Q4 2024 Forrester Research Inc Earnings Call
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Speaker Change: Good afternoon and thank you for standing by. Welcome to Forrester's fourth quarter and full year 2024 conference call.
Speaker Change: At this time, all participants are on a listen-only mode. After the speaker's presentation, there will be a question and answer session.
Speaker Change: Please be advised that today's conference is being recorded. I'd now like to turn the conference over to the Vice President of Corporate Development and Investor Relations, Ed Bryce Morris. Please go ahead.
Speaker Change: Thank you and hello everyone. Thanks for joining today's call. Earlier this afternoon we issued our press release for the fourth quarter and full year 2024. If you need a copy you can find one on our website in the investor section.
Speaker Change: Here with us today to discuss our results are George Colony, Forrester's Chief Executive Officer and Chairman, and Chris Finn, Chief Financial Officer. Carrie Johnson, our Chief Product Officer, and Nate Swan, Chief Sales Officer, are also with us for the Q&A section of the call.
Speaker Change: Before we begin, I'd like to remind you that this call will contain certain forward-looking statements.
Speaker Change: within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as expects, believes, anticipates, intends, plans, estimates, or similar expressions are intended to identify these forward-looking statements.
Speaker Change: These statements are based on the company's current plans and expectations and involve risks and uncertainties that could cause future activities and result of operations to be materially different from those set forth in the forward-looking statements.
Speaker Change: Factors that could cause actual results to differ are discussed in our reports and filings with the Securities and Exchange Commission, and the company undertakes no obligations to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise.
Speaker Change: Lastly, consistent with previous calls, today we will be discussing our performance on an unadjusted basis, which excludes items affecting comparability.
Speaker Change: While reporting on an adjusted basis is not in accordance with GAAP, we believe that reporting numbers on this adjusted basis provides a meaningful comparison and an appropriate basis for our discussion.
Speaker Change: You'll find a detailed list of items excluded from these adjusted results in our press release. And with that, I'll hand it over to George.
George Colony: Thank you for joining Forrester's 2024 Q4 and full year earnings call.
Speaker Change: With me is our Chief Financial Officer Chris Finn, who will present a financial update following my remarks.
Speaker Change: I will be covering the following key themes. One, our progress in 2024. Two, Q4 and 2024 fiscal year financial performance. And three, focus areas for 2025.
Speaker Change: 2024 was the final year of our transition to Forestry Decisions, or FD.
Speaker Change: We embarked on this journey in 2021 and have worked through a number of challenges, all against the backdrop of a tech slowdown in an uncertain economic environment.
Speaker Change: As Christophe Favre, Head of Sales in Europe and Asia, observed, this wasn't a transition to a new product, it was a transition to a new company. We have had to introduce all of our clients to a different value proposition and a new way of working with Forrester.
Speaker Change: We are pleased to report that our migration is essentially complete with 80% of our contract value or CV now in our FD portfolio.
Speaker Change: The remaining 20% of CV is largely reprints, with a small portion remaining in our legacy product.
Speaker Change: As a result, after our multi-year migration, the entire organization is now 100% focused on selling and supporting FD.
Speaker Change: This will allow research and product to continue enhancing forestry decisions and a go-to-market teams to focus on retention, enrichment, and adding new clients to the platform.
Speaker Change: While this period in the company's history has been challenging, we remain confident that the changes we have made will generate long-term shareholder and client value.
Speaker Change: As discussed on previous calls, while we have been transitioning to forced-share decisions, we've also been refocusing on our consulting and events businesses to drive CV.
Speaker Change: By design, these businesses comprise a smaller portion of our overall revenue mix, now less than 30 percent.
Speaker Change: Our consulting business overcame a slow start in the year and showed improved trends in the second half of the year with particular strength in strategy consulting.
Speaker Change: Our events business was challenged in 2024. While the percentage of clients with events tickets attending events rose to historically high rates, non-client attendees were down, resulting in smaller-than-planned total audiences.
Speaker Change: Audience size impacted sponsorship sales, which comprise approximately 70% of events revenue.
