What they do. Founded in 2011, Weave is a leading all-in-one customer communications and engagement software platform for small and medium-sized businesses
Incentive annual subscriptions with a discount. To incentivize annual payments, we offer pricing concessions that apply ratably over the twelve-month subscription plan.
Net dollar retention is driven by the upsell of new products, and not releasing new product frequently can hurt NDR. Our dollar-based net retention rate decreased to 101% at September 30, 2022 from 104% at September 30, 2021, reflecting an anticipated decline as compared to the successful Weave Payments initial product rollout and upsell efforts we experienced continuing into the first half of 2021.
How to diversify into new verticals. Entering a new industry vertical includes identifying, evaluating, developing and launching the new offering. We create functionality specific to the new industry vertical and then integrate that functionality with the primary systems of record in that vertical. We started in dental and have since successfully expanded to optometry and veterinary, among other areas. In the near term, while we intend to continue to grow within our core vertical markets, we are focused on additional expansion opportunities. We believe expansion into adjacent markets, such as home services, diversifies our end-market exposure and creates a flywheel effect.
Financials. Retention is good, with net dollar retention of 101% and gross dollar retention of 94%. Revenue to loss is 3.0x although YOY growth could use improvement at that level (21%). Revenue in Q3 was $36mm and net loss was $11.8mm.
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