Note 2 - Contracts With Customers

6 Months Ended

Jun. 30, 2020

Notes to Financial Statements

Revenue from Contract with Customer [Text Block]

(2) CONTRACTS WITH CUSTOMERS

The following table disaggregates revenue for the three and six-month periods ending June 30, 2020 and 2019 based on timing of revenue recognition (in thousands):

	Three months ended				Six months ended
	June 30, 2020		June 30, 2019		June 30, 2020		June 30, 2019
Subscription services recognized ratably over time	$	29,572	$	27,918	$	59,993	$	55,831
Services recognized at a point in time		191		1,625		1,287		2,625
Fixed, non-subscription recognized over time		158		506		675		1,040
Unit price services recognized over time		1,245		1,365		3,071		3,398
Total revenue	$	31,166	$	31,414	$	65,026	$	62,894

Our solutions within the digital VoC platform accounted for 72.9% and 62.1% of total revenue, in the three-month periods ending June 30, 2020 and 2019, respectively, and 70.9% and 60.0% of total revenue in the six-month periods ending June 30, 2020 and 2019, respectively. The remaining revenue consists of legacy Experience and Governance Solutions.  

The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers (In thousands):

	June 30, 2020			December 31, 2019
Accounts receivables	$	19,882		$	11,639
Contract assets included in other current assets	$	120		$	103
Deferred Revenue	$	(16,275	)	$	(16,354	)

Significant changes in contract assets and contract liabilities during the three and six-months ended June 30, 2020 and 2019 are as follows (in thousands): 

	Six months ended June 30, 2020						Six months ended June 30, 2019
	Contract Asset			Deferred Revenue			Contract Asset			Deferred Revenue
	Increase (Decrease)
Revenue recognized that was included in deferred revenue at beginning of year due to completion of services	$	-		$	(11,934	)	$	-		$	(12,226	)
Increases due to invoicing of client, net of amounts recognized as revenue		-			11,821			-			12,751
Decreases due to completion of services (or portion of services) and transferred to accounts receivable		(85	)		-			(46	)		-
Change due to cumulative catch-up adjustments arising from changes in expected contract consideration					34						219
Decreases due to impairment		-			-			-			-
Increases due to revenue recognized in the period with additional performance obligations before invoicing		102			-			223			-

We applied the practical expedient to not disclose the value of unsatisfied performance obligations for contracts with an original expected length of one year or less. Total remaining contract revenue for contracts with original duration of greater than one year expected to be recognized in the future related to performance obligations that are unsatisfied at June 30, 2020 approximated $281,000, of which $161,000 and $120,000 are expected to be recognized during 2020 and 2021, respectively.