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Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2015	Nov. 04, 2015
Document - Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q3
Trading Symbol	lpsn
Entity Registrant Name	LIVEPERSON INC
Entity Central Index Key	0001102993
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		57,308,589

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
CURRENT ASSETS:
Cash and cash equivalents	$ 40,844	$ 49,372
Cash held as collateral	5,400	0
Accounts receivable, net of allowance for doubtful accounts of $1,998 and $1,275 as of September 30, 2015 and December 31, 2014, respectively	32,443	31,382
Prepaid expenses and other current assets	11,333	10,374
Deferred tax assets, net	2,675	2,575
Total current assets	92,695	93,703
Property and equipment, net	22,305	19,583
Intangibles, net	26,809	32,620
Goodwill	80,387	80,848
Deferred tax assets, net	12,824	10,762
Other assets	2,216	2,301
Total assets	237,236	239,817
CURRENT LIABILITIES:
Accounts payable	6,769	8,985
Accrued expenses and other current liabilities	36,902	37,772
Deferred revenue	10,296	11,992
Total current liabilities	53,967	58,749
Other liabilities	589	731
Total liabilities	54,556	59,480
Commitments and contingencies (See Note 10)
STOCKHOLDERS’ EQUITY (See Note 11):
Common stock	57	57
Additional paid-in capital	283,179	274,046
Treasury stock	(1)	(1)
Accumulated deficit	(98,114)	(92,627)
Accumulated other comprehensive loss	(2,441)	(1,138)
Total stockholders’ equity	182,680	180,337
Total liabilities and stockholders’ equity	$ 237,236	$ 239,817

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 1,998	$ 1,275

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenue	$ 60,757	$ 52,787	$ 179,861	$ 151,702
Costs and expenses (1) (2)
Cost of revenue (3)	16,937	13,304	51,078	38,200
Sales and marketing	23,286	20,978	71,962	59,449
General and administrative	7,875	8,787	28,511	28,074
Product development	9,567	9,712	29,476	27,999
Restructuring costs	0	0	2,988	0
Amortization of purchased intangibles	1,193	407	3,683	803
Total costs and expenses	58,858	53,188	187,698	154,525
Income (loss) from operations	1,899	(401)	(7,837)	(2,823)
Other (expense) income	(369)	223	(371)	184
Income (loss) before (benefit from) provision for income taxes	1,530	(178)	(8,208)	(2,639)
(Benefit from) provision for income taxes	(395)	962	(2,721)	507
Net income (loss)	$ 1,925	$ (1,140)	$ (5,487)	$ (3,146)
Basic net (loss) income per common share (in dollars per share)	$ 0.03	$ (0.02)	$ (0.10)	$ (0.06)
Diluted net (loss) income per common share (in dollars per share)	$ 0.03	$ (0.02)	$ (0.10)	$ (0.06)
Weighted average shares outstanding used in basic net (loss) income per common share calculation (in shares)	56,525,647	53,868,124	56,437,198	54,238,536
Weighted average shares outstanding used in diluted net (loss) income per common share calculation (in shares)	57,084,437	53,868,124	56,437,198	54,238,536
Stock compensation expense	$ 2,886	$ 3,654	$ 8,793	$ 9,558
Cost of revenue [Member]
Costs and expenses (1) (2)
Amortization of purchased intangibles	760	921	2,439	2,658
Stock compensation expense	288	365	1,092	1,209
Depreciation expense	2,266	1,732	6,491	4,776
Sales and marketing expense [Member]
Costs and expenses (1) (2)
Stock compensation expense	760	1,030	2,292	2,766
Depreciation expense	254	195	819	603
General and administrative expense [Member]
Costs and expenses (1) (2)
Stock compensation expense	911	1,088	2,590	2,800
Depreciation expense	190	237	663	651
Product development expense [Member]
Costs and expenses (1) (2)
Stock compensation expense	927	1,171	2,819	2,783
Depreciation expense	$ 229	$ 180	$ 626	$ 529

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 1,925	$ (1,140)	$ (5,487)	$ (3,146)
Foreign currency translation adjustment	(2,374)	(387)	(1,303)	51
Comprehensive loss	$ (449)	$ (1,527)	$ (6,790)	$ (3,095)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
OPERATING ACTIVITIES:
Net income (loss)	$ (5,487)	$ (3,146)
Adjustments to reconcile net loss to net cash provided by operating activities:
Stock-based compensation expense	8,793	9,558
Depreciation	8,599	6,559
Amortization of purchased intangibles	6,122	3,461
Deferred income taxes and other non-cash tax items	(4,103)	(1,067)
Change in fair value contingent consideration	3,792	0
Provision for doubtful accounts, net	1,688	1,096
Changes in operating assets and liabilities:
Accounts receivable	(2,750)	(4,337)
Prepaid expenses and other current assets	(1,278)	(4,390)
Other assets	85	538
Accounts payable	(2,494)	(2,248)
Accrued expenses and other current liabilities	(2,705)	4,373
Deferred revenue	(1,697)	5,003
Other liabilities	2,300	(469)
Net cash provided by operating activities	10,865	14,931
INVESTING ACTIVITIES:
Purchases of property and equipment, including capitalized software	(11,047)	(6,644)
Increase (Decrease) in Restricted Cash	(5,400)	0
Investment in technology licenses	0	(3,451)
Payments for acquisitions and intangible assets, net of cash acquired	(150)	(2,452)
Net cash used in investing activities	(16,597)	(12,547)
FINANCING ACTIVITIES:
Excess tax benefit from the exercise of employee stock options	796	0
Proceeds from issuance of common stock in connection with the exercise of options	3,758	6,109
Acquisition related payments	(2,366)	(500)
Repurchase of common stock	(4,202)	(12,980)
Net cash used in financing activities	(2,014)	(7,371)
EFFECT OF FOREIGN EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	(782)	192
CHANGE IN CASH AND CASH EQUIVALENTS	(8,528)	(4,795)
CASH AND CASH EQUIVALENTS - Beginning of the period	49,372	91,906
CASH AND CASH EQUIVALENTS - End of the period	40,844	87,111
SUPPLEMENTAL DISCLOSURE OF OTHER CASH FLOW INFORMATION:
Cash paid for income taxes	1,497	2,182
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Purchase of property and equipment recorded in accounts payable	277	1,840
Contingent earn-out in connection with acquisitions recorded in accrued expenses	0	1,810
Acquisition costs recorded in accrued expenses	$ 0	$ 125

Description of Business and Basis of Presentation	9 Months Ended
Description of Business and Basis of Presentation	Sep. 30, 2015
Accounting Policies [Abstract]
Description of Business and Basis of Presentation	Description of Business and Basis of Presentation LivePerson, Inc. (the “Company” or “LivePerson”) was incorporated in the State of Delaware in November 1995 and the LivePerson service was introduced in November 1998. In April 2000, the Company completed an initial public offering and is currently traded on the Nasdaq Global Select Market and the Tel Aviv Stock Exchange. LivePerson is headquartered in New York City with offices in Amsterdam, Atlanta, Berlin, London, Mannheim, Melbourne, Milan, Ra’anana, Reading (UK), San Francisco and Tokyo. LivePerson provides online engagement solutions offering a cloud-based platform which enables businesses to proactively connect with consumers through chat, voice and content delivery, across multiple channels and screens, including websites, social media, tablets and mobile devices. The Company’s engagements are driven by insights derived from a broad set of consumer and business data, including historical, behavioral, operational, and third party data. Each engagement is based on proprietary analytics and a real-time understanding of consumer needs and business objectives. The Company’s products, coupled with its domain knowledge and industry expertise, have been proven to maximize the effectiveness of the online channel — by increasing sales, as well as consumer satisfaction and loyalty ratings for its customers, while also enabling its customers to reduce consumer service costs. LivePerson monitors and analyzes valuable online consumer behavioral data on behalf of its customers. Spanning the breadth of an online visitor session, starting from an initial keyword search through actions on their customer’s website, and even into a shopping cart and an executed sale, this data enables the Company to develop unique insights into consumer behavior during specific transactions within a customer’s user base. The Company’s primary revenue source is from the sale of LivePerson services to businesses of all sizes. The Company also offers an online marketplace that connects independent service providers (“Experts”) who provide information and knowledge for a fee via real-time chat with individual consumers (“Users”). Basis of Presentation The accompanying condensed consolidated financial statements as of September 30, 2015 and for the three and nine months ended September 30, 2015 and 2014 are unaudited. In the opinion of management, the unaudited condensed consolidated financial statements have been prepared on the same basis as the annual financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the consolidated financial position of LivePerson as of September 30, 2015, and the consolidated results of operations, comprehensive loss and cash flows for the interim periods ended September 30, 2015 and 2014. The financial data and other information disclosed in these notes to the condensed consolidated financial statements related to these periods are unaudited. The results of operations for any interim period are not necessarily indicative of the results of operations for any other future interim period or for a full fiscal year. The condensed consolidated balance sheet at December 31, 2014 has been derived from audited consolidated financial statements at that date. Certain information and note disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the year ended December 31, 2014, included in the Company’s Annual Report on Form 10-K filed with the SEC on March 12, 2015. Principles of Consolidation The condensed consolidated financial statements include the Company and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated. Reclassification For comparability, certain 2014 amounts have been reclassified where appropriate, to conform to the financial presentation in 2015. Use of Estimates The preparation of the Company’s condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of income and expenses during the reporting period. These estimates are based on information available as of the date of the condensed consolidated financial statements; therefore, actual results could differ from management’s estimates. Recently Issued Accounting Standards On September 2015, the FASB issued Accounting Standards Update No. 2015-16, “Business Combinations: Simplifying the Accounting for Measurement-Period Adjustments” (“ASU 2015-16”). ASU 2015-16 requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments in ASU 2015-16 require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. ASU 2015-16 is effective for annual reporting periods beginning after December 15, 2015. The Company is currently in the process of evaluating the impact of adoption of ASU 2015-16 on its financial statements. On February 18, 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-02, Consolidation: Amendments to the Consolidation Analysis (“ASU 2015-02”), which affects reporting entities that are required to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under the revised consolidation model. The standard amends the consolidation requirements in ASC 810. ASU 2015-02 is effective for fiscal periods beginning after December 15, 2015 for public companies, and early adoption is permitted. The Company does not expect to early adopt ASU 2015-02, which will be effective for its fiscal year ending December 31, 2016. The Company does not believe the standard will have a material impact on its consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), which supersedes most existing revenue recognition guidance under GAAP. The core principle of ASU 2014-09 is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration to which an entity expects to be entitled for those goods or services. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, more judgment and estimates may be required within the revenue recognition process than are required under existing GAAP. The standard is effective for annual periods beginning after December 15, 2017, and interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients, or (ii) a retrospective approach with the cumulative effect of initially adopting ASU 2014-09 recognized at the date of adoption (which includes additional footnote disclosures).

