Ken Suchoski: And then, what’s the expectation around revenue growth in the physical retail business in 2024, I guess, including and excluding Iraq? Because it looks like you’ll start to lap some of the Iraq revenue contribution in the first quarter of this year.
Matt Cagwin: Yes. So again, we’re not going to give out guidance at the segment level really for most things.
Operator: Our next question comes to us from Tyler DuPont from Bank of America.
Tyler DuPont: I wanted to first touch on the current geopolitical events in the Middle East. Given your geographic footprint, not specific to Israel or anything but sort of the regional change in money transfer volumes or mix between retail and digital or just any other dynamics that are worth considering that haven’t been mentioned so far?
Devin McGranahan: We’ve seen very — obviously, overall volumes in the region are down but they haven’t gone to zero and there’s been little change in terms of the mix of retail and digital. It’s predominantly a retail environment in that part of the world. We continue to monitor it but the overall region itself is relatively small relative to our total business. So we’re more concerned about the lives of the people, protecting our agents, our employees and hoping that the conflict ends quickly than the economic impacts for our business.
Tyler DuPont: And then, just as a follow-up; I believe you mentioned in the prepared remarks that customer acquisition cost declined by around 15% in the year. Can you speak to how the company’s LTV to CAC has evolved throughout 2023? And how you anticipate this metric will continue to evolve through 2024, particularly as we’re shifting the mindset from more of an omni-channel focus to selling consumer services to just sort of the dynamics there and any pieces to the puzzle worth noting?
Matt Cagwin: If you think about it, we’ve highlighted a couple of key drivers of that math. We’ve talked about the fact that our digital retention has improved by 110 basis points. That’s pushing the life out longer for historical customers over before making this change. We’ve reduced our rates to some degree. And then we’ve obviously lowered our CAC. Holistically, it’s about the same as it was before for those moving parts.
Devin McGranahan: And I would add two things to it. As you know, when we launched this program which is now 18 months into the program. We made the explicit shift which here to before, we had not managed to which was to a target LTV to CAC goal. And so we’ve maintained that goal throughout the program. And as either LTV or CAC adjust, we adjust accordingly in terms of our marketing spend and our ability to drive new programs into the marketplace. And so as LTV goes up, that enables us to spend more, as CAC cat goes down, that enables us to spend more. And obviously, in reverse, hopefully, that won’t happen but if it did, then we would spend less.
Operator: Our next question comes to us from Ramsey El Assal from Barclays. Please ask your question. Our next question in the queue comes to us from James Fawcett from Morgan Stanley. Please ask your question. Our next question comes to us from Jamie Freeman from SIT. Please ask your question. We have no additional questions in the queue at this time.
Tom Hadley: Thank you for joining the Western Union Fourth Quarter 2023 Results Conference Call. We hope you have a great day.
