Paylocity Holding Corporation (PCTY): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

En el panorama en rápida evolución de la tecnología de recursos humanos, PayLocity Holding Corporation (PCTY) surge como una fuerza transformadora, reinventando la gestión de la fuerza laboral a través de su innovadora plataforma basada en la nube. Al combinar sin problemas soluciones de software de vanguardia con un diseño intuitivo, PayLocity ha tallado un nicho distintivo en la entrega de servicios integrales de nómina y recursos humanos que capacitan a las empresas de todos los tamaños para racionalizar sus procesos administrativos más críticos. Esta exploración de lienzo de modelo de negocio revela el plan arquitectónico estratégico que ha impulsado la Locidad de Pays para convertirse en un jugador que cambia el juego en el ecosistema de software empresarial, que ofrece información sin precedentes sobre cómo crean, entregan y capturan valor en un mercado competitivo.

PayLocity Holding Corporation (PCTY) - Modelo de negocio: asociaciones clave

Proveedores de servicios en la nube

PayLocity mantiene asociaciones estratégicas con proveedores líderes de infraestructura en la nube:

Proveedor	Detalles de la asociación	Escala de implementación
Servicios web de Amazon (AWS)	Socio de infraestructura de la nube primaria	Plataforma 100% basada en la nube
Microsoft Azure	Soporte de infraestructura de nube secundaria	Servicios de copia de seguridad y redundancia

Integradores de software de gestión de capital humano

PayLocity colabora con múltiples socios de integración de software:

• Plataforma de integración del día laboral
• Asociación SAP SuccessFactors
• Oracle HCM Cloud Connector

Compañías de software de contabilidad y ERP

Socio de ERP	Capacidad de integración	Penetración del mercado
QuickBooks	Nómina directa y sincronización de contabilidad	Más de 500,000 clientes integrados
Netsuite	Integración de planificación de recursos empresariales	Intercambio de datos financieros integrales
Sage intacct	Sincronización del software de contabilidad	Integración financiera del mercado medio

Redes de organización de empleadores profesionales (PEO)

El ecosistema PEO de PayLocity incluye:

• Fuente total de ADP
• Servicios de PEO de insperity
• Redes profesionales de Trinet

Servicios financieros e instituciones bancarias

Institución financiera	Enfoque de asociación	Volumen de transacción
JPMorgan Chase	Procesamiento de depósito directo y nómina	Valor de transacción anual de $ 2.3 mil millones
Banco de América	Integración de servicios financieros	Procesamiento de pagos de $ 1.8 mil millones
Wells Fargo	Soluciones bancarias del empleador	Transacciones de nómina de $ 1.5 mil millones

PayLocity Holding Corporation (PCTY) - Modelo de negocio: actividades clave

Desarrollo de la nómina basada en la nube y el software de recursos humanos

PayLocity invirtió $ 97.9 millones en gastos de investigación y desarrollo en el año fiscal 2023. La compañía mantiene un equipo dedicado de ingeniería de software de aproximadamente 500 profesionales centrados en soluciones de tecnología de recursos humanos basadas en la nube.

Métricas de desarrollo de software	2023 datos
Inversión de I + D	$ 97.9 millones
Tamaño del equipo de ingeniería de software	Aproximadamente 500 profesionales
Ciclos anuales de liberación de productos	4-6 actualizaciones importantes

Innovación continua de productos y mejora de características

Las áreas de enfoque de innovación clave incluyen:

• Herramientas de gestión de la fuerza laboral impulsada por IA
• Capacidades de análisis avanzado
• Mejoras de la experiencia del usuario móvil primero
• Integración con tecnologías empresariales emergentes

Servicios de atención al cliente y implementación

Métricas de apoyo	2023 rendimiento
Tamaño del equipo de atención al cliente	Aproximadamente 350 profesionales
Tiempo promedio de incorporación del cliente	2-4 semanas
Tiempo de respuesta de soporte al cliente	Menos de 4 horas

Seguridad de datos y gestión de cumplimiento

PayLocity mantiene Certificación SOC 2 Tipo II e invierte mucho en infraestructura de ciberseguridad. La compañía asigna aproximadamente $ 15.2 millones anuales a las iniciativas de seguridad y cumplimiento.

Ventas y marketing de soluciones de tecnología de recursos humanos

Métricas de ventas y marketing	2023 datos
Tamaño del equipo de ventas	Aproximadamente 600 profesionales
Gasto de marketing	$ 62.3 millones
Costo anual de adquisición de clientes	$ 8,500 por nuevo cliente empresarial

La estrategia de ventas se centra en ventas empresariales directas y Asociaciones estratégicas de canal dirigido a clientes del mercado medio y empresas en varias industrias.