Revenue Recognition	9 Months Ended
Revenue Recognition	Sep. 30, 2015
Revenue Recognition [Abstract]
Revenue Recognition	Revenue Recognition The majority of the Company’s revenue is generated from monthly service revenues and related professional services from the sale of the LivePerson services. Because the Company provides its application as a service, the Company follows the provisions of FASB Accounting Standards Codification (“ASC”) 605-10-S99, “Revenue Recognition” and ASC 605-25, “Revenue Recognition with Multiple-Element Arrangements.” The Company charges a monthly fee, which varies by type of service, the level of customer usage and website traffic, and in some cases, the number of orders placed via the Company’s online engagement solutions. For certain of the Company’s larger customers, the Company may provide call center labor through an arrangement with one or more of several qualified vendors. For most of these customers, the Company passes the fee it incurs with the labor provider and its fee for the hosted services through to its customers in the form of a fixed fee for each order placed via the Company’s online engagement solutions. For these Pay for Performance (“PFP”) arrangements, in accordance with ASC 605-45, “Principal Agent Considerations,” the Company records revenue for transactions in which it acts as an agent on a net basis, and revenue for transactions in which it acts as a principal on a gross basis. The Company also sells certain of the LivePerson services directly via Internet download. These services are marketed as LiveEngage for small to medium-sized businesses, and are paid for almost exclusively by credit card. Credit card payments accelerate cash flow and reduce the Company’s collection risk, subject to the merchant bank’s right to hold back cash pending settlement of the transactions. Sales of LiveEngage may occur with or without the assistance of an online sales representative, rather than through face-to-face or telephone contact that is typically required for traditional direct sales. The Company recognizes monthly service revenue based upon the fee charged for the LivePerson services, provided that there is persuasive evidence of an arrangement, no significant Company obligations remain, collection of the resulting receivable is probable and the amount of fees to be paid is fixed or determinable. The Company’s service agreements typically have twelve month terms and, in some cases, are terminable or may terminate upon 30 to 90 days’ notice without penalty. When professional service fees add value to the customer on a standalone basis, the Company recognizes professional service fees upon completion and customer acceptance. The Company establishes a selling price hierarchy for determining the selling price of a deliverable, which is based on: (a) vendor-specific objective evidence; (b) third-party evidence; or (c) best estimated selling price. If a professional services arrangement does not qualify for separate accounting, the Company recognizes the fees, and the related labor costs, ratably over the contracted period. For revenue from the Company’s Consumer segment generated from online transactions between Experts and Users, the Company recognizes revenue net of the Expert fees in accordance with ASC 605-45, “Principal Agent Considerations,” due primarily to the fact that the Expert is the primary obligor. Additionally, the Company performs as an agent without any risk of loss for collection, and is not involved in selecting the Expert or establishing the Expert’s fee. The Company collects a fee from the User and retains a portion of the fee, and then remits the balance to the Expert. Revenue from these transactions is recognized when there is persuasive evidence of an arrangement, no significant Company obligations remain, collection of the resulting receivable is probable and the amount of fees to be paid is fixed and determinable.

Net Loss Per Share

9 Months Ended

Sep. 30, 2015

Earnings Per Share [Abstract]

Net Loss Per Share

Net Income (Loss) Per Share

The Company calculates earnings per share (“EPS”) in accordance with the provisions of ASC 260-10 and the guidance of SEC Staff Accounting Bulletin (“SAB”) No. 98. Under ASC 260-10, basic EPS excludes dilution for common stock equivalents and is computed by dividing net income or loss attributable to common shareholders by the weighted average number of common shares outstanding for the period. All options, warrants or other potentially dilutive instruments issued for nominal consideration are required to be included in the calculation of basic and diluted net income attributable to common stockholders. Diluted EPS is calculated using the treasury stock method and reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock and resulted in the issuance of common stock.

Diluted net income per common share for the three months ended September 30, 2015 includes the effect of options to purchase 1,429,142 shares of common stock with a weighted average exercise price of $9.02. Diluted net income per common share for the three months ended September 30, 2015 does not include the effect of options to purchase 8,140,127 shares of common stock, as the effect of their inclusion is anti-dilutive. Diluted net loss per common share for the nine months ended September 30, 2015 does not include the effect of options to purchase 9,569,269 shares of common stock, as the effect of their inclusion is anti-dilutive. Diluted net loss per common share for the three and nine months ended September 30, 2014 does not include the effect of options to purchase 11,127,640 shares of common stock, as the effect of their inclusion is anti-dilutive.

A reconciliation of shares used in calculating basic and diluted net loss per share follows:



	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2015	2014	2015	2014
Basic	56,525,647	53,868,124	56,437,198	54,238,536
Effect of assumed exercised options	558,790	—	—	—
Diluted	57,084,437	53,868,124	56,437,198	54,238,536

Segment Information

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

Segment Information

The Company accounts for its segment information in accordance with the provisions of ASC 280-10, “Segment Reporting.” ASC 280-10 establishes annual and interim reporting standards for operating segments of a company. ASC 280-10 requires disclosures of selected segment-related financial information about products, major customers, and geographic areas based on the company’s internal accounting methods. The Company is organized into two operating segments for purposes of making operating decisions and assessing performance. The Business segment facilitates real-time online interactions – chat, voice and content delivery across multiple channels and screens for global corporations of all sizes. The Consumer segment facilitates online transactions between Experts and Users and sells its services to consumers. Both segments currently generate their revenue primarily in the United States. The chief operating decision maker, who is the chief executive officer, evaluates performance, makes operating decisions, and allocates resources based on the operating income of each segment. The reporting segments follow the same accounting polices used in the preparation of the Company’s condensed consolidated financial statements which are described in the summary of significant accounting policies. The Company allocates cost of revenue, sales and marketing and amortization of purchased intangibles to the segments, but it does not allocate product development expenses, general and administrative expenses, restructuring costs and income tax expense because management does not use this information to measure performance of the operating segments. There are currently no inter-segment sales.

Summarized financial information by segment for the three months ended September 30, 2015, based on the Company’s internal financial reporting system utilized by the Company’s chief operating decision maker, follows (amounts in thousands):



	Business		Consumer		Corporate			Consolidated
Revenue:
Hosted services – Business	$	50,957	$	—	$	—		$	50,957
Hosted services – Consumer	—		3,661		—			3,661
Professional services	6,139		—		—			6,139
Total revenue	57,096		3,661		—			60,757
Cost of revenue	16,364		573		—			16,937
Sales and marketing	21,333		1,953		—			23,286
Amortization of purchased intangibles	1,193		—		—			1,193
Unallocated corporate expenses	—		—		17,442			17,442
Operating income (loss)	$	18,206	$	1,135	$	(17,442	)	$	1,899

Summarized financial information by segment for the three months ended September 30, 2014, based on the Company’s internal financial reporting system utilized by the Company’s chief operating decision maker, follows (amounts in thousands):



	Business		Consumer		Corporate			Consolidated
Revenue:
Hosted services – Business	$	43,702	$	—	$	—		$	43,702
Hosted services – Consumer	—		3,992		—			3,992
Professional services	5,093		—		—			5,093
Total revenue	48,795		3,992		—			52,787
Cost of revenue	12,679		625		—			13,304
Sales and marketing	19,488		1,490		—			20,978
Amortization of purchased intangibles	407		—		—			407
Unallocated corporate expenses	—		—		18,499			18,499
Operating income (loss)	$	16,221	$	1,877	$	(18,499	)	$	(401	)

Summarized financial information by segment for the nine months ended September 30, 2015, based on the Company’s internal financial reporting system utilized by the Company’s chief operating decision maker, follows (amounts in thousands):



	Business		Consumer		Corporate			Consolidated
Revenue:
Hosted services – Business	$	151,767	$	—	$	—		$	151,767
Hosted services – Consumer	—		11,219		—			11,219
Professional services	16,875		—		—			16,875
Total revenue	168,642		11,219		—			179,861
Cost of revenue	49,299		1,779		—			51,078
Sales and marketing	66,865		5,097		—			71,962
Amortization of purchased intangibles	3,683		—		—			3,683
Unallocated corporate expenses	—		—		60,975			60,975
Operating income (loss)	$	48,795	$	4,343	$	(60,975	)	$	(7,837	)

Summarized financial information by segment for the nine months ended September 30, 2014, based on the Company’s internal financial reporting system utilized by the Company’s chief operating decision maker, follows (amounts in thousands):



	Business		Consumer		Corporate			Consolidated
Revenue:
Hosted services – Business	$	125,378	$	—	$	—		$	125,378
Hosted services – Consumer	—		12,441		—			12,441
Professional services	13,883		—		—			13,883
Total revenue	139,261		12,441		—			151,702
Cost of revenue	36,306		1,894		—			38,200
Sales and marketing	55,203		4,246		—			59,449
Amortization of purchased intangibles	803		—		—			803
Unallocated corporate expenses	—		—		56,073			56,073
Operating income (loss)	$	46,949	$	6,301	$	(56,073	)	$	(2,823	)

Geographic Information

The Company is domiciled in the United States and has international operations in the United Kingdom, Asia-Pacific, Latin America and Western Europe, particularly France and Germany. The following table presents the Company’s revenues attributable to domestic and foreign operations for the periods presented (amounts in thousands):



	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
United States	$	39,972	$	34,409	$	120,409	$	99,273
Other Americas ⁽¹⁾	3,589		2,936		9,437		7,259
Total Americas	43,561		37,345		129,846		106,532
EMEA ⁽²⁾	13,237		11,049		38,443		32,618
APAC ⁽³⁾	3,959		4,393		11,572		12,552
Total revenue	$	60,757	$	52,787	$	179,861	$	151,702

⁽¹⁾ Canada, Latin America and South America

⁽²⁾ Europe, the Middle East and Africa (“EMEA”)

⁽³⁾ Asia-Pacific (“APAC”)

The following table presents the Company’s long-lived assets by geographic region for the periods presented (amounts in thousands):



	September 30,		December 31,
	2015		2014
United States	$	107,982	$	109,006
Israel	17,122		18,982
Australia	7,539		8,500
Netherlands	9,159		7,686
Other ⁽¹⁾	2,739		1,940
Total long-lived assets	$	144,541	$	146,114

⁽¹⁾ United Kingdom, Germany, Japan and Italy

No individual customer accounted for 10% or more of consolidated revenue for any of the periods presented. No individual customer accounted for 10% or more of accounts receivable as of September 30, 2015. One customer accounted for approximately 22% of accounts receivable as of December 31, 2014.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 33
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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+ Details

Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Goodwill

The changes in the carrying amount of goodwill for the nine months ended September 30, 2015 are as follows (amounts in thousands):



	Business			Consumer		Consolidated
Balance as of December 31, 2014	$	72,824		$	8,024	$	80,848
Adjustments to goodwill:
Foreign exchange adjustment	(461		)	—		(461		)
Balance as of September 30, 2015	$	72,363		$	8,024	$	80,387

Intangible Assets

Intangible assets are summarized as follows (see Note 8) (amounts in thousands):



	As of September 30, 2015
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Weighted Average Amortization Period
Amortizing intangible assets:
Technology	$	28,005	$	(14,486	)	$	13,519	5.3 years
Customer relationships	16,008		(6,093		)	9,915		7.9 years
Trade names	1,287		(1,202		)	85		2.8 years
Non-compete agreements	1,446		(879		)	567		2.3 years
Patents	3,440		(758		)	2,682		9.7 years
Other	312		(271		)	41		3.0 years
Total	$	50,498	$	(23,689	)	$	26,809



	As of December 31, 2014
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Weighted Average Amortization Period
Amortizing intangible assets:
Technology	$	27,844	$	(11,303	)	$	16,541	5.3 years
Customer relationships	16,008		(4,055		)	11,953		7.9 years
Trade names	1,287		(817		)	470		2.8 years
Non-compete agreements	1,446		(625		)	821		2.3 years
Patents	3,290		(500		)	2,790		9.9 years
Other	312		(267		)	45		3.0 years
Total	$	50,187	$	(17,567	)	$	32,620

Amortization expense is calculated over the estimated useful life of the asset. Aggregate amortization expense for intangible assets was $2.0 million and $1.3 million for the three months ended September 30, 2015 and 2014, respectively. Aggregate amortization expense for intangible assets was $6.1 million and $3.5 million for the nine months ended September 30, 2015 and 2014, respectively. For the three and nine months ended September 30, 2015 and 2014, respectively, a portion of this amortization is included in cost of revenue. Estimated amortization expense for the next five years is as follows (amounts in thousands):



	Estimated Amortization Expense
2015	$	1,846
2016	6,774
2017	4,956
2018	2,837
2019	2,830
Thereafter	7,566
Total	$	26,809

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

Property and Equipment

9 Months Ended

Sep. 30, 2015

Property, Plant and Equipment [Abstract]

Property and Equipment

The following table presents the detail of property and equipment for the periods presented (amounts in thousands):



	September 30, 2015			December 31, 2014
Computer equipment and software	$	65,665		$	55,293
Furniture, equipment and building improvements	10,388			9,439
	76,053			64,732
Less: accumulated depreciation	(53,748		)	(45,149		)
Total	$	22,305		$	19,583

Accrued Liabilities

9 Months Ended

Sep. 30, 2015

Payables and Accruals [Abstract]

Accrued Liabilities

Accrued Expenses and Other Current Liabilities

The following table presents the detail of accrued expenses and other current liabilities for the periods presented (amounts in thousands):



	September 30, 2015		December 31, 2014
Payroll and other employee related costs	$	15,282	$	15,373
Professional services and consulting and other vendor fees	14,587		9,258
Sales commissions	3,792		3,268
Contingent earnout (see Notes 8 and 9)	782		6,940
Other	2,459		2,933
Total	$	36,902	$	37,772

Acquisitions

9 Months Ended

Sep. 30, 2015

Business Combinations [Abstract]

Acquisitions

Engage Pty Ltd.

