Cvent Holding (CVT)

Reggie Aggarwal Founder, CEO
Billy Newman CFO
Chuck Ghoorah President, Sales & marketing
Sterling Auty J.P. Morgan
Bhavan Suri William Blair
Tyler Radke Citi
DJ Hynes Canaccord
Michael Rackers Needham
Call transcript
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Good day. My name is Savannah, and I will be your conference operator for today. At this time, I would like to welcome everyone to the Cvent Fourth Quarter and Fiscal Year 2021 Earnings Conference Call. Today's call is being recorded. [Operator Instructions] I would now like to turn the conference over to Investor Relations, Ralph Lynn, ICR. ahead. go Please

Unidentified Company Representative

call thank Chief call and Fourth joining on and on us and and Cvent's Good Executive Officer. Chief discuss you the conference Officer; today's me With to Year Newman, Cvent's Reggie financial today's Aggarwal, Fiscal Founder Cvent's afternoon, Billy XXXX. for are Financial results Quarter for

the full XXXX results fourth quarter the year today's we and our During discuss both call, and will for review first guidance XXXX. for fiscal fiscal our year quarter financial and

In Reform addition harbor remarks, statements, our forward-looking Today's prepared be today's our SEC investors.cvent.com. filings. our include safe on release, to call which guidance opportunities. earnings and for are our And first Investor found year of at will the XXXX, press Relations statements made market website a position, pursuant Securities of replay opportunity, to, call limited the fiscal strategy can of including, the to our our growth not Private financial including market XXXX, regarding Litigation Act quarter and outlook, but provisions product

the cause statements. known those involve may uncertainties expressed that different or actual implied be results, risks performance or by and statements and achievements from unknown to Forward-looking our materially forward-looking

assumptions Forward-looking our the made. affect statements the statements included report on with for in November our SEC, matters the filed with forward-looking is only management's XXXX. outcome on XX-Q including covered factors the the section Form filings XX, quarterly Factors quarter that as and represent periodic of XX, date SEC Risk ended titled of on the the XXXX, September in the beliefs Information could by these

year for XXXX. December report will be information made Additional XX, annual in our ended on XX-K Form the available

over our reconciliation Reggie. is today's release, non-GAAP with in in GAAP the and which earnings we also included our SEC now on between call, not A call and Relations which turn accepted generally financial I'd website. like during filed Investor has And prepared results, accounting financial non-GAAP is available discuss to to principles. addition, results In accordance with the are will been

Reggie Aggarwal

adjusted hello, since strong year. public Ralph, from were Delta grow had And in announce top and excited we despite strong I'm and the to our the a for the to into are our of QX our deliver I'm $XXX.X to we from virtual line pressure and the earnings EBITDA happy half XX%, continued call Thanks, the EBITDA in that 'XX, and XXXX. because gave going finish increasing markets. adoption investors XXXX And million in guidance and a hybrid guidance. Omicron of of to XX.X%. revenue revenue XX.X% able everyone. first second beating we variants to by very well returning our positioned are XXXX, Therefore, both margin we we guidance up adjusted our July platform, of in-person our the year reaffirming revenue And revenue and full

we believe Now transformational our context a is overview the opportunity our for pandemic and changes market us. has before brief like larger a the created I within industry I'd that talk how set quickly to provide Cvent of business performing, of since the much about

Now that Cvent execute and virtual, sizes, in-person plan, platform is events of engaging and a is used SaaS to all market hybrid.

Event event powering Cloud the Event Program. solutions excel attends, any our something hosts Now Total at almost call an organization we or

more. marketing, So where spend, solutions our run event venue. ROI of engagement, to need a we're effective in. in-person source a event Hospitality And comes events, and attending single event That's Cloud you truth for

define and research out go over vast network from a help venues research, to monetize Network, send to destinations. this business. and organizers to selling and unique planners, by XXX,XXX CSN effectively define competition Supplier we called them built the software then and of and the CSN advertising stand or more with RFPs of venues hotels, number use a closed Cvent we spaces select attract for Think Now short. event Event

Event our fundamentally, and and engagement our grow greater compliance. ensuring helps drive software Cloud reducing Now line customers while Hospitality OpEx revenue their and top

industry's and Now talk our has how Cvent about responded. transformation let's

call XX barriers, not hybrid websites, was accessibility within in we've helped Hub forth. only Cvent in-person a platform attendee which Hub XXXX engagement, years, out entering threat]. to world large all industry mainstream has process. XXXX an Sullivan. months, Virtual to It our industry seasoned two, virtual track led only events but But a launched And platform event explosion our burst accelerated over and opportunities cemented power to last when years; management survived the market increases tailwind, Cvent $XX for built fail. in a & the and for initially We our a the one, the leadership serves the recession which digitization. in these digitized to just -- market want so the Built maximize our is allowed hybrid well. in-person hybrid, hit. virtual behind. and nearly launch more technology the an organizers events was starts product XXXX. to with a marketing, core world expansion future-ready. event were for to and registrants has according coming taking a by solution, our both We event with increasingly are others when of that Attendee fastest-growing a our our by team our the demonstrates built during from strengths due our as to X great that paper that person, a we're Frost we of most tough these engine they through led of it's also With pivot engagement billion brand-new and far total pen [triple believe over accelerated navigate part physically repeatable, as after of opportunity meet Virtual And took For virtual broke automate XX sorry, highlighted the to in capitalize in-person addressable history Attendee us are delivered the of wave COVID, fell necessity. larger we're world resilience this and registration because innovation. attending I'm in as and became the like interactions sheer We core on of as way market, virtual the to This tied helped financial events, events meet to all digitization and to: Hub successful off. the emerging events Attendee position And events. ability engagement measurable events, is drove now our and very our where agility, the digitization Cvent formats scale. we X events Virtual hit, digitized and the used event of dot-com When pandemic times. Then down to best organizers we our couldn't manual to massive People at back.