PayLocity Holding Corporation (PCTY) - Modelo de negocio: recursos clave

Tecnología avanzada de software de recursos humanos y nómina

La plataforma de tecnología de software de PayLocity incluye los siguientes recursos tecnológicos clave:

Componente tecnológico	Especificación
Plataforma basada en la nube	Solución SaaS totalmente integrada
Versión de software	Paga web 23.1 y pago móvil 23.2
Inversión anual de I + D	$ 135.4 millones en año fiscal 2023

Equipos calificados de ingeniería de software y desarrollo de productos

Los recursos humanos de PayLocity incluyen:

• Total de empleados: 3.700 a junio de 2023
• Fuerza laboral de ingeniería de software: 42% del total de empleados
• Experiencia promedio de ingeniería: 7.5 años

Infraestructura basada en la nube

Infraestructura métrica	Especificación
Proveedor de servicios en la nube	Servicios web de Amazon (AWS)
Centros de datos	3 ubicaciones geográficas redundantes
Inversión anual de infraestructura	$ 47.2 millones en año fiscal 2023

Extensa base de datos de clientes y redes de relaciones

• Base de clientes totales: 38,500 empresas
• Empleados procesados ​​mensualmente: 2.1 millones
• Tasa promedio de retención de clientes: 92%

Propiedad intelectual y patentes de software

Categoría de IP	Recuento total
Patentes de software registradas	37 patentes activas
Aplicaciones de patentes pendientes	12 en proceso
Registros de marca registrada	24 marcas comerciales activas

PayLocity Holding Corporation (PCTY) - Modelo de negocio: propuestas de valor

Plataforma integral de gestión de recursos humanos y nómina

PayLocity ofrece una plataforma integrada que atiende a 38,500 clientes a partir del año fiscal 2023, con un total de aproximadamente 2.5 millones de empleados administrados a través de su sistema.

Característica de la plataforma	Cobertura
Total de clientes	38,500
Total de empleados administrados	2.5 millones
Tamaño promedio de la empresa atendida	50-500 empleados

Interfaz de software fácil de usar e intuitivo

La plataforma proporciona un diseño móvil primero con 95% de calificación de satisfacción del usuario y 99.5% de garantía de tiempo de actividad.

• Aplicación móvil con funcionalidad completa de recursos humanos
• Capacidades de inicio de sesión único
• Interfaces de tablero personalizables

Análisis de datos en tiempo real y capacidades de informes

Característica de análisis	Métrico de rendimiento
Velocidad de informes en tiempo real	Recuperación de datos de menos de 1 segundo
Capacidad de procesamiento de datos	500,000 registros de empleados por minuto
Precisión analítica predictiva	87% de predicción de tendencias de la fuerza laboral

Soluciones rentables de gestión de la fuerza laboral

El modelo de precios varía de $ 18 a $ 35 por empleado por mes, con un valor de contrato anual promedio de $ 8,750.

• No hay requisitos de contrato a largo plazo
• Estructura de precios transparentes
• Niveles de precios escalables

Tecnología escalable para empresas de todos los tamaños

Segmento de negocios	Penetración del mercado
Pequeñas empresas (10-50 empleados)	42% de la base de clientes
Mercado medio (51-500 empleados)	38% de la base de clientes
Enterprise (más de 500 empleados)	20% de la base de clientes

PayLocity Holding Corporation (PCTY) - Modelo de negocio: relaciones con los clientes

Portales de soporte en línea de autoservicio

PayLocity proporciona atención al cliente en línea integral a través de su plataforma digital, que admite más de 40,000 clientes comerciales a partir de 2023. La plataforma habilita:

• Acceso 24/7 a herramientas de gestión de recursos humanos y nómina
• Gestión de datos de empleados en tiempo real
• Capacidades de informes automatizados

Característica de portal	Porcentaje de uso
Paneles de empleados de autoservicio	92%
Procesamiento de nómina en línea	87%
Gestión de beneficios	75%

Equipos de gestión de cuentas dedicados

PayLocity mantiene equipos especializados de gestión de cuentas Sirviendo a las empresas del mercado medio con ingresos anuales entre $ 10 millones y $ 500 millones.