On November 9, 2012, the Company acquired all of the outstanding shares of Engage Pty Ltd. (“Engage”), an Australian provider of cloud-based customer contact solutions. The transaction was accounted for under the purchase method of accounting and, accordingly, the operating results of Engage were included in the Company’s consolidated results of operations from the date of acquisition.

The purchase price was approximately $10.6 million. The total acquisition costs incurred in the year ended December 31, 2012 were approximately $0.5 million and are included in general and administrative expenses in the Company’s condensed consolidated statements of operations for the same period. The acquisition enhances the Company’s ability to offer intelligent engagement solutions to businesses in the Asia Pacific region. Of the total purchase price, $0.8 million was allocated to the net book values of the acquired assets and assumed liabilities. The historical carrying amounts of such assets and liabilities approximated their fair values. All receivables acquired are expected to be collectible. The purchase price in excess of the fair value of the net book values of the assets acquired and liabilities assumed was allocated to intangible assets based on management’s best estimate of fair values, taking into account all relevant information available at the time of acquisition, and the excess was allocated to goodwill. The goodwill is not deductible for tax purposes. The intangible assets are being amortized over their expected period of benefit. The purchase price includes approximately $1.7 million of potential earn-out consideration for the shareholders if certain revenue targets are achieved. The earn-out is payable in shares of LivePerson common stock and cash. The Company recorded the contingent earn-out as part of the purchase price. In accordance with ASC 480, the Company has classified this amount as a liability with the amount included in accrued expenses. At June 30, 2015, the Company assessed this earn-out and recorded a $0.7 million fair value re-measurement adjustment, which was recorded in operating income as a decrease to general and administrative expenses and costs of revenue. As of September 30, 2015, there was no remaining liability included in accrued expenses relating to this earn-out.

NexGraph, LLC

On March 11, 2014, the Company acquired all the outstanding shares of NexGraph, LLC (“NexGraph”), a company focused on analytic solutions, in exchange for aggregate cash consideration of $0.5 million. Of the purchase price, $0.1 million was allocated to Intangibles, net, of which was fully amortized as of September 30, 2015; and $0.4 million of the purchase price was allocated to Goodwill.

Synchronite, LLC

On June 2, 2014, the Company acquired Synchronite, LLC (“Synchronite”), a German-based start-up that provides co-browsing technology. The transaction was accounted for under the purchase method of accounting and, accordingly, the operating results of Synchronite were included in the Company’s consolidated results of operations from the date of acquisition.

The allocation of the total purchase price of approximately $4.1 million was based upon the estimated fair value of Synchronite’s net tangible and identifiable intangible assets as of the date of acquisition. The total acquisition costs incurred were approximately $0.4 million and are included in general and administrative expenses in the Company’s condensed consolidated statements of operations. Of the total purchase price, $45,000 was allocated to the net book values of the acquired assets and assumed liabilities. The historical carrying amounts of such assets and liabilities approximated their fair values. All receivables acquired are expected to be collectible. The purchase price includes approximately $2.7 million of goodwill and approximately $1.5 million of intangible assets. The goodwill is deductible for tax purposes. The intangible assets are being amortized over their expected period of benefit. The purchase price includes $1.8 million of potential earn-out consideration for the shareholders if complete product integration is achieved. The earn-out is payable in shares of LivePerson common stock and cash. The Company recorded the contingent earn-out as part of the purchase price. In accordance with ASC 480, the Company has classified this amount as a liability and the amount is included in accrued expenses in the September 30, 2015 condensed consolidated balance sheet, due to the variable number of shares that will be issued if and when the targets are achieved. The Company has assessed the earn-out calculation at September 30, 2015 and recorded a $0.1 million fair value re-measurement adjustment, which was recorded in operating income as a increase to general and administrative expenses and costs of revenue. The Company will continue to assess the earn-out calculation in future periods and any future adjustments will affect operating income.

The components of the intangible assets are as follows (amounts in thousands):



	Weighted Average Useful Life (Months)	Amount
Technology	120	$	1,082
Trade-name	48	62
Customer relationships	84	247
Non-compete agreements	36	60
		$	1,451

Contact At Once!, LLC

On November 7, 2014, the Company acquired Contact At Once!, LLC (“CAO!”), a software company with a cloud-based platform that instantly connects consumers with businesses through instant messaging, text messaging, chat, social media and video over the internet for consumer-to-business sales conversions. The transaction was accounted for under the purchase method of accounting and, accordingly, the operating results of CAO! were included in the Company’s consolidated results of operations from the date of acquisition.

The allocation of the total purchase price of approximately $67.0 million, which includes approximately $42.8 million in cash, approximately $20.0 million in shares of common stock and approximately $4.2 million of potential earn-out consideration in cash, was based upon the estimated fair value of CAO!’s net tangible and identifiable intangible assets as of the date of acquisition. The historical carrying amounts of such assets and liabilities approximated their fair values. All receivables acquired are expected to be collectible. The purchase price includes approximately $45.1 million of goodwill and approximately $20.4 million of intangible assets. The goodwill will be deductible for tax purposes. The intangible assets are being amortized over their expected period of benefit. The purchase price includes $4.2 million of potential earn-out consideration for the shareholders if certain targeted financial, strategic and integration objectives is achieved. The earn-out is payable in cash. The Company recorded the contingent earn-out as part of the purchase price. In accordance with ASC 480, the Company has classified this amount as a liability and is included in accrued expenses in the December 31, 2014 consolidated balance sheet. At September 30, 2015, the Company assessed this earn-out and recorded a $3.2 million fair value re-measurement adjustment, which was recorded in operating income as a decrease to general and administrative expenses of approximately $1.9 million and costs of revenue of approximately $1.3 million. As of September 30, 2015, there is a remaining liability of $0.7 million included in accrued expenses relating to this contingent earn-out.

Management’s allocation of the purchase price in connection with the CAO! acquisition is as follows (amounts in thousands):



Cash	$	480
Accounts receivable	2,694
Other currents assets	289
Property and equipment	231
Other assets	43
Intangible assets	20,400
Goodwill	45,064
	69,201
Liabilities assumed	(2,203		)
Total purchase price consideration	$	66,998

The components of the intangible assets are as follows (amounts in thousands):



	Weighted Average Useful Life (Months)	Amount
Technology	96	$	8,400
Trade-name	12	500
Customer relationships	120	10,700
Non-compete agreements	36	800
		$	20,400

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1497-128463

Reference 2: http://www.xbrl.org/2003/role/presentationRef
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
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Reference 15: http://www.xbrl.org/2003/role/presentationRef
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+ Details

Fair Value Measurements

9 Months Ended

Sep. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value Measurements

The Company measures its cash equivalents at fair value based on an expected exit price as defined by the authoritative guidance on fair value measurements, which represents the amount that would be received on the sale of an asset or paid to transfer a liability, as the case may be, in an orderly transaction between market participants. As such, fair value may be based on assumptions that market participants would use in pricing an asset or liability. The authoritative guidance on fair value measurements establishes a consistent framework for measuring fair value on either a recurring or nonrecurring basis whereby inputs, used in valuation techniques, are assigned a hierarchical level. The following are the hierarchical levels of inputs to measure fair value:


•	Level 1: Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets.


•	Level 2: Inputs reflect: quoted prices for identical assets or liabilities in markets that are not active; quoted prices for similar assets or liabilities in active markets; inputs other than quoted prices that are observable for the assets or liabilities; or inputs that are derived principally from or corroborated by observable market data by correlation or other means.


•	Level 3: Unobservable inputs reflecting the Company’s assumptions incorporated in valuation techniques used to determine fair value. These assumptions are required to be consistent with market participant assumptions that are reasonably available.

Financial Assets and Liabilities

The Company’s assets and liabilities that are measured at fair value on a recurring basis, by level, within the fair value hierarchy as of September 30, 2015 and December 31, 2014, are summarized as follows (amounts in thousands). The Company’s restricted cash balance of $5.4 million at September 30, 2015 is not held in a money market account and is not included in the following table.



	September 30, 2015								December 31, 2014
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets:
Cash equivalents:
Money market funds	$	4,321	$	—	$	—	$	4,321	$	3,987	$	—	$	—	$	3,987
Foreign currency derivative contracts	—		39		—		39		—		—		—		—
Total assets	$	4,321	$	39	$	—	$	4,360	$	3,987	$	—	$	—	$	3,987

Liabilities:
Contingent earn-outs	$	—	$	—	$	782	$	782	$	—	$	—	$	6,940	$	6,940
Total liabilities	$	—	$	—	$	782	$	782	$	—	$	—	$	6,940	$	6,940

In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considers counterparty credit risk in its assessment of fair value. Observable or market inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s assumptions based on the best information available.

The Company’s only asset that is measured at fair value on a recurring basis is money market funds, based on quoted market prices in active markets and therefore classified as level 1 within the fair value hierarchy. The Company’s contingent earn-out liability and foreign currency derivative contract liability are measured at fair value on a recurring basis and are classified as level 3 and level 2, respectively, within the fair value hierarchy. On a nonrecurring basis, the Company uses fair value measures when analyzing asset impairment. Long-lived tangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If it is determined such indicators are present and the review indicates that the assets will not be fully recoverable, based on undiscounted estimated cash flows over the remaining amortization periods, their carrying values are reduced to estimated fair value. The Company uses an income approach and inputs that constitute level 3. During the third quarter of each year, the Company evaluates goodwill for impairment at the reporting unit level. The Company uses a combination of discounted cash flows and other qualitative factors in accordance with ASU No. 2011-08 to determine whether it is “more likely than not” that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test. This measurement is classified based on level 3 input.

The contingent earn-out in connection with the acquisition of Engage was $0.9 million as of December 31, 2014 and was recorded in accrued expenses in the condensed consolidated balance sheets. The contingent earn-out balance was increased by $1.8 million in June 2014 in connection with the acquisition of Synchronite and $4.2 million in November 2014 in connection with the acquisition of CAO!. During the three months ended September 30, 2015, the contingent-earnout decreased by $3.5 million in connection with the acquisition of CAO! due to both re-measurement to fair value of $3.2 million and cash payments of $0.3 million. During the nine months ended September 30, 2015, the contingent-earnout decreased by $0.9 million in connection with the Engage acquisition and by $1.7 million in connection with the acquisition of Synchronite due to both re-measurement to fair value and cash payments. The contingent earn-out amounts are recorded in accrued expense on the condensed consolidated balance sheets as they are payable in 2015. The contingent earn-out relating to Engage was based on the potential earn-out consideration if certain revenue targets are achieved. There was no remaining contingent earn-out in connection with the acquisition of Engage as of September 30, 2015. The contingent earn-out relating to Synchronite is based on the fulfillment of a complete product integration and a minimum number of “Co-Browse” interactions per month. The contingent earn-out relating to CAO! is based on achieving certain target strategic and integration objectives and milestones.