Speaker Change: Now despite these factors, our events continue to record high experience scores from attendees. Our events impart high value.
Speaker Change: In 2025, we are investing in events to drive higher audiences and expanded experiences.
Are metrics stabilized in the year with pockets of improvement?
Speaker Change: While retention improved by two points, while contract value per client increased 10%, from $143,000 at year-end 2023 to $158,000 at year-end 2024.
Speaker Change: The percentage of CV that is in multi-year contracts continues to grow. This number moved from 62% at the end of 2023 to 69% at year-end 2024.
Speaker Change: Turning now to a brief summary of our product improvements in 2024.
IZOLA is Forrester's generative AI tool.
Speaker Change: It enables clients to quickly access our research and create new syntheses of that research.
Speaker Change: It went into full availability at mid-year, and we continue to enhance the tool.
Speaker Change: In the fourth quarter, we released a new version of iZola UX, and we have added functionality enabling clients to access survey data models and WAVE baseline datasets.
Speaker Change: IZOLA is now the third highest destination for our clients when they visit the Forrester website.
Speaker Change: We launched our new Reprints Hub, which allows clients to easily manage their reprint licenses from within the core digital Forrester.com platform.
Speaker Change: The transition to our new in-house site brings us operational efficiencies and cost savings, and it enabled the creation of a new subscription product, Flexible Reprints, which launched in the third quarter.
Speaker Change: As part of our continual enhancement of Forrester Decisions, we launched a new service in 2024, Forrester Decisions for Data, AI, and Analytics.
Speaker Change: This service guides data and technology leaders as they build their AI and data roadmaps, link business objectives to their data strategy, and create modern data governance.
Speaker Change: Early clients are in the financial services, consumer, and high-tech verticals.
Speaker Change: Finally this year, we unveiled a major update to our iconic Forrester Wave, the comprehensive product guide that has served tech buyers for more than two decades.
Speaker Change: These changes simplify the process of buyer selection and allow clients to make purchasing decisions based on their specific needs, preferences, and priorities.
Speaker Change: Our new interactive wave comparison tool allows clients to view results tailored to their specific requirements and context.
Turning now to our full year and Q4 performance.
Speaker Change: Bookings attenuated late in the fourth quarter resulting in a CV decline of 5% for the full year.
Speaker Change: The CV bookings missed in the fourth quarter contributed to revenue decline, 9% for the quarter and 10% for the year.
Speaker Change: That said, revenue and profitability for Q4 in 2024 were at or above the midpoint of our guidance.
Speaker Change: Keep our expenses aligned with expected revenue in 2025. We had a reduction in force of 6% in early January.
Chris Finn: Chris will give you additional financial details in a few moments.
Chris Finn: And now I'd like to touch on our outlook for 2025.
2. Continue weakness in the technology and tech services markets
Chris Finn: And three, economic and political uncertainties, potentially driven by the changes being made by the incoming U.S. presidential administration. So while we expect C.V. growth to be flat in 2025, we are planning for revenue to be down in the year as a result of negative contract value increase in 2024.
Chris Finn: However, we expect cash flow to return to historical levels in the year.
Chris Finn: With the product transition complete, the company is focused on three initiatives in 2025. One, improving retention. Two, driving growth. And three, boosting events to be a more potent driver of retention and CV growth.
Chris Finn: Now while retaining clients is of course always job one for the company, we are enhancing our systems to drive it higher in 2025.
Chris Finn: The foremost change is the institutionalization of our retention lifecycle process, which we debuted in the second half of 2024.
Chris Finn: The retention lifecycle is set to a cadence of continuous check-ins with the economic buyer of Forrester decisions, reviewing the client's progress for their most important initiatives.
Chris Finn: In the second half of 2024, we found correlation between client lifecycle participation and improved retention.
Chris Finn: To drive growth, we will continue with the regimen we put in place in 2024. 1. Selling to C-level executives who have the budget and authority to apply our research.
