Good afternoon, and welcome. Please note that the live and interactive webcast of today's call may be accessed via the Investor Relations section of the company's website at www.investors.on24.com. Upon completion of the prepared remarks, we will open the call for questions. Please note that this call is being recorded. At this time, I would like to turn the conference over to Lauren Sloane, Investor Relations for ON24. Please go ahead.

Thank you. Hello, and good afternoon, everyone. Welcome to ON24's First Quarter 2022 Earnings Conference Call. On the call with me today are Sharat Sharan, Co-Founder and CEO of ON24; and Steve Vattuone, Chief Financial Officer of ON24. Before we begin, I would like to remind everyone that some information provided during this call will include forward-looking statements regarding future events and financial performance, including guidance for the second quarter and fiscal year of 2022. These forward statements are subject to known and unknown risks and uncertainties. ON24 cautions that these statements are not guarantees of future performance. All forward-looking statements made today reflect our current expectations only, and we undertake no obligation to update any statements to reflect the events that occur after this call. Please refer to the company's periodic SEC filings and today's financial press release for factors that could cause our actual results to differ materially from any forward-looking statements. We'd also like to point out that on today's call, we will report both GAAP and non-GAAP results. We use these non-GAAP financial measures to evaluate our ongoing operations and for internal planning and forecasting purposes. Non-GAAP financial measures are presented in addition to and not as a substitute for financial measures calculated in accordance with GAAP. To see the reconciliation of these non-GAAP financial measures, please refer to today's press release. I will now turn the call over to Sharat. Sharat, go ahead.