The changes in fair value of the Level 3 liabilities are as follows (amounts in thousands):



	Contingent Earn-Out
	September 30, 2015			December 31, 2014
Balance, Beginning of Period	$	6,940		$	1,660
Synchronite addition (see Note 8)	—			1,810
CAO! addition (see Note 8)	—			4,220
Cash payments	(2,366		)	(750		)
Changes in fair value	(3,792		)	—
Balance, End of Period	$	782		$	6,940

Derivative Financial Instruments

The Company is exposed to foreign exchange risks that in part are managed by using derivative financial instruments. Beginning January 2015, the Company entered into foreign currency forward contracts related to risks associated with foreign operations. The Company does not use derivatives for trading purposes and at September 30, 2015 has no derivatives that are designated as fair value hedges. Derivatives are recorded at their estimated fair values based upon Level 2 inputs. Derivatives designated and effective as cash flow hedges are reported as a component of other comprehensive income and reclassified to earnings in the same periods in which the hedged transactions impact earnings. Gains and losses related to derivatives not meeting the requirements of hedge accounting and the portion of derivatives related to hedge ineffectiveness are recognized in current earnings.

In accordance with the foreign currency forward contracts, the Company was required to pledge cash as collateral security to be maintained at the bank. The collateral shall remain in control of the lender, and these funds can be used to satisfy the outstanding obligation. Accordingly, the Company had cash at the bank of approximately $5.4 million at September 30, 2015 and is recorded as cash held as collateral in current assets.

The following summarizes certain information regarding the Company’s outstanding foreign currency derivative contracts related primarily to intercompany receivables and payables for the periods presented (in thousands):



	As of September 30, 2015		As of December 31, 2014
Notional amount of foreign currency derivative contracts	$	38,351	$	—
Fair value of foreign currency derivatives contracts	$	39	$	—

The fair value of the Company’s derivative instruments is summarized below (in thousands):



		Fair Value of Derivative Instruments
	Balance Sheet Location	As of September 30, 2015		As of December 31, 2014
Derivative Assets
Derivatives not designated as hedging instruments:
Foreign currency derivatives contracts	Prepaid expenses and other current assets	$	39	$	—

The following summarizes certain information regarding the Company’s derivatives that are not designated or are not effective as hedges (in thousands):



	Gain (losses) on Derivative Instruments Recognized in Income Statement
		Three Months Ended September 30,				Nine Months Ended September 30,
	Location	2015		2014		2015		2014
Foreign currency derivatives contracts	Other income	$	150	$	—	$	324	$	—

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Commitments and Contingencies	9 Months Ended
Commitments and Contingencies	Sep. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Contractual Obligations The Company leases facilities and certain equipment under agreements accounted for as operating leases. These leases generally require the Company to pay all executory costs such as maintenance and insurance. Rental expense for operating leases for the three and nine months ended September 30, 2015 was approximately $2.4 million and $5.9 million, respectively. Rental expense for operating leases for the three and nine months ended September 30, 2014 was approximately $2.3 million and $6.9 million, respectively. Employee Benefit Plans The Company has a 401(k) defined contribution plan covering all eligible employees. The Company provides for employer matching contributions equal to 50% of employee contributions, up to the lesser of 5% of eligible compensation or $6,000. Matching contributions are deposited into the employee’s 401(k) account and are subject to 5 year graded vesting. Salaries and related expenses include $0.3 million and $1.0 million of employer matching contributions for the three and nine months ended September 30, 2015, respectively. Salaries and related expenses include $0.2 million and $0.8 million of employer matching contributions for the three and nine months ended September 30, 2014, respectively.

Stockholders' Equity

9 Months Ended

Sep. 30, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stockholders' Equity

Stockholders’ Equity

Common Stock

As of September 30, 2015, there were 100,000,000 shares of common stock authorized, and 57,268,489 shares issued and outstanding. As of December 31, 2014, there were 100,000,000 shares of common stock authorized, and 56,701,331 shares issued and outstanding. The par value for common shares is $0.001.

Preferred Stock

As of September 30, 2015 and December 31, 2014, there were 5,000,000 shares of preferred stock authorized, and zero shares issued and outstanding. The par value for preferred shares is $0.001.

Stock Repurchase Program

On December 10, 2012, the Company’s Board of Directors approved a stock repurchase program through June 30, 2014. Under the stock repurchase program, the Company is authorized to repurchase shares of its common stock, in the open market or privately negotiated transactions, at times and prices considered appropriate by the Board of Directors depending upon prevailing market conditions and other corporate considerations. On March 13, 2014, the Company’s Board of Directors increased the aggregate purchase price of the stock repurchase program from $30.0 million to $40.0 million. On July 23, 2014, the Company’s Board of Directors increased the aggregate purchase price of the stock repurchase program from $40.0 million to $50.0 million. On March 5, 2015, the Company’s Board of Directors extended the expiration date of the program out to December 31, 2016. There were 386,812 shares repurchased under this program during 2015, of which 277,360 shares were recorded in treasury stock at par on the condensed consolidated balance sheets as of September 30, 2015. As of September 30, 2015, approximately $6.1 million remained available for purchase under the program.

Stock-Based Compensation

The Company follows FASB ASC 718-10, “Stock Compensation,” which addresses the accounting for transactions in which an entity exchanges its equity instruments for goods or services, with a primary focus on transactions in which an entity obtains employee services in share-based payment transactions. ASC 718-10 requires measurement of the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). Incremental compensation costs arising from subsequent modifications of awards after the grant date must be recognized.

The following table summarizes stock-based compensation expense related to employee stock options and restricted stock units (“RSUs”) (under ASC 718-10 included in Company’s statements of operations for the periods presented (amounts in thousands):



	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
Cost of revenue	$	288	$	365	$	1,092	$	1,209
Sales and marketing expense	760		1,030		2,292		2,766
General and administrative expense	911		1,088		2,590		2,800
Product development expense	927		1,171		2,819		2,783
Total stock-based compensation included in costs and expenses	$	2,886	$	3,654	$	8,793	$	9,558

The per share weighted average fair value of stock options granted during the three and nine months ended September 30, 2015 was $4.10 and $4.47, respectively. The per share weighted average fair value of stock options granted during the three and nine months ended September 30, 2014 was $4.57 and $4.99, respectively. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions:



	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2015	2014	2015	2014
Dividend yield	0.0%	0.0%	0.0%	0.0%
Risk-free interest rate	1.7%	1.7%	1.3% - 1.7%	1.5% - 1.7%
Expected life (in years)	5	5	5	5
Historical volatility	47.4%	50.9%	47.4% - 49.7%	50.9% - 53.7%

A description of the methods used in the significant assumptions used to estimate the fair value of stock-based compensation awards follows:

Dividend yield – The Company uses 0% as it has never issued dividends and does not anticipate issuing dividends in the near term.

Risk-free interest rate – The Company uses the market yield on U.S. Treasury securities at five years with constant maturity, representing the current expected life of stock options in years.

Expected life – The Company uses historical data to estimate the expected life of a stock option.

Historical volatility – The Company uses a trailing five year from grant date to determine volatility.

Stock Option Plans

During 1998, the Company established the Stock Option and Restricted Stock Purchase Plan (the “1998 Plan”). Under the 1998 Plan, the Board of Directors could issue incentive stock options or nonqualified stock options to purchase up to 5,850,000 shares of common stock. The 2000 Stock Incentive Plan (the “2000 Plan”) succeeded the 1998 Plan. Under the 2000 Plan, the options which had been outstanding under the 1998 Plan were incorporated in the 2000 Plan increasing the number of shares available for issuance under the plan by approximately 4,150,000, thereby reserving for issuance 10,000,000 shares of common stock in the aggregate.

The Company established the 2009 Stock Incentive Plan (as amended and restated, the “2009 Plan”) as a successor to the 2000 Plan. Under the 2009 Plan, the options which had been outstanding under the 2000 Plan were incorporated into the 2009 Plan and the Company increased the number of shares available for issuance under the plan by 6,000,000. The Company amended the 2009 stock incentive plan (the “Amended 2009 Plan”) effective June 7, 2012. The Amended 2009 Plan increased the number of shares authorized for issuance under the plan by an additional 4,250,000, thereby reserving for issuance 23,817,744 shares of common stock in the aggregate. Options to acquire common stock granted thereunder have 10-year terms. As of September 30, 2015, approximately 12,962,000 shares of common stock were reserved for issuance under the 2009 Plan (taking into account all option exercises through September 30, 2015).

Employee Stock Purchase Plan

In June 2010, the Company’s stockholders approved the 2010 Employee Stock Purchase Plan with 1,000,000 shares of common stock initially reserved for issuance. As of September 30, 2015, approximately 427,113 shares of common stock were reserved for issuance under the Employee Stock Purchase Plan (taking into account all share purchases through September 30, 2015).

Stock Option Activity

A summary of the Company’s stock option activity and weighted average exercise prices follows:



	Stock Option Activity				Weighted Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value (in thousands)
	Options		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value (in thousands)
Balance outstanding at December 31, 2014	10,769,149		$	10.95
Granted	792,250		10.22
Exercised	(576,577	)	4.37
Cancelled or expired	(1,415,553	)	12.20
Balance outstanding at September 30, 2015	9,569,269		$	11.09	6.83	$	3,155
Options vested and expected to vest at September 30, 2015	8,582,041		$	11.11	6.61	$	3,155
Options exercisable at September 30, 2015	5,448,479		$	10.91	5.64	$	3,155

The total fair value of stock options exercised during the nine months ended September 30, 2015 was approximately $1.5 million. As of September 30, 2015, there was approximately $18.2 million of total unrecognized compensation cost related to nonvested share-based compensation arrangements. That cost is expected to be recognized over a weighted average period of approximately 2.4 years.

A summary of the status of the Company’s nonvested shares as of December 31, 2014, and changes during the nine months ended September 30, 2015 is as follows:



	Options		Weighted Average Grant- Date Fair Value
Nonvested Shares at December 31, 2014	6,032,315		$	5.66
Granted	792,250		4.47
Vested	(1,288,222	)	5.29
Cancelled or expired	(1,415,553	)	6.24
Nonvested Shares at September 30, 2015	4,120,790		$	5.35

There was no intrinsic value of nonvested options at September 30, 2015.

Restricted Stock Unit Activity

A summary of the Company’s restricted stock units (“RSUs”) activity and weighted average exercise prices follows:



	Restricted Stock Unit Activity
	Number of Shares		Weighted Average Grant Date Fair Value (Per Share)		Aggregate Fair Value (in thousands)
Balance outstanding at December 31, 2014	—		$	—	$	—
Granted	1,256,500		10.31		—
Exercised	—		—		—
Forfeited	(36,000	)	10.31		—
Non-vested and outstanding at September 30, 2015	1,220,500		$	10.31	$	9,227
Expected to vest at September 30, 2015	893,956		$	10.31	$	6,758

RSUs granted to employees generally vest over a four-year period. As of September 30, 2015, total unrecognized compensation cost, adjusted for estimated forfeitures, related to nonvested RSUs was approximately $11.1 million and the weighted-average remaining vesting period was 3.5 years.

In the three months ended September 30, 2015, we issued restricted stock units to certain employees and performance-based restricted stock units to certain executives. Restricted stock units will be eligible to vest based on the employee’s continued employment through the vesting date. The performance-based restricted stock units will be eligible to vest based on our attainment of the 2015 financial performance goal as well as each executive’s continued employment through the vesting date. In order to earn the performance-based restricted stock units, the predetermined goal must be met. Shares earned will vest in March 2016 contingent on the continuous employment of each executive. We recognize stock-based compensation expense associated with these awards over the vesting period, after assessing the probability of achieving the 2015 financial performance goal.

