applications in that such as video surveillance to ensure production safety and intelligent transformation of social governance. The fourth is our overseas division. Having expanded our existing business to Japan, Malaysia and the Philippines, we are enthusiastic about our progress so far in the international market and we will continue to explore further overseas opportunities, aiming to become a truly international company.
While realigning our organizational structure with our customer base, we have also been strengthening our internal team. Most recently, our efforts have included establishing our overseas teams recruiting new sales VP, reorganizing sales teams based on the four customer groups and hiring new technology director to enhance our R&D efforts. Notably, we have also appointed a PhD supervisor from Nankai University as our Chief Scientist.
Second, we have upgraded our brand from [indiscernible] cloud-based communications to [indiscernible] cloud.
Our refined name and brand reflect the expansion from our entry point in cloud-based communications to our current suite of full flash products and services for corporate marketing and customer service, including industrial digital cloud, new marketing services cloud and SOE and government smart cloud. We strive to provide more valuable and multidimensional products to clients in order to strengthen our competitive position. In summary, we have developed a clear product roadmap with key focuses on SCRM in addition to overseas expansion. Through these effects as well as establishment of a highly efficient organizational structure and a strong executive team, we have considerably improved our operating efficiency and are proud to see it reflected in both our operating and financial metrics. Thank you for joining our call. And I look forward to having more discussions with you in the future. I will now turn the call over to our CFO, Steven Li, for a closer review of our progress in integrating EliteCRM and our first quarter financials.