Thank you, and welcome, everyone, to ON24's First Quarter 2022 Financial Results Conference Call. We appreciate you joining us. On today's call, I'll review our Q1 results, highlight progress on our financial 2022 priorities and share how we are evolving our platform for a post-pandemic world to help unify digital engagement and first-party data for enterprises across the globe. Our team is laser-focused on the strategic priorities that I laid out last quarter, and we believe that the new products we have brought to market in the last 2 quarters will be instrumental in increasing new business acquisition and improving customer retention. Let me begin with providing high-level results from the first quarter. For the first quarter, we reported total revenue of $48.5 million. Subscription and other platform revenue was $43.5 million, and professional services revenue was $5 million. Ending ARR was $167.7 million, representing an increase of 3% year-over-year. As a reminder, ON24 ARR grew 90% in Q1 2021 from the year before. And over the last 3 years, our ARR CAGR is 38%. We believe ARR has reached across consistent with our previous communication and expect to see improvement in net new ARR in Q2 and throughout the year. As a reminder, the Q1 renewal cohort comprised a significant portion of large deal renewals, and we saw a handful of customers rationalize large expansions that took place during COVID that are up for renewal for the first time. The repeat customer cohort, which now comprises the largest portion of our business, continues to be stable with the churn from non-renewing customers similar to pre-COVID levels. Of the top 25 customer contracts up for renewal in the quarter, we did not lose any customer that was with us prior to Q1 2020. Our net ARR growth rate for this group of customers over 2 years ending Q1 2022 was over 70%. Looking past Q1, we anticipate churn within the first-time customer cohort should improve as we move past the last of these COVID-influenced cohorts. On the other hand, as the Ukraine-Russia war unfolded, we saw softness in new bookings within our EMEA region, driven by the heightened macro uncertainty. EMEA has been an important growth vector for us, representing a little under 20% of our revenue in 2021 and outpacing the growth of our overall business in 2021. While we do not have any direct exposure to Russia or Ukraine, we believe it is prudent to assume that the current level of macro uncertainty, particularly in EMEA, will continue throughout the year. In addition, we are still in a period where customers are assessing their post-pandemic digital budgets. As a result, we have revised our full-year 2022 outlook to reflect the potential impact to our business. Steve will discuss this in more detail. Despite this uncertainty, we believe we continue to have a strong market position and continue to land new customers and expand with existing customers, showcasing that our digital engagement platform, particularly the first-party data it generates, is becoming a key driver to the success of an organization's revenue growth strategy. Attendee engagement, as measured by length of attendance and number of console interactions, reached another record high in Q1. Looking ahead to the remainder of 2022 and beyond, our strategic growth agenda is focused on evolving our digital engagement platform for a post-pandemic world. Our customers are changing how they use our platform, and we are changing our platform to address the needs of our customers. We've launched 2 new products in the last 2 quarters, which significantly expands our platform. While it is early in the product life cycle, we've already closed a number of these deals and are seeing one of the fastest ramp in new products pipeline for these products. We also completed a tuck-in acquisition of VIBBIO, which will allow us to integrate additional video capability across our platform. And we have added 2 new seasoned Board members who have deep operational expertise and will help guide us on our go-to-market execution. We believe that as organizations rapidly accelerated their digital transformation over the past few years, almost every aspect of the go-to-market motion, from sales to demand generation to partner enablement, has shifted to a digital-first engagement strategy. But as each function they use disparate tools with varying levels of reliability, it can result in issues with accessibility and compliance, inconsistent branding and levels of engagement and generate limited to zero first-party insights. This may result in a pattern of fractured digital experiences. Even more problematic, these fractured experiences may be siloed and disconnecting, resulting in fractured data that we believe is challenging for anyone in the business to use. Our vision is to help businesses unify their sales and marketing, digital engagement and first-party data with a platform that powers all digital experiences: live, always-on, personalized or hybrid. Across their go-to-market functions, one unified platform for demand generation, field marketing, customer advisory boards, product marketing and partner enablement. Our annual user conference, ON24 Experience, is scheduled for tomorrow. It will gather thousands of our customers, prospects and partners across the globe. We will showcase the evolution