proven hits, have stronger we that crisis whenever better before. We emerge a and positioned than

proven our to is Next ability innovate.

market innovation need X,XXX the drive Our resources, R&D we to is strong growing, giving share. expand and and us team

real including because Finally, X,XXX most workforce it the over profitability and a comes competitive a over operating with This advantage scale we is moving importantly, ability global innovating. X,XXX when fast, to employees, XX/X, have in India. to delivering of

QX. Now into let's dive

with logos We Event win our to new Cloud continue solutions.

hundreds from logos of XXX quarter, organizations and the non-profits. we new During fourth associations, ranging to companies small universities, signed Fortune corporations to

Cvent still company a For total was better processes. spend example, to new company contract in pharma events QX, This control to or and closed million TCV a and value. to XXX their processes the for using we Fortune run X-year turned manage $X.X but event manual

XX plenty growth in companies the accounts. in these Now use XX of Cvent the top with left pharma of U.S.

of verticalized with higher education. strategy success example our the Another in is

Just in renewed we Ivy QX X the or closed out leagues. alone, of X

Research closed of with QX over for million years. largest One universities across over TCV colleges powering in prestigious the now XXX deals globe. X our We're $X.X University was in and the

to buying almost their XX% 'XX, including X total of the also modules from is XX%, At events. of the we customers. for for or Cloud primarily event end more to customers program, our the We This virtual more sell increase in to Cvent year. needing to up X customers due increased existing prior percent platform Event continue

Attendee you state customer Pre-COVID, Let and Hub. 'XX, Missouri them event solutions. management counsel COVID has they XXXX. XXX,XXX more been sold used QX Attendee care example. give since registrations a in health When of we X-year signed on-site TCV me hit, purchasing and an mix A they deal In a Hub. a

Because Now in moving Cloud. are the hospitality to headwinds still the of COVID, Hospitality on industry. there

effects negative and the hoteliers’ our of believe is despite we recovery group's business, meetings underway. However,

value RFP It Network The the for in was grew XX.X% Cvent time included quarters, the pre-COVID. Over year-over-year. business on For XXXX QX. billion Cloud first in our RFP $X of example, Hospitality was up sourced sourced XXXX. QX Supplier in X

best QX 'XX, we recovery really So dollars, get of QX an to it's to XXXX are of to of our $X.X an increase look almost picture accurate over through billion. through up at compare in where source QX and that XX% QX of

highlights that are industry an and here demonstrate Now some sales recovery.

German in shared highlight the our a stringent small restrictions One CSN. is the to chain to in recovery market. a and world. the customers a has the they advertising the downgraded stayed Germany, contact some COVID basic help data that When the in on started, of most customer pandemic with We country of package hotel in located insightful

us of Our actions X-figure reflective from new land a their a XX% helped pandemic deal X-year, spend. increase

is last properties remember, group you business. the that other close chain number XX% rapidly software dollars interesting Hospitality advertising and both years. with of solutions hotel but software that about One is the few business of our from shows from XX% a our growth its Cloud is analyze, solutions the over if expanded that has more help manage story of hotels advertising Now and power prominent recurring

our just new and Cvent capabilities And It to close chain business and event their way. properties, market also advertising in designing to software with turn not to help plans along use of kept foundational investing that but As planners, space the the solutions, growth on each added itself. the for the event planners for hotel. they our collaborate Cvent to hotels they was to

properties year, expanded -- our $XXX,XXX spend event chains that chains accordingly. annual properties, $X.X million spend XXXX. and this their is in example hotels, a from investment their add current hotel As chain which their as they Cvent grow hotel year sorry, a a is went This great for to

see for our Event few and for Cloud, can So from hope examples, I both to demand solutions. you Hospitality we're these see growing continuing broad-based and Cloud our

Now market to our in confidence us the XXXX talked the events I'll about digitization due key detail earlier, now gave more opportunity growth. go of of us world. ahead on into the the that I larger drivers

the demand for return First is and to accelerating the events in-person hybrid.

wait can't get in-person events, powered world while to our XX over for the back that again the to virtual here We've Now we is time have seen to stay, years. nothing a power space to and win in-person events. they time interaction beats it's see are And events customers, create applying energize taking to and in virtual in-person audience. their over prospects your that of with it now what exciting planners and bonds to learned

connect on before attendees Cvent live agenda right of to they stream go a people organizers no and now event can advance to their Attendee attendee arrive. can the the the marketers everyone they versus planners waiting network they with before agenda, event before you in start Hub, can Instead Event With engagement can e-mail reveal. the until event build arrives. so enable the

is for in-person driving being we're and hybrid Now elements demand which for events, our used seeing solutions. virtual

meetings, Health can pandemic, quality Throughout and return, will vaccine enter experience investment both leave had requires suite Cvent successful attract audiences And to on health verification and want shines. the our X hybrid sustained As not introduce the technology impactful attendees of built we will event run -- X massive an is planners That's arriving simultaneously for a video we for to status on marketers safe events. is behind. will support partnered help able audiences, test event. Check site. help ID.me seamlessly want and virtual you for event our to hybrid organizers broadcast deliver and in-person leave This contactless ensure hybrid large that A questionnaires. all and when to and engage of COVID a platform events events virtual content for attendees. We're execute introduced where site, event virtual in-person platform planners what hotels deliver deeply and leading check-in, that attendees, and platform. when all safe and through deeper with to course, solutions Pre-pandemic, and

their this near many of see Data stakeholders our many success their space live what the share many watching return. competitive we're of as attendees going people are We well from planners even and was receiving also currently business in-person to that events the checked market in into enhanced With that have palm out sessions of positioned dashboards the can disproportionate from pandemic, in, their investment on-arrival feedback the no how so during solutions forth. morning the real-time the and how and such or hands. we so stream, insights executive as phones of the onsite events capture our believe

