So, we did on the back of those capabilities onboard a couple of large merchants into our managed service capabilities. We did launch additional 10 merchants that are using our marketing services to increase brand awareness and demand generation worldwide. So, we see, I would say, the early innings of adoption. Over time, we do expect that as we guided in the past, over time, we do expect it to give us some extra on the take rate. But it will take a few quarters to realize that.
Kunal Madhukar: Thank you so much.
Amir Schlachet: Thank you so much.
Operator: Our next question comes from Brent Bracelin with Piper Sandler. Please proceed with your question.
Brent Bracelin: Good morning. I’ll also extend support and best wishes for you, your family and colleagues impacted by the tragedy in Israel here. Maybe, Amir, I wanted to go back to same-store sales and really double-click into the luxury space. How broad-based was the slowdown in same-store sales? Was it across the majority of your luxury merchants? Was it a handful? Any additional color you could give us around same-store sales and magnitude of the slowdown you saw there with some of those luxury brands would be helpful? Thanks.
Amir Schlachet: Sure. Thank you, Brent, and thank you for the kind words. It was relatively broad in terms of luxury. Obviously, there are always outliers or brands that are impacted less. It is down to the characteristics of the individual brand, but we did see a trend that I would say, roughly covered I would say, around 80% of our luxury brands that did see this same-store sale growth slowdown.
Brent Bracelin: Super helpful there. And then Ofer as a follow-up, if I look at Q4 here, obviously, it came in a little light, because of the macro same-store sales, 35% GMV growth in Q3, you’re guiding to 37% growth. So actually an improvement in GMV growth in Q4. Obviously, the macro is getting worse. Data points suggest things are getting more challenging. What’s giving you the visibility for growth on a year-over-year basis to improve slightly in Q4? You did talk about several new brands going live in Q3. Maybe that helps Markets Pro could help. I don’t know. But could you double click into what gives you confidence GMV growth is going to actually improve in Q4 even with some of the challenges out there and call it, 25% exposure to luxury?
Ofer Koren: Yes. So thanks, Brent, for the question. Well, as mentioned, we have seen a certain slowdown in same-store sales mainly around luxury in Europe in Q3. And also, as we mentioned, we have seen a bounce back towards the end of October going into November. We do believe that growth will accelerate in the coming quarters. And the main drivers for that is, one, the successful launch of Shopify Markets Pro, which will start contributing already in Q4. It’s ramping up. But as mentioned, we do have a large number of merchants on, its smaller merchants, but still, it will contribute into Q4 and contribute more significantly into 2024. In addition to that, the very healthy pipeline and the launches we saw also will support accelerated growth.
And we did see an improvement, as I mentioned, in consumer sentiment since late October going actually up to this day to the beginning of the peak. So, there is still the peak period in front of us. And obviously, we took that into account. But we do believe that growth will be accelerated.
Operator: Our next question comes from Brian Peterson with Raymond James. Please proceed with your question.
Brian Peterson: Hi. It’s great to hear from you. And best wishes to the Global-e family in these really challenging times. Amir, I wanted to follow up maybe on Brent’s last question. You’ve mentioned you’ve seen some encouraging signs in spending over the last few weeks. Is that a function of what had softened in luxury and Europe getting better? Or is it maybe broader based trends kind of outside of that? And is it fair to say that those same-store trends are back to where they were in August? I’d love to just kind of double click on what’s improved and what you’ve seen over the last few weeks?
Amir Schlachet: So thanks, Brian, for the question. And what we have seen is the general improvement. We have seen improvement out of Europe as part of the general improvement and less improvement in luxury limited improvement around luxury. But all in all, the numbers have bounced back. So it’s a three-week period, but we need to wait and see what happens through the peak, but we have seen a general improvement with Europe as part of that.
Brian Peterson: I appreciate the perspective. And maybe just on Borderfree. I’d love to get an update on the progress there and expected synergies. And as you kind of talked about that enterprise is a reason for accelerating growth in coming quarters, is Borderfree included in that? I just want to make sure I get an update on what’s going on the Borderfree? Thanks guys.
Nir Debbi: Sure. Then thanks, Brian, it’s Nir. As we mentioned in the past, we did extend the period for Borderfree clients to migrate over to the Global platform. But over this quarter, we managed to start onboarding clients into globally already. I can say that we see positive signs there trading for clients that actually migrated the Borderfree platform to globally, is much better. Conversion rates are up as we expected. And on the back of it, we see higher trading volumes. So, we do expect that once we migrated the vast majority within 2024, this will have positive impact on the same-store sales of BorderFree that is currently, on the Borderfree platform, I would say, not as good as what we see globally.
