Revenue and Contract Balances

3 Months Ended

Mar. 31, 2022

Revenue from Contract with Customer [Abstract]

Revenue and Contract Balances

Revenue and Contract Balances

The following table presents revenue by service type for the three months ended March 31:

	2022		2021
Advertising	$	11,329	$	9,411
Other services	91		64
	$	11,420	$	9,475

The following table presents revenue by geographic region for the three months ended March 31:

	2022		2021
United States	$	10,735	$	8,655
All other countries	685		820
	$	11,420	$	9,475

For the three months ended March 31, 2022, Leafly derived approximately 18%, 11% and 11% of its revenue from customers in Arizona, California and Oregon, respectively. No other state comprised 10% or more of Leafly’s revenue. We have a diversified set of customers; no single customer accounted for 10% or more of our revenue for the three months ended March 31, 2022 and 2021.

The following table presents revenue by timing of recognition for the three months ended March 31:

	2022		2021
Over time
Retail1	$	9,179	$	7,815
Brands2	1,417		1,086
	$	10,596	$	8,901
Point in time
Brands3	824		574
	$	11,420	$	9,475

1 Revenues from subscription services and display ads

2 Revenues from brand profile subscriptions and digital media (including display ads and audience extension)

3 Revenues from branded content and channel advertising (including direct to consumer email)

Revenues recognized over time are associated with software subscriptions, display ads and audience extension. Revenues recognized at a point in time are associated with branded content and channel advertising. There are no material variations in delivery and revenue recognition periods within the over time category.

Contract liabilities consist of deferred revenue, which is recorded on the Consolidated Balance Sheets when the Company has received consideration, or has the right to receive consideration, in advance of transferring the performance obligations under the contract to the customer.

The following table presents the deferred revenue accounts as of March 31, 2022 and 2021, and the changes in the deferred revenue accounts during the three months ended March 31:

	2022		2021
Balance, beginning of period	$	1,975	$	1,585
Add: net increase in current period contract liabilities	2,184		1,649
Less: revenue recognized from beginning balance	(1,593)		(1,211)
Balance, end of period	$	2,566	$	2,023

A majority of the deferred revenue balance as of March 31, 2022 is expected to be recognized in the subsequent 12-month period. No other contract assets or liabilities are recorded on the Company’s Consolidated Balance Sheets as of March 31, 2022 or 2021.