actions. love capitalizing on Second, virtual take can digital a and drive organizations, attendees to power leave digitized, so be of and demand follow-up scored When marketers, compiled are behind solutions. person, is This trail Cvent effective including hybrid events. engagement the events interactions for why many of in quick, that to

track attendee and picture of buyer. when something and you you if that's have interest really And can can together, can incredible put your you amount your You an if the on information full engagement of special. generate

and us increasingly, massive marketplace want is compiles organizations platform event and now engage after all ways just with find front real-time frequently This technology be of occur live engagement more picture can and are extend moving on-demand makes and center events event the virtual allowing total organization. idea engagement and to and video to Cvent year-round engagement the engagement from The to reach of their this before communications events the but X Our mindset. not in content. across and before and used organizations minds, attendee across With program. a audiences in and across to after their what through video an occur expands events stream, of account proliferation

key more drivers, impactful. in live help XXXX to that As their we Studio will to see opportunities their number strategy overall including a make and our engagement new aggressively our invest plan develop at and program growth product we organizers look only year-round of Cvent video, event

expansion the Now growth third vector the ecosystem. is of our

reduced send as by for space, the early rates adopter them last continue and business with digital the this pilot ability an the an In the to allow of struggled look having hoteliers. excited start hoteliers without and more and small sourcing meeting recovers, that since levels And efficiently. Book. to view have meeting staffing by are Cvent maintain demand Instant hotels AV Instant new to and employee. to Book, allowing with designed respond pandemic. QX tight to generate service planners planners for meeting a year, process able of to solutions planners demand product with sales called and environment to the we efficiently demand hoteliers need food to and small for to launched In Let's meetings meeting simple more be simplify live book RFP hotel will or hotel RFPs. we meeting the And negotiate not will beverage Cvent market, It's labor and an

don't for investment in set we to important year impact of to Book. future see we Instant expect Cvent XXXX, the to this be believe revenue foundation an While a adoption material

to planners efficiency, and identify ways markets. product support addition meeting focus our to now strategy, of this is to will expand also in on with different internationally. simple, In XX languages in nonprofessional localized a reach focusing we automation continue our international on In

consumer center events. mostly will to experience product it our and simpler is planners suitable and the be first media for enable product interface cement also a more current the new implement international localization market more longer-term non-business-oriented A our for user our planner of for our and refreshed and will position sourcing professional community. of meeting initiative to Now help a consumer-oriented audience phase user with our

multiple there that about Cloud. and As see, you growth across our can Event drivers Cloud excited we're are Hospitality

it Now Billy, with our that, hand I'm CFO. over to going to

Billy Newman

XXXX. walk Thanks, and you Reggie, our then fourth full XXXX full performance and and first good afternoon, first for year and financial everyone. quarter I'll quarter discuss guidance through year

of on-site strong growth guidance an more in-person bookings we've of from second revenue to Cloud beat Cloud after hotels reinvest quarter pressure quarter combination than The was the in growth in income The Omicron to higher increase a mentioned, year-over-year. the our Event quarter, was of In and basis. year-over-year business. by platform is seen year-over-year. solutions are result fourth in $XXX.X as Quarter of and strong marks using increase on-site $XX.X our XXXX, revenue fourth return In of total Within the in or the growth remainder otherwise XX.X% quarter. rebound Attendee growth the expenses and reflective growth higher-than-expected million, expected an was continued references to all of the was is The As variants driven discussing Cloud in million, the quarters. high Event increase of the for sales the We Reggie Hub. largely revenue due unless Cloud XX.X% statement, end beat This fourth X.X%. events to of noted, non-GAAP during an revenue Hospitality total Hospitality $X.X the of million the Cloud revenue of X of Delta the our results COVID-impacted by despite operating momentum the quarter $XXX.X million, half the this return year XX.X% a year-over-year. group and begin their portion of revenue, the revenue Hospitality on to solutions

release. You fourth metrics in can comparable the press quarter our information earnings GAAP on find most directly

second, quarter that And of Attendee or to $XXX.X note as Reggie is such due go fourth on-site strong solutions, cut first, in the Hub abnormally the respond invest compared Now revenue beyond. in XX% massive we primarily to events to and and virtual see period XX.X% in to reflect XXXX and momentum expenses of to in continued low decline gross that non-GAAP on conscious Non-GAAP the the COVID's continue. the same throughout outlined products growth decision as each things: prior growth gross to line, given was return mobile event margin impact a XXXX that profit of million opportunity start X and and business. the for as expenses The year. through as we've in expense events increases I in day investments the expense in-person to

the is revenue lines, as which costs revenue revenue primarily in the support associated invest due revenue of ability are of of employee continue related million the non-GAAP of process. in expenses, year. expenses of a and research to partially quarter services million the $XX.X increase of due period of a $XX.X prior The is year. as Non-GAAP to statement. percentage XX.X% marketing our of is the Moving period decrease year. XX.X% as income were of due contracted higher in hybrid to expenses across research offset to to to fourth SPAC XX.X% a administrative quarter in as to down compared the percentage primarily The prior of Non-GAAP prior XX.X% and same the multiple virtual and events. compared increased by expense of to with percentage and of development in as portion to revenue the percentage Non-GAAP revenue expense costs in primarily same same a increase expenses revenue XX.X% of non-GAAP million a were expenses and the the and expenses in as sales expense program revenue. fourth The marketing percentage general revenue or higher sales or lower $XX.X expenses were a percentage as development and employee compared in and period in marketing we administrative or non-GAAP general XX.X% a

