And as Bill mentioned, when you pull that tire off, and you get to see that the brakes are rusted and the calipers frozen and the suspension parts aren’t working as well as they should be, or maybe something’s broken, that opportunity to get the wheel off, just generates a bigger repair. Now the other thing is, as people push maintenance off, there becomes more failures in the repair cycle. So longer term, pushing that deferred maintenance off is good for us. But those have been the pressure points over the last couple of months.
Seth Basham: Understand those being the pressure points, but would you assess those are also the areas where you’re not getting as much share as you expected?
Philip Daniele: Yeah, I don’t know that we’re not gaining share in those categories. I think, over the last couple of years, we know we’ve grown a significant share in some of those categories. I believe everybody would be down pretty commensurately. And some of those categories aren’t going to return to a more normal cycle until you go through another winter cycle of snow. So I think they will be depressed. We’ll see those categories, be under a little bit of pressure until we get through another normal winter cycle.
Bill Rhodes: So I’ll add that I do think, like we said earlier, we have — we grew share exponentially over a couple of years. And part of that was because our in-stock position was massively better, certainly than our WD competitors. I think we’ve ceded some of that share back to them as they’ve gotten back in-stock.
Seth Basham: Yeah, that’s exactly my follow up is going to be Bill, just thinking about that in-stock position, when we start to cycle that improvement by your competitors, is that here into the fiscal first quarter, or is it going to take another couple of quarters?
Bill Rhodes: I think we’re beginning to cycle it now. But as you said, it’s going to take some time not every category was the same, not everyone competitor was the same. So we’ll probably be dealing with it for six more months but we probably past the height of it.
Seth Basham: Great. Thanks, guys.
Bill Rhodes: Thank you.
Operator: Thank you. Our final question today will be coming from Scot Ciccarelli with Truist. Your line is live.
Scot Ciccarelli: Good morning, everyone. Thank you for the time. So I guess I’m still confused, outside of whether what has the main execution challenge has been on the commercial segment? Part one. And then part two, kind of related to that is, what specific changes are you making to the business to help accelerate growth as we kind of roll here into — further into ’24? Thank you.
Bill Rhodes: Thanks, Scot. I think the answer is there’s not one single thing. I think we tried to make that clear. We — as we’ve said, for the last two quarters, we were operating differently during the pandemic. Everybody had to operate differently. Because we were having to make decisions on the fly every day. As we’ve come out of the pandemic, we’ve lost a few of our disciplines. These are things like writing the right schedule. We’ve experienced exceptionally high turnover. We don’t have the same level of, of experience in our stores that we had then. And we’ve just got to get back to making sure that we’re dotting the I’s and crossing the t’s. And we’re delivering parts on time, that we’ve got the right hand stock levels, and on and on and on.
There is not one major thing. These are thousand paper cuts. That has been the hallmark of this organization. I put our execution up against anybody. And we weren’t as sharp as we needed to be, and we’re making those improvements today.
Scot Ciccarelli: And then specific changes you’re making. Is it just better blocking and tackling for lack of a better term Bill?
Bill Rhodes: I think that that is the biggest change that we’re making. But that’s not the sole thing that we’re doing. Phil mentioned that we got a lot of technology that we’ve deployed in the commercial business. Over the last six months we’ve really refined that technology. And we’re excited about what it means. We have two or three major technological enhancements that are coming in the first quarter or two this year, specifically in the commercial business that are all focused on how do we execute better? How do we decrease delivery times? How do we make sure that we’re delivering the right parts at the right time? And we’re excited about that.
Scot Ciccarelli: Got it. Thank you.
Bill Rhodes: All right. Thank you. All right. Before we conclude the call, I want to take a moment to reiterate we believe our industry is in a strong position. And our business model is solid. We’re excited about our growth prospects for the year but we will take nothing for granted as we understand our customers have alternatives. We have exciting plans that should help us succeed for the future. But I want to stress that this is a marathon and not a sprint. As we continue to focus on the basics and strive to optimize shareholder value for the future, we are confident AutoZone will continue to be very successful. Thank you for participating in today’s call. Have a great day.
Operator: Thank you. This does conclude today’s conference call. You may disconnect your lines at this time and we thank you for your participation.