of our platform and highlight the success of our standout customers, including close to 70 who nominated themselves for the ON24 Experience Awards. Among the winners are companies like Home Depot, Humana, Very, Pegasystems, SAP, TOPdesk and Infinia, who are using ON24 experiences to transform their sales and market. On our Q4 call, we laid out 4 key priorities for 2022: one, enhancing customer success and improving retention across our platform; two, driving an aggressive product roadmap for a post-pandemic world; three, enhancing our enterprise sales motion with multiproduct deals; four, strengthening our partner ecosystem and integrations, gaining operational leverage and further enterprise penetration and adoption. Now I'll share the progress we've made against each priority during Q1. Beginning with customer success. To improve customer success, we've increased our coverage ratios and brought on new senior talent. Our onboarding program has been completely revamped, and we've added new offerings to further shorten our customers' time to value. We've also improved the availability of data integration services and are building out a solutions consulting team, who can help our prospects and customers architect a comprehensive implementation of multiple products on our platform. These efforts are beginning to bear fruit, and we expect that our overall retention rate should improve in the quarters ahead. Now let me discuss progress on our aggressive product roadmap for a post-pandemic world. In listening to our customers, we heard a consistent pain point, the need for a new type of live experience solution in the market that had all the branding, audience engagement and first-party data of our flagship live experience product, ON24 Elite, but also enable the audience to participate in live video-to-video discussions. That's why we recently launched our newest product, ON24 Forums, that joins our portfolio of experience products and unified engagement and data. This is an ideal experience for executive engagement, roundtable discussions, expert-led trainings and professional advisory groups. We are already seeing promising traction for Forums with our customer base, including a Q1 expansion deal with one of the nation's largest healthcare and insurance providers. We originally landed this customer back in 2020 when they came to us with their top-down initiative to build a unified digital engagement strategy for their enterprise customers and individual members. Since then, we've grown our footprint within this customer, spanning a total of 7 business divisions and power their entire go-to-market digital engagement strategy from lead generation and sales calls to their member enrollment and wellness programs. In Q1, we added a new business division in a $100,000-plus deal that includes the entire suite of ON24 experiences, Forums, Elite, Breakouts, Go Live, Target and Engagement Hub, growing the account by 5x in ARR over 2 years. Our ON24 Go Live product, which we recently launched, delivers the audience and participation of Forums, but at a larger scale for multi-session, multi-day virtual conferences. We have closed a number of deals and expect it to ramp in the coming quarters. In addition to our 2 new live experience products, Forums and Go Live, we are continuing to enhance our always-on and personalized experience capabilities. Last month, we announced the acquisition of video software solution VIBBIO, which will put video content creation in the hands of every salesperson and marketer to drive greater personalization and keep their ON24 content working for them longer and in new ways. VIBBIO will be first integrated with our Engagement Hub and Target products and deepens the value of having unified engagement and first-party data. We believe that our new products, along with our VIBBIO acquisition, provide us new use cases and buying centers to address and further evolve our platform for a post-pandemic world by extending ON24's footprint and additional sales and marketing use cases. As the digital experiences expand across use cases, they are becoming more interconnected. This is important as the more experiences our customers can create and engage their audience with, the more first-party data they're able to collect and derive key insights and value from. In fact, with our portfolio of 6 digital experience solutions, each having over 20 engagements and conversion tools within them, the ability to generate and take action on your first-party data is even greater. Now let me discuss our progress in driving multiproduct deals and bundling within the enterprise. Over the past months, we've been enabling our reps on a multiproduct sales motion and better integrating our solution consultant team into deals to architect a holistic digital strategy for customers. We are seeing early success with this motion. The number of customers with 2 or more products is currently in the mid-30s, and I'm optimistic that we will see an increase in this metric, especially with the recent launch of our 2 new products. Let me share just 2 of the multiproduct wins. One of the world's leading semiconductor and software providers was seeking a better way to engage their audience of highly technical buyers. In Q1, our team put together an end-to-end strategy for this customer and closed a multiproduct