Chris Finn: 2. Ensuring that our sales activities are standardized and consistently followed 3. Applying our new sales methodology, what we call F.A.S.T., to reduce the time to close business
Chris Finn: Our 2025 growth plan includes investments to boost sales productivity, training, and execution, including the hiring of new quota-bearing headcount and account development representatives.
Chris Finn: Our third initiative is to supercharger events to make them more powerful platforms for selling and renewing research contracts.
Chris Finn: I like to call events the Apple Store Forrester, the place where we are in person with clients and where our clients can get to spend time with their peers and colleagues.
Chris Finn: We're making three investments in events. One, shifting marketing dollars to expand the event's audience.
Chris Finn: to incentivizing our sales force to sign up clients and non-clients for events.
Chris Finn: and three, expanding the experience and content to make events must attend.
Chris Finn: Our marketing organization is being tightly integrated with our events organization to ensure that we have good alignment of messaging, spend, and attention.
Chris Finn: Events is a business that we've always been in. We want to better leverage this asset to get the most return in the form of CV growth.
Chris Finn: Now to conclude, I wanna thank investors for their patience as the company has moved through these past three years.
Chris Finn: Well, this has certainly been challenging. I want to outline what we have accomplished and why the new Forester will ultimately be a better investment than the old Forester.
Chris Finn: Number one, the company has pivoted from a 60% CV, 40% non-CV ratio to 73% CV and 27% non-CV.
Chris Finn: As we return to growth, these new ratios will increase profitability and operating leverage.
Chris Finn: 2. CV per client and multi-year contracts continue to expand, which will ultimately increase sales productivity.
Chris Finn: This reflects our ongoing move to shed small company customers in favor of larger corporate clients.
Chris Finn: 3. We have simplified the business, centering on one power research platform designed to increase cross-sell and wallet retention.
Chris Finn: 4. We are the only research company of scale that has constructed a generative AI tool to enable clients to get answers and solutions faster. This will improve client satisfaction and retention rates.
Chris Finn: And finally, five, we have sharpened our competitive positioning and uniqueness. We analyze tech and business together, not in silos. We uniquely focus on helping our clients win, serve, and retain their customers. And finally, unlike our competitors, we offer research and continuous guidance. We are on the side and by the side of our clients.
Chris Finn: We believe that the transition of the last three years has been worthwhile. Getting to this new model will make the company more profitable, with higher growth potential, and with more opportunities to be embedded with clients.
Chris Finn: We are through the product transition, and now we are focused on executing, making this distinct model work.
Chris Finn: Thank you very much. And I will now turn the call over to Chris Finn, Forrester's CFO. Chris?
Chris Finn: Thanks, George, and good afternoon, everyone. As George discussed, our fourth quarter results fell short of our expectations.
Chris Finn: Despite this, we have made meaningful progress this year as a company.
Chris Finn: including materially completing the Forest of Decisions migration, completing the rollout of our generative AI tool IZOLA,
Chris Finn: launching a new reprints platform, which allows for the capability to offer a newly launched subscription reprint product, and continuously improving the Forestry Decisions platform with ongoing updates.
Chris Finn: In addition, our fourth quarter and full year financial results were in line with or better than the midpoint of our guidance and consensus estimates.
Chris Finn: Furthermore, key metrics have stabilized or steadily improved throughout the year. These include wallet retention, client retention, contract value per client, and the portion of CV on multi-year contracts.
Chris Finn: On the topic of metrics, I wanted to highlight that we have recast our CV metric for 2025 planned foreign currency rates.
Chris Finn: Furthermore, we corrected an insignificant error in the calculation, which had no effect on prior CV trends.
Chris Finn: We have included the historical recast CV metrics in the investor presentation on our website.
Chris Finn: Also, because we materially completed our product transformation, starting next quarter, we will only be commenting on a consolidated set of metrics going forward.
Chris Finn: For the quarter, overall revenue was $108 million, representing a 9% decline from Q4'23 revenues of $118.1 million. Overall revenue for the year came in at $432.5 million, representing a 10% decline from the $480.8 million we generated in 2023.