Restructuring Costs

9 Months Ended

Sep. 30, 2015

Restructuring and Related Activities [Abstract]

Restructuring Costs

The Company’s restructuring costs relate to the termination and severance costs associated with a large customer contract, as well as re-prioritizing and reallocating resources to focus on areas showing high growth potential. The expense associated with this restructuring was approximately $3.0 million during the nine months ended September 30, 2015 and is classified in the condensed consolidated statements of operations as restructuring costs. The restructuring liability was approximately $1.5 million as of September 30, 2015 and is classified as accrued expenses and other current liabilities on the condensed consolidated balance sheets. The following table presents the detail of expenses and liability for the Company’s restructuring charges for the periods presented (amounts in thousands):



	Expense incurred during the Nine Months Ended September 30, 2015		Liability as of September 30, 2015
Contract termination costs	$	1,745	$	569
Severance and other associated costs	1,243		946
Total restructuring costs	$	2,988	$	1,515

Legal Matters	9 Months Ended
Legal Matters	Sep. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Legal Matters	Legal Matters On June 22, 2015, [24]7 Customer, Inc. (“[24]7”) filed suit against the Company in the Northern District of California alleging patent infringement. The Company believes the claims are entirely without merit and intend to defend them vigorously. The Company previously filed an intellectual property suit against [24]7 in the Southern District of New York on March 6, 2014 seeking damages on the grounds that [24]7 reverse engineered and misappropriated the Company’s technology to develop competing products and misused the Company’s business information. Discovery in the New York case is in process. The Company routinely assesses all of its litigation and threatened litigation as to the probability of ultimately incurring a liability, and records its best estimate of the ultimate loss in situations where the Company assesses the likelihood of loss as probable. From time to time, the Company is involved in or subject to legal, administrative and regulatory proceedings, claims, demands and investigations arising in the ordinary course of business, including direct claims brought by or against the Company with respect to intellectual property, contracts, employment and other matters, as well as claims brought against the Company’s customers for whom the Company has a contractual indemnification obligation. The Company accrues for a liability when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Significant judgment is required in both the determination of probability and the determination as to whether a loss is reasonably estimable. In addition, in the event the Company determines that a loss is not probable, but is reasonably possible, and it becomes possible to develop what the Company believes to be a reasonable range of possible loss, then the Company will include disclosure related to such matter as appropriate and in compliance with ASC 450. The accruals or estimates, if any, resulting from the foregoing analysis, are reviewed at least quarterly and adjusted to reflect the impact of negotiations, settlements, rulings, advice of legal counsel and other information and events pertaining to a particular matter. To the extent there is a reasonable possibility that the losses could exceed the amounts already accrued, the Company will, as applicable, adjust the accrual in the period the determination is made, disclose an estimate of the additional loss or range of loss, indicate that the estimate is immaterial with respect to its financial statements as a whole or, if the amount of such adjustment cannot be reasonably estimated, disclose that an estimate cannot be made. From time to time, third parties assert claims against the Company regarding intellectual property rights, privacy issues and other matters arising in the ordinary course of business. Although the Company cannot be certain of the outcome of any litigation or the disposition of any claims, nor the amount of damages and exposure, if any, that the Company could incur, the Company currently believes that the final disposition of all existing matters will not have a material adverse effect on our business, results of operations, financial condition or cash flows. In addition, in the ordinary course of business, the Company is also subject to periodic threats of lawsuits, investigations and claims. Regardless of the outcome, litigation can have an adverse impact on the Company because of defense and settlement costs, diversion of management resources and other factors.

Description of Business and Basis of Presentation (Policies)

9 Months Ended

Sep. 30, 2015

Accounting Policies [Abstract]

SUMMARY OF OPERATIONS

LivePerson, Inc. (the “Company” or “LivePerson”) was incorporated in the State of Delaware in November 1995 and the LivePerson service was introduced in November 1998. In April 2000, the Company completed an initial public offering and is currently traded on the Nasdaq Global Select Market and the Tel Aviv Stock Exchange. LivePerson is headquartered in New York City with offices in Amsterdam, Atlanta, Berlin, London, Mannheim, Melbourne, Milan, Ra’anana, Reading (UK), San Francisco and Tokyo.

LivePerson provides online engagement solutions offering a cloud-based platform which enables businesses to proactively connect with consumers through chat, voice and content delivery, across multiple channels and screens, including websites, social media, tablets and mobile devices. The Company’s engagements are driven by insights derived from a broad set of consumer and business data, including historical, behavioral, operational, and third party data. Each engagement is based on proprietary analytics and a real-time understanding of consumer needs and business objectives. The Company’s products, coupled with its domain knowledge and industry expertise, have been proven to maximize the effectiveness of the online channel — by increasing sales, as well as consumer satisfaction and loyalty ratings for its customers, while also enabling its customers to reduce consumer service costs.

LivePerson monitors and analyzes valuable online consumer behavioral data on behalf of its customers. Spanning the breadth of an online visitor session, starting from an initial keyword search through actions on their customer’s website, and even into a shopping cart and an executed sale, this data enables the Company to develop unique insights into consumer behavior during specific transactions within a customer’s user base.

The Company’s primary revenue source is from the sale of LivePerson services to businesses of all sizes. The Company also offers an online marketplace that connects independent service providers (“Experts”) who provide information and knowledge for a fee via real-time chat with individual consumers (“Users”).

BASIS OF PRESENTATION

Basis of Presentation

The accompanying condensed consolidated financial statements as of September 30, 2015 and for the three and nine months ended September 30, 2015 and 2014 are unaudited. In the opinion of management, the unaudited condensed consolidated financial statements have been prepared on the same basis as the annual financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the consolidated financial position of LivePerson as of September 30, 2015, and the consolidated results of operations, comprehensive loss and cash flows for the interim periods ended September 30, 2015 and 2014. The financial data and other information disclosed in these notes to the condensed consolidated financial statements related to these periods are unaudited. The results of operations for any interim period are not necessarily indicative of the results of operations for any other future interim period or for a full fiscal year. The condensed consolidated balance sheet at December 31, 2014 has been derived from audited consolidated financial statements at that date.

Certain information and note disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the year ended December 31, 2014, included in the Company’s Annual Report on Form 10-K filed with the SEC on March 12, 2015.

REVENUE RECOGNITION

Revenue Recognition

The majority of the Company’s revenue is generated from monthly service revenues and related professional services from the sale of the LivePerson services. Because the Company provides its application as a service, the Company follows the provisions of FASB Accounting Standards Codification (“ASC”) 605-10-S99, “Revenue Recognition” and ASC 605-25, “Revenue Recognition with Multiple-Element Arrangements.” The Company charges a monthly fee, which varies by type of service, the level of customer usage and website traffic, and in some cases, the number of orders placed via the Company’s online engagement solutions.

For certain of the Company’s larger customers, the Company may provide call center labor through an arrangement with one or more of several qualified vendors. For most of these customers, the Company passes the fee it incurs with the labor provider and its fee for the hosted services through to its customers in the form of a fixed fee for each order placed via the Company’s online engagement solutions. For these Pay for Performance (“PFP”) arrangements, in accordance with ASC 605-45, “Principal Agent Considerations,” the Company records revenue for transactions in which it acts as an agent on a net basis, and revenue for transactions in which it acts as a principal on a gross basis.

The Company also sells certain of the LivePerson services directly via Internet download. These services are marketed as LiveEngage for small to medium-sized businesses, and are paid for almost exclusively by credit card. Credit card payments accelerate cash flow and reduce the Company’s collection risk, subject to the merchant bank’s right to hold back cash pending settlement of the transactions. Sales of LiveEngage may occur with or without the assistance of an online sales representative, rather than through face-to-face or telephone contact that is typically required for traditional direct sales.

The Company recognizes monthly service revenue based upon the fee charged for the LivePerson services, provided that there is persuasive evidence of an arrangement, no significant Company obligations remain, collection of the resulting receivable is probable and the amount of fees to be paid is fixed or determinable. The Company’s service agreements typically have twelve month terms and, in some cases, are terminable or may terminate upon 30 to 90 days’ notice without penalty. When professional service fees add value to the customer on a standalone basis, the Company recognizes professional service fees upon completion and customer acceptance. The Company establishes a selling price hierarchy for determining the selling price of a deliverable, which is based on: (a) vendor-specific objective evidence; (b) third-party evidence; or (c) best estimated selling price. If a professional services arrangement does not qualify for separate accounting, the Company recognizes the fees, and the related labor costs, ratably over the contracted period.

For revenue from the Company’s Consumer segment generated from online transactions between Experts and Users, the Company recognizes revenue net of the Expert fees in accordance with ASC 605-45, “Principal Agent Considerations,” due primarily to the fact that the Expert is the primary obligor. Additionally, the Company performs as an agent without any risk of loss for collection, and is not involved in selecting the Expert or establishing the Expert’s fee. The Company collects a fee from the User and retains a portion of the fee, and then remits the balance to the Expert. Revenue from these transactions is recognized when there is persuasive evidence of an arrangement, no significant Company obligations remain, collection of the resulting receivable is probable and the amount of fees to be paid is fixed and determinable.

NET LOSS PER SHARE

Net Income (Loss) Per Share

A reconciliation of shares used in calculating basic and diluted net loss per share follows:



	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2015	2014	2015	2014
Basic	56,525,647	53,868,124	56,437,198	54,238,536
Effect of assumed exercised options	558,790	—	—	—
Diluted	57,084,437	53,868,124	56,437,198	54,238,536

SEGMENT REPORTING

Segment Information

GOODWILL AND INTANGIBLE ASSETS

Amortization expense is calculated over the estimated useful life of the asset.

STOCK-BASED COMPENSATION

Stock-Based Compensation

- Definition

Disclosure of accounting policy for revenue recognition. If the entity has different policies for different types of revenue transactions, the policy for each material type of transaction is generally disclosed. If a sales transaction has multiple element arrangements (for example, delivery of multiple products, services or the rights to use assets) the disclosure may indicate the accounting policy for each unit of accounting as well as how units of accounting are determined and valued. The disclosure may encompass important judgment as to appropriateness of principles related to recognition of revenue. The disclosure also may indicate the entity's treatment of any unearned or deferred revenue that arises from the transaction.

+ References + Details

Net Loss Per Share (Tables)

9 Months Ended

Sep. 30, 2015

Earnings Per Share [Abstract]

Reconciliation of Shares Used in Calculating Basic and Diluted Earnings Per Share

A reconciliation of shares used in calculating basic and diluted net loss per share follows:



	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2015	2014	2015	2014
Basic	56,525,647	53,868,124	56,437,198	54,238,536
Effect of assumed exercised options	558,790	—	—	—
Diluted	57,084,437	53,868,124	56,437,198	54,238,536

Segment Information (Tables)

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

Summary of Financial Information by Segment



	Business		Consumer		Corporate			Consolidated
Revenue:
Hosted services – Business	$	50,957	$	—	$	—		$	50,957
Hosted services – Consumer	—		3,661		—			3,661
Professional services	6,139		—		—			6,139
Total revenue	57,096		3,661		—			60,757
Cost of revenue	16,364		573		—			16,937
Sales and marketing	21,333		1,953		—			23,286
Amortization of purchased intangibles	1,193		—		—			1,193
Unallocated corporate expenses	—		—		17,442			17,442
Operating income (loss)	$	18,206	$	1,135	$	(17,442	)	$	1,899



	Business		Consumer		Corporate			Consolidated
Revenue:
Hosted services – Business	$	43,702	$	—	$	—		$	43,702
Hosted services – Consumer	—		3,992		—			3,992
Professional services	5,093		—		—			5,093
Total revenue	48,795		3,992		—			52,787
Cost of revenue	12,679		625		—			13,304
Sales and marketing	19,488		1,490		—			20,978
Amortization of purchased intangibles	407		—		—			407
Unallocated corporate expenses	—		—		18,499			18,499
Operating income (loss)	$	16,221	$	1,877	$	(18,499	)	$	(401	)



	Business		Consumer		Corporate			Consolidated
Revenue:
Hosted services – Business	$	151,767	$	—	$	—		$	151,767
Hosted services – Consumer	—		11,219		—			11,219
Professional services	16,875		—		—			16,875
Total revenue	168,642		11,219		—			179,861
Cost of revenue	49,299		1,779		—			51,078
Sales and marketing	66,865		5,097		—			71,962
Amortization of purchased intangibles	3,683		—		—			3,683
Unallocated corporate expenses	—		—		60,975			60,975
Operating income (loss)	$	48,795	$	4,343	$	(60,975	)	$	(7,837	)