deal, including ON24 Elite, Breakouts and Engagement Hub. The customer is now able to deliver ongoing educational content to high-value customers and bring them together as a community. All the data is captured by ON24 Intelligence and ON24 Connect, providing the customers vital signs they can use to drive upsell and cross-sell opportunities. Another multiproduct win was with a leading HR and payroll services company, which was concerned with declining rates of engagement and demand for their top strategic accounts. To reimagine the digital experiences with greater interactivity and personalization, the customer purchased ON24 Elite and Target to build high-touch, high-value content journeys for their prospects. With ON24 Intelligence and Connect, they are able to understand the accounts with buying intent and surface those insights immediately to their sales teams. We believe that landing with multiple products allows us to access elevated levels of an organization and demonstrate the power of a unified digital engagement strategy. Our multiproduct solutions are not just for the enterprise. In Q1, we saw a wave of fast-growth SaaS companies in the upper end of our commercial business come on board. Here are three 50,000-plus wins. One of our wins was with a leading product analytics software company, which, after their recent IPO, needed an upgrade from an event management point solution to a true digital engagement strategy. They purchased ON24 Elite and Engagement Hub and are using us to run their field marketing events and ongoing demand generation programs. Another win came from a unicorn SaaS platform for employee experience, which wanted to consolidate all their go-to-market engagement on a single platform with live, always-on and personalized experiences. We now power their dimension, product marketing, marketing operations and field marketing teams with our integrated solution that includes ON24 Elite, Breakouts, Engagement Hub and Target. Finally, we added an emerging productivity platform that came to us to help supercharge their lead generation as they move to their next growth stage. Our ability to deliver ongoing webinar experiences, combined with interactive discussions and capture all the data along the way, is why they chose ON24 Elite and Breakouts. As these customers grow, we believe the need for our platform will too. We've seen our customers continue to make long-term commitments to us as the percentage of our ARR and multiyear agreements ended Q1 at the highest level ever and sequentially up from Q4 2021. Finally, we are strengthening our partner ecosystem and integrations, further differentiating our platform and allowing us to gain operational leverage. With the launch of the ON24 Partner Network earlier this year, we are creating an ecosystem of leading solutions and technology partners and formalizing how we integrate co-market and co-sell together. We believe this ecosystem will broaden our reach, extend our product and service offerings and drive leverage in our go-to-market model. As I previously mentioned, our goal is to grow partner influence bookings over time to a 20% or higher contribution. Over the past quarter, we have been enabling our partners on the ON24 platform, building more integrations and driving pipeline. In March, we held our Momentum Partner Summit, where we had over several thousand people registered across partners, customers and prospects. This quarter, we recently developed a more advanced integration with HubSpot that enables customers to fully leverage the first-party engagement data they generate from ON24 and providing more ways for sales and marketing to take action from our data. One of our Q1 wins with a Boston-based biotech company highlights the potential of our Partner Network integrations. This customer is introducing a new drug to market and needed to rapidly build out their digital-first engagement strategy to engage and influence healthcare professionals for the first time, pass qualified leads to their sales team and showcase their advanced research and thought leadership content to the industry. Our deep integration with Viva brought them to ON24 and resulted in a multiyear, multiproduct deal over $100,000, consisting of ON24 Elite, Breakouts, Engagement Hub and Target, to deliver an ongoing and differentiated set of first-party insights directly to the system that their sales reps use. Before handing the call over to Steve, I wanted to take a moment to welcome our 2 new Board members. Tony Zingale brings 40 years of enterprise software experience, and his guidance will be instrumental as we continue to transform our sales operation to scale our go-to-market opportunity. Anil Arora is a fintech and marketing pioneer and brings over 25 years of experience in leading product, marketing and leadership across technology, financial services and consumer goods industries. I'm particularly excited by the new additions to our Board and the guidance they will provide as we evolve our platform to drive ongoing, continuous engagement across the customer lifecycle. I'd also like to thank Holger Staude for his tenure on our Board and his contributions to our company over the years. With that, I'll hand it over to our CFO, Steve Vattuone, to walk you through our Q1 results in more detail and provide our outlook.

