Ian Borden: Yes, good morning, John. Let me start with the first bit, and then I think Chris will take the second part of your question there. I mean, I think from a pricing perspective, it goes back to what we’ve talked about a bit through the call today. I mean, I think we’re always focused on ensuring we’re delivering strong value, strong affordability, even more so, obviously, when consumers are under pressure as they are. I think currently, I think we certainly — if you look back, I would say, when we get into these moments where consumer disposable income is under more pressure and they’re having to think about moving to more affordable options, I think we are certainly a beneficiary of that as just because of our positioning on value and affordability.
And I think strategically, if you go back and use the U.S. as the example, what we’ve done over the last couple of years to invest in the estate, to invest in our marketing and brand communication, to invest, I think in the channels where we’re bringing our experience to life, whether that’s digital and how we’re connecting with our consumers, whether that’s delivery, et cetera, I think we have a lot more compelling reasons to visit and advantage versus those around us. I think if you think of the food away from home and the food at home, I mean, I think the dynamics been in reverse over the last probably 12 to 18 months versus what you would see typically, meaning food away from home inflation has actually been lower than food at home. I think you’re starting to see that shift back to more traditional kind of dynamics.
But I think we feel good about how we’re generally positioned against from a choice perspective for consumers even as those dynamics shift back. And I think you look at kind of the first quarter momentum, the fact that we’ve got that positive traffic growth that we’re kind of outcomping the competitive set, I think are all strong indications of that. But I mean, it’s work ahead that we need to stay focused on to ensure that we kind of maintain our positioning from a value and affordability and ensure we’re delivering a better experience, as Chris touched on earlier, to ensure that we’re kind of earning every customer visit each and every time they need to make a choice on where they’re going to go. To the second part of your question, I think even though our digital sales are now roughly 40% of overall sales and about half of that being identified, it’s still early days for us in our journey there.
I expect that we’re going to continue to see digital as a percent of the business grow. You look at China, where it’s almost 80%, 90% of the business, it gives you an indication of potentially how high is up. As you get more and more of your sales on digital and as more and more of your customer base becomes identified, I think you can get much more specific around how you’re delivering personalized value. And I’ll just give you one example. I love our McChicken Sandwich. I order our McChicken Sandwich all the time. I should never be getting, and I say this to the team, I should never be getting on my app on offer for the McChicken Sandwich. We’re not yet at that level of sophistication, but we’re going to get to that level of sophistication.
And so as you think out to the future, I think all of the things that we’re doing right now, we’re laying a foundation for a very intimate, close connection that we have with our customers. And as we do that and as we get more and more identified, I think it’s going to allow us to get much more sophisticated about how and when we’re delivering value into whom. And for what purpose? Is it to drive frequency? Is it to drive reach? All of that is to come. We’re in very early stages today.
Mike Cieplak: Okay. We’re at the bottom of the hour. That completes our call. Thanks, Chris. Thanks, Ian. Thanks, everyone, for joining. Have a great day.
Operator: This concludes McDonald’s Corporation Investor Call. You may now disconnect. And have a great day.
