I'm reading through the transcript of PTC's quarterly conference call, and came across some gems, in which you start to doubt your own veracity (as David Bromberg once put it).
(Note: Unfortunately for Dassault, PTC now rarely speaks of "domino accounts"; instead, the new key phrase is "pipeline build.")
I won't name the guilty, just lean back and enjoy it:
Looking at Vertical Data
Let me see if I have the vertical data here in front of me. I didn't-- when I look at it previously, I didn't notice any substantial trends on a vertical basis. No, I'm sorry. I'll look for this and comment on it. Well, here we go. I got it.
I mean, there is not a substantial trend. There's some big numbers in verticals that are small. So the law of small numbers. But I think in general, pretty much steady as she goes across most of our main verticals.
What the Pipeline Tells Us
So if we back up to 50,000 feet, look at North America, year-to-date, total revenue we're up double-digits. Year-to-date, license revenue we're down mid single digits.
I think what the pipeline is telling us and sort of what my gut was maybe telling me was that we have a quarterization problem with a big hockey stick in Q4 and we see that in the pipeline.
So we had perhaps a relatively weaker pipeline of opportunity in Q2 and Q3 and a relatively overweight, stronger pipeline of opportunity in Q4. So what we want to do here in Q4, let's go just execute on our pipeline.
Domino Accounts are so Last Year
Q: I think you talked about pipeline build. Is there a an ongoing strategy to fill the top of the funnel and do a little bit better job in terms of the managing and the timing of it?
A: I think we've shared with many of you that a key strategy is we need to go direct a lot of this capacity together with marketing into building pipeline of base business of sort of deals under 1 million, including in the mid-market, so that we get a more robust pipeline and the big deals move toward being gravy rather than potatoes.