Imagine my surprise when I bumped into a cheerful girl handing out not sunglasses like that guy the day before, but colorful foodie cards on the street corner I used to cross on my daily pilgrimage to the San Francisco Soup Company. Yes, “used to cross”, because I read and that card and embarked on some pretty darn tasty lunch adventures! But back to the point, this enthusiastic marketing gal struck up a conversation with me and asked for my business card so I could interview her bosses about Go Dish. I loved that she was so invested in this startup and that this was a blend of 2 of my favorite things: tech and food, so of course I had to go for it.
Before I start waxing poetic on my latest lunch discoveries, let’s at least give you a quick intro to Go Dish. Co-founders Jaydon Robinson and Ryan Jones worked together in the hospitality industry doing some magical numerical tricks to help ski resorts, airlines and hotels maximize their revenue with variable pricing. While skiing is amazing, let’s face it, these 2 gentlemen have a passion for food they just couldn’t deny and had a gut feeling their numerical exploits could help small business owners in today’s competitive restaurant industry. Plus, they just knew it would be brilliant since lunch was pretty much all they and their coworkers would talk about all morning!
So what is variable pricing anyway and how does it make foodies and lunch goers all over the Financial District happy? Variable pricing is simply the practice of lowering or increasing pricing based on a variable, in this case, pick-up time. Jaydon and Ryan interviewed dozens of restaurant owners and realized that one of their biggest challenges was what I like to call “rush hour traffic.” Most patrons come in during the same 1-2 hour span for lunch or 2-3 hour span for dinner, and the restaurant churns along at a sleepy lull outside of peak times, but expenses like lease and electricity don’t go down when there are just a few customers, so the fix is to bring more in and space them out. Go Dish helps with both. By offering a varying discount on dishes depending on when a patron comes in, Go Dish spaces patrons out so wait times are shorter (regulars don’t get discouraged by the crowd) and lunch goers enjoy a nice little discount. Go Dish also serves as a sort of Yelp, offering a rotating menu of lunch options from dozens of restaurants. I’ve actually been using it to discover new places to eat (I love Yelp, but it doesn’t give me a discount to the new spots it helps me discover.)
And now for a couple of great entrepreneurship lessons Jaydon and Ryan generously shared with me:
- There is absolutely no reason to build everything out ASAP. Their minimum viable product was just a prototype of what the app looked like. None of the buttons worked but they showed it to people and asked them what the value was for them, gauged how willing they were to engage with it. Be creative in testing what people do and don’t like. There’s no point in throwing resources into something before you know it’ll work.
- It’s been beaten to death, but you need to be able to hook people with a stellar 1-2 line explanation (aka your elevator pitch.) Restaurant owners are accosted by so many reps from daily deals sites Jaydon and Ryan had to figure out how to cut through the noise and differentiate themselves. The trick was to show them the value right away. Don’t lead in with a long story or flowery example, just get to the heart of the matter and show them how you’ll make their lives better.
- Not all advice is created equal. The best piece of advice anyone gave them was that a lot of people are going to tell you how to do things, but you have to figure out what makes sense for you and your business model. Stay open-minded, take it all in, and then assess which will help you reach your goals.
Last but not least, the part everyone’s been waiting for, the food! In true food porn form, here are just a few of the delectable dishes I’ve been chowing down on thanks to Go dish.
Enjoy more pictures of those daily deals on their Twitter handle.
Read up on other startup interviews and trends here 🙂