Matt Oppenheimer : Yeah, thanks, Allison. Good to see and thanks for filling in for Ramsey. Yeah, we’re excited, as we mentioned, 90% rest of world growth year-on-year for the quarter. I think it’s indicative of just how large the opportunity is across the globe, combined with our very intentional corridor expansion playbook. And so what’s great is that we’re getting strong dividends from investments we made quarters or years ago in terms of markets and geographies that we launched in. And we really haven’t even started to see the returns of some of the newer markets that we launched like UAE, but we would expect those to start showing returns in the quarters and years to come, just like the countries I mentioned that we launched a couple of years ago.
And it’s also great that we have not yet launched every country around the globe. So there’s room for continued growth. And what we like about the portfolio approach is that the rest of world growth, as I mentioned, is growing 90% year-on-year with a lot of runway to continue to grow. But it’s important to keep in mind and why I mentioned it in the call that our North America businesses, U.S., and Canada, are also growing at a very nice and healthy rate. And there’s big opportunities to continue to grow there, given that we’re only 2% of the $1.6 trillion every year.
Unidentified Analyst: Great. And you mentioned UAE. Just any progress out of there, anything about how the Rewire acquisition is integrating into Remitly? And should we expect any other sort of similar types of Rewire acquisitions as a possibility going forward just in terms of that geographic corridor extension?
Matt Oppenheimer : Yeah. A few parts to your question. On the Rewire acquisition, very pleased with that acquisition and the assets that we acquired, the amazing team, and I think it’s going to help us continue to both add complementary new products as well as expand in regions that they are currently operating. Historically, we found that organic growth and internal builds have been the best opportunities, but we continuously review all opportunities as they become available. We have a high bar for any M&A transactions, and we’ll remain disciplined in deploying capital on that front. So that answers that part of the question, Allison. And then lastly, with the UAE, it’s a very large market, excited about the product that we have live there and launched.
And as I mentioned, just the nature of how our business works, you acquire cohorts of customers, those cohorts increase over time and then given the repeat nature of our business that starts to build a sizable business over time. And so I’d expect that to happen in the UAE as it happened in other corridors, but it takes a few quarters for that to actually ramp up, and we’re on track for that.
Unidentified Analyst: Great. Thanks so much, guys.
Operator: Thank you. One moment for questions. Our next question comes from Robert Napoli with William Blair. You may proceed.
Robert Napoli : Thank you, good afternoon, Matt and thank you for taking the question. So now, when you talk about expanding the CAC in the fourth quarter, Hemanth, how are you thinking about that? How do you manage that? In what way are you looking to do that and maintaining your ROIs?
Hemanth Munipalli : Yeah, thanks Robert for the question. So we — I think as we’ve said before, we have a lot of focus on our unit economics and really focused on LTV and CAC — and as we said in the last quarter as well that the ratios we look at that are pretty attractive and strong. When we look at Q4, in particular, and CAC would sequentially we expect to increase. Some of that is going to be on our performance marketing side related directly to it. And some of it is going to relate to our upper funnel and brand investments, which will take a little bit of a longer-term payback on it, but we have high conviction that these brand investments, which is really backing up sort of promise that we have to deliver for our customers, and the trust we’re building with them will continue to help us drive leverage in marketing in the medium to long term.
So it’s going to be a mix of both upper funnel and brand investments, but also a lot of sort of growth marketing, again, well within what we want to keep as our broader guardrails, but still sequentially, we would expect CAC to be going up.
Matt Oppenheimer : Yeah, the only thing I’d add there, Bob, is I think that as we think about the marketing investments that we’re making in Q4 and in general, we have a lot of control over the amount that we choose to grow versus the amount that we choose to drive to the bottom line. And when you look at even with a slightly expanded CAC, when you look at the LTV to CAC ratio, if you look at the payback, we don’t share metrics like IRR or NPV. But even with the increased cost of capital in the market, these returns are high, and they’re fast. And so we’re making them very intentionally within our own control because we’re excited about what that will bring in 2024 and beyond.