Métricas de gestión de cuentas	2023 datos
Tasa de retención de cliente promedio	92%
Relación promedio de administrador de cuenta a cliente	1:50

Servicios personalizados de incorporación e implementación

PayLocity ofrece estrategias de implementación personalizadas con un tiempo de incorporación promedio de 4-6 semanas para nuevos clientes empresariales.

Capacitación de productos regular y seminarios web

El compromiso de capacitación anual incluye:

• Más de 150 sesiones de seminarios web en vivo
• Más de 30,000 participantes de capacitación profesional
• Talleres trimestrales de actualización de productos

Mecanismos de comentarios de los clientes impulsados ​​por la comunidad

Los mecanismos de recopilación de comentarios de los clientes incluyen:

• Puntuación del promotor neto (NPS): 68
• Encuestas trimestrales de satisfacción del cliente
• Foros de la comunidad en línea con más de 25,000 usuarios activos

Canal de retroalimentación	Compromiso anual
Foros de la comunidad en línea	45,000 interacciones
Tickets de atención al cliente	78,000 resueltos

PayLocity Holding Corporation (PCTY) - Modelo de negocio: canales

Equipo de ventas directas

A partir del cuarto trimestre de 2023, PayLocity mantiene una fuerza de ventas directas de aproximadamente 550-600 representantes de ventas dirigidos a empresas del mercado medio. La cuota de ventas anual promedio por representante es de $ 1.2 millones.

Métrica del equipo de ventas	2023 datos
Representantes de ventas totales	575
Cuota de ventas promedio	$1,200,000
Cobertura del equipo de ventas	50 estados

Sitio web en línea y marketing digital

Los canales digitales de PayLocity generan aproximadamente el 40% de las nuevas adquisiciones de clientes. El sitio web de la compañía recibe 250,000 visitantes mensuales únicos con una tasa de conversión del 2.5%.

• Presupuesto de marketing digital: $ 18.5 millones en 2023
• Pay-por-hacer clic en el gasto publicitario: $ 3.2 millones
• Inversión de marketing de contenido: $ 2.7 millones

Referencias de socios estratégicos

Las asociaciones estratégicas aportan el 22% de los ingresos totales. La red clave de socios incluye:

Tipo de socio	Número de socios	Ingreso de referencia
Firmas de contabilidad	1,250	$ 45.6 millones
Organizaciones de empleadores profesionales	87	$ 29.3 millones
Consultores de negocios	2,100	$ 38.2 millones

Plataformas de mercado de software

PayLocity mantiene la presencia en múltiples mercados de software, generando el 15% de las nuevas adquisiciones de clientes.

• Salesforce AppExchange: 4,500 cables potenciales
• Mercado G2: 3.800 clientes potenciales
• Consejo de software: 2.700 cables potenciales

Conferencias de la industria y ferias comerciales

La participación anual de la conferencia y las ferias comerciales genera aproximadamente $ 12.7 millones en una posible tubería de ventas.

Tipo de evento	Número de eventos	Posibles ventas generadas
Conferencias nacionales	12	$ 8.4 millones
Ferias regionales	45	$ 4.3 millones

PayLocity Holding Corporation (PCTY) - Modelo de negocio: segmentos de clientes

Empresas pequeñas a medianas

PayLocity atiende a 31,500 clientes en el segmento comercial pequeño a mediano de tamaño fiscal 2023. El tamaño promedio del cliente oscila entre 50 y 500 empleados.

Característica de segmento	Datos estadísticos
Total de clientes	31,500
Recuento promedio de empleados por cliente	50-500
Ingresos anuales del segmento	$ 582.4 millones

Empresas del mercado medio

PayLocity se dirige a las empresas del mercado medio con 500-2,500 empleados, lo que representa el 22% de su base total de clientes.

• 22% de la cartera total del cliente
• Valor promedio del contrato: $ 24,500 anualmente
• Industrias típicas: fabricación, atención médica, servicios profesionales

Empresas de servicios profesionales

Las empresas de servicios profesionales constituyen el 18% de los segmentos de clientes de Paylocity, con representación concentrada en sectores legal, consultoría y contable.

Tipo de servicio	Porcentaje de segmento
Servicios legales	6.5%
Empresas consultoras	7.2%
Firmas de contabilidad	4.3%

Organizaciones de inicio de rápido crecimiento

PayLocity atiende a aproximadamente el 15% de las organizaciones de inicio, centrándose en los sectores de tecnología y innovación.

