“However, it's important to note that our expectations for the second half of the year are based on the understanding that the environment will remain pressured. We do not anticipate an improvement in the economic outlook and expect ongoing volatility and pressure.”

In context

“Corey Thomas (CEO): That's a great question. I will break down the balance. On the Salesforce side, our biggest assumption was that we could retain the critical parts of Salesforce and that they would remain productive. We expect productivity to be where we need it to be. The Salesforce piece is set up well. We have a favorable year-over-year comparison, with a more experienced sales team that has had a ramp period for the new offerings. The offerings are competitive, and the conversion rates are stable. We feel very strong about the Salesforce setup for the latter part of the year. There's still work to do, but we feel quite positive based on both a comparative and outlook basis. The second part of our assumptions for the second half of the year is based on the first half of the year and our ability to build the right pipeline. We are still in the process of building that pipeline, which is increasing at a good rate. We believe we will have sufficient opportunities even in this challenging environment for the latter half of the year, and we expect the conversion rates to remain consistent with what we experienced in the recent quarter. However, it's important to note that our expectations for the second half of the year are based on the understanding that the environment will remain pressured. We do not anticipate an improvement in the economic outlook and expect ongoing volatility and pressure. I am confident because our sales team has demonstrated their capability to navigate this environment. This is why we are adjusting our pipeline requirements to account for potential noise and fluctuations. Our sales teams need to adapt to changing deal cycles, and we expect longer sales cycles, all of which are aligned with our assumptions. Our current trends are set up to continue what we observed in Q1 and carry those trends into Q2, Q3, and Q4.”