And so that will help us from a merchandise margin standpoint. We talked about – Jim in his prepared remarks talked about the in-store fulfillment and the benefit that, that is to us. And one of those benefits is ability to clear any product that we have that needs to be marked down and moved out of the store. We’re able to do that more quickly as customers can find that online versus just going into that one store and us hoping that somebody in that size and with that style preference purchases that product. So, we’ve got lots of ideas to continue to grow that merchandise margin and not to sustain it at the level that it’s currently at.
Mitchel Kummetz: Okay. And then maybe just one for Jim Conroy Jim, when I look at your store comp, your store comp has held up well, particularly on a multiyear basis. And correct me if I’m wrong, but I believe your e-comm of late has maybe been negatively impacted by competitors being better inventory than they were a year ago. But I would guess that your store competition could probably make the same claim? And I know you talked about your store customer – a little bit more loyal. Could you just kind of talk to the strength of your stores, just from a retention standpoint? I know that – slide that you presented at ICR kind of spoke to that in terms of where you pulled customers and – their intent to repurchase. But why is it that store customer is behaving so well, especially maybe relative to the e-comm customer?
Jim Conroy: Sure, it’s a great question, Mitch. Thank you for asking it. As you know, we have always been a stores’ first brand. And we really invest in the in-store experience through inventory assortment, where we’ve remodeled a number of stores. We’ve got a new store prototype. We’ve brought digital capabilities into the store and so on and so forth. That coupled with the brand has continued to build strength and momentum over the last several years. We’ve completely changed our creative five or six years ago. We’ve changed our marketing and media mix to really make the brand more top of mind for customers. And when you look at our core customer, they are extremely loyal to us, where the authoritative source for our types of product, our lifestyle products.
Most of our customers that shop with us join our loyalty programs. So the vast majority of our sales go through our loyalty program. So we can reach out to them again. They are continually pleased when they come in and they find the product that they need in their size and so on and so forth. So that customer has just demonstrated time-and-time again that they are extremely loyal to us, rarely will shop other competitors, and shockingly, rarely shop online. They shop our stores, and the overlap even between our stores customer and our bootbarn.com customer is very low. So it’s a phenomenon that works for us, where 85-plus percent of our business continues to go through our store, and we expect that to maintain. We would like to see our e-commerce business start to get back to growth once we cycle the software business in July, and we expect that to happen.
But if we continue to sustain the levels within our stores and hopefully grow from this new floor, that just bodes well for the future.
Operator: The next question comes from the line of John Lawrence with the Benchmark Company. Please proceed with your question.
John Lawrence: Great, thanks guys. When you look at these new stores just doing the volumes, Jim, at $4 million, has it changed any of the strategy of how you go to market, where you place those stores to more tenant improvements? Anything that you could point to that the, success of these stores are changing how you look at where the next 10 are going to go?