• 15% de la base total de clientes
• Rango típico de empleados de inicio: 20-250 empleados
• Valor promedio del contrato anual: $ 18,750

Entornos corporativos de múltiples ubicaciones

PayLocity admite clientes corporativos de ubicación múltiple con complejas necesidades de administración de nómina y recursos humanos.

Complejidad de ubicación	Porcentaje del cliente
2-5 ubicaciones	12%
6-15 ubicaciones	7%
Más de 15 ubicaciones	3%

PayLocity Holding Corporation (PCTY) - Modelo de negocio: Estructura de costos

Inversiones de investigación y desarrollo

Para el año fiscal 2023, PayLocity invirtió $ 69.1 millones en gastos de investigación y desarrollo, lo que representa el 13.8% de los ingresos totales.

Año fiscal	Inversión de I + D	Porcentaje de ingresos
2023	$ 69.1 millones	13.8%
2022	$ 58.3 millones	12.5%

Mantenimiento de la infraestructura en la nube

Infraestructura anual de la nube y costos de alojamiento para la línea de pago estimada en aproximadamente $ 12.5 millones en 2023.

• Amazon Web Services (AWS) Proveedor de nube primaria
• Gasto anual de infraestructura de la nube anual: $ 12.5 millones
• Inversiones de seguridad y cumplimiento de la nube: $ 3.2 millones

Gastos de ventas y marketing

Los gastos de ventas y marketing para el año fiscal 2023 totalizaron $ 137.2 millones, lo que representa el 27.4% de los ingresos totales.

Categoría de gastos	Cantidad	Porcentaje de ingresos
Personal de ventas	$ 82.6 millones	16.5%
Programas de marketing	$ 54.6 millones	10.9%

Operaciones de atención al cliente

Los costos operativos de atención al cliente para 2023 fueron de $ 24.7 millones, lo que representa el 4.9% de los ingresos totales.

• Personal de apoyo personal: 350 empleados
• Salario de representante promedio de soporte: $ 65,000
• Infraestructura de soporte tecnológico: $ 4.3 millones

Licencias de software y actualizaciones de tecnología

Los gastos de licencia y actualización de tecnología total para 2023 alcanzaron $ 18.6 millones.

Categoría de gastos tecnológicos	Cantidad
Licencia de software	$ 8.9 millones
Actualizaciones tecnológicas	$ 9.7 millones

PayLocity Holding Corporation (PCTY) - Modelo de negocio: Fleujos de ingresos

Licencias de software basadas en suscripción

PayLocity genera ingresos a través de licencias de software basadas en la nube para soluciones de gestión de capital humano. Para el año fiscal 2023, la compañía reportó ingresos totales de $ 1.63 mil millones, con un crecimiento año tras año del 20%.

Categoría de ingresos	Cantidad (2023)	Índice de crecimiento
Ingresos por suscripción	$ 1.48 mil millones	22%
Servicios profesionales	$ 150 millones	10%

Modelos de precios mensuales por empleado

PayLocity cobra a los clientes según el número de empleados, con precios que van desde $ 20 a $ 40 por empleado por mes.

• Pequeñas empresas (10-50 empleados): $ 25/empleado/mes
• Empresas de tamaño mediano (51-250 empleados): $ 35/empleado/mes
• Clientes empresariales (más de 250 empleados): precios personalizados

Tarifas de implementación e incorporación

La Compañía cobra tarifas de implementación únicas que van desde $ 2,000 a $ 15,000 dependiendo de la complejidad organizacional.

Cargos de complemento de características avanzadas

Módulos adicionales y características avanzadas generan flujos de ingresos complementarios:

Característica	Costo mensual
Gestión del talento	$ 5- $ 10/empleado
Informes avanzados	$ 500- $ 2,000/mes
Gestión de la fuerza laboral móvil	$ 3- $ 7/empleado

Servicios profesionales e ingresos por consultoría

Professional Services contribuyó con aproximadamente $ 150 millones en 2023, representando servicios de consultoría, capacitación y personalización.

• Servicios de consultoría: $ 100- $ 500 por hora
• Servicios de integración personalizados: $ 5,000- $ 50,000 por proyecto
• Programas de capacitación: $ 2,000- $ 10,000 por compromiso

Paylocity Holding Corporation (PCTY) - Canvas Business Model: Value Propositions

You're looking to understand what makes Paylocity Holding Corporation's offering compelling to its clients as of late 2025. The value proposition centers on deep integration, modern user experience, and data-driven decision-making.

