Operator: Our next question will come from Robert Ottenstein of Evercore ISI. Please go ahead.
Robert Ottenstein: Great. A quick follow-up and then my other question. Where your volumes are down, particularly in the U.S.? Has that gone to competitors or is it more of a function of consumers postponing purchase or orders being postponed? So that’s just kind of the follow-up. And then my main question is, where you see yourself in digital and e-commerce. Arguably, a few years ago, you were unsatisfied and have made a lot of investments and they’re certainly panning out particularly in China. Do you believe that you’re kind of where you need to be, to be fully competitive globally in digital and e-commerce now? Thank you.
Noel Wallace: Yeah. Thanks, Rob and good morning. So on the volume, particularly in the U.S., as I mentioned already, we saw some — our promoted share fall-off across a couple of our categories in the U.S., as we pulled back on some of the promotions and established some of the new pricing. Where it’s gone to is a multitude of the competitors, obviously, where they have not pulled back on their promotional levels as much. And therefore, we saw a little bit of migration to them. But clearly, that consumer typically responds to promotions, whether it’s couponing or otherwise. And they’re not that difficult to get back, but we want to get — we want to get those consumers back in a much healthier way moving forward. So the overall structure of the U.S. P&L improves and that’s pretty consistent around the world.
When you pull back on promotions, you’re going to have a highly driven consumer that looks at pricing and value, and you need to ensure that you’re obviously providing that value moving forward. So we’ll get the balance right. Our digital — on that, we’ve talked a lot about our digital transformation, yeah, three years ago, we weren’t where we needed to be. And I would say we’re very, very pleased with where we are today. We do an external study with BCG, which assesses all of our peer group vis-a-vis their digital capabilities. And three years ago, we were below the peer group. Today, we are above the peer group. And we’re not best-in-class yet, so we feel we’ve got more room to go. And Brigitte and Diana and Prabha and all the operating units are very focused on this, and we feel we’ve got good plans in place to continue to advance that.
And our goal is absolutely to become best-in-class.
Operator: Next question is from Lauren Lieberman of Barclays. Please go ahead.
Lauren Lieberman: Great. Thanks. Good morning. I was hoping to maybe talk a little bit about Latin America. I know it’s a market where you’ve been putting a lot of premium innovation in place. It’s been a core part of the strategy, particularly in Oral Care. And yet there’s significant inflation in some markets. So I was just curious for an update there may be on premiumization versus affordability, what you’re seeing in terms of consumer trends outside of the reported results, but kind of what the dynamics are from a consumer environment standpoint and how you’re managing those two ends of the pricing ladder. Thanks.
Noel Wallace: Yeah. Thanks, Lauren and good morning. So you saw the results, another really strong organic sales growth for Latin America. And pleasingly, after five quarters of double-digit pricing, we saw volume improve in Latin America. And I think this is a good proxy for as we think about pricing in other markets and coupling that with strong advertising, ultimately the volume will come back. It’s a quite resilient consumer. They’re accustomed to inflationary pricing. But as long as you’re bringing a collection of strong innovation and continuing their brand support, which is vitally important to come out of these tougher times with stronger brands, you see the volume return to category. So both Mexico and Brazil delivered volume growth in the quarter and both had very strong growth organically given the fact that they also took pricing.
