Richard Galanti : Well, we don’t — what’s that? No. Somebody in the room is telling me we were also up in terms of the average household incomes. So I think we’re both seeing that. We know a lot of — particularly of our executive — our business members, in many cases, probably have both cards. They’ve always had both cards. And so no, we don’t put our head in the sand as it relates to it, but we look at our numbers and how we’re doing, and we’ve seen that the — our penetration of higher income members has also benefited during this time.
Operator: We’ll go next now to Oliver Chen at Cowen.
Richard Galanti : Before Oliver answers — Oliver, before you ask a question, one other comment. One of the things that we have not done and don’t plan to do is do a lot of promotional activities with our membership. And so that — certainly, that will, in the short term, help drive membership, but we don’t do a lot of that. Go ahead, Oliver.
Oliver Chen : Regarding e-commerce and going forward, what are your thoughts? You’re up against some tough compares, but as we model it on a longer-term basis, how should the growth rates evolve? And then as we think about non-food, you talked about it a lot, but do you expect the non-food percentage mix to change from the past? Or it will more normalize? And lastly, on the higher income consumer and gains there, would love for you to elaborate on what’s happening? And if you’re getting more luxury consumers in terms of higher income folks joining in the club?
Richard Galanti : Sure. I wrote down non-food — in terms of what’s the new normal? Look, we don’t know what the new normal is. I do know that we figure out how to drive total sales. I do know that over the last 2.5 years through COVID, people buying things for their home, whether it was indoor furniture, outdoor furniture, exercise equipment, electronics and appliances and it’s even greater because of our acquisition in April of 2020 of the last mile, big and bulky delivery and installation arm from Sears, all that stuff has helped us dramatically. Look, a little bit is — again, we don’t know how much of it is just comparing against very strong numbers versus a little weakness. Our guess is a little above. We want to drive — we always want to drive everything, but we want to drive more non-food things because you’ve got — you don’t need any extra space.
If you’re turning fresh foods at 50, 60 times a year or more, you’re turning some non-food categories at 8 times a year. It’s easy to go from 8 to 10 without any extra space in the building. So that’s always been a goal of ours to drive both sides of the business, and we think we’re pretty good at doing it. And this will be — we’ll find out what the answer is a year from now. On — what was the other question? I’m sorry.
Oliver Chen : On e-comm and the e-com long-term growth rate there. And then also the higher income membership.
Richard Galanti : Sure. Okay. On e-comm, again, that is even more dramatic if you look at what e-com did. We essentially doubled e-comm over a 12-month period from about worldwide from about 8 billion to 16 billion in that probably three or four months into COVID and then going fast forward a year. So the last half of fiscal ’20 and the first half of fiscal ’21, we had pretty good numbers over the last year. That, of course, dramatically impacted in a good way from our acquisition of Innovel. And doing, as I mentioned on the last earnings call, pre that acquisition in the U.S., we did about a little over 2 million drops, and a drop is anything from dropping off a sofa to dropping off and installing a washer dryer or a refrigerator freezer and taking the old one away.
