Sharon Zackfia: Craig, thank you.
Tom Fitzgerald: Welcome.
Operator: Your final question comes from Alex Perry with Bank of America. Please go ahead.
Alex Perry: Hi, thanks for taking my question. And Tom, congrats on your retirement. I just wanted to ask a little bit more about Black Card penetration. So, what gets Black Card penetration going in a positive direction, or should we expect, given the Gen Z acquisition continued declines in Black Card penetration, do you think potentially narrowing the pricing gap between White Card and Black Card could help this?
Craig Benson: Well, preliminarily, we’ve seen some movement in that direction, but again, tests are still somewhat new. The more you can narrow the price common sense as, the more the opportunity is there to trade people up. So that clearly helps, maybe. And we continue to experiment with pricing. It’s something that we will continue to do for a long time, because I think there’s opportunities to look at ways that we can value engineer the pricing so that members still feel they’re getting a great deal, but also allow us to move the margin equation, especially with some of the changes that have occurred in the industry with the supply costs or labor costs or what have you.
Alex Perry: Perfect. That’s really helpful. And then my follow-up is just on international. Is Spain the only international market you – new international market you expect to enter this year? And then could you just – how many stores in Spain were you expecting to open this year? And then are you looking at other European markets? Thank you.
Tom Fitzgerald: Hey Alex. We’re only talking about Spain at the moment. And I think we’re still on our path to now that we’ve bolstered that team a bit here over the last few months to increase our pace from one-ish a year to ultimately two to three a year. So we’re still in the early stages of ramping that up. We feel really good about Spain. It’s a great country to enter in Continental Europe. We believe over time that it could be a 300-plus store opportunity. I think time will tell. [Technical Difficulty] and we feel really good about it. We have set aside the capital to do a few stores this year as part of our plan, and we’re working on our way through to getting leases and building our pipeline. So time will tell exactly how many we opened this year versus next year, but we feel good about the progress that we’ve made in a short period of time.
And I think as I mentioned earlier, coming in as the franchisor really just opens up more doors than a franchisee who might be starting off on their own. So we like how we’re approaching this. And it’s one thing to say we’re going to add one or two markets a year, but it’s a different thing, obviously, to say a Spain at 300-plus location potential [Technical Difficulty] New Zealand, which we’re happy to enter, but it’s just a much smaller opportunity. So, this is going to look and feel much more like Mexico and Canada size store potential wise, and we feel good at that. So, more to come on where else in the world down the road, but we are very excited about this one.
Alex Perry: Perfect. That’s really helpful. Best of luck going forward.
Tom Fitzgerald: Yes. Thank you, Alex.
Operator: This will conclude the question-and-answer session in our call. I will turn it back over to Craig Benson for closing remarks.
Craig Benson: Well listen, we are very appreciative over your time this morning. We look forward to talking to you in the near future, and thank you for supporting Planet Fitness and helping us along our journey. Thanks, and have a great day.
Operator: This concludes today’s conference call. Thank you for your participation. You may now disconnect.