Thank you, Sharat, and good afternoon, everyone. I'm going to start with our first quarter 2022 results and will then discuss our outlook for the second quarter and full year 2022. Total revenue for the first quarter was $48.5 million, representing a decrease of 3% year-over-year. Subscription and other platform revenue was $43.5 million, an increase of 1% year-over-year. Professional services revenue was $5 million, a decrease of 30% year-over-year, representing approximately 10% of total revenue compared to 14% in the year-ago period. This decrease is in line with our expectations we provided last quarter. Moving on to ARR. ARR represents the annualized value of all subscription contracts at the end of the period and excludes professional services and overages. Ending ARR was $167.7 million, an increase of 3% year-over-year. As discussed on our last call, a handful of customers who previously signed large expansions throughout COVID were up for renewal for the first time in Q1 and adjusted their contracts for their post-pandemic needs. The rationalization that took place was roughly in line with our previous expectations. Towards the latter part of the quarter, we experienced softness in new bookings, particularly within EMEA, driven by the macroeconomic environment, which resulted in net new ARR below our expectations for the quarter. This will have a ripple impact throughout the rest of the year. We have seen our customers continue to make long-term commitments to us as a percentage of our ARR and multiyear agreements, ending Q1 at the highest level ever and sequentially up from Q4 2021. Turning to customer metrics. Total customer count increased by 23 from Q4 of last year to 2,145, driven by new logo acquisition strength in the mid-market segment in a quarter that has historically been seasonally softer for us. We ended the quarter with 367 customers contributing ARR of $100,000 or more, representing an increase of 13% year-over-year. Before turning to expense items and profitability, I would like to point out that I will be discussing non-GAAP results going forward. Our non-GAAP results exclude stock-based compensation as well as certain other items. Our GAAP financial results, along with a reconciliation between GAAP and non-GAAP results, can be found within our earnings release. Gross profit in the quarter was $36.6 million, representing a gross margin of 75%, which is a 4% decrease in the gross margin percentage year-over-year. We are investing in our public cloud infrastructure capabilities and growing our customer success teams to drive improved retention. Turning to operating expenses. Sales and marketing expense in Q1 was $25.5 million compared to $22.2 million in Q1 last year. This represents 53% of total revenue compared to 44% in the same period last year. R&D expense in Q1 was $8.7 million compared to $7.2 million in Q1 last year. This represents 18% of total revenue compared to 14% in the same period last year. We have been ramping our investment in R&D as we expand our platform and bring new products to the market. G&A expense in Q1 was $8.1 million compared to $7.5 million in Q1 last year. This represents 17% of total revenue compared to 15% in the same period last year. Our G&A expenses have increased due to the costs associated with being a publicly traded company. Over time, we expect G&A expenses to scale and decrease as a percentage of our revenue. Operating loss for Q1 was $5.7 million or a negative 11.7% operating margin compared to operating income of $2.8 million and an operating margin of positive 5.5% during the same period last year. Net loss in Q1 was $6 million or $0.13 per share based on approximately 47.6 million basic and diluted shares outstanding. This compares to net income of $2.2 million or $0.05 per diluted share in Q1 last year, using approximately 42.2 million diluted shares outstanding. Turning to the balance sheet and cash flow. We ended the quarter with $359 million in cash, cash equivalents and marketable securities. Cash used in operations in Q1 was $6.8 million compared to cash flow from operations of $3.7 million in Q1 last year. Free cash flow was negative $7.8 million in Q1 compared to positive $3.2 million in Q1 last year. Free cash flow margin was negative 16% in Q1 compared to positive 6% in Q1 last year. In Q1, we repurchased 964,895 shares at a weighted average price of $14.81 per share, utilizing $14.3 million. As of the end of Q1, we have utilized $21.5 million under the share repurchase program with $28.5 million remaining out of the $50 million authorized under the share repurchase program. Now turning to guidance. Before providing our outlook, I'd like to share a few observations. We believe the current macroeconomic backdrop is uncertain, particularly in EMEA, where organizations are continuing to assess their post-pandemic digital budgets, which may continue throughout the year. Additionally, the decline in net new ARR in Q1 was greater than we originally expected, and therefore, will have an impact on revenue and subsequent quarters. With these factors in mind, we are introducing our Q2 guidance and updating our fiscal 2022 revenue guidance. For Q2, we expect total revenue in the range of $47 million to $48 million. Professional services are expected to represent approximately 10% to 11% of total revenue, representing a year-over-year percentage decline in the low 30s. We expect a non-GAAP operating loss in the range of $8 million to $7 million and a non-GAAP net loss per share of $0.17 to $0.15 per share based on 47.6 million basic and diluted shares outstanding. Moving to the full year. We expect total revenue in the range of $191 million to $195 million. Professional services revenue is expected to be approximately low double digits as a percentage of total revenue, representing a year-over-year percentage decline of low to mid-20s. We expect that Q1 marked the trough in the business and expect to show progress in net new ARR throughout the year. For Q2, we expect flat to very modest ARR growth from our Q1 ending ARR. We are maintaining our previous bottom line guidance and expect a non-GAAP operating loss in the range of $30 million to $27 million and a non-GAAP net loss per share of $0.64 per share to $0.58 per share using 48.1 million basic and diluted shares outstanding. Also, I would like to note that the guidance I have provided incorporates the impact of the acquisition of VIBBIO, which we announced last month. As we have previously noted, the acquisition of VIBBIO will not have a material impact on our 2022 financial statements or cash balance and was funded with cash on hand. With that, Sharat and I will open the call for questions.

