William Kerr

William Kerr from TD Cowen inquired about the role of Generative AI in customer conversations and the product roadmap for AI features in 2025. He also asked about specific industries or customer categories that demonstrated particular strength or softness during the quarter.

Answer

Executive Philip Moyer explained that AI features like translation are driving deals and have been rolled out to self-serve users with a focus on security and monetization. He introduced the concept of "agentic video" as a key part of the future roadmap. Executive Gillian Munson added that AI features represent a new consumable revenue stream to increase ARPU. Moyer identified marketing, education, and regulated industries as areas of strength due to AI-driven compliance and discovery capabilities.

William Kerr of TD Cowen asked for details on the drivers behind strong Q4 enterprise booking growth and the 2025 outlook for enterprise ARPU vs. subscribers. He also inquired about the impact of pricing changes on the Self-Serve business and its subscriber trends for 2025.

Answer

Executive Gillian Munson explained that enterprise growth is driven by double-digit increases in both new subscribers and ARPU, highlighting a mix shift to higher-end products. Executive Philip Moyer added that a 'land and expand' strategy, fueled by new AI features and cross-departmental use cases, is accelerating adoption. Regarding Self-Serve, Munson noted that significant price increases have boosted AOVs with stable retention, providing a bridge while they work to return subscriber counts to growth. Moyer attributed recent Self-Serve challenges to 'self-inflicted wounds' and stated a new single-threaded leadership team is focused on improving user flows and rolling out AI features to this segment.

William Kerr asked for color on the key drivers for Vimeo's strong Q4 enterprise booking growth and the outlook for enterprise growth drivers in 2025. He also inquired about the impact of pricing changes on Self-Serve subscriber numbers and the overall strategy for the Self-Serve business in the coming year.

Answer

Gillian Munson, an executive, explained that enterprise growth is driven by double-digit increases in both new subscribers and ARPU, aided by a mix shift to higher-end products. For Self-Serve, she noted that significant price increases drove AOV growth while retention remained stable. CEO Philip Moyer added that enterprise expansion is occurring within existing customers across various departments, citing the platform's ease of use and security. He also mentioned that a new single-threaded leadership team is addressing issues in the Self-Serve business and plans to roll out AI features to that user base.