from expect support end lower-than-expected million, the On in EBITDA as X% the $XX.X and The and of revenue COVID. a these and growth investments in to making in was $XX.X revenue expenses an outset a million $X.X total higher XX.X% full Hospitality savings revenue, we took $XXX.X an of was costs Some from of and at travel. prior Shifting XX.X% XX% XXXX of such year than bet year. million cost for some into revenue, costs, increase million costs across items, cost revenue we shared. margin terms in beat basis, prior July temporary the margin guidance is fourth for full we earnings. compared and the previously to operate outsized savings line the year of revenue to year million beat was full for measures increase tax of employee guidance of year. $XX.X Event revenue, margin to Adjusted result XXXX down year margin. of as The the future. beat in decrease and of to so the recur or from sales prior XXXX. is XXX were XX.X% XXXX reasons as or are Cloud on-site of reflective XX.X% we company. is $XXX.X Cloud of in recur these Adjusted our don't a will prior several we over dollars expense, And in million, a increase year a specific EBITDA the public Within represents was basis the gave XX.X% quarter, and the point $XXX.X the million, Adjusted was to compared them $XXX.X the onetime which high the million the down of majority were solution decline our the EBITDA

our leaseback before the of up $XXX debt the part our quarter million $X.X free client million in last million of down partially and the The was quarter of sheet. Note to higher quarter, as the million, our next after the cash third that million compared in the cash using that XXXX. of growth long-term balance sheet related of and payments investments from $X of $XXX.X with cash, Free total to interest cash Turning million pay change XXXX. to short-term increase was on increase December cash proceeds $XXX driven end equivalents in flow the debt. We the brought of by ended was year $XX.X and balance cash the to an of onto services we is fourth collections the to contracts which for inflows to -- year, high the in year cash fourth due flow in flow and saw negative and in due cash high the million seen fourth percentage cash results are of bookings seasonally we've merchant quarter fourth to in first $XX.X that the negative quarter cash typical the to is flat flat negative client calendar quarter. free our

cash full to long-term For $XX.X year, compared collections an services in flow related year of estimated to until change prior revenue to to increase delayed bookings interest XXXX. free see XXXX the before from began an Deferred the cash the and that we the debt free on XXXX. $XX XX% February payments client XX.X% of million, was million, end of growth the year-over-year $XXX.X XXXX flow in XXXX. end cash was of increase the were of benefited our from million merchant at from cash The due year an the

let's to guidance of for and quarter first XXXX. year full our the Now turn

the July $XXX.X As revenue the XXXX half we guidance we guidance outset investors and Omicron XX.X%. margin EBITDA are call, our at full in adjusted pressure of reaffirming meaningful XXXX Reggie the second our from of of and in despite XXXX, increasing the Delta million variants mentioned the XX.X% gave to from that year

of $XXX.X adjusted at EBITDA $XXX.X XX% million we the of XX.X% up adjusted the $XXX.X XXXX. revenue midpoint. of margin EBITDA to million And to $XXX.X XXXX compared year expect million, We million midpoint to and expect full at

the give midpoint first are in $XXX $XXX.X XXXX. the quarter drivers the color million, XXXX. to dollars. with trends some Now Starting shifting this drop is decline. of sequential revenue be quarter to guidance at first regard million compared and we're for seeing up to of X between XX.X% sequential year-over-year I'd in expected and the for first the Revenue to There like quarter. the the with to

$X.X explains drop. in X than QX, is approximately days there The to in first which QX the million due of less being

and this The time most products, of are from the Because revenue there of these second the associated quarter. quarter recognized at quarter on-site portion in the events is visible event, is that this when with to going and year, the regards the first solutions the more quarter held products for Hub in to the every is some our creates revenue each the than fourth seasonality fourth year. first with a Attendee

third and important deceleration and for year-over-year the reason the Omicron is hold on also the driver it's planners variant most is impact in-person software probably quarter in to of and the of event in events growth The buy decision the having first would been Many in originally estimate been quarter. scheduled that first quarter later occur events we have events the these first the to if approximately year, the growth not and been quarter have to pushed in XX% revenue have pushed.

second are conducting in-person in seeing events quarter. With of strong the in we lessening, Omicron the interest impact

our expect first of the recoup delayed the revenue guidance, from we in quarter XXXX. revenue to evidenced year full As by much

will our Excluding we QX be the growth for the compared year to first quarter to same revenue period full revenue are QX XXXX. XXXX guidance guidance, guiding the from that when time XX.X% of

will XXXX. second return quarter rate strongest the trend for be of Finally, and XXXX, a to quarter normalized expect we back the will rate growth growth we the half more of

Moving adjusted to EBITDA.

We operating expect yes, of we in lower X.X% in lessens revenue drop EBITDA the first drop of revenue quarter $X.X $XX.X to an sequential adjusted EBITDA adjusted implying The I'm -- the sequential midpoint. the million, at million in able margin between as the fourth achieve our quarter reason adjusted business. revenue first the leverage, margin in drop are to and is X EBITDA for sorry,

result sequentially employee the effect lower Adjusted first quarter end accrual point increases seasonal each revenue relative of in to year. employee the base This the year, at typically items such year quarter the and after year. of its increased fourth EBITDA margins payroll at step-up first is beginning typically Additionally, due of the we the our as to a of quarter, in ending PTO the taxes, the cadence namely at the compensation. any of benefits, margin highest in of expenses, generate the the given largely rest year a

to in XX% our adjusted In We very same year we XX.X% and guidance ending pleased quarter the expect EBITDA with trend the way the fourth financial our provided -- XXXX to for revenue growth. we're margin occur with and summary, EBITDA adjusted on our full year. quarter guidance the the performance, outperforming revenue for

and We reaffirming year to but prior margin growth of seeing year back expect full variant million over XX%-plus open turn which to XX.X%. temporary XXXX is I'll closing on guidance effects why first our the some revenue of for I'll full X $XXX.X Reggie the our we're our are raising revenue return of adjusted last year, now guidance remarks. Omicron quarter months slightly now it to year XXXX the to some EBITDA -- revenue we