Our first question today comes from Arjun Bhatia.

Perfect. Maybe I wanted to just start with one. I know, Steve, that you mentioned that the ARR decline in Q1 was slightly larger than expected. I'm wondering if you can maybe give us a view of linearity in the quarter. I know there's the differences between the seasoned cohorts and the first-time renewal cohorts. But as you look at January versus March and the macro environment, are there any differences that you can paint in terms of performance as the quarter progressed over the last 3 months?

Let me take that, and Steve can jump in. From a linearity perspective, there are two aspects to consider: new ARR and churn ARR. Regarding churn, we had previously indicated that we anticipated some rationalization from a few larger accounts early in the quarter, and that occurred as expected. As the months progressed, things improved as we projected. Overall gross retention was roughly in line with our expectations, peaking in January. In terms of new business, new ARR generally followed a pattern where January was slower than February, and March was expected to be significantly larger. However, we did not see the anticipated increase in March. Several large deals were paused or delayed, particularly in the EMEA region, which was a key growth area for us last year. For instance, we were working on a large six-figure deal with a major chemical manufacturing company, but that deal was put on hold due to rising material costs and gas prices. Therefore, March was not as strong from a new business perspective. Steve?

Yes. To provide some additional insight, we surpassed the upper end of our revenue guidance and exceeded our earnings expectations. However, as Sharat noted, the results were slightly below our forecasts primarily due to EMEA's performance. In 2021, EMEA accounted for 18% of our revenue and was one of the faster-growing segments. It represented 16% of our total revenue in 2020, and in Q1, it made up 17% of our revenue. We are certainly experiencing the impact of ongoing macroeconomic challenges. As we mentioned, we anticipate that Q1 will mark the low point for ARR, and we expect to see improvements in the subsequent quarters. We anticipate better gross retention moving forward. Furthermore, with the introduction of new products, we expect to see enhanced expansion, upselling, and new business opportunities.

Perfect. And then one more, if I can. Just as we reopen here and folks return to in-person events and in-person meetings, can you just give us a sense of what your customers are asking for from in-person and hybrid solutions and maybe where you are in being able to deliver on that with some of your newer capabilities across the in-person and hybrid landscape?

Yes. Let me address that, Arjun. What we have observed on our platform is very significant. Attendee engagement has reached an all-time high in Q1, evidenced by the duration of attendance and interactions with engagement tools. Attendees are spending more time on our platform, indicating that we have not encountered digital fatigue. I want to clarify that our virtual conferences, which are generally one-off events, represent less than 10% of our business. As we adapt our platform for the post-pandemic landscape, our two new products, ON24 Forums and ON24 Go Live, are designed to create a sales and marketing digital engagement platform that assists our customers in capturing first-party data, maintaining their pipeline, and engaging with prospects. Whether they are hosting webinar series, customer advisory boards, roundtables, hybrid virtual events, or partner enablement, we have all the necessary components and interconnected experiences that focus on driving first-party data. This is the solution we have crafted based on feedback from our customers. Most of our solutions are capable of hybrid implementation.

Our next question comes from Scott Berg of Needham.

Great. This is John Godin on for Scott Berg. First, just looking at the revenue guide, the operating loss guide, just curious where are you taking out from the current incremental cost in the model. Do you see it as more of a permanent reorientation of the cost structure or maybe some temporary reductions related to the macro headwind?

Yes, this is Steve. Let me discuss the factors affecting our revenue guidance. The midpoint of the revised guidance is $193 million, down from the previous midpoint of $202 million, reflecting a $9 million decrease in expected revenue. The macroeconomic conditions became more uncertain in March, particularly in EMEA, and this may persist throughout the year. Consequently, we anticipate lower revenue from EMEA this year. In 2021, EMEA accounted for 18% of our revenue, but it dropped to 17% in Q1, and we expect continued weakness in that region for the rest of the year. If EMEA's share were to decrease to 16% of revenue, that would mean a 2% reduction in total revenue, equating to roughly $4 million less annually based on a $200 million run rate. With the overall decline in revenue impacting services, we estimate that around $2 million of the revenue guidance reduction will come from the services segment. The remainder of the adjustment is due to a more cautious outlook as we gain clarity on near-term digital budgets post-pandemic, along with some additional macro risks factored into our revenue guidance.