Chris Finn: As we've outlined in January, we have taken actions to better align our cost structure with the decline in our revenue. I'll now provide some additional details regarding the restructuring. We have reduced our workforce by approximately 6%.
Chris Finn: We expect to incur approximately $5.5 to $5.7 million of costs for these actions, including $4.2 million that was recognized during the fourth quarter.
Chris Finn: Approximately $300,000 of the charge is non-cash, and we plan to use a portion of the cost savings to fund overall employee compensation and incentives, as well as focused investments across sales and customer success.
Chris Finn: In terms of segment results for the quarter, for the research segment, CV came in at $307.6 million on December 31, 2024, and this is a 5% decline from December 2023.
Chris Finn: The decrease in CV was largely due to a smaller improvement in wallet retention than expected and lower new business across the globe.
Chris Finn: As outlined by George, retention and growth are the two most important areas of focus for sales and the entire company for 2025. We have seen wallet retention improve by two points in 2024, from 87% to 89%, and expect this improvement to continue.
Chris Finn: Although the selling environment is improving overall, it is still a challenging market and we expect the first half to remain muted with improving CV performance in the back half.
Chris Finn: Overall client count was lower for the fourth quarter and client retention remained stable at 73 percent.
Chris Finn: As part of the ongoing retention initiatives, we are looking to improve overall client retention in the near term. Client retention should benefit by the fact that we achieved our goal of having 80% of our CV in the Forrested Decision Platform at year-end, and by an increasing amount of CV in multi-year contracts.
Chris Finn: The remaining 20% of CV primarily represents our reprint products, along with a small portion of CV remaining in our legacy research products.
Chris Finn: From a revenue standpoint, research revenues decreased 7% in the fourth quarter and 5% for the full year.
Chris Finn: For the full year, revenue from our subscription research products was down approximately 1% as growth and forested decisions was offset by declines in our legacy research products. In addition, we experienced declines in reprints in our other smaller and discontinued products.
Chris Finn: Our consulting business posted revenues of $25.9 million for the fourth quarter and $97.3 million for the full year, representing declines of 8% and 18% respectively, versus the prior year periods.
Chris Finn: Despite these declines, we saw some positive trends in our consulting services in 2024. This includes a return to bookings growth for strategy consulting and bookings stabilization in our content marketing and advisory businesses.
Chris Finn: This ongoing stabilization of consulting over the last two quarters, combined with improved alignment of consulting and sales, gives us confidence that the business will continue to improve in 2025.
Chris Finn: And finally, our events business posted revenues of $2.7 million, representing a decline of 42% compared to the fourth quarter of 2023.
Chris Finn: For the full year, the segment declined by 34% to $18.5 million. This was driven by lower sponsorship revenue and ticket sales.
Chris Finn: As George outlined, we are looking to refocus our events business in 2025 with additional investments, new leadership, and emphasis on sponsorship and driving both clients and prospects to events.
continue down our P&L on an adjusted basis.
Chris Finn: Operating expenses for the fourth quarter decreased by 11 percent, primarily driven by ongoing cost management.
Chris Finn: specifically on headcount for the fourth quarter, we were down 10% compared to the same period in 2023.
Chris Finn: On a full-year basis, operating expenses decrease by 8%, also largely driven by labor reductions and the associated compensation and benefit savings, with additional savings from other categories, including professional services and facilities expenses.
Chris Finn: Operating income increased by 32% to $8.9 million, or 8.3% of revenue, in the current quarter, compared to $6.8 million, or 5.8% of revenue, in the fourth quarter of 2023.
Chris Finn: On a full-year basis, operating income decreased by 26% to $38.5 million, or 8.9% of revenue, compared with $52.3 million, or 10.9% of revenue in 2024. We continue to be committed to aligning our cost structure with our revenue outlook.
Chris Finn: Interest expense for the quarter was $0.7 million as compared to $0.8 million in the fourth quarter of 2023. On a full-year basis, interest expense was $3 million compared to $3.1 million in 2023.
Chris Finn: Finally, net income and earnings per share increased 42% and 44% respectively, compared to Q4 of last year.
