Brightcove Inc. (NASDAQ:BCOV) Q3 2023 Earnings Call Transcript

Also built an enviable enterprise customer base of more than 1,500 logos. One of the most exciting parts of our enterprise opportunity is that much of our success to date has been in the Americas, where enterprise customers have been early to adopt streaming use cases. Highly focused on developing our global enterprise business further to help us make it substantially larger than it is today. A great example of the global opportunity in Enterprise was a new customer win this quarter with HDFC, one of India’s largest banks and a top global financial institution signing up. In media, Brightcove is the clear market leader, especially for leading regional media companies around the globe and streamers that require an outsourced solution versus being large enough to want to rely on a pure do-it-themselves solution.

The breadth and quality of our platform and the long-term cost advantages that can provide make Brightcove’s value proposition incredibly compelling for any media or content provider that wants to leverage streaming but does not have the scale or desire to build and operate it themselves. A great example of this in the quarter is In The Black Network, a new OTT company focused on streaming content that showcases Black storytellers and culture, which we signed in Q3 and has already successfully launched this new streaming service powered by Brightcove’s industry-leading technology. In addition, ITBN will be using Brightcove’s Ad Monetization service to help maximize its ad revenue opportunities as well. At the same time, the ongoing focus on profitability and rationalizing costs for larger streaming providers and our excellence throughout the streaming stack is opening up exciting opportunities for us to win upmarket.

I’m thrilled to announce that both Yahoo and the NHL are now live on the Brightcove platform. We are in a number of active dialogues with other large streaming providers who are looking to outsource more and more of their streaming technology stack. And there is a virtuous cycle here that we expect to see as we sign more large deals, which will increase our capabilities and cost advantage as we gain greater scale, which in turn will increase the total cost of ownership benefits we can pass along to those large customers. I’d now like to spend a moment highlighting some of our other new customer wins and renewals in the quarter. In media, we were pleased to sign a number of new mid-market customers in addition to In The Black Network, including DogTV and Carnegie Hall.

Carnegie Hall is a great example of our strength with art spaces and organizations, including other leading groups like the Metropolitan Opera, who renewed this quarter, the Melbourne Symphony, the Seattle Symphony and the Lincoln Center Chamber Music Association. We also signed meaningful wins with larger regional media companies to solve their streaming needs, like SBT, 1 of the largest broadcast media companies in Brazil, and JCOM, Japan’s largest cable provider. These ones are also notable because they are more traditional content aggregators and reflect the opportunity we have outside of the typical streaming content supplier. In enterprise, we’re seeing growing traction in the technology vertical, notably Acquia were added during the quarter.

Acquia, the digital experience leader with Drupal at its core, selected us to power its video marketing strategy, enabling them to better reach current and prospective customers with market and technology trends that will increase engagement and ultimately, conversion. Other new business wins included Agustin Institute, a faith-based streamer; Build-A-Bear; D League, a Japanese professional dance league; CNC Technologies, an aviation technology company; HARMAN, a connected device company and also a subsidiary of Samsung; and Tyson Foods. On the renewal front, we had an incredible list of customers that renewed or expanded their business with Brightcove in Q3. This included leading media entities like the CBS Television Network, Funny or Die, Raycom Sports, the Academy of Motion Picture Arts & Sciences and Coupang, which is one of our largest customers and renewed at 100% in the quarter.