Reggie Aggarwal

Billy. benefit closing, their a same did a navigate to the and program. to time, year, we technology help virtual was them pandemic. Cvent hotels do recovery. XXXX grew. and We return total all-important ecosystem that manage Event were we inherent tough events took leveraged successfully In greater best. we Those but what XXXX to efforts pivoted, Thanks, us in-person our off, helped a And agile at lead engagement our strengths business needed their of meetings, in the to conferences hybrid drive complex to events to realize event the started of organizers technology demand continue and across as

further mind, to are strengthening deepen to Cvent. invest we our Now ourselves we with as opportunity. competition, the and And looking continue after distancing massive is go our position to increasingly as heavily of broaden both market this from platform, we means the top these marketplace

across the world and Looking forward, more our the sweeping platform events even essential impactful. digital makes wave

a strong So we XXXX. well feel we're for positioned

Savannah Now I'll moderate our to hand session. to Q&A live over it


with question J.P. Auty from Instructions] [Operator Sterling will Morgan. Our come first

Sterling Auty

the Omicron of events in still that the visibility guidance? terms all impact you events of in gives the those you quarter shifted that on occur? events include curious, later, what those actually first And did I'm will 'XX the that pushed So

Billy Newman

in recognized there's We the clients sales that but seeing that events XXXX. of And is in-person, our some that good we're all from hearing because, the not end already in interest that a assumed just did, gives is we obviously, have in confidence what funnel. the that not be happening, us revenue revenue portion sales up strong might team our will

having those clients rescheduled. discussions, get are with to them obviously, We

Frankly, rescheduled concerned second being about already capacity that we're are constraints. they're for the hearing little team sales from a the Some quarter.

obviously not to in what do by make new of seeing really what to we from being But also just we're those that. we're we're care need to events seeing going take general Now enthused rescheduled. what only looking But and terms of clients purchases. in our we're

Reggie Aggarwal

And Reggie. this question. great a Sterling, That's is

we're impacted took the top it's positive first Clearly, end I But what the of now -- in all that of by what's sentiment. mind see we real personal we very But beginning think is everyone certainly Omicron that on this a XXXX. kind seeing the can was of think experience here's and kind in of December all planner investors. It I recently, level, happening. something at and of surprise. for change

market. the are conferences Just on year. going And in the there's and days. to in-person starting They're for conferences, week the last momentum. example, banking kind lot of embracing plan next a There of of at they're guys lots in beginning see as X hybrid of the stuff you we -- XX

asked weeks you think it ago, see. X just was and if I wait

back -- them feel and won't are we back and think of QX some -- and 'XX. things lose half lot behind are people them, few signs, positive push, the Now a turning variant we they'll them and and to particular we'll having in the at that half. being least comfortable be is rescheduled, look, us positive, of this are But see just but most pushed of pretty in that in that confident we a of

Sterling Auty

sense. quick That follow-up. X And makes

increased financial market Can like the about weather us in-person strength especially given that looks had be what through to share, sense give share. market of your able the talked you've you the for a COVID maybe pandemic. You to

Reggie Aggarwal

So than is penetration, look, if $XX it's different billion, that the market look less share TAM, total you markets. Look, our down break to XX%. you our at way

it in so grow. share comes of plenty So we we have in-person terms back, further the as market of comes as room to what consider it

biggest things As what call. is, at are Excel their all and competitor the using is Outlook, share still look manual that processes, the basically all competitors you our market we still what People manually, run more a but you you they're lot to the pen things especially I'm paper, still and not in-person. And say going a that events. lot do have do people of to with

a really a before than competitors, processes. But us X difficult, less of in see applying combine you as the hybrid and much I have you and And this where my out practices it's And still now of automate forcing look positive especially -- this candidly, that's to look our function the of of is thing XX%, very all, people you guess across to biggest more North grow. of manual market things when this more. industry. when and our those take is -- again, you're other room is think it people is just penetration kind technology force this at we when market view. to So small, it And not still best learn digitization, you XX% a competitor view you plenty virtual person, been to kind that global bigger to our that when The there's from is in that gets was when like the came But of look going the digitized. America further space embrace but share remember at at digitization. just

Billy Newman

on platform, hard and how I and it's have to been our at event XX look XX in last thing we accomplish virtual to very able in-person Sterling, And there. on and with. just we've what given add X position, of to the program you years full competitive compete months leadership When the total the side a event our would side XX-plus

strong data because those terms bolster we that that to engagement all all events of points in-person position all that's from get serving to in they're So to together. even are going and a can it, going of able watch somebody how do be competitive points analyze


question Bhavan Suri Blair. And come William will our with from next

Bhavan Suri

you hear me, Can guys okay?

Reggie Aggarwal

you hearing great. we're Yes.

Bhavan Suri


and should I this flip like. about of ripping Or let's sort talk quarter earlier, here. the how is sort that to How think solution level of Solid business, are not there? events, marketplace you the When people using but events out to When of you we a at of were Are looks in-person How manual? wanted still and a to virtual sort much about you that is of X-point your virtual things. the virtual bit hundreds and side your sort now we guess high what start a got that think what know a greenfield. little this I you've conferencing discussing greenfield. do there. just manual thing? winning that's of that thing who little is of customers and How of much we total don't that -- of virtual Sterling those you've yet that to X sort sort of market? webinar about Or you're approach should market added

Reggie Aggarwal

Bhavan, and question, thanks for it's joining. a Yes. great look,

So here I'll tell you, categories. it's really X

is WebEx your first tools from your That's using is share. traditional course, -- probably to category the webinar to First more Zoom your one, lion's of Microsoft which

is The that of second. putting second using group stuff it the tools, or own kind created people have you do That's of have kind their together.

event event is, software let's management category, of the call it, we're course, in, the third, The which category.

