Big sales Win! OTTAWA, ON , March 23, 2021 /CNW/ - Martello Technologies Group Inc. , ("Martello" or the "Company") (TSXV: MTLO), a developer of enterprise Digital Experience Monitoring ("DEM") solutions is providing an update today on its sales progress to date in the Company's final quarter of fiscal 2021. Sales highlighted in this press release demonstrate growth in Microsoft DEM users and contribute to monthly recurring revenue ("MRR") in the future, consistent with the growth plan communicated by the Company on January 20, 2021 . Note that Microsoft DEM user count trends may not always directly align with trends in revenue, due to timing of subscription renewals and the lag between bookings and revenue.
In the 2022 fiscal year, Martello aims to increase the number of Microsoft users on its DEM platform by 60% (from a base of 2M users in Q2 FY21). To achieve this growth, the Company will focus on expanding indirect sales channels, launching key DEM product innovations and pursuing direct sales to large enterprises.
Martello is focused on accelerating MRR through the growth of its DEM solutions, and in particular those targeted at businesses using Microsoft 365. The Company's Microsoft DEM solution suite, which provides digital user experience monitoring and analytics to enterprises, includes the Gizmo and iQ products. Martello sells these products to enterprises through both direct and indirect channels.
Martello highlights the following strategic sales deals completed in Q4 to date:
- A retailer, among the top 10 European retailers by revenue, is a new client for Martello this quarter, having chosen Gizmo to monitor their Microsoft 365 user experience. The customer made an initial purchase of licenses for 45,000 users in a 3-year subscription.
- Having chosen Gizmo earlier in FY21, one of the world's largest Microsoft partners added more than 65,000 new users to Martello's platform in January and February, as part of a continuing monthly rollout plan. This increases Martello's recurring revenue from this partner. The Company plans to replicate the success of this model by onboarding new Microsoft managed service providers ("MSP") through an expanded Microsoft DEM indirect sales program launching in FY22.
- After a paid proof of value that added 14,000 Microsoft users to Martello's DEM platform in Q3 FY21, a South American engineering firm chose in Q4 FY21 to purchase a 12-month Gizmo contract, which increases Martello's base of subscription revenue from this client going forward.
- Two large Martello customers, a global telecommunications company and one of the world's largest banks renewed their subscriptions for Microsoft 365 monitoring this quarter, securing more than 275,000 users for an additional twelve months.
- Martello's OEM relationship with Paessler continues to generate steady iQ business, bringing new deals in Q4 FY21, including an existing Fortune 50 Gizmo customer who added iQ to their DEM technology stack with the PRTG monitoring solution. This reinforces the value proposition of correlating and analyzing monitoring and service delivery data to bring actionable insights to large enterprises.
Martello continues to focus on its growth strategy, including preparing to launch its DEM MSP Program and completing the development of new solutions addressing the 'work from anywhere' digital workforce. By adding real user monitoring and advanced network path monitoring capabilities to its DEM platform in 2021, Martello will increase competitive differentiation and enable IT teams to quickly pinpoint whether problems are related to the cloud provider, ISP, or the user's network, for better support of remote workers. Martello is actively working with prospects and customers to complete beta trials and offer early access to these capabilities when they become generally available.