Lightspeed Commerce (LSPD) Piper Sandler Growth Frontiers Conference 2024 summary

Company overview and business evolution

• Founded in 2005, the platform serves 100,000 retailers, restaurants, and golf courses, with a strong presence in North America for retail and Europe for hospitality.

• Transitioned from a point-of-sale provider to a comprehensive commerce platform, including software and financial services.

• Achieved significant growth, reaching $1.1 billion in run rate and powering $90 billion in GTV.

• Focused on more sophisticated, higher-value merchants, with average customer turnover of $500,000–$600,000 annually.

• International diversification provides resilience and growth opportunities, especially in EMEA hospitality and North American retail.

Unified Payments initiative and go-to-market strategy

• Unified Payments bundled software and payments, moving from optional to mandatory for new and existing customers.

• Payment penetration increased from 19% to 36% of GTV, targeting 40–45% by year-end, with a theoretical cap of 60% addressable GTV.

• Incentives for migration included rate matching, contract buyouts, free terminals, and onboarding support.

• Account management teams shifted focus to payments migration, temporarily deprioritizing software upsell.

• As migration completes, emphasis returns to double-digit software growth and upselling new modules.

Sales channels, customer focus, and investment areas

• Go-to-market split into four pillars: new customer acquisition, onboarding, account management, and technical support.

• Outbound sales and partnerships have grown, now comprising 35–36% of quota-carrying roles, with a goal to reach 50%.

• EMEA hospitality is expected to exceed 50% outbound field sales, while retail remains more inbound and remote outbound.

• Integration of B2B platform NuORDER creates new cross-sell opportunities for point-of-sale solutions.

• Investment focus remains on expanding market share in North America retail and EMEA hospitality.