with some, of out were thing doing events, But big great difficult will, when do not exploded, kind talking that to is more they're virtual obviously, though, and people were manual, there were that in just So growing, you stuff you Those for virtual internal the maybe virtual we're let's likely unless much the that or you some a to more look there with they external tools if because obviously at webinar, hit was are would that person. say, X them. about likely hit. of be your learn before was more pandemic if they're Zoom employees. the happening. It's events across But events, those that more Those events, events example, Teams. do much traditional are on were pandemic

companies. analysis with, run on total virtual is a that the total let's So side, do. to event more virtual the different say, for do just experience platform the look, in-person, be, not virtual virtual. will, our need don't have. where these attendees some the that mid-market your you virtual can we at have systematic let's the towards that really product tend in look whether just in if help you And say, a you program? when not larger want companies enterprise, it's going you getting but more they because even you towards you the where And tools event be to just the event all not program they're that, of They I'm in events, you take your it platform, your look to hybrid all manual events and few customer events program, all, you event you people total it's say I the strength to have a is want all towards so might less think that, X mentioned geared They to comes when Is geared virtual thing total a they're say, virtual, focused becomes whether geared it events. many XX And and but place at when that multiple where focused, and as that is or pre-pandemic in more manual. hybrid there, that's the it's went our individual back virtual not therefore, realizing processes, handle events to are it of X So whether right? they

this force bit does my work really lot hey, a So see back, And person. is a over-indexing to little shifts greenfield going more my what in as of virtual a look, there's in expansion. now is, to on, lot with people we're But person going are going digitization. a comes start of

my the and in care about X other at it's years, been virtual, have as really don't look last you the I way. it's my not If person, important. I

it's Now the opposite.

be to look, to so here our is comes are strength workforces going stay. And And in. permanent. distributed where virtual that's Look,

people engagement. going be to that. And are There to virtual think are events. going of I and fixtures live see look, webinars

that And so elements the engagement, total that's of is, program total X event plays just our again, and customer the strength. to of which

Bhavan Suri

particular business, created now, want that of in way. funnel that this virtual that X, this et you Cloud. to get that say, monetized on in complex you've okay, a How to I R&D buyer an the which today, one, deals done creates of one, Yes. your sales got job of on which on the this side. I'd He of to there, to it, visits, next your love the time the gets from team job he sort guys have a hospitality a this a in-person plans is, guess that years this cetera. that's part types helpful. that I How went product and person, this know of think sales with some data especially guys And virtual good is streaming touched you that volume around about about productizing does marketing and India And virtual went just went with and is cloud I Hospitality amazing data. is who do advertising and development? in think to as in side, great for I and to really necessarily play in over marketing this really done to data? different you. funnel understanding really his the out you've the data X And understand particular get company your on around you is sort appreciate engagement plans Bhavan Because but event. detail. a that not X you product, do part-time How follow-up I obviously you

Reggie Aggarwal

Look, Yes. mean that it. just customer you what is, this digitize which engagement. This is I again, is is, a part right? element of want customer engagement, journey, core of X a to business our customer

people is certainly there mostly why were just events before it There was candidly. it event live That everything described virtual say. super becomes but because weren't complex platform was. webinars just exactly what inputs, you and X So was stuff, it want let's many

X. Now it's across all

is marktech part with I of we're that. core part only is, that sure a a But not to but engage only engage to we not our what of with their that product really digitize and want -- all make stack. mean integrate core So we

showed is program. that's have during marketers a roadshow one most remember example, that different So you part. you important chart as points customer, probably that why an our touch of we big the of their saying events such how that were in a our events if journey is And much customer the all parts showed

with have our our -- we productizing we not the the many but that so ultimately actionable integrate just insight back they their with events. can And to an into that parts so only those end technology engagement and give customer and insight of that of people with work marktech why how to buy are end, came and because that's lot of to productized in also prospects a customers their

in my community things and to way, engagement. that So that total actionable them productized and more about we of in journey total talked that event working it that that customer the to to the we get help point I and make to is event sure another and event make to call that of One our what is was reporting we're all that's lot after before make and long, whole give earnings a area make is and thing make on program sure a also year the followed.


Tyler will Citi. question next with our Radke come And from

Tyler Radke

customers' your your in of industry the this I on sense that is down year. the is And Reggie if on engagement the [indiscernible] future appetite first the road. How the new curious just few to to I'm the here events. appreciate going what's of Always [indiscernible] you've industry. your seen of I change? hybrid future events view mean months for

Reggie Aggarwal

there's know it a Tyler, here. any hearing time we're you. hard don't put can if you way I having

I for sorry, do question? sense the your events. Is hear customer hard said that you. it to I'm to you appetite hybrid what's think was

Tyler Radke

me you hear better Do now?

Reggie Aggarwal

bit a better. Yes, little

Tyler Radke

Okay. Yes.

that. Sorry curious about -- Okay, Yes. great. just

their months or So first you And the the last of since the how changed months approaching given the how strategy? over just played that the event customers has of yes, your the events kind your see do customers? sense speaking hybrid question over from view maybe what's of And were interest was X out investors? of with couple year, has the last how you are time

Reggie Aggarwal

couple thoughts. I'll of the So, you first kind give of

will So at XX% TAM a look, virtual. be XX%, XX% in-person, from XX% view, if you hybrid, look

And Something event being like shown. wins. that's with again, that program our platform research again, total this is why, what various that has a mix such

one. kind of that's point number So

and of couple In a terms person. return of it hybrid, in things here's

that's a in what let's address come in care all cent like care even a ago person, focused whatever go We've It's back said, all almost now everyone little virtual, of virtual, First said, all "I person. in of surprised how okay, person. I has is X they don't person happened people X about back when fast in have fast and on. been how years and about to sudden

more rapidly So thought. it's happened a we than little

more normalized of a little time. first that's it'll that little we're came times, Omicron sentiment to Now but take observation. changed but But in, the bit course, of now a getting kind bit, of back

terms hybrid, to of we're towards AV geared of In events larger are not better is what the get seeing more that It's hybrid in an event. midsize easy and events.

