The other way you deliver values with much better experience. And we’re seeing that. So the labor investments that we’re putting in, the simplification that we’re not scraping the labor front, that we’re reinvesting that labor back into the business, is having a significant impact on food grade and server attentive and ultimately intent to return. So, I believe we’re going to continue to have the best value in the industry, even with the pricing that Joe described, because we’re going to continue to elevate the experience. And then if you look at like like-for-like pricing versus our competitors, we’re either beneath them significantly or at parity with them, So it’s not like I feel like we’re getting out of whack in anything. If you look at Fajitas and Burgers and Crispers and either right in line or below what you see in all of our markets.
So, there’s nothing that’s alarming to me, as long as we continue to improve the experience, put those investments back into the business. To me it’s about a long-term turnaround and I think we’re well on our way. And based on the results that we’re seeing, it’s encouraging that we’re making the right moves on that.
John Tower: Okay, I appreciate that and pivoting on you a little bit, can you just maybe drill into how we should expect the cadence of the advertising spend to look throughout the year? I know it’s 21 versus four weeks, but is it going to be chunky around say the football season or evenly spread throughout the year?
Kevin Hochman: Yes, so, which our team believes in – I’ll borrow your term, chunky. So, you’ll see blasts once a quarter, where we have high weights that you’ll be able to see around tentpole, we call them tentpole events, could be sporting occasions could be other things that are happening in the TV marketplace. And then in between the four tentpole events, you’ll see kind of an always-on strategy with digital and social advertising. And then there’ll be possible – they call – the team’s calling culture pops, which are kind of events or stunts that will just keep Chili’s in the news between those big tentpole TV programs. So to answer your question, it would be more chunky once a quarter, and then you’ll see it supplemented with social and digital throughout the year, as well as kind of these PR events, just to keep Chili’s top of mind.
John Tower: Cool. Awesome, thanks for taking the questions.
Operator: Your next question for today is coming from Chris Carril with RBC Capital Markets.
Chris Carril: Hi, thanks and good morning. Maybe tying together some of the previous responses and just following up on restaurant margins. Obviously a lot of moving pieces, just given the commodity outlook you provided, the run rate of higher labor hours and R&M expense in the first half of the year. Of course, advertising, but generally, how should we think about the cadence of margins over the course of the year. I know, Joe, you had called out, obviously favorable lap in the 1Q, but just trying to think about the potential for margin improvement in the 2Q and beyond?
Joe Taylor: Yes Chris, let me give you a little color on that. And obviously we think from an annual perspective there is some nice upside to the restaurant operating margin for the year, I think that will definitely, meaningfully exceed the 30 to 40 basis points, annual targets we talked about it, at the Investor Day off for obvious reasons on what’s happening in particularly the commodity markets. I think you’re going to see an oversized gain in Q1. It’s going to be an increase of a couple of percentage points or more in Q1. So that’s the largest year-over-year gain that you’re going to see. And then I would expect to see improvement as we move through the rest of the quarters, improvement I would anticipate will get narrow in the Q3 and Q4, as you get lapses that are, that are more year-over-year, normalized. So again, nice opportunity to move forward on ROM for the whole fiscal year, that outsized lap in Q1, and kind of narrowing as you get down through Q4.