John, let me add to the question. I think one of the points you raised was whether this situation is temporary. We believe it is. We have been preparing the company for a return to normalcy after the pandemic. On the churn side, which has been a significant focus for us over the past four quarters, we believe we have reached the lowest point, and we expect improvement moving forward. The gross retention of our existing customer base, which is the largest it has been, has remained stable. While there have been some declines, we think this is manageable. Similar to the first line, the renewal cohort is smaller, and we anticipate better retention there. As we assess our business, we consider gross retention, net retention, and new business. If gross retention improves with our new products, we expect net retention to also improve, along with new business. Lastly, I want to mention that ON24 has performed well during both prosperous and challenging times because, in uncertain periods, companies seek cost-effective ways to generate pipeline and engagement. Therefore, we believe we are currently in a transitional phase, and our goal is to return to pre-COVID growth levels in due time.

Great. And Sharat, you mentioned your customers are changing how they're using the platform a bit. I'm wondering if they can present a little bit more and maybe provide some color on how some of your new products are resonating here.

John, you were breaking up a little. So I think your question was that your customers are changing how they're using the platform and how you're evolving that. Is that right?

Yes. Yes, correct. Some of your new product.

Yes. For a long time, we had the live experience with the Elite platform and the Engagement Hub that made content always available, along with a personalized product. We also offered a managed services virtual conference product and gathered first-person data. However, during COVID, we listened to our customers who appreciated our engagement and first-person data that helped them generate revenue, but they pointed out that they needed more branding, customization, engagement tools, compliance, and increased collaboration on the platform. They wanted more interaction among users rather than just control, which led to the launch of ON24 Forums. This product has quickly gained traction in our pipeline. Likewise, with our virtual conference product, which was more service-oriented, customers requested a simpler, self-service option for virtual events and roadshows, prompting the addition of ON24 Go Live. Our main goal is to unify various sales and marketing use cases for our customers—such as webinar series, virtual events, advisory boards, roundtables, and partner enablement—into one platform that provides the right branding and drives engagement data. Based on customer feedback, we made these advancements. The acquisition of VIBBIO will further enhance our platform by adding more video capabilities.

Our next question comes from Shrenik Kothari of Baird.

Shorter than a few. Pardon me for my bad throat. It's a follow-up to the earlier questions. If possible, could you please break down the top line guide or just kind of parse it out a bit to elaborate on the underlying factors? I know in terms of relative impact, still provided a good level of detail regarding Europe and how much of it was due to rationalization with a significant portion of large deal renewals because kind of more in line. But can you also comment on the general lengthening of the enterprise sales cycle dynamic that you mentioned last time? Is it still something which is kind of playing a role here?

I think you are referring to two topics. The sales cycle was your second question, and the first was about what we are observing in terms of rationalization. Let me give you some overall feedback. As we previously mentioned, Q1 was the lowest point. The rationalization from a few larger accounts met our expectations, and the gross retention was approximately as we anticipated. That's why we expect gross retention to remain consistent moving forward. We believe we have experienced the worst of it. Regarding the weaker ARR, we noticed in March that some deals, particularly in EMEA, were paused. We anticipated post-pandemic budget normalization, which we have discussed previously. However, the overall economic conditions became more uncertain, especially in EMEA, which was our fastest-growing region in 2021. Last year, we had good traction in technology, life sciences, and manufacturing in countries like Germany and Southern Europe, where we experienced paused deals. Nonetheless, we are making significant strides with our FY '22 initiatives, including enhancements to our customer success function, the introduction of new products, and efforts in partner enablement. Regarding the sales cycle, the Q1 cycle was similar to what we observed in Q4. It was in Q3 that we began to see a lengthening of the sales cycle, but by Q4, it had normalized, which we were pleased with. Our sales cycle is currently between three to six months and has become shorter. We find that enterprise deals are generally longer. However, in Q1, we did not observe that lengthening trend. Even if enterprise sales cycles do extend slightly, it will mostly involve larger deals, which tend to have a higher retention profile.