event did it you're the at might the to X,XXX you amplify people many but to have XXX-person it, see keynote want that much that if in your get virtual Cvent it's do it. if hybrid together, and might or important to to you're if why X,XXX you which speakers a want program, of for together, of a putting are that money events and wasn't to is it'd couple a important my a Like hybrid, bigger tend a conference, Connect mix more be to view, XX it's of events, But go example, more little it a difficult the But are okay? it's for hybrid be content make what because you getting organize strange let's as hybrid. because your sure little take, think event large-scale you then event people so the you a and these so you where So people, events. such great the we more cost it is mid- all of you thousand putting have kind

to so cost fly the not in, a just because of combination kinds of and that reasons, seeing continue, that we're it's because It's don't trend it's all going want be pandemic. of and forth. people always both So to

So our It's hybrid technology platform. and view be larger be that X, the but to going to the a it's a mixture need events you continues towards all is of future. more mid and

attendees. that engagement thing the expect expectations lot They dramatically. digital person. other that like in -- The expected are a they and same engagement like just virtual, of is They're they growing digital of

the that take, So this savvy. people bit technologically example, that pandemic and you're a to in-person so your We what still gotten school seeing have apps. call to demand Like app for to more they like because mobile event. have go expectation were is everyone's a when say old little finding they I before mobile

agendas. can They're If a have an the you app, event, mobile it those you with giving can well, binders now, believe imagine right? they still don't

So just of that kind kind as an digitization, strange. which doesn't seem example, of

with their mobile and and Just mobile app app. need finding before the want pandemic because saying engage in a still people we 'XX, were you to interact people

the things gives call really of us kind and But X, person both of engage didn't when amazing And something worlds. combine really the amount higher. what program to marketing you of engagement to this companies. is come these is from So person conversion together we that it really you an that be best and any in the or going the with digital that combine in of can with you impact it people those becomes

Chuck Ghoorah

in-person. about Ghoorah, think that's And higher you President, hybrid Sales Yes. conversion if for marketing. the the because engagement love this Tyler, and is in-person, and Chuck the CMOs

the block. even wants reach, the every be though virtual, So but with then check less virtual, it's might that But there's both. CMO a engagement broader because

that So reach broader replicated. be can't

want now what of the [indiscernible] question you seeing check boxes, terms they had. that's and both So in to we're

Tyler Radke

during adopted landscape, just solutions, point of kind a it That's to lot things have of thrive lot the virtual-only or event competitive thinking your of vendors space. you reduce vendors of working pandemic, events, the and customers competitive of on specifically see how a the kind customers the a terms great. from And you are are I guess companies number I with? follow-up, you virtual-only mean, during that now the of business number seems like a that And with the may do for landscape? reopening, are in of spending about that consolidate desire that a

Reggie Aggarwal


people and a just longer why a virtual virtual I'm longer pre-pandemic. to going So call -- build came it's took on going talked couple we of for is share pivot, look, pivot competitive as be But management. let things. of of built a to to we've them. were increasing more just the and our not think, they you our of in that And see market feeling It almost it of carry building it we lot like powerful going think And in Tyler, it person happen been what a companies we've solution. because lot current sudden on slows after companies that. that a it our And very virtual view was comfortable. just pivot all the of of was We 'XX, almost did of landscape this With it. largely, start That's top new, shifts, a comfortable of of is about years, robust here's quite of is as happens, happened can't event XX -- us to to it. you that you're most people I times because product, and kind Look, before, several kind down many a I came a pandemic yet, saw all just look, virtual. us that thought out focused give that new, be in We And back point new solutions. with me purely new took course, kind person. but Cvent, just point again, -- with in we're Omicron to out

that to going people want lot in knew in our build core comes we to but a tool, our people, and it the database was it we management team, have the but of because base end, all the it product in they're took the of X. back, us R&D because event code core We X,XXX longer when decision integrated right

believe marketing external. hit things of we're the couple And want differentiators to And throw some Hospitality whether So people support competitive virtual view, I big, your to hybrid. I venues, you usually part, marketplace budget combine online venue. positioned effects unified from uniquely I when up position, network simple, wanted our experience connecting place, to we but a And program, competitors, market that competitive event in-person it's all the a our is this of think back a return a from with a our going lot that are in to there's complex, now Cloud which those to of seamless of to are user internal, small, positioned a out stuff that back an landscape, largest want to we we're is strengths. think our with their total the think largest is event

Chuck Ghoorah

is events, might the of does their precedes the much XXXX, the that the the forcing beginning and into so I talking marketing in acceleration rethink did way, if platform to this able field, right? about by interesting, had take that have you full There's we them And years. but pandemic it that have Tyler, you by sort way, be x know Meeting so that time virtual us in it's function Chuck digitization of to been What's more. of strategically XXXX And says allowed to number a to say, study again. a we a accelerated planners what Everybody on conversation. knows conversations.

have used time that so bigger conversation. And we the wisely to

took out the terrific. law We TCV closed major they for same providers their just that's conversations, also deal, side. major Event as a a And a standardized on of on Cvent is there's York. said Cloud Those in remarks And and webinar side. that's Reggie based occurring worldwide firm out law platform. firm multiple them provider, his then New the hotel X-figure So on the virtual the are

be, less able to talking experience. to pre-pandemic, have whatever staff, turn staff, digitize shortened hard-to-hire about to the So we might lot software advertising, they be might with to it but been or a staff them to had

to the So And a efficient they to They're all wow, hotel or right? diagram see in to right now tour, software, fly Venn people real, able in-person virtual our how the the couldn't do my for -- more So configured. and to use of tour, conversation. the ballroom team, sales this is then was for lot be a a sudden, this will customer like, the forcing would whatnot.

all conversations accelerated. this that So think I has of led sales also to


Our Canaccord. Hynes from next with come question will DJ

DJ Hynes

I tightly you're activity. growth wanted start Cloud Reggie, to in Hospitality recovery in-person event with how ask is growth the seeing Nice here. correlated in with

Just useful leading figure for if trying us. to a out that's indicator

Reggie Aggarwal

correlated. very Yes. for Absolutely, joining thanks DJ, first, that's us.

