Zeta Global Holdings Corp at William Blair Growth Stock Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Arjun Bhatia - William Blair - Analyst : I want to start off with just a high-level question, and both of you can answer, one of you can answer. But for those that don't know Zeta, just give us a little bit of background on the product, the problem you're solving for your customers, and who your users are.

Question: Arjun Bhatia - William Blair - Analyst : Perfect. That's very helpful. So I heard three things. I think just like as a source of competitive advantage moat: one is the data, two is the data orchestration, and three is the execution. And overarching all of that is that it's happening in one platform as opposed to a dozen platforms. So let's dig into each of those components. The data asset, you're giving customers data as part of your value prop. What is the source of that data? How do you capture it? What's proprietary about it? And then we'll dig into some of the other offshoot questions about the data asset.

Question: Arjun Bhatia - William Blair - Analyst : Okay. And then one of the natural kind of questions that comes up whenever I think investors hear data is, what about the privacy aspect of it? How do you control for privacy regulations in your platform?

Question: Arjun Bhatia - William Blair - Analyst : All right, perfect. Matt, I want to turn to you. So the second part, I think, of the platform is the data management layer, the CDP. So maybe talk about what role the CDP plays as a part of the Zeta platform and why it's important and how that differentiates you versus a lot of the standalone CDPs that are out in the market.

Question: Arjun Bhatia - William Blair - Analyst : Interesting. And so when customers are buying Zeta, are they buying all of the components? Are they buying the data? Are they buying the data management and the execution layer? Do they come in and say, oh, maybe I want to pick and choose? How do customers look at the value prop that you're delivering?

Question: Arjun Bhatia - William Blair - Analyst : Can you also just talk about what role the cloud data warehouse does, like a snowflake, play in the ecosystem? Because they end up holding a lot of first-party data as well, and I think you have a partnership with them as well. But what's the give-and-take in that relationship?

Question: Arjun Bhatia - William Blair - Analyst : Yeah, for sure. And what's been the impact of that partnership thus far, the Snowflake partnership? Has that -- I think there's two components to it, right? There's a product integration component and then there's a broader partnership go-to-market component to it. Maybe just touch on some of the recent developments, the changes that you've seen since that partnership's gone live.

Question: Arjun Bhatia - William Blair - Analyst : And so now, moving on to the last bucket, which is the execution layer. And you have an omnichannel platform, you have a DSP so you can do advertising, you have an email marketing platform, you have CTV. Talk about some of the faster growing elements of usage that you see on the omnichannel execution component.

Question: Arjun Bhatia - William Blair - Analyst : Yeah, that's interesting. And so the marketing landscape is always very dynamic. New channels come quickly and you have to be ready. And it seems like you have that long tail covered. When you think about product development, are there any channels that you need to invest more into to make them robust, to give the full enterprise capability to that come to mind?

Question: Arjun Bhatia - William Blair - Analyst : Yeah, okay. One of the other parts that's been, I think, very much in discussion lately has been, obviously, we're going through a more uncertain economic time. Marketing budgets tend to come under pressure, but your growth has been very durable and your win rates have held and maybe even increased a little bit. Talk about how you're able to grow even when customers are facing budget pressures, CMOs are being told, hey, we have to manage our marketing spend. How are you guys navigating that?

Question: Arjun Bhatia - William Blair - Analyst : Interesting. And Matt, you touched on this Zeta who problem earlier. That seems to be maybe receding a bit, and you've invested quite a bit to solve for that. Talk about some of the investments that you're making to build your brand awareness so that CMOs, enterprises know more about Zeta. What's changed over the last, say, several months?

Question: Arjun Bhatia - William Blair - Analyst : Okay. Sticking on the go-to-market front, Chris, I think over the last two years, there's been an evolution of the go-to-market organization. Talk about some of the sales productivity trends that you're seeing. Where are we in the evolution of the go-to-market motion as we stand today? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JUNE 07, 2023 / 7:40PM, ZETA.N - Zeta Global Holdings Corp at William Blair Growth Stock Conference

Question: Arjun Bhatia - William Blair - Analyst : Yeah, that's very interesting. The other part -- when I look at your customer base, there's a lot of customers that are playing well into the seven figures for Zeta, annual spend. I think last quarter, you even announced an eight-figure deal. I'm not sure if that was your first or I'm sure you have -- but when I look at the rest of the base, there's still a lot of six-figure customers that are in there, large but not as large as your largest customers. What can you take from a learnings perspective to get those six-figure customers to grow

Question: Arjun Bhatia - William Blair - Analyst : Yeah. The other part -- we touched on this a little bit earlier, but I want to dig in a little bit. The win rates have been above 50%. You've had strong win rates, and a lot of your customers are coming from, I'll say, the legacy marketing clouds. How are you different -- those are big companies, how are you differentiating Zeta versus those businesses and where do you think maybe they've fallen behind where you've been able to pick up and say, look we can do this a lot better and we can drive a high ROI for you, large enterprise customer?

Question: Arjun Bhatia - William Blair - Analyst : Very interesting. Well, that's all the time we have today. Thank you, Matt. Thank you, Chris, for joining us. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JUNE 07, 2023 / 7:40PM, ZETA.N - Zeta Global Holdings Corp at William Blair Growth Stock Conference