Unified platform for HR, Payroll, and Finance (Paylocity for Finance)

Paylocity Holding Corporation strategically expanded its modern workforce platform into the Office of the CFO with the launch of Paylocity for Finance in August 2025. This move unifies finance and HR teams through a single system grounded in the employee record, aiming to eliminate disconnected systems and manual processes. This integration is supported by the fact that HCM is increasingly viewed as the foundation for Unified Business Operations, according to Forrester's 2025 Human Capital Management Solutions Landscape report. The platform is designed to integrate with major ERP systems, such as NetSuite, QuickBooks, MS Dynamics, and Sage Intacct, to deliver real-time financial data and simplify accounting reconciliation. The integration of Airbase, recognized as a Visionary in the 2025 Gartner Magic Quadrant for Accounts Payable Invoice Automation, underpins the spend management capabilities.

The core value here is managing both payroll and non-payroll spend in one system. Here are the five core modules introduced with Paylocity for Finance:

Module	Key Feature/Benefit
AP Automation	Streamlines invoice processing and vendor payments in over 200 countries with automated workflows.
Expense Management	Delivers a single solution with artificial intelligence-powered, touchless expense reports, now the standard for new clients.
Corporate Cards	Enables issuance of virtual or physical cards with built-in controls and real-time tracking.
Guided Procurement	Centralizes purchase request workflows.
Headcount Planning	Supports strategic workforce planning.

Modern, mobile-first design focused on employee engagement and experience

The platform emphasizes a modern design to drive user adoption and employee experience. You can expect a fully integrated mobile version of the Paylocity for Finance experience to be available in Fall 2025, extending the mobile-first approach across the expanded suite. Managers benefit from a single, centralized task list for all approvals, whether for time off, expenses, or purchases, which helps them stay on top of workflows.

Comprehensive suite: payroll, benefits, talent, time & labor, and spend management

Paylocity Holding Corporation offers a broad suite built around the employee record. The platform spans the core HCM functions plus the new financial tools. This breadth is intended to capture more of the client's total spend on HR and finance technology.

• Payroll
• Benefits Administration
• Talent Management
• Time & Labor Management
• Spend Management (via Paylocity for Finance)

Dedicated support teams and high annual revenue retention (>92% for FY2025)

Client stickiness is a major value driver, supported by dedicated service. The company has achieved annual revenue retention exceeding 92% for three consecutive fiscal years, including FY-25. This high retention signals strong client satisfaction with the software and the accompanying implementation and support services. The company supplements its software with integrated implementation and leading customer service.

Here are some key financial and operational metrics from the end of fiscal 2025:

Metric	FY 2025 Value
Total Revenue	$1.60 bn
Annual Revenue Retention	>92%
Client Count (Approximate)	$\approx$41,650
R&D Expense	$281.7 million
Free Cash Flow Margin	21.5%

Actionable AI-driven workforce insights (e.g., Modern Workforce Index)

The platform embeds AI throughout to deliver intelligent automation and tailored insights. The Modern Workforce Index (MWI) is a proprietary dashboard built on this AI, which benchmarks a company against similar organizations across Paylocity Holding Corporation's client base, which numbered $\approx$41,650 clients at the end of FY25. The MWI provides prescriptive recommendations. For example, research shows that companies with higher MWI scores experience 15-25% lower attrition. The AI Assistant helps streamline getting information, allowing you to analyze trends, plan for changes using position-level data, and optimize financial decisions by seeing spend by department or vendor.

The data science team supporting this is dedicated, with over 20+ data scientists and engineers focused on making sophisticated AI accessible.

Finance: draft 13-week cash view by Friday.

Paylocity Holding Corporation (PCTY) - Canvas Business Model: Customer Relationships

Dedicated support is central to Paylocity Holding Corporation's strategy, aiming to secure high revenue retention. The company reported a revenue retention rate greater than 92% for fiscal year 2025. Each client gets an account management team serving as the main contact for support and service needs, which is intended to provide knowledgeable resources accountable for the overall client experience. As of June 30, 2025, Paylocity Holding Corporation provided its solutions to approximately 41,650 clients, excluding those acquired through acquisitions.

The sales process for new mid-market client acquisition is high-touch, relying on a direct sales force. The company actively grew its sales capacity to support this, with 885 sales representatives in fiscal 2025, marking an 8% increase from 820 in fiscal 2024. Furthermore, benefit brokers accounted for more than 25% of new business, and over 25% of new client revenue derived from referral channels, showing the importance of partner ecosystems. The average revenue per client increased by approximately 8% in fiscal 2025, reaching just over $35,300, up from $32,800 in fiscal 2024, driven by client base expansion and upselling.

