Sid Sijbrandij

So you're looking at the growth.

Suppose I have AR and I go from one to two million, and then I go from two million to four million, and then from four to eight

um you you double the ar ar every year but you're gonna have like a revenue from the last year so incremental means only looking at the growth and then doubling the growth on top so it's better than doubling ar

Yeah, I think ARR is a vanity graph.

If you're a subscription business, you should look at incremental ACV, and that's the number we use throughout the company.

So in sales, we don't talk about deal size.

Even if it's a multi-year deal, even if it's all cash up front, we look at that incremental ACV number for any deal.

If it's just a renewal, you didn't actually gain anything.

Yeah.

We try to do that throughout the company and also make that the main goal to double that number every year.

No, I want to more than double that.

If we go from zero to 10 in the first year, the next year we don't want to go from 10 to 20.

We want to

we want to, the first year we had 10 in incremental, the second year we want to do 20 in incremental plus the 10 we already had.

So we end up at 30.

Okay.

We don't have a lot of growth churn.

We have way more than 90% of the people staying with us.

That's on a logo basis.

Now on a net expansion basis, it's over 175%.