Jed Kelley: Thank you.
Richard Schwartz : Thanks, Jed.
Operator: Our next question is from Bernie McTernan with Needham & Co. Your line is now open.
Bernie McTernan: Thanks for taking the questions. Maybe to start to dovetail at the last one. Just any additional color you could provide on the guidance between international versus domestic growth? I know international or at least Columbia is going to have some pretty significant headwinds on FX for the rest of the year and maybe any thoughts on US market share versus market growth? And then second or two, now that market efficiencies improving by a third, how much of that was just lower cost to acquire customers versus anything you guys are doing differently, whether it’d be data science or change in strategy. Just any additional insights there would be helpful.
Kyle Sauers: Yes. So I’ll take the first part and thinking about just kind of our revenue build and the growth in revenue this year and where we expect that to come from. So I’ll probably stop short just breaking it down international versus US or North America. So we talked a little bit about this in the opening remarks. I think something in the range of 80% to 90% of our growth is likely to come from the markets that have been live for more than a year. So if you’re thinking about same store basis, that’s a rough guideline. Most of the growth in 2023 is going to come from our North American markets that launched after 2020 and Latin America. I think I think in prepared remarks, Richard mentioned that group of markets grew 95% last year.
So at the midpoint of our guidance, Latin America and then these later US markets after 2020 those could grow in the neighborhood of 35% this upcoming year and a lot of you estimate closely from the state data that’s reported very nice portion of our revenue, about two-thirds of our revenue last year came from Pennsylvania, Illinois, New Jersey. Pennsylvania and Illinois are both markets where we had a really strong start after the launch. All three of those markets have continued to get more competitive. So our expected growth in those markets is more modest, but I think the takeaway from all of that is the markets that we didn’t enter with a known brand or casino database to leverage are growing really nicely and that’s a great sign for new markets that are — are newer markets, but also new markets that launch over the coming years.
Richard Schwartz: In terms of your second question. Our maturity as an organization, as a marketing team allows us to know what works better and what doesn’t work. And so obviously we’re applying more efforts towards the marketing strategies and marketing channels that deliver the best results. We’ve also always been very disciplined and that continues to be the case where we have defined paybacks for each market and each vertical. And so while it is true that we are getting some opportunities back from other operators who maybe were investing in certain channels and have no longer continue investing there, many times those opportunities come back to us, they are still at a higher rate than what we were willing to pay at the highest level for that market.
So I would say that there is a combination of something that’s becoming more affordable, but a lot of it is investment we’ve made in data science as you referenced, combined with our teams developing maturity and experience in what works and doesn’t work and continuing to be disciplined and making sure that we only invest in the markets that are going to give us the best return on capital.