Metric	Fiscal 2024 Value	Fiscal 2025 Value	Change/Notes
Revenue Retention Rate	Greater than 92%	Greater than 92%	Consistent performance.
Client Base (Excl. Acquisitions)	~39,000 (as of 6/30/2024)	Approximately 41,650	7% client base growth in FY2025.
Sales Representatives Headcount	820	885	8% increase in sales force.
Average Revenue Per Client (ARPC)	$32,800	Just over $35,300	Approximately 8% increase.
New Client Revenue from Referrals	Not specified	Over 25%	Indicates strong client satisfaction/advocacy.

Employee and manager autonomy is supported through self-service capabilities, which is key for a platform focused on the mid-market. Workers use mobile apps on Google, iOS, and Android platforms for time clock functions, and managers can monitor hours and location data. The platform includes employee self-service features and PTO tracking to improve the overall employee experience. The Fall 2025 mobile launch of Paylocity for Finance is expected to further boost autonomy by bringing finance workflows to mobile users.

Product evolution is continuous, heavily influenced by client needs, especially with the expansion into finance workflows. The launch of Paylocity for Finance unifies HR and finance teams on a single employee record system, creating cross-sell opportunities back into the existing 41,650 client base. The company's total Research and Development (R&D) investment in fiscal 2025 was 14.3% of revenue on a non-GAAP basis. Recent updates include new guides for pay setup and punch imports to smooth integration workflows, and API enhancements for the Assessments and Background Check services.

• Generative AI functionality and a growing number of autonomous agents are being delivered across the platform.
• The company is focused on connecting day-to-day spend management with strategic workforce planning via the new finance module.
• New API endpoints were added to the Assessments API to retrieve assessment orders, filterable by company ID, order ID, candidate ID, or creation date.
• The Background Check API gained a new endpoint to Get Screening Orders for Partner.

Paylocity Holding Corporation (PCTY) - Canvas Business Model: Channels

You're looking at how Paylocity Holding Corporation gets its software solutions into the hands of mid-market companies. The channel strategy is clearly multi-pronged, blending direct effort with partner influence and digital reach.

Direct sales force targeting mid-market companies

The core of the acquisition engine is the direct sales force, which focuses squarely on that $\mathbf{10-5,000}$ employee segment, representing a realized Total Addressable Market (TAM) of $\mathbf{\$22}$ billion for Paylocity Holding Corporation. You saw solid execution here in fiscal year 2025, with the client base growing $\mathbf{7\%}$ to reach approximately $\mathbf{41,650}$ clients as of June 30, 2025. The investment in this channel is significant; Sales & Marketing operating expenses for the full fiscal year 2025 were $\mathbf{21\%}$ of total revenue.

To maintain momentum, Paylocity Holding Corporation staffed up its direct team. Coming into fiscal year 2026, the company expanded its sales force by $\mathbf{8\%}$ to $\mathbf{952}$ sales reps, aiming for durable recurring revenue growth.

Here's a quick look at the direct sales capacity and channel contribution:

Metric	FY 2025 / Entering FY 2026	Value
Total Clients (as of 6/30/2025)	FY 2025 End	41,650
Sales Representatives (Entering FY 2026)	FY 2026 Start	952
Sales & Marketing as % of Revenue (FY 2025)	FY 2025	21%
Average Revenue Per Client (ARPC) (FY 2025)	FY 2025 End	Just over $35,300

Indirect channel via the strong referral network of brokers and CPAs

The indirect channel is a major contributor, showing the value of trusted third-party endorsements. Benefit brokers, specifically, were a powerhouse for Paylocity Holding Corporation in the last fiscal year. Honestly, this is a classic SaaS play-using trusted advisors to shorten the sales cycle.

• Benefit brokers represented more than 25% of new business in fiscal year 2025.
• The overall referral network contributed over 25% of fiscal year 2025 new revenue.

Paylocity Marketplace for third-party application integrations

The Marketplace is where Paylocity Holding Corporation extends its platform functionality without building everything in-house. This ecosystem approach makes the core platform stickier. You see this strategy supporting the platform's expansion into the Office of the CFO with the launch of Paylocity for Finance, which integrates spend management capabilities.

Recent additions to the Marketplace in June 2025 highlight this focus on connecting critical workflows:

• New integrations with QuickBooks Online and NetSuite for direct General Ledger connection.
• The addition of Tracks to simplify scheduling and time tracking processes.
• Integration of American Medical Compliance training materials directly into the Learning Management System module.