	Business		Consumer		Corporate			Consolidated
Revenue:
Hosted services – Business	$	125,378	$	—	$	—		$	125,378
Hosted services – Consumer	—		12,441		—			12,441
Professional services	13,883		—		—			13,883
Total revenue	139,261		12,441		—			151,702
Cost of revenue	36,306		1,894		—			38,200
Sales and marketing	55,203		4,246		—			59,449
Amortization of purchased intangibles	803		—		—			803
Unallocated corporate expenses	—		—		56,073			56,073
Operating income (loss)	$	46,949	$	6,301	$	(56,073	)	$	(2,823	)

Revenues Attributable to Domestic and Foreign Operations

The following table presents the Company’s revenues attributable to domestic and foreign operations for the periods presented (amounts in thousands):



	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
United States	$	39,972	$	34,409	$	120,409	$	99,273
Other Americas ⁽¹⁾	3,589		2,936		9,437		7,259
Total Americas	43,561		37,345		129,846		106,532
EMEA ⁽²⁾	13,237		11,049		38,443		32,618
APAC ⁽³⁾	3,959		4,393		11,572		12,552
Total revenue	$	60,757	$	52,787	$	179,861	$	151,702

⁽¹⁾ Canada, Latin America and South America

⁽²⁾ Europe, the Middle East and Africa (“EMEA”)

⁽³⁾ Asia-Pacific (“APAC”)

Long-Lived Assets by Geographic Region

The following table presents the Company’s long-lived assets by geographic region for the periods presented (amounts in thousands):



	September 30,		December 31,
	2015		2014
United States	$	107,982	$	109,006
Israel	17,122		18,982
Australia	7,539		8,500
Netherlands	9,159		7,686
Other ⁽¹⁾	2,739		1,940
Total long-lived assets	$	144,541	$	146,114

Long Lived Assets By Geographic Region

The following table presents the Company’s long-lived assets by geographic region for the periods presented (amounts in thousands):



	September 30,		December 31,
	2015		2014
United States	$	107,982	$	109,006
Israel	17,122		18,982
Australia	7,539		8,500
Netherlands	9,159		7,686
Other ⁽¹⁾	2,739		1,940
Total long-lived assets	$	144,541	$	146,114

⁽¹⁾ United Kingdom, Germany, Japan and Italy

Goodwill and Intangible Assets (Tables)

9 Months Ended

Sep. 30, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Summary of Intangible Assets

Intangible assets are summarized as follows (see Note 8) (amounts in thousands):



	As of September 30, 2015
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Weighted Average Amortization Period
Amortizing intangible assets:
Technology	$	28,005	$	(14,486	)	$	13,519	5.3 years
Customer relationships	16,008		(6,093		)	9,915		7.9 years
Trade names	1,287		(1,202		)	85		2.8 years
Non-compete agreements	1,446		(879		)	567		2.3 years
Patents	3,440		(758		)	2,682		9.7 years
Other	312		(271		)	41		3.0 years
Total	$	50,498	$	(23,689	)	$	26,809



	As of December 31, 2014
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Weighted Average Amortization Period
Amortizing intangible assets:
Technology	$	27,844	$	(11,303	)	$	16,541	5.3 years
Customer relationships	16,008		(4,055		)	11,953		7.9 years
Trade names	1,287		(817		)	470		2.8 years
Non-compete agreements	1,446		(625		)	821		2.3 years
Patents	3,290		(500		)	2,790		9.9 years
Other	312		(267		)	45		3.0 years
Total	$	50,187	$	(17,567	)	$	32,620

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense

Estimated amortization expense for the next five years is as follows (amounts in thousands):



	Estimated Amortization Expense
2015	$	1,846
2016	6,774
2017	4,956
2018	2,837
2019	2,830
Thereafter	7,566
Total	$	26,809

Property and Equipment (Tables)

9 Months Ended

Sep. 30, 2015

Property, Plant and Equipment [Abstract]

Summary of Property and Equipment

The following table presents the detail of property and equipment for the periods presented (amounts in thousands):



	September 30, 2015			December 31, 2014
Computer equipment and software	$	65,665		$	55,293
Furniture, equipment and building improvements	10,388			9,439
	76,053			64,732
Less: accumulated depreciation	(53,748		)	(45,149		)
Total	$	22,305		$	19,583

Accrued Liabilities (Tables)

9 Months Ended

Sep. 30, 2015

Payables and Accruals [Abstract]

Accrued Liabilities

The following table presents the detail of accrued expenses and other current liabilities for the periods presented (amounts in thousands):



	September 30, 2015		December 31, 2014
Payroll and other employee related costs	$	15,282	$	15,373
Professional services and consulting and other vendor fees	14,587		9,258
Sales commissions	3,792		3,268
Contingent earnout (see Notes 8 and 9)	782		6,940
Other	2,459		2,933
Total	$	36,902	$	37,772

Acquisitions (Tables)

9 Months Ended

Sep. 30, 2015

Synchronite, LLC [Member]

Business Acquisition [Line Items]

Components of Intangible Assets

The components of the intangible assets are as follows (amounts in thousands):



	Weighted Average Useful Life (Months)	Amount
Technology	120	$	1,082
Trade-name	48	62
Customer relationships	84	247
Non-compete agreements	36	60
		$	1,451

Contact At Once! [Member]

Business Acquisition [Line Items]

Purchase Price Preliminary Allocation

Management’s allocation of the purchase price in connection with the CAO! acquisition is as follows (amounts in thousands):



Cash	$	480
Accounts receivable	2,694
Other currents assets	289
Property and equipment	231
Other assets	43
Intangible assets	20,400
Goodwill	45,064
	69,201
Liabilities assumed	(2,203		)
Total purchase price consideration	$	66,998

Components of Intangible Assets

The components of the intangible assets are as follows (amounts in thousands):



	Weighted Average Useful Life (Months)	Amount
Technology	96	$	8,400
Trade-name	12	500
Customer relationships	120	10,700
Non-compete agreements	36	800
		$	20,400

Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value, Assets Measured on Recurring Basis



	September 30, 2015								December 31, 2014
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets:
Cash equivalents:
Money market funds	$	4,321	$	—	$	—	$	4,321	$	3,987	$	—	$	—	$	3,987
Foreign currency derivative contracts	—		39		—		39		—		—		—		—
Total assets	$	4,321	$	39	$	—	$	4,360	$	3,987	$	—	$	—	$	3,987

Liabilities:
Contingent earn-outs	$	—	$	—	$	782	$	782	$	—	$	—	$	6,940	$	6,940
Total liabilities	$	—	$	—	$	782	$	782	$	—	$	—	$	6,940	$	6,940

Change in Fair Value of Level 3 Liabilities

The changes in fair value of the Level 3 liabilities are as follows (amounts in thousands):



	Contingent Earn-Out
	September 30, 2015			December 31, 2014
Balance, Beginning of Period	$	6,940		$	1,660
Synchronite addition (see Note 8)	—			1,810
CAO! addition (see Note 8)	—			4,220
Cash payments	(2,366		)	(750		)
Changes in fair value	(3,792		)	—
Balance, End of Period	$	782		$	6,940

Schedule of Derivative Instruments



	As of September 30, 2015		As of December 31, 2014
Notional amount of foreign currency derivative contracts	$	38,351	$	—
Fair value of foreign currency derivatives contracts	$	39	$	—

Schedule of Derivative Liabilities at Fair Value

The fair value of the Company’s derivative instruments is summarized below (in thousands):



		Fair Value of Derivative Instruments
	Balance Sheet Location	As of September 30, 2015		As of December 31, 2014
Derivative Assets
Derivatives not designated as hedging instruments:
Foreign currency derivatives contracts	Prepaid expenses and other current assets	$	39	$	—

Gain (Losses) on Derivative Instruments Recognized in Income Statement

The following summarizes certain information regarding the Company’s derivatives that are not designated or are not effective as hedges (in thousands):



	Gain (losses) on Derivative Instruments Recognized in Income Statement
		Three Months Ended September 30,				Nine Months Ended September 30,
	Location	2015		2014		2015		2014
Foreign currency derivatives contracts	Other income	$	150	$	—	$	324	$	—

- Definition

Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41641-113959

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624163-113959

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41678-113959

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41638-113959

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1B
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5580258-113959

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5579245-113959

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624171-113959

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 25
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6886632&loc=d3e76258-113986

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5579240-113959

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41620-113959

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(n)(2))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

+ Details

Stockholders' Equity (Tables)

9 Months Ended

Sep. 30, 2015

Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]

Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block]

A summary of the Company’s restricted stock units (“RSUs”) activity and weighted average exercise prices follows:



	Restricted Stock Unit Activity
	Number of Shares		Weighted Average Grant Date Fair Value (Per Share)		Aggregate Fair Value (in thousands)
Balance outstanding at December 31, 2014	—		$	—	$	—
Granted	1,256,500		10.31		—
Exercised	—		—		—
Forfeited	(36,000	)	10.31		—
Non-vested and outstanding at September 30, 2015	1,220,500		$	10.31	$	9,227
Expected to vest at September 30, 2015	893,956		$	10.31	$	6,758

Summary of Stock-Based Compensation Expense Related to Employee Stock Options



	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
Cost of revenue	$	288	$	365	$	1,092	$	1,209
Sales and marketing expense	760		1,030		2,292		2,766
General and administrative expense	911		1,088		2,590		2,800
Product development expense	927		1,171		2,819		2,783
Total stock-based compensation included in costs and expenses	$	2,886	$	3,654	$	8,793	$	9,558

Weighted Average Assumptions of Fair Value Options Using Black-Scholes Option-Pricing Model

The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions:



	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2015	2014	2015	2014
Dividend yield	0.0%	0.0%	0.0%	0.0%
Risk-free interest rate	1.7%	1.7%	1.3% - 1.7%	1.5% - 1.7%
Expected life (in years)	5	5	5	5
Historical volatility	47.4%	50.9%	47.4% - 49.7%	50.9% - 53.7%

Summary of Stock Option Activity and Weighted Average Exercise Prices

A summary of the Company’s stock option activity and weighted average exercise prices follows:



	Stock Option Activity				Weighted Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value (in thousands)
	Options		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value (in thousands)
Balance outstanding at December 31, 2014	10,769,149		$	10.95
Granted	792,250		10.22
Exercised	(576,577	)	4.37
Cancelled or expired	(1,415,553	)	12.20
Balance outstanding at September 30, 2015	9,569,269		$	11.09	6.83	$	3,155
Options vested and expected to vest at September 30, 2015	8,582,041		$	11.11	6.61	$	3,155
Options exercisable at September 30, 2015	5,448,479		$	10.91	5.64	$	3,155

Summary of Status of Nonvested Shares

A summary of the status of the Company’s nonvested shares as of December 31, 2014, and changes during the nine months ended September 30, 2015 is as follows:



	Options		Weighted Average Grant- Date Fair Value
Nonvested Shares at December 31, 2014	6,032,315		$	5.66
Granted	792,250		4.47
Vested	(1,288,222	)	5.29
Cancelled or expired	(1,415,553	)	6.24
Nonvested Shares at September 30, 2015	4,120,790		$	5.35

Restructuring Costs (Tables)

9 Months Ended

Sep. 30, 2015

Restructuring and Related Activities [Abstract]

Restructuring and Related Costs

The following table presents the detail of expenses and liability for the Company’s restructuring charges for the periods presented (amounts in thousands):



	Expense incurred during the Nine Months Ended September 30, 2015		Liability as of September 30, 2015
Contract termination costs	$	1,745	$	569
Severance and other associated costs	1,243		946
Total restructuring costs	$	2,988	$	1,515

Revenue Recognition (Details)	9 Months Ended
Revenue Recognition (Details)	Sep. 30, 2015
Revenue Recognition, Multiple-deliverable Arrangements [Line Items]
Typical service agreements	12 months
Minimum [Member]
Revenue Recognition, Multiple-deliverable Arrangements [Line Items]
Typical service agreements termination notice period	30 days
Maximum [Member]
Revenue Recognition, Multiple-deliverable Arrangements [Line Items]
Typical service agreements termination notice period	90 days