Got it. Got it. Really helpful. Just one other quick follow-up. Sharat, on the multiproduct and new product adoption trends, I know it's early in the product life cycle. As you mentioned, you guys closed a number of these deals. Kind of seen one of the fastest rounds, as you said, regarding the new products pipeline. And a couple of examples that you share with the semis and the employee experience. Now you mentioned mid-30s multiproduct mix compared to roughly, I think, 35% last quarter and an increase in mix going forward. So just like at a high level, where do you see this mix kind of growing to in the near term and then in the medium to long term with all these new product rollouts?

Shrenik, I want to clarify that the multiproduct adoption was not in the mid-20s last quarter; it remained about the same. I can't comment on the immediate future, but I feel more confident that as we integrate our various sales and marketing engagement use cases, our goal is to increase that number to 50% or higher as soon as possible. Currently, we have six experiences contributing to our first-party engagement data. This also gives us an opportunity to explore price bundling within the enterprise. Our main priority is to reach that 50% target as quickly as we can.

Our next question comes from Brent Bracelin of Piper Sandler.

This is Hannah Rudoff on for Brent today. First one is just that glad that you're seeing that positive feedback on the new products you've introduced the last few quarters. I guess, how long until Forums and Go Live become meaningful drivers of revenue? And what does that path look like?

Hannah, what is the last part of the first quarter? How long, and sorry, I didn't hear the last part.

How long until Forums and Go Live become meaningful drivers of revenue? And what does that path look like to get there?

Yes. To provide some perspective, Forums has just been launched and is currently undergoing trials. As you know, we introduced Go Live at the end of last year to achieve enterprise-level quality, which took us about 60 to 90 days. It’s still early, which is why we haven’t included these new products in our projections. However, I expect that within the next 90 days, we should start to see some level of improvement from these products. They are a very important aspect of our organization. I believe that within a couple of quarters, we will begin to see a significant impact, but I do anticipate some incremental effects in about a quarter. Additionally, I want to highlight that these products enable us to listen to our customers more effectively and run a sales and marketing digital engagement platform. This allows us to consolidate various sales and marketing applications and elevate discussions to a higher level, particularly with CMOs and CROs, which I find very exciting.

Yes, that's great. That makes a lot of sense. And then second question. We're now over a month into Q2. I guess can you talk about what you're seeing in terms of pipeline build and demand generation so far this quarter?

Yes. We are seeing good additions to our pipeline, especially for the new products that we talked about that we've seen one of the fastest starts. And personally, you asked, because ON24 Ex, which is our flagship event, user conference is happening tomorrow, and thousands of customers and partners and prospects and partners have signed up for that. I invite you to join that. In Q1, I can't provide specifics, but we did see some softness in a couple of segments in our pipeline, and that's kind of reflected in our guidance. And is that helpful?

As there are no further questions, I would like to turn the call back to Sharat Sharan for additional or closing remarks.

Ladies and gentlemen, while the macroeconomic backdrop has become more uncertain over the past quarter, we are making progress against our key priorities and focused on execution. We believe that Q1 was the trough in the business and expect to see improvement throughout the year. We are confident in our strategy to help organizations unify all their digital engagement and first-party data and power all their digital experiences, live, always-on, personalized or hybrid, across their sales and marketing functions. One unified platform for demand generation, field marketing, customer advisory boards, product marketing and partner enablement. Finally, I invite all of you to join our customer conference, the ON24 Experience, tomorrow, where you can learn more about our platform vision, hear firsthand from our customers and see the exciting product innovation in action. Thank you, everyone, for being on the call today.

Ladies and gentlemen, that concludes today's conference call. We thank you for your participation. You may now disconnect.