Chris Finn: with net income of $6.8 million and earnings per share at $0.36 for the current quarter compared with net income of $4.8 million and earnings per share of $0.25 in the fourth quarter of 2023. On a full year basis, net income and EPS decreased 23% to $28.1 million and $1.47 respectively.
Chris Finn: Looking at our capital structure, cash flow from operating activities for 2024 was negative $3.9 million and capital expenditure was $3.4 million. The negative cash flow was driven by declining bookings and the litigation settlement we outlined in Q1.
Chris Finn: We had $104.7 million of cash and investments as we exited the fourth quarter. We repurchased approximately $2.9 million worth of shares in the quarter, and for the year, we repurchased almost $16 million worth of shares. This leaves approximately $80 million of our stock repurchase authorization intact.
Chris Finn: Turning to guidance, starting with the top line. For 2025, we expect revenue to be $400 to $415 million, or down 4% to 8% versus 2024.
Chris Finn: The revenue outlook is driven by last year's bookings decline, which hampers first-half growth, with better performance anticipated for the second half. Furthermore, this guidance assumes the outlook for the research, consulting, and events businesses all to be a mid-single-digit decline for the year.
Chris Finn: Given the actions we have taken to control costs, combined with the investments we've highlighted, we would expect our operating margins to be in the range of 8 to 9 percent for 2025.
Chris Finn: and interest expenses expected to be $2.7 million for the year, we are guiding to a full-year tax rate of 29%.
Chris Finn: Taking all this into account, we would expect EPS to be in the range of $1.20 to $1.35 for the full year.
Chris Finn: In summary, we made significant progress in 2024 transforming our CV revenue base to the Forrester Decisions Platform and in our go-to-market activities.
Chris Finn: We believe that we will see the benefits of these improvements as we progress through 2025. We are also pleased to see positive momentum in the consulting business in the second half of 2024 and believe that the business is stabilized and will show improved performance going forward.
Chris Finn: And although the events business had a difficult year, our outlook for the business remains positive and we expect the events business to stabilize moving forward with the actions we're taking.
Chris Finn: In addition, we anticipate returning to positive free cash flow in 2025 based on bookings improvement.
Chris Finn: We continue to remain very positive about Forrester Decisions as a singular product platform going forward. The growth potential of consulting and events, and the ever-faster cycles of technology disruption, all driving the business back to growth.
Chris Finn: We have a solid plan in place for this year, and we're laser focused on execution to realize the full potential of our business.
George Colony: Thank you all for taking the time today, and with that, I will hand the call back to George.
Thank you, Chris.
Speaker Change: In conclusion, the company is excited to be focused on executing the new Forrester model.
Speaker Change: We are confident that we have the right product and the right go-to-market strategy to return to bookings growth and ultimately revenue growth.
Speaker Change: Thank you again for your support of the company and your belief in our important and valuable mission. I'm gonna hand the call back to the operator and we will now take questions.
Thank you, sir.
Speaker Change: As a reminder, to ask a question, you will need to press star 1-1 on your telephone.
To withdraw your question, please press star 11 again.
Please stand by while we compile the Q&A roster.
Speaker Change: And I assure our first question comes from the line of Andrew Nicholas from William Blair. Please go ahead
Hi, good afternoon.
Andrew Nicholas: I wanted to start with the bookings commentary. George, I think you said that bookings growth attenuated a little bit late in the fourth quarter.
Andrew Nicholas: And I think you also noted that you're still kind of dealing with some adjustments as you transition to sales motion and the culture. Can you just unpack a little bit more what kind of occurred over the course of
Andrew Nicholas: November and December. Were there individual industries that were giving you more issues? Do you think it was more execution driven or end market driven? Any additional color there would be great.
Andrew Nicholas: Hey, Andrew, it's Nate Swan, the Chief Sales Officer, so happy to jump in and I'm sure George will give some comments as well. So Q4 was a challenging quarter for us across a couple of different segments.