-- We we had Event could call the side, the right? balloon. On we virtual, squeezing obviously the

come that, a So the the a nearly we virtual hospitality side, we events. to not had of have person, bit little In didn't if site. it degree still in that but have back we in

So what is XXXX going year. period that XXXX same from up, of you about talked QX up that volume volume tied is would the the definitely hospitality compared QX -- goes last tell of I more we reasons is as towards RFP obvious to which in-person,

time. continued to it's up. is person going come little it's to but so And bit look, a take of In starting back go to

the didn't sometimes interact venue never me. that that that the to don't savvy. but is -- learning you why hotel They can is case. salesperson, and see go they're I'll tell source able it as important. to if be they want to with still website. nearly was becoming and a They big so Event are digitization more digital to that's able if build XD the for which be look event to They diagramming at trend our product you Cloud, the as want What online. can their social, want their grow on want the fast Hospitality the even planners Cloud, this our but is use So They to

that hospitality small forth, we're with huge before into demand them meetings, to of kind live more more they're foundation won't And particular, before even XX%, customers even to though a our our talk XX% technology salesperson, they so to because, it. going this So clients, to now they building built. makes digitation hotel their see decision talk again, These book stuff year, because making new great which and dependent, can in pricing trends is the a them salesperson. impact a like need help potentially isn't the it and but where and ultimately they're make they their

back. so their the come But time it comes news on to on customer And need look, hand, because they it. it's adapt hand, to is take more good one They expecting has as the back. technology for going other and it to much know

DJ Hynes

revisit the second. to model for a hybrid want I

I makes you it's you've answering dynamic about then it going double way is kind that that your some and to but So upside attendees, of for hybrid crystal out? Maybe in-person play model, the confident folks words, think just a also is understand for other what makes packaged want to the Attendee must-have is in pay right? right? double question, it capabilities talk touched I sure clear, pay to In Tyler's you Hub. you on-site core right? essentially on also get of like you could they for that that about Attendee this this pay Hub attend for what it, customers you like the the the as in I pay make person, They

Reggie Aggarwal

programs. will when of that buying, they Like don't will I total that, of person, again, hybrid, again, know Well, kind happens, Theoretically, virtual thing say, let's in XX them mix you be, during be the have, never percentage they this sometimes first of will their say, know let's XX event the period, program. be will in they of is just XX be XX% XXX they're events. know think they their are people -- what -- but particular,

to X So why need in we product all that Attendee they look do at ultimately, our is provides it. of Hub it think, But confident that. are you I when

person thing we into together time virtual, who part. have of person engagement where in and event, them your engagement, they and the it then they at in I'll shocked other events you still the If vice versa. virtual half the the looks the went go live a means it's have flying And both And happen register that journey. combine a it's customer to to go down to whether a tell how follow many comes that you to mobile, it's is if have they part. and all city hybrid have all in be we and you'll to So person, virtual person, or you'll virtual and

virtually, come person, it's So then someone event. they come says especially what, more a if to going I'm to in you know I'm but decide, going local

or point And because thing XXX-degree is stronger for whether but community engagement. and that is, be sure or down or longer. -- it's comes XXX-degree that. to you what's tool to a punch so all or to in event, you the that empowering And X or for And of that the before all day have have make X that not them that it. you kind just after last that lives tool punch prepared, our And give could event, you of to about you great we're is that be I'll want does event X-day a terms prepared it it it's of make engagement, take is creating that that half-day

things, makes place for model what ties it a combine use it of you so just all our compelling event. Attendee you type matter when Hub so use particular that all product like to because And X these it it in no


Berg final question come Our will with Needham. from Scott

Michael Rackers

on Rackers. Scott, the is Congrats sorry. on Michael quarter. from I'm This

tracking for motion? there XXXX Or you growth in shift sales go-to-market I is kind XXXX? me. capacity X should expect we to capacity was add sales think quick X revenue curious kind about how Do the some Just in about additions. of of

Reggie Aggarwal

Bill. Go Yes. head,

Billy Newman

in. look, some can huge Reggie. out Chuck there. I chime a there's points have will opportunity start, mean, sure I'm I to

And we our make to want of getting pie. we're disproportionate sure share so the

of yes, you drive areas to decision COVID coming the years XX%. froze margin last and And of areas the sales growth that conscious north by can for in why at the major to that revenue we so our invest X to part future. see X XXXX our is of XX%. we an And EBITDA That's XXXX of on our we've Look, shown focused 'XX, in XXXX, in. margins a in and and marketing investing declined when main one it's was out the run from XXXX are down on -- was

to great balance to we for profitability we hard there's ability for because market growth it, -- for the perfect with because are. at as higher industry solution based the the perfect as a there's right opportunity, a go the margin grow is we has the days of what it. digitization it making the But definitely huge we business the look, at the for the we've margin. always and but needs picking is a us And the solution need got right now, the So on believe just can have

we're yes, and so spend go marketing also over-indexing And market. after heads in in to that

Chuck Ghoorah

from just know of deeper, click Ghoorah Chuck it's double Michael, may kind And sales that you and to marketing, and this. and on layer

the So go-to-market well how we thoughtful about on and yes, instrumented motion. we're think really

the new are have for in renewals -- heads, the have that towards then a marketing. hunters, the the centers, for we SDR responsible And they but demand within farmers we then then ranks bringing we either who So or are obviously, and appointment that built track waterfall which are upsell logos and sales cross-sell.

think able reps. then do the those down about and our sit all we're sale of And the get to go we and our efficiency make sort I productivity say place be and And TAM. want where of deeply thoughtful instrument, so about when of we we to investments bets the

So of there's you all lot this. to instrumentation underneath thoughtful just of a know, let


you your Thank for today's participation, disconnect. conference. you will that conclude And and may now