Company website and digital marketing for lead generation

While specific digital marketing spend figures aren't broken out separately from the $\mathbf{21\%}$ Sales & Marketing opex, the company's consistent double-digit revenue growth suggests effective top-of-funnel activity driven by its digital presence. The focus is on showcasing a modern platform that resonates against legacy providers like ADP and Paychex, which are noted as key sources of new clients.

Mobile application for employee and manager access on the go

The mobile application is a key component for driving employee engagement and adoption, which directly supports the high Annual Revenue Retention Rate, which has remained above $\mathbf{92\%}$ for fiscal years 2023 through 2025.

• Enables employee self-service features.
• Allows managers to handle approvals and time/labor tasks remotely.
• Supports the overall goal of a unified, modern workforce platform.

If onboarding takes 14+ days, churn risk rises, so the ease of use provided by the mobile app is defintely a factor in maintaining that high retention.

Paylocity Holding Corporation (PCTY) - Canvas Business Model: Customer Segments

You're looking at the core market Paylocity Holding Corporation targets with its unified platform. The focus is squarely on the U.S. mid-market, which is a massive, underserved space hungry for modern software that connects HR and Finance.

The current client base, as of June 30, 2025 (excluding acquisitions), stands at approximately 41,650 U.S. clients. These clients aren't small shops; they average over 150 employees each. This average size places them firmly in the mid-market sweet spot, though their total addressable market (TAM) stretches from businesses with 10 employees up to 5,000 employees. The realized TAM is estimated at about $22.0 billion across roughly 1.3 million U.S. businesses in that 10 to 5,000 employee range. This means Paylocity Holding Corporation has captured about 3% penetration of that specific segment as of fiscal year 2025.

Client retention metrics show the stickiness of this segment. Annual revenue retention exceeded 92% for fiscal years 2023, 2024, and 2025. Furthermore, the quality of the client acquisition strategy is evident: over 25% of the new client Annual Recurring Revenue (ARR) in fiscal year 2025 came from referral channels.

The customer base is diverse, but certain industries show high adoption. Paylocity Holding Corporation is seeing significant usage in sectors like Education, Retail, and Professional Services. Specific counts for payroll-and-benefits usage show Education leading with 273 companies, followed by Marketing with 154, and Manufacturing with 144.

Here's a quick look at the scale and growth within the customer base as of the end of fiscal year 2025:

Metric	Value as of June 30, 2025	Context/Comparison
Total U.S. Clients (Ex-Acq)	41,650	Client base grew by 7% in FY 2025
Average Employees Per Client	Over 150	Targeting the mid-market
Total Addressable Market (Businesses)	Approx. 1.3 million (10-5,000 employees)	Realized TAM estimated at $22.0 billion
FY 2025 Annual Revenue Retention	Over 92%	Indicates strong client stickiness
FY 2025 New Client ARR from Referrals	Over 25%	Validation of partner ecosystem effectiveness

A key evolution in the customer segment strategy involves expanding beyond core Human Capital Management (HCM) and payroll to capture the Office of the CFO. The launch of Paylocity for Finance directly targets this group. This move aims to unify HR and Finance data through a single system of record, which is critical for companies looking to streamline spend management functions like AP automation and corporate cards. This expansion broadens the value proposition for existing clients and opens a new, high-value segment within the existing mid-market structure.

The ideal customer profile prioritizes modern, integrated software experiences. You see this reflected in the product strategy, which emphasizes an intuitive, easy-to-use suite. Companies are looking to move away from legacy systems that require significant manual effort for tasks like time and labor management, talent acquisition, and benefits administration. The platform's ability to connect these critical workflows is what drives adoption across teams, which is essential for maintaining that high revenue retention rate. If onboarding takes 14+ days, churn risk rises, so user-friendliness is a defintely key selling point.

The customer segments are characterized by:

• Mid-market focus, with current clients averaging over 150 employees.
• A total addressable market of approximately 1.3 million businesses in the U.S.
• A growing subset demanding integrated spend management capabilities.
• High concentration in industries such as Education, Retail, and Professional Services.
• A strong reliance on existing client satisfaction, evidenced by over 25% of new ARR from referrals in FY 2025.

Finance: draft 13-week cash view by Friday.