Andrew Nicholas: We had some challenges in the smaller high-tech field, where we've continually seen some challenges. We're meeting those pretty well, but we stepped backwards a little bit in Q4. I think as a lot of small vendors were really struggling with budgets.
Andrew Nicholas: The government sector was also a challenge in Q4. That was partly due to continuing resolution, as that did not get resolved until really the Christmas break for a lot of the government agencies.
Andrew Nicholas: was well in play, and then in India we also had some challenges meeting our numbers.
Andrew Nicholas: really around execution, and I guess I would say going forward in 2025.
Andrew Nicholas: Execution is our main focus for the sales organization. We are not changing any of our strategies.
Andrew Nicholas: We are staying on the same focus of developing pipelines, executing our retention lifecycle, and using our sales methodology that George refers to as FAST, and just getting better at it. We don't need to introduce more. We've introduced plenty.
Andrew Nicholas: and it's about getting the sales team and the rest of Forrester on the same page and making sure that we're delivering for our clients and getting to those senior level executives and delivering for them.
Andrew Nicholas: That would be the probably the biggest challenge area. So those were specific industries, and I'd say the second area would be the focus at getting to a more senior economic buyer has been
Andrew Nicholas: the area where we could be doing better as an organization. Yeah, I'd say one last comment on Q4 is that one area of strength was what we call premier high-tech.
Andrew Nicholas: but it's the large tech companies. That business has actually recovered pretty well in the second half of the year. I think Nate talked about small tech being very challenged, but big tech was a good story. It was a big performer for the full year, yes.
Good question.
Speaker Change: Great. I guess maybe as a follow-up to that and thinking about the guidance for 2025 and your expectation that
Speaker Change: CV growth will improve as we kind of move into the second half. Do you need small, high-tech...
Speaker Change: to kind of saw a little bit like I guess I'm just trying to understand how much of a macro
Speaker Change: improvement you need versus execution to see that second half acceleration then maybe more broadly any comments on overall visibility of the business now relative to you know this time last year.
Speaker Change: Yeah Andrew, good follow-up. The exposure on the smaller tech is not nearly as much as what we've had over the last few years. We're, as Chris has said, we're through most of the migration, you know,
Speaker Change: very small amount with that group. We are also working on, you know, we wanna keep those clients. We're not trying to move on from them. We have a different product set that we are trying to move them over to, and we're working on glide paths for those.
Speaker Change: for those clients as well to move them on, but the exposure in that sector is not nearly as much as what it has been.
Speaker Change: Yeah, as you know, we've been transitioning away from sub $50 million tech vendors.
Speaker Change: and that's, you know, that's really what's happened over the last couple of years.
Speaker Change: We love them to death, but they would roll in on the tide of good times, and they would roll back out on the tide of more challenging times. So we've made a decision as a company to de-emphasize the sub-$50 million and focus above that. So most of that transition is over at this point.
Thank you.
Speaker Change: Understood. And then if I could just squeeze one more in on the AI topic.
Speaker Change: I understand, Isola, you're very optimistic about that and what it means for kind of the overall Forrester Decisions product offering. But on the efficiency side, has there been any developments there to help with
Speaker Change: cost management or productivity or anything that's in the pipeline from an operational perspective that that you could speak to. Thank you.
Sure. Hi, it's Carrie Johnson, Chief Product Officer.
Speaker Change: As you noted, iZola is certainly our client-facing tool, but we're leveraging it quite a bit as well for internal efficiency. So primarily, tools like iZola plus some other enhancements that we've added are allowing our customer success.
Speaker Change: team to find answers faster for clients. We're also using some automation which is part of by the way some of the outsourcing that we're doing and then we're also
Speaker Change: using automation to decrease the time that it takes for analysts.
Speaker Change: to conduct calls with our clients. So we're doing some auto-summarization and then some Gen-AI to then update the records that then help us service clients faster. So certainly a big area of focus for us, both on the client side and using some of the same tools plus new tools on the backend.
Speaker Change: There's some informal research here on Isola in Q4. Again, informal, but heavy users of Isola were renewing at 20% higher rates.
