They are scooping up some of the higher retails, which is just really incredible to see. And remember, our higher retails are generally associated with better-quality and improved features and benefits on the garment or accessories. So that’s really great to see. And then on the sort of other end of the spectrum, whilst we certainly see the pressure on the $25,000 and below households, we are seeing, as I mentioned, a really interesting adjustment by those households. We’ve done a couple of informal focus groups across our fleet. And what we’re hearing is, their doing their best to adjust to mainly a rent landscape that’s quite different than in the past, food with the assistance that they often get is manageable and then gas as you know, it’s getting a little better.
So if you put that all in the blender, they are adjusting better than we thought. And it’s our job to make sure our assortment on the other end of the AURs spectrum the extreme value price points, think 999 and below, it’s our job to make sure we offer those in a consistent everyday basis, replenish them and keep them fresh and new. And that’s exactly what the team is doing. So we’ve learned a lot across Q3. Back to-school is a terrific learning opportunity because we saw higher velocities and we were able to trial out of new things this past back to school that are definitely bearing fruit, many of which continue on through the end-of-the year and into €˜23, meaning they just weren’t back-to-school product. So that’s all good on the customer front.
I’ll turn it over to Heather for inventory and margin data that we’re certainly very pleased with.
Heather Plutino: Yeah, good morning, Dana. Thanks for the questions, appreciate it. Let me start with margin. Really proud of where our margins came in for the quarter at 39.8%. I would say the strength is really across the components, right. There’s IMU expansion, our team is very focused on that. We had lower markdowns on inventory discipline and then we’re continuing to focus on managing our freight expense as well. So really across-the-board good news from a margin perspective. I’ll tie into between margin and inventory, obviously, the two are very intertwined. I’m going to talk about our packaway strategy, right. I mean, we spoke about this last quarter. We put some really — the way I describe it, we put some really great product in the raptors in the beginning part of the fiscal year, tail-end of the last fiscal year, and we’re excited to move those goods to the stores.
It’s exciting product that is really intriguing to our customers and the margins are really good. So it’s a strategic investment that’s working and we’re seeing it play-out both in the margin and in our inventory levels, right? So the team has been very, very focused on managing inventory to make sure that we aren’t going back to what I understand have been 2019 kind of the old retail. If I could maybe pilot high approach, we’re not doing that and we can point to our average in-store dollar inventory down 19% to 2019 with units down 29%. So we’re really working on making sure that the velocity is right on the products that we bring into the stores, that the margin is right and that is exciting compelling product for our very important customers.
Dana Telsey: Thank you.
Heather Plutino: Thanks Dana.
David Makuen: Thanks, Dana.
Operator: Thank you. Next question is from the line of John Lawrence with Benchmark. Please go ahead, your line is open now.
John Lawrence: Yes, thanks. Congrats, David, on the quarter and Heather. David, would you talk just a little bit about, I mean, the 13% of the fleet that we’ve talked about CTX. Can you give any sense of still providing that lift you’ve talked about mid-single digits or something like that in terms of productivity of those new units?
