Operator: The next question comes from Ken Goldman of JPMorgan. Please go ahead.
Ken Goldman: One quick follow-up on Pet and then I had one on North American retail, if I could. Is there any way to roughly quantify how much maybe the gap between shipments and consumption or maybe the trade load however you want to put it, kind of helped company margins or segment margins during the quarter. And Pet, I realize there’s back and forth and things have gone around quarter-to-quarter. So I’m just curious if we get a little bit of quantification around that, if possible?
Jeff Harmening: It’s really difficult to quantify, Ken, this is Jeff. It’s really difficult to quantify what’s going — the contribution of inventory rebuild with margin for Pet in the third quarter. I would say, but there are a couple of things. First of all, I would say our margin in Pet was roughly in line with what we thought it would be. And the fact that our profitability decline in Pet was not a surprise to us and is really based on a couple of factors. One is — and by the way, even though our margin actually did improve slightly from the second quarter. The factor is really contributing to the fact that our profit decline in the third quarter in Pet was that we did see significant inflation and we did see a lot of costs coming in due to capacity expansion as well as some external sourcing.
And so, these are things we expected. The other thing I would point to is that when we saw Life Protection Formula really doing well behind our marketing efforts in the second quarter, we decided to spend more against it in the third quarter. And that’s paying dividends as our Life Protection Formula has continued to accelerate, but it does mean our marketing spending had a negative impact on the P&L in the third quarter over the although it’s clear over the long run — that this is such a good idea. So, I want you to know that when it comes to Pet, the margins that we saw in the third quarter are very much in line with what we thought even if it’s difficult to quantify the impact of margin rebuild. It’s just our service is getting better, which I think is a positive.
Ken Goldman: Got it. But if I’m reading between the lines, it doesn’t sound like it was a major impact if the margin came in somewhat close to what you thought. Is that correct?
Jeff Harmening: That is correct. It’s not a major impact, Ken. And I would also say, you didn’t ask this, but I guess a bonus answer would be that in our fourth quarter, we actually — we expect that our profitability will be up in our fourth quarter as we see our pricing that took place at the end of the quarter come into effect as we see a little bit easing on inflation, we see the service getting better. And so the drags that we see less on, we see a little bit more pricing and so we would anticipate that in Q4, our profitability will be up in Pet.
Ken Goldman: And just to clarify, is that dollars margin, both?
Jeff Harmening: Both.
Ken Goldman: Both perfect. Yes. I’ll let it go there.
Jeff Harmening: You have a question about NAR? I’m sorry.
Operator: The next question comes from Alexia Howard of Bernstein. Please go ahead.
Alexia Howard: Two questions. Can I ask about marketing spending to begin with? I know that you said it was up mid-single digits, I think, 4% to 5% over the last few years and up double digits, I believe, this year. Do you anticipate that the sort of strong level of marketing reinvestment or increase as a percent of sales is going to continue? And then linked to that, promotional activity, are you seeing any changes there? Is it sort of steady Eddie because obviously, that’s come in or down quite a bit since the pandemic began. Do you anticipate not a big resurgence, as I think you’ve said before on the promotional side?