Share-Based Compensation

6 Months Ended

Jun. 30, 2020

Share-based Payment Arrangement [Abstract]

Share-Based Compensation

Share-based compensation expense is included in costs as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2019		2018
Share-based compensation expense:
Sales and marketing	$	29	$	66	$	61	$	138
Technology support		28		52		55		93
General and administrative		462		442		912		880
Share-based compensation costs		519		560		1,028		1,111
Amount capitalized to internal use software		—		—		—		—
Total share-based compensation costs	$	519	$	560	$	1,028	$	1,111

Service-Based Options.  The Company granted the following service-based options for the three and six months ended June 30, 2020 and 2019, respectively:  

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
Number of service-based options granted		55,000		140,000		515,000		1,182,883
Weighted average grant date fair value	$	0.67	$	1.84	$	1.05	$	1.82
Weighted average exercise price	$	1.08	$	3.45	$	1.90	$	3.42

These options are valued using a Black-Scholes option pricing model. Options issued to employees generally vest one-third on the first anniversary of the grant date and ratably over twenty-four months thereafter.  The vesting of these awards is contingent upon the employee’s continued employment with the Company during the vesting period and vesting may be accelerated under certain conditions, including upon a change in control of the Company and, in the case of certain officers of the Company, termination of employment by the Company without cause and voluntary termination of employment by such officer with good reason. Options issued to non-employee directors generally vest monthly over a 12-month period and vesting may be accelerated under certain conditions, including upon a change in control of the Company and upon the termination of service as a director of the Company in the event such termination of service is due to resignation, failure to be re-elected, failure to be nominated for re-election, or without removal for cause.

The grant date fair value of stock options granted during these periods was estimated using the Black-Scholes option pricing model using the following weighted average assumptions:

	Three Months Ended June 30,						Six Months Ended June 30,
	2020			2019			2020			2019
Dividend yield		—			—			—			—
Volatility		81	%		66	%		70	%		65	%
Risk-free interest rate		0.3	%		2.2	%		1.1	%		2.5	%
Expected life (years)		4.6			4.4			4.6			4.4

Stock option exercises.  The following stock options were exercised during the three and six months ended June 30, 2020 and 2019, respectively:  

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
Number of stock options exercised		—		57,036		—		213,048
Weighted average exercise price	$	—	$	1.77	$	—	$	1.92