Paylocity Holding Corporation (PCTY) - Canvas Business Model: Cost Structure

You're looking at the expenses that fuel Paylocity Holding Corporation's growth engine as they scale their cloud-based HCM and payroll platform. For a Software-as-a-Service (SaaS) company like Paylocity Holding Corporation, the cost structure is heavily weighted toward product development and client acquisition, which is typical for a high-growth technology provider.

High R&D costs for continuous platform innovation are central to maintaining their competitive edge. Paylocity Holding Corporation invests heavily to roll out new modules and features, like the recent expansion into the Office of the CFO with Paylocity for Finance. For the full fiscal year 2025, the combined Non-GAAP Total Research and Development investment, which includes both expensed and capitalized amounts, represented 14.3% of total revenue. Based on the FY2025 total revenue of $1,595.2 million, this equates to approximately $228.11 million in combined R&D investment for the year.

Sales and marketing expenses to drive client acquisition and upsell form another significant cost pillar. This covers the direct sales force, commissions, and marketing efforts aimed at expanding their client base, which stood at approximately 41,650 clients across the U.S. as of June 30, 2025 (excluding acquisitions). For the full fiscal year 2025, Non-GAAP Sales and Marketing expenses consumed 21% of total revenue, amounting to about $334.99 million.

Personnel costs for the ~6,700 employees and dedicated support teams are embedded across all functions, but particularly in Sales & Marketing and Implementation/Client Services. As of June 30, 2025, Paylocity Holding Corporation employed 6,700 people. Personnel-related expenses, including wages, stock-based compensation, and benefits, are the primary driver within the operating expense categories.

The following table summarizes the major operating expense components as a percentage of FY2025 Total Revenue, which was $1,595.2 million.

Expense Category (Non-GAAP Basis)	FY2025 Margin (% of Total Revenue)	Approximate FY2025 Dollar Amount (in millions)
Sales and Marketing Expenses	21.0%	$334.99
Total Research & Development Investment (Combined)	14.3%	$228.11
General and Administrative Expenses	9.3%	$148.35

Technology infrastructure and cloud hosting costs (SaaS delivery) are primarily captured within the Cost of Revenues, which supports the delivery of their Software-as-a-Service platform. While the specific dollar amount for cloud hosting isn't broken out separately in the margin reporting, the company expects to realize cost efficiencies over the long term as they scale their client base. The focus on a unified, cloud-based platform means these costs are ongoing and scale with usage.

General and administrative expenses, including compliance and legal, cover corporate overhead, finance, HR, and compliance functions necessary to support a public, regulated entity. For the full fiscal year 2025, Non-GAAP G&A costs were 9.3% of total revenue, which translates to roughly $148.35 million. The company has shown a focus on driving leverage in this area; for instance, in Q1 2026, they achieved 70 basis points of leverage in G&A costs year-over-year.

Key cost drivers related to operations and support include:

• Employee-related expenses for direct sales and marketing staff.
• Costs for implementation and client services personnel.
• Computing costs associated with SaaS delivery.
• Amortization of capitalized implementation costs over 7 years.
• Marketing expenses to drive client acquisition.

Paylocity Holding Corporation (PCTY) - Canvas Business Model: Revenue Streams

You're looking at the core ways Paylocity Holding Corporation brings in cash as of late 2025. It's heavily weighted toward the sticky, predictable subscription base, but the interest rate environment has made the float income a much more significant component than in prior years.

The revenue structure is clearly segmented, though the non-subscription portion is aggregated in the public filings.

Revenue Stream Component	FY2025 Financial Amount (USD)
Recurring & Other Revenue from subscription fees	$1,471.8 million
Total Revenue (for context)	$1,595.2 million
Combined Float, Transactional, and Professional Services Revenue (Total Revenue - Recurring & Other Revenue)	$123.4 million

The subscription revenue is the bedrock of Paylocity Holding Corporation's financial stability. This recurring stream grew by 15% year-over-year in FY2025.

The float income stream is clearly a major driver of the non-subscription revenue, supported by the significant cash balances Paylocity Holding Corporation manages on behalf of its clients. The average daily balance of client funds for fiscal year 2025 sat at $3.0 billion.

The remaining revenue components are:

• Interest income generated from funds held for clients (float income)
• Fees for processing payroll, tax filings, and other transactional services
• Cross-sell revenue from new modules like Paylocity for Finance (Airbase integration)
• Professional services revenue (implementation and training fees)

The launch of Paylocity for Finance in FY2025 signals a clear strategic push to increase the revenue captured from the transactional and cross-sell categories by expanding into the Office of the CFO.