Issuer Direct Corporation (NYSE MKT:ISDR) Q2 2020 Earnings Conference Call - Final Transcript
Jul 30, 2020 • 04:30 pm ET
[Operator Instructions] Our first question comes from Brock Erwin with CleverInvesting. Please proceed with your question.
Hey, guys. Great job on the virtual annual meeting product that you guys got out this quarter. I know your team put in a lot of work to get that thing out the door and I think it really speaks the nimbleness of your team and also the ability to pivot quickly when an opportunity presents itself. So anyways, getting to my question, I was a bit surprised to see a decrease in expenses related to product dev headcount, can you just talk about the reasons for that? And is that just a onetime thing? Or do you expect that to continue going forward?
Brian R. Balbirnie
Thank you for the comments, Brock. I appreciate it. Nice to talk to you as always. It's a great question, we've -- if you think, if you look at the last couple of quarters, we've seen an up and down in our product dev spend categories. We look to outside consultants to help come in to get through bigger lifts in some of our projects and tend to scale back down. We've made new investments in that platform again in that team that you may see that come back up again here in Q3 as we ramp up for some of the items we talked about in the back half of the year. A lot of our platforms are really front end driven changes, back end architecture and infrastructure is built. So the heavy lifts there are done and in wonderful shape. So a lot of the things that we're doing today, are very front end focused that we contend to bring staff in and out as needed.
Okay. Great. That helps and just one more question. So last quarter, you talked about new e-commerce self-service platform that you're working on, I think, primarily for private company customers, can you just give us an update on how that's going? And what kind of things are you learning from your customers? And maybe compare and contrast how -- like what their needs are with your public company customers.
Brian R. Balbirnie
Yes. That's a great. Yes, the second quarter, we saw a significant increase in the majority of our private company, customers came to us from this e-commerce initiative and digital strategy. We want to continue to learn there, figuring out from first touch to first release, the total cost and round-trip times that it takes and really what the right recipe is for us to crank that along and move it faster. So I think in quarters past, we would see a 14- to a 30-day sales cycle, sometimes in a private company. We're seeing come down to sub four to five days now. If we can continue that trend we'll continue to spend and increase it to obviously increase the headcount to support that in hopes of enlarging some of those clients. What we're learning a lot about today is, what are the