Peter Kern: Sure. So I think, yes, as far as the airlines go, I mean, we have seen, you’ve never heard that pricing is softened a little bit in domestic air in North America. There’s a little bit more supply. And yes, there’s been high demand for international. So I think it’s been mostly a shifting of patterns. It’s not total consumable dollars. Obviously, in every industry, not everybody participates the same way. Some are more domestically focused. Others have bigger international exposure. But in terms of consumer demand, I’d say it’s broadly been steady and good, and there hasn’t been — there are places that fall and other places that rise. But overall, the consumer has been acting healthy and strong. So I don’t think there’s anything to see there other than moving, moving geographical trends and consumer trends in terms of what they’re looking for.
As far as brand spend, and again this isn’t, I wouldn’t get focused on the word brand spend, as we conventionally think about it, it is spend against our business, which could be brand spend, it could be performance marketing, it could be a lot of things. When we say we wanted it to support the One Key launch, it’s not in the sense of like we needed money to buy TV spots, it’s in the sense of we thought our money with the hook of One Key out the door would be more efficient as we drove consumption, be it through Google auctions or be it through digital advertising of various kinds or television. So that’s what we were talking about. As far as how we’re going to spend, we have a campaign out now that’s very focused on One Key as a concept and the three of them coming together.
But our intent is, at least for now, to keep marketing each brand, they will then, they will all have a touch point to One Key and make clear that they are, sibling brands and part of one big umbrella loyalty program, but they will each have their own brand identity in terms of what their consumer proposition is and how they deliver it to the consumer.
Jed Kelly: Thank you.
Operator: Your next question comes from the line of John Colantuoni from Jefferies. Your line is open.
John Colantuoni: Great. Thanks for taking my question. Sorry about the drop earlier. I want to talk a little bit about the One Key rollout. Can you help us understand what’s changing from a loyalty perspective across each of the individual brands and how we should think about the sort of collective impact to take rate from these loyalty changes and perhaps some sort of other potential merchandising changes related to the rollout. And can you also help sort of talk a little bit more about the puts and takes of the acceleration in bookings growth? Next quarter, there’s, the bites or slowdown in the system marketing spend and maybe some pull forward in the last quarter into Q1 from Q2. But I’m also curious if you’ve started to see an inflection point in some of the smaller brands where, they’ve gotten small enough to not have as material an impact on the overall business. Thanks.
Peter Kern: A lot of good questions there. I would say starting with One Key, basically I think the simplest way to think about it is One Key is closest in what it offers to what the Expedia program was, the brand Expedia program was historically in that you earn points, the points are worth money, you can spend the money. Some things have changed. I mentioned the member discounts. You now have silver and gold member discounts. There’s added benefits for those silver, gold, platinum members that they get. But it’s most similar, so that’s, I would say, the least change in the sense that you could already use that currency across many products and things. You couldn’t really use, you couldn’t use it in Vrbo, but that was the one missing piece.
So maybe the way to think about that is you’ve added Vrbo to the pot and those consumers can now benefit when they want to rent a vacation rental. Hotel.com, many of you are familiar, had a very rich program for the super user. If you book 10 rooms, you get a night free, and that was a very valuable benefit for a super user, but the vast majority of users didn’t get a benefit because they never stayed enough nights. So we’re trying to make that program much more attractive to all users while still keeping it very attractive to the super user for all the points I went into a moment ago as to why they would find incremental value there. And again, you could only use that on hotel product. Now you can use it on anything. And that’s a lot more flexible, a lot more vast, and you can do a lot more with it.