Speaker Change: So it looks like an emerging correlation here with the youth companies who are focused on Isolo recommitting to us. So it's been a big help.
Thank you.
Speaker Change: Thank you. Good question. Thank you. Thank you. And I show our next question comes from the line of Anja Söderström from Sidoti. Please go ahead.
Thank you for watching!
Anja Söderström: Hi and thank you for taking my questions. I'm just curious, you mentioned you have some challenges in India. Can you just elaborate on that?
Speaker Change: Yep, sure. We had with the small vendors in India, we were having a little bit more of a challenge. It was
Speaker Change: Really the first time in the in the two years that I've been here that we had a miss so we think it is more of a Miss in quarter on execution as opposed to a broader trend That we see challenges in that market I actually be there in two weeks and looking forward to being with the team and learning more about that market But we don't think it's a long-term problem. Just more of a Q4 Execution on some growth and retention that we were expecting to
come in.
Speaker Change: Okay, it seems like you have some, you mentioned you have issues with smaller vendors and your focus is really to grow with the larger customers, right? So how is that going? You mentioned you had some
Speaker Change: It's been more challenging than you thought to get to the C-suite. But what are you doing to sort of improve that and expand with larger customers?
Speaker Change: Yeah, great question. We are working on our Forrester Agile Selling Technique Where we are educated for the last three quarters our salespeople to on how to have those conversations They're really leaning in our management team really leaning in on coaching that it's a different sales motion than we had to do before So they are working on that and practicing so we're getting better all the time at doing that And we've seen some great success where we have done that so we
Speaker Change: run an early renewal program. And we're seeing roughly a 30% growth when we work with senior executives, show them where there's an opportunity to.
Speaker Change: improved the current contract with new members that could be utilizing those services and rewriting those for a new multi-year engagement. I'm seeing really, really good success.
Speaker Change: when we do that. So it's just broad-based execution across the sales organization, customer success, making sure we're understanding the initiatives that our clients have, what outcomes they are trying to achieve, and making sure that we're setting our analysts up for success so that they can deliver against them.
When we do that, we do really well.
Speaker Change: Okay and you released some new products, how much of a driver is that for engaging with the customers and what does the roadmap look like for the year?
Sure, so George mentioned a couple of products.
Speaker Change: potentially in his comments, as did Chris. I mean, one was our reprints hub, which is, and the flexible reprints product. And that's, I think, as you know, that's the sort of.
Speaker Change: business where we allow customers to purchase the rights for reprints for some of our
Speaker Change: existing research, published research. That has been very successful for us. It's a much more, as its name is, a flexible product.
Speaker Change: less driven around engagement per se with Forrester decisions but certainly very helpful in our with our high-tech clients and it's a product that they've been asking for so we believe that has a sort of net positive impact on those large vendor relationships in particular that we've been talking about.
Speaker Change: The other sort of from an enhancement perspective are things that essentially allow further customization and flexibility around Forrester decisions.
Speaker Change: So George talked about the interactive wave as an example. What's very critical about that kind of tool and IZOLA is really unlocking all of the great insights and research that we have already done and allowing customers to access it in a more personalized way. So when you think about
Speaker Change: our product roadmap. Much of it is in fact leveraging the insights that we already have and delivering it to customers faster. So you'll see more features from Forrester like
Speaker Change: interactivity around data, which is again unlocking the rich data set that we have, and that type of service to allow customers to get insights faster and more personalized.
Speaker Change: So I'd say a lot of IZOLA during the year. IZOLA upgrades and improvements during the year as well.
Okay, thank you. That was all for me.
Thank you, Anna.
Speaker Change: Thank you. I'm sure no further questions in the queue. At this time I'd like to turn the call back to Chris Finn, Chief Financial Officer for Closing Remarks.
Speaker Change: Yeah, thanks everyone for joining the call today. As always, just reach out to myself or Ed for any follow-ups.
Thank you. Thank you very much.
Speaker Change: Thank you. This concludes today's conference call. Thank you for participating. You may now disconnect.