Net Loss Per Share (Narrative) (Details) - $ / shares	3 Months Ended	9 Months Ended
Net Loss Per Share (Narrative) (Details) - $ / shares	Sep. 30, 2015	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Weighted average exercise price (in usd per share)	$ 11.09	$ 11.09		$ 10.95
Effect of options to purchase common shares on diluted EPS, shares	1,429,142
Effect of option to purchase share of common stock on diluted net income per share	8,140,127	9,569,269	11,127,640
Employee Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Weighted average exercise price (in usd per share)	$ 9.02	$ 9.02

Net Loss Per Share (Reconciliation of Shares Used in Calculating Basic and Diluted Earnings Per Share) (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Earnings Per Share [Abstract]
Basic	56,525,647	53,868,124	56,437,198	54,238,536
Effect of assumed exercised options	558,790	0	0	0
Diluted	57,084,437	53,868,124	56,437,198	54,238,536

Segment Information (Narrative) (Details) - segment	9 Months Ended	12 Months Ended
Segment Information (Narrative) (Details) - segment	Sep. 30, 2015	Dec. 31, 2013
Segment Reporting [Abstract]
Number of operating segments	2
Customer Concentration Risk [Member] \| Accounts Receivable [Member]
Concentration Risk [Line Items]
Concentration risk, percentage		22.00%

Segment Information (Summary of Financial Information by Segment) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenue
Hosted services – Business	$ 50,957	$ 43,702	$ 151,767	$ 125,378
Hosted services – Consumer	3,661	3,992	11,219	12,441
Professional services	6,139	5,093	16,875	13,883
Revenue	60,757	52,787	179,861	151,702
Cost of revenue	16,937	13,304	51,078	38,200
Sales and marketing	23,286	20,978	71,962	59,449
Amortization of purchased intangibles	1,193	407	3,683	803
Unallocated corporate expenses	17,442	18,499	60,975	56,073
Operating income (loss)	1,899	(401)	(7,837)	(2,823)
Business [Member]
Revenue
Hosted services – Business	50,957	43,702	151,767	125,378
Professional services	6,139	5,093	16,875	13,883
Revenue	57,096	48,795	168,642	139,261
Cost of revenue	16,364	12,679	49,299	36,306
Sales and marketing	21,333	19,488	66,865	55,203
Amortization of purchased intangibles	1,193	407	3,683	803
Operating income (loss)	18,206	16,221	48,795	46,949
Consumer [Member]
Revenue
Hosted services – Consumer	3,661	3,992	11,219	12,441
Revenue	3,661	3,992	11,219	12,441
Cost of revenue	573	625	1,779	1,894
Sales and marketing	1,953	1,490	5,097	4,246
Operating income (loss)	1,135	1,877	4,343	6,301
Corporate [Member]
Revenue
Unallocated corporate expenses	17,442	18,499	60,975	56,073
Operating income (loss)	$ (17,442)	$ (18,499)	$ (60,975)	$ (56,073)

Segment Information (Revenues Attributable to Domestic and Foreign Operations) (Details) - USD ($)
$ in Thousands

3 Months Ended

9 Months Ended

Sep. 30, 2015

Sep. 30, 2014

Sep. 30, 2015

Sep. 30, 2014

Segment Reporting Information [Line Items]

Revenue

$ 60,757

$ 52,787

$ 179,861

$ 151,702

United States [Member]

Segment Reporting Information [Line Items]

Revenue

39,972

34,409

120,409

99,273

Other Americas [Member]

Segment Reporting Information [Line Items]

Revenue

^[1]

3,589

2,936

9,437

7,259

Americas [Member]

Segment Reporting Information [Line Items]

Revenue

43,561

37,345

129,846

106,532

EMEA [Member]

Segment Reporting Information [Line Items]

Revenue

^[2]

13,237

11,049

38,443

32,618

APAC [Member]

Segment Reporting Information [Line Items]

Revenue

^[3]

$ 3,959

$ 4,393

$ 11,572

$ 12,552

[1]	Canada, Latin America and South America
[2]	Europe, the Middle East and Africa (“EMEA”)
[3]	Asia-Pacific (“APAC”)

Segment Information (Long-Lived Assets by Geographic Region) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
Total long-lived assets	$ 144,541	$ 146,114
United States [Member]
Segment Reporting Information [Line Items]
Total long-lived assets	107,982	109,006
Israel [Member]
Segment Reporting Information [Line Items]
Total long-lived assets	17,122	18,982
Australia [Member]
Segment Reporting Information [Line Items]
Total long-lived assets	7,539	8,500
Netherlands [Member]
Segment Reporting Information [Line Items]
Total long-lived assets	9,159	7,686
United Kingdom [Member]
Segment Reporting Information [Line Items]
Total long-lived assets	$ 2,739	$ 1,940

Goodwill and Intangible Assets (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]
Aggregate amortization expense for intangible assets	$ 2,000	$ 1,300	$ 6,122	$ 3,461

Goodwill and Intangible Assets (Changes in Carrying Amount of Goodwill) (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2015 USD ($)
Goodwill [Line Items]
Beginning Balance	$ 80,848
Ending Balance	80,387
Business [Member]
Goodwill [Line Items]
Beginning Balance	72,824
Ending Balance	72,363
Consumer [Member]
Goodwill [Line Items]
Beginning Balance	8,024
Ending Balance	8,024
Synchronite, LLC [Member]
Goodwill [Line Items]
Goodwill, Translation Adjustments	(461)
Ending Balance	2,700
Synchronite, LLC [Member] \| Business [Member]
Goodwill [Line Items]
Goodwill, Translation Adjustments	$ (461)

Goodwill and Intangible Assets (Summary of Intangible Assets) (Details) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 50,498	$ 50,187
Accumulated Amortization	(23,689)		$ (17,567)
Intangibles, net	26,809		32,620
Technology [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	28,005	27,844
Accumulated Amortization	(14,486)		(11,303)
Intangibles, net	$ 13,519		$ 16,541
Weighted Average Amortization Period	5 years 3 months 18 days		5 years 3 months 18 days
Customer relationships [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 16,008	16,008
Accumulated Amortization	(6,093)		$ (4,055)
Intangibles, net	$ 9,915		$ 11,953
Weighted Average Amortization Period	7 years 10 months 18 days		7 years 10 months 18 days
Trade names [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 1,287	1,287
Accumulated Amortization	(1,202)		$ (817)
Intangibles, net	$ 85		$ 470
Weighted Average Amortization Period	2 years 9 months 12 days		2 years 9 months 12 days
Non-compete agreements [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 1,446	1,446
Accumulated Amortization	(879)		$ (625)
Intangibles, net	$ 567		$ 821
Weighted Average Amortization Period	2 years 3 months 12 days		2 years 3 months 12 days
Patents [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 3,440	3,290
Accumulated Amortization	(758)		$ (500)
Intangibles, net	$ 2,682		$ 2,790
Weighted Average Amortization Period	9 years 8 months 18 days		9 years 10 months 18 days
Other [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 312	$ 312
Accumulated Amortization	(271)		$ (267)
Intangibles, net	$ 41		$ 45
Weighted Average Amortization Period	3 years		3 years

Goodwill and Intangible Assets (Future Amortization Expense) (Details) $ in Thousands	Sep. 30, 2015 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2015	$ 1,846
2016	6,774
2017	4,956
2018	2,837
2019	2,830
Thereafter	7,566
Total	$ 26,809

Property and Equipment (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	$ 76,053	$ 64,732
Less: accumulated depreciation	(53,748)	(45,149)
Total	22,305	19,583
Computer Equipment And Software [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	65,665	55,293
Furniture, Equipment and Building Improvements [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment gross	$ 10,388	$ 9,439

Accrued Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Payables and Accruals [Abstract]
Payroll and other employee related costs	$ 15,282	$ 15,373
Professional services and consulting and other vendor fees	14,587	9,258
Sales commissions	3,792	3,268
Contingent earnout (see Notes 8 and 9)	782	6,940
Other	2,459	2,933
Total	$ 36,902	$ 37,772

Acquisitions (Narrative) (Details) - USD ($) $ in Thousands					1 Months Ended	9 Months Ended		12 Months Ended
Acquisitions (Narrative) (Details) - USD ($) $ in Thousands	Nov. 08, 2014	Nov. 07, 2014	Jun. 02, 2014	Nov. 09, 2012	Mar. 31, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2013	Dec. 31, 2014
Business Acquisition [Line Items]
Change in fair value contingent consideration						$ 3,792	$ 0
Goodwill						80,387			$ 80,848
Engage Pty Ltd. [Member]
Business Acquisition [Line Items]
Business acquisition, acquisition date				Nov. 09, 2012
Acquisition costs incurred to acquire entity								$ 500
Assets acquired liabilities assumed, net				$ 800
Potential earn-out consideration				1,700
Change in fair value contingent consideration						700
Engage [Member]
Business Acquisition [Line Items]
Total consideration transferred				$ 10,600
NexGraph, LLC [Member]
Business Acquisition [Line Items]
Business acquisition, acquisition date					Mar. 11, 2014
Acquired Intangible Assets Amount							500
Intangible assets							100
Goodwill							$ 400
Synchronite, LLC [Member]
Business Acquisition [Line Items]
Business acquisition, acquisition date			Jun. 02, 2014
Total consideration transferred			$ 4,100
Acquisition costs incurred to acquire entity						400
Assets acquired liabilities assumed, net			45
Potential earn-out consideration			1,800
Change in fair value contingent consideration						100
Intangible assets			$ 1,451			1,500
Goodwill						2,700
Contact At Once! [Member]
Business Acquisition [Line Items]
Business acquisition, acquisition date		Nov. 07, 2014
Total consideration transferred	$ 67,000
Acquired intangible asset, aggregate cash consideration		$ 66,998
Potential earn-out consideration		4,200
Change in fair value contingent consideration						3,200
Intangible assets		20,400
Goodwill		45,064
Cash payment		42,800
Consideration transferred, shares		$ 20,000
General and administrative expense [Member] \| Contact At Once! [Member]
Business Acquisition [Line Items]
Change in fair value contingent consideration						1,900
Cost of revenue [Member] \| Contact At Once! [Member]
Business Acquisition [Line Items]
Change in fair value contingent consideration						1,300
Accrued Expenses [Member] \| Contact At Once! [Member]
Business Acquisition [Line Items]
Potential earn-out consideration						$ 700

Acquisitions (Purchase Price Preliminary Allocation) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014	Nov. 07, 2014
Business Acquisition [Line Items]
Goodwill	$ 80,387	$ 80,848
Contact At Once! [Member]
Business Acquisition [Line Items]
Cash			$ 480
Accounts receivable			2,694
Other currents assets			289
Property and equipment			231
Other assets			43
Intangible assets			20,400
Goodwill			45,064
Total assets			69,201
Liabilities assumed			(2,203)
Total purchase price consideration			$ 66,998

Acquisitions (Components of Intangible Assets) (Details) - USD ($) $ in Thousands			9 Months Ended	12 Months Ended
	Nov. 07, 2014	Jun. 02, 2014	Sep. 30, 2015	Dec. 31, 2014
Contact At Once! [Member]
Business Acquisition [Line Items]
Intangible assets	$ 20,400
Synchronite, LLC [Member]
Business Acquisition [Line Items]
Intangible assets		$ 1,451	$ 1,500
Technology [Member]
Business Acquisition [Line Items]
Weighted average useful life			5 years 3 months 18 days	5 years 3 months 18 days
Technology [Member] \| Contact At Once! [Member]
Business Acquisition [Line Items]
Weighted average useful life	96 months
Intangible assets	$ 8,400
Technology [Member] \| Synchronite, LLC [Member]
Business Acquisition [Line Items]
Weighted average useful life		120 months
Intangible assets		$ 1,082
Trade Names [Member]
Business Acquisition [Line Items]
Weighted average useful life			2 years 9 months 12 days	2 years 9 months 12 days
Trade Names [Member] \| Contact At Once! [Member]
Business Acquisition [Line Items]
Weighted average useful life	12 months
Intangible assets	$ 500
Trade Names [Member] \| Synchronite, LLC [Member]
Business Acquisition [Line Items]
Weighted average useful life		48 months
Intangible assets		$ 62
Customer Relationships [Member] \| Contact At Once! [Member]
Business Acquisition [Line Items]
Weighted average useful life	120 months
Intangible assets	$ 10,700
Customer Relationships [Member] \| Synchronite, LLC [Member]
Business Acquisition [Line Items]
Weighted average useful life		84 months
Intangible assets		$ 247
Non-compete Agreements [Member]
Business Acquisition [Line Items]
Weighted average useful life			2 years 3 months 12 days	2 years 3 months 12 days
Non-compete Agreements [Member] \| Contact At Once! [Member]
Business Acquisition [Line Items]
Weighted average useful life	36 months
Intangible assets	$ 800
Non-compete Agreements [Member] \| Synchronite, LLC [Member]
Business Acquisition [Line Items]
Weighted average useful life		36 months
Intangible assets		$ 60

Fair Value Measurements (Details) - Recurring [Member] - USD ($) $ in Thousands	1 Months Ended		3 Months Ended	9 Months Ended
	Nov. 30, 2014	Jun. 30, 2014	Sep. 30, 2015	Sep. 30, 2015	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure			$ 4,360	$ 4,360	$ 3,987
Liabilities, Fair Value Disclosure			782	782	6,940
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure			4,321	4,321	3,987
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure			39	39
Liabilities, Fair Value Disclosure			0	0	0
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, Fair Value Disclosure			782	782	6,940
Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure			4,321	4,321	3,987
Money Market Funds [Member] \| Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure			4,321	4,321	3,987
Foreign Exchange Forward [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure			39	39
Foreign Exchange Forward [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, Fair Value Disclosure			39	39
Contingent Earn-Out [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, Fair Value Disclosure			782	782	6,940
Contingent Earn-Out [Member] \| Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, Fair Value Disclosure			782	782	6,940
Engage [Member] \| Contingent Earn-Out [Member] \| Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities, Fair Value Disclosure					$ 900
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Period Increase (Decrease)				900
Synchronite, LLC [Member] \| Contingent Earn-Out [Member] \| Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Period Increase (Decrease)		$ 1,800		$ 1,700
Contact At Once! [Member] \| Contingent Earn-Out [Member] \| Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Period Increase (Decrease)	$ 4,200		3,500
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings			3,200
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements			$ 300

Fair Value Measurements Level 3 Liabilities (Details) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Business Combination, Contingent Consideration Arrangements, Change In Contingent Consideration Liability [Roll Forward]
Change in fair value contingent consideration	$ 3,792	$ 0
Recurring [Member] \| Level 3 [Member]
Business Combination, Contingent Consideration Arrangements, Change In Contingent Consideration Liability [Roll Forward]
Balance, Beginning of Period	6,940	$ 1,660	$ 1,660
Change in fair value contingent consideration	3,792
Cash payment	(2,366)		(750)
Balance, End of Period	782		6,940
Synchronite, LLC [Member]
Business Combination, Contingent Consideration Arrangements, Change In Contingent Consideration Liability [Roll Forward]
Change in fair value contingent consideration	100
Synchronite, LLC [Member] \| Recurring [Member] \| Level 3 [Member]
Business Combination, Contingent Consideration Arrangements, Change In Contingent Consideration Liability [Roll Forward]
Change in fair value contingent consideration	0		1,810
Contact At Once! [Member]
Business Combination, Contingent Consideration Arrangements, Change In Contingent Consideration Liability [Roll Forward]
Change in fair value contingent consideration	3,200
Contact At Once! [Member] \| Recurring [Member] \| Level 3 [Member]
Business Combination, Contingent Consideration Arrangements, Change In Contingent Consideration Liability [Roll Forward]
Change in fair value contingent consideration	$ 0		$ 4,220

Fair Value Measurements Derivative Financial Instruments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Derivative [Line Items]
Cash held as collateral	$ 5,400		$ 5,400		$ 0
Foreign Currency Derivatives Contracts [Member]
Derivative [Line Items]
Notional amount	38,351		38,351		0
Fair value	39		39		0
Accrued Expenses And Other Liabilities [Member] \| Foreign Currency Derivatives Contracts [Member] \| Not Designated as Hedging Instrument [Member]
Derivative [Line Items]
Derivative liabilities	39		39		$ 0
Other Expense [Member] \| Foreign Currency Derivatives Contracts [Member]
Derivative [Line Items]
Gain (losses) on derivative instruments	$ 150	$ 0	$ 324	$ 0

Commitments and Contingencies (Details) - USD ($)	3 Months Ended		9 Months Ended
Commitments and Contingencies (Details) - USD ($)	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Commitments and Contingencies Disclosure [Abstract]
Rental expense for operating leases	$ 2,400,000	$ 2,300,000	$ 5,900,000	$ 6,900,000
Defined benefit plan employer matching contribution on first five percent of employee compensation			50.00%
Percentage of employees' eligible compensation for employer matching contribution			5.00%
Defined benefit plan employer contribution limit			$ 6,000
Defined benefit plan employer contribution vesting period			5 years
Defined benefit plan employer contribution	$ 300,000	$ 200,000	$ 1,000,000	$ 800,000

Stockholders' Equity (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended
Stockholders' Equity (Narrative) (Details) - USD ($)	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014	Jul. 23, 2014	Mar. 13, 2014	Dec. 10, 2012	Jun. 30, 2010
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Common stock, shares authorized	100,000,000		100,000,000		100,000,000
Common stock, shares issued (in shares)	57,268,489		57,268,489		56,701,331
Common stock, shares outstanding (in shares)	54,584,170		54,584,170		54,484,760
Common stock, par value (in dollars per share)	$ 0.001		$ 0.001		$ 0.001
Preferred Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Preferred stock, shares authorized	5,000,000		5,000,000		5,000,000
Preferred stock, shares issued (in shares)	0		0		0
Preferred stock, shares outstanding (in shares)	0		0		0
Preferred stock, par value (in dollars per share)	$ 0.001		$ 0.001		$ 0.001
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Treasury Stock, Shares	277,360		277,360
Granted	$ 4.10	$ 4.57	$ 4.47	$ 4.99
Dividend yield	0.00%	0.00%	0.00%	0.00%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	5 years	5 years	5 years	5 years
Share-based Compensation Arrangement By Share-based Payment Award, Fair Value Assumptions, Period Used To Determine Volatility			5 years
Stock option term			10 years
Total value of stock options exercised			$ 1,500,000
Incentive Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to nonvested share-based compensation arrangements	$ 18,200,000		$ 18,200,000
Weighted average recognition period of unrecognized compensation cost			2 years 5 months
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to nonvested share-based compensation arrangements	$ 11,100,000		$ 11,100,000
Weighted average recognition period of unrecognized compensation cost			3 years 6 months 12 days
Vesting period			4 years
1998 Plan [Member] \| Incentive Stock Option [Member] \| Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock available for issuance	5,850,000		5,850,000
2000 Plan [Member] \| Incentive Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Increase in number of shares of common stock available for issuance			4,150,000
1998 and 2000 Plan [Member] \| Incentive Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock available for issuance	10,000,000		10,000,000
2009 Plan [Member] \| Incentive Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock available for issuance	12,962,000		12,962,000
Increase in number of shares of common stock available for issuance			6,000,000
2010 Employee Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock available for issuance	427,113		427,113						1,000,000
2009 Plan [Member] \| 2009 Plan [Member] \| Incentive Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock available for issuance	23,817,744		23,817,744
Increase in number of shares of common stock available for issuance			4,250,000
2012 Stock Repurchase Program [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock repurchase program, authorized amount						$ 50,000,000.0	$ 40,000,000.0	$ 30,000,000.0
Stock repurchased during period, shares			386,812
Stock repurchase program, remaining authorized repurchase amount	$ 6,100,000		$ 6,100,000

Stockholders' Equity (Summary of Stock-Based Compensation Expense Related to Employee Stock Options) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 2,886	$ 3,654	$ 8,793	$ 9,558
Cost of revenue [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	288	365	1,092	1,209
Sales and marketing expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	760	1,030	2,292	2,766
Product development expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	927	1,171	2,819	2,783
General and administrative expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 911	$ 1,088	$ 2,590	$ 2,800

Stockholders' Equity (Weighted Average Assumptions of Fair Value Options Using Black-Scholes Option-Pricing Model) (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividend yield	0.00%	0.00%	0.00%	0.00%
Risk-free interest rate	1.70%
Expected life (in years)	5 years	5 years	5 years	5 years
Historical volatility	47.40%	53.20%
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate		1.60%	1.30%	1.50%
Historical volatility		52.60%	49.40%	52.60%
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate		1.70%	1.40%	1.70%
Historical volatility			49.70%	53.70%

Stockholders' Equity (Summary of Stock Option Activity and Weighted Average Exercise Prices) (Details) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2015 USD ($) $ / shares shares
Options
Options outstanding at December 31, 2014 \| shares	10,769,149
Granted \| shares	792,250
Options exercised \| shares	(576,577)
Options cancelled \| shares	(1,415,553)
Options outstanding at June 30, 2015 \| shares	9,569,269
Options vested and expected to vest at June 30, 2015 \| shares	8,582,041
Options exercisable at June 30, 2015 \| shares	5,448,479
Weighted Average Exercise Price
Options outstanding at December 31, 2013 \| $ / shares	$ 10.95
Options granted \| $ / shares	10.22
Options exercised \| $ / shares	4.37
Options cancelled \| $ / shares	12.20
Options outstanding at June 30, 2015 \| $ / shares	11.09
Options vested and expected to vest at June 30, 2015 \| $ / shares	11.11
Options exercisable at June 30, 2015 \| $ / shares	$ 10.91
Weighted Average Remaining Contractual Term (in years)
Options outstanding at June 30, 2015	6 years 9 months 29 days
Options vested and expected to vest at June 30, 2015	6 years 7 months 10 days
Options exercisable at June 30, 2015	5 years 7 months 21 days
Aggregate Intrinsic Value
Options outstanding at June 30, 2015 \| $	$ 3,155
Options vested and expected to vest at June 30, 2015 \| $	3,155
Options exercisable at June 30, 2015 \| $	$ 3,155

Stockholders' Equity (Summary of Status of Nonvested Shares) (Details) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Number of Options
Nonvested Shares at December 31, 2014			6,032,315
Granted			792,250
Vested			(1,288,222)
Cancelled or expired			(1,415,553)
Nonvested Shares at September 30, 2015	4,120,790		4,120,790
Weighted Average Grant- Date Fair Value (usd per share)
Nonvested Shares at December 31, 2014			$ 5.66
Granted	$ 4.10	$ 4.57	4.47	$ 4.99
Vested			5.29
Cancelled or expired			6.24
Nonvested Shares at September 30, 2015	$ 5.35		$ 5.35

Stockholders' Equity Summary of Restricted Stock Unit Activity and Weighted Average Exercise Price (Details) - Restricted Stock Units (RSUs) [Member] $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2015 USD ($) $ / shares shares
Number of Shares
Balance outstanding at December 31, 2014	0
Granted	1,256,500
Exercised	0
Forfeited	(36,000)
Non-vested and outstanding at September 30, 2015	1,220,500
Expected to vest at September 30, 2015	893,956
Weighted Average Grant Date Fair Value (usd per share)
Non-vested and outstanding at September 30, 2015 \| $ / shares	$ 10.31
Expected to vest at September 30, 2015 \| $ / shares	$ 10.31
Aggregate Fair Value (in thousands)
Non-vested and outstanding at September 30, 2015 \| $	$ 9,227
Expected to vest at September 30, 2015 \| $	$ 6,758

Restructuring Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Restructuring Costs (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Restructuring Cost and Reserve [Line Items]
Restructuring costs	$ 0	$ 0	$ 2,988	$ 0
Restructuring liability	1,515		1,515
Contract Termination [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring costs			1,745
Restructuring liability	569		569
Employee Severance [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring costs			1,243
Restructuring liability	946		946
Accrued Expenses And Other Liabilities [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring liability	$ 1,500		$ 1,500