Fresh Faces Emerging: The Debut of the Newcomers
Rebranded Story:
Yo, what's up, y'all? Happy (unconventional) Sat-urkey weekend! Hope you're digging the R&R during the Thanksgiving break.
I must admit, I got a real tear in my eye watching the chaotic mess of the Macy's Thanksgiving Day Parade with my rugrat, reminiscing good ol' days of thanksgivings past. The wild memories flooded back—the parade along Central Park West, the crazy night before Thanksgiving crackin' up around the Museum of Natural History with all the balloon-fillin' madness.
Remember that infamous Wednesday night before Thanksgiving? Y'all know, it's a legendary bash all across the nation. Well, '90 was when this turkey dinner eve kicked me back into the hospitality game.
I was itchin' to throw a shindig just like any other collegiate or grad, and I had my sights set on Martell's—a Lower East Side bar from my high school days where we used to knock back some brewskis (maybe a few underage if served). The joint had been burnt to a crisp for most of my college years but was repaired after I graduated, perfect timing for my reunion dream.
I swung by, proposed a bomb-ass reunion party with a promise to rally the troops, and they had me speak to their new management. Turns out, I wasn't just chatting with any manager, it was the owner himself, let's call him Mr. Smith. I laid it all out there—the love I had for the rundown dive and the nostalgia I shared with Martell's—but there was one catch. The pub no longer catered to unsavory minors—them kids were all grown up now. And boom, I slickly mentioned that I had assembled an adult crew and wouldn't bring a rabble without speaking with management first.
Mr. Smith asked, "What's in it for me?" I calmly replied, "Nothing more than letting me know my party of adult beverage enthusiasts would be welcome." I guess he expected me to ask for some compensation or a sweet deal, but all I wanted was to bring my friends to the place we all loved.
That party was TOP-NOTCH. We had well over 200 tricksters show up one way or another throughout the night to celebrate the pre-turkey special. And let's just say, Mr. Smith sure did appreciate all the revenue-generating festivities the night brought, while his staff seemed to be livin' it up too. In the end, ol' Smithy handed me his card and offered to pick up the tab for dinner and scribbled "I owe you a favor" on the back.
A few years later, I bailed on the banking gig and needed somethin' to scratch that hospitality itch again. So, I dusted off my barkeeping skills, herded all the way back to Martell's, and asked if they needed a rookie bartender. I reminded 'em of their debt, and poof, I was pourin' pints at their theme-bar pub. I was a regular 'till my finance job got all up in my grille and absorbed my free time. But the Wednesday night before Thanksgiving is still one of the kickass reunion nights of all time and set me back onto the path of the hospitality industry.
In keeping with the generous spirit of Thanksgiving, I thought I'd share some fresher (and legal) additions to the Branded portfolio—the New Theodores on the Block (with the "theodores" being our newest investments and the "block" being our wacky crew).
Since we first started our investment business, we've been on a roll, findin' the most operator-friendly tech innovations to streamline our own restaurants. We're now past 45 investments, which has granted us a wealth of knowledge and made us stronger in this digital hospitality transformation journey. So, who are these fresh faces?
First off, let me introduce you to the benefit-blaster, Ripples. This fun-lovin' tech company is all about hookin' up restaurant owners with an unforgettable drink experience that's gonna leave 'em swingin' from the rafters. It ain't gonna cure cancer, boil oceans, nor bring civilization to Mars, no no no, but it WILL make your guests go ga-ga over their potable masterpieces. Plus, it'll create sharable, envy-inducin' moments and generate more revenues for your venue. Basically, it's all about goin' viral, my friend.
Now, every big personality needs a platform to come together, and we finally merged forces with the digital soggy-mass maestros at Lunchbox. Since its inception, the off-premise market has been a critical segment we've focused, and our history with it goes way back. All the way back to onboarding a corporate accounting solution for professional services firms in NYC, baby.
These delivery service providers are like the elephant in the restaurant room—big, confusing, and sometimes violent. And while they play an essential role, we've needed white-label solutions to act as the counterbalance and maintain the operators' control of their venues. So, we've led the charge with investments like BBot, GoParrot, Incentivio, Chowly, and now, the all-in-one enterprise online ordering and engagement platform, Lunchbox. Gather 'round, kids; this is gonna be a game-changer.
Now, there are a dedicated handful of tech companies that aren't operator-friendly but have potential. The trick is to find the ones that can be leveraged for our benefit—whether it's incremental revenues, enhancing the guest experience, or streamlining operations. And we're here to do just that.
Rock on, and don't forget to be grateful for the chefs, servers, dishwashers, bartenders, managers, and everyone who makes your holiday eats possible.
The Wednesday night before Thanksgiving: A legendary reunion for the ages and a key date that put me back in the hospitality game.
In honor of Thanksgiving, we want to celebrate the newest additions to our tech-savvy Branded tribe—the New Kids on the Block aka The Branded Bunch.
Initially, our playground was wide open—it was simply a matter of identifying the most operator-friendly technology and innovation companies to help boost our restaurant's efficiency. After a few years of trial and error, and with over 45 investments behind us, choosing and integrating new members into our portfolio has become a strategy of finding the perfect puzzle piece and the specific role each company plays within the industry and our already-established portfolio.
Our initial investments may not have been better or worse than the newest, but knowledge is power, and education is expensive. So, I'd like to think that the Branded investment team is only gettin' stronger as we continue on our digital transformation journey in the hospitality industry.
So, here they are—the new kids:
First up, we've got the print-aginators, Ripples. I've been lookin' forward to shoutin' out these cats, as they perfectly embody our operator-first investment thesis. We strive to find emerging companies that will deliver immediate and tangible benefits for restaurant owners and operators. Let 'em take the stage.
Restaurant operators know the value of Instagram and its considerable power as a marketing tool. For many, it's the first page they turn to understand what a restaurant is all about. Ripples will enhance your social media presence, create a special engagement with your guests, and leave your guests with a perfect moment to remember. The party starts as soon as you activate and engage with the machine.
Ripples allows your venue to print colorful, creative designs on top of any foamy drink, transforming ordinary into innovation. As a pioneering beverage platform, Ripples helps the Food & Beverage, Hospitality, and Event Management industries take ordinary drinks and turn them into works of art, with customizable content that'll delight your guests.
There are countless ways for your guests to embrace and celebrate with Ripples. And this tech categorically lands in the low-friction, immediate positive impact corner. Here are a few "success stories" by Ripples users. Check 'em out.
- Dante-Crafting-a-legacy-in-Personalized-Hospitality
- Guinness-Roadshow-Campaign
- Budweiser-at-the-2022 FIFA World Cup
Next, we've got some Big Dogs joinin' forces, and our long-time pals at Lunchbox and Branded have finally come together.
Since our launch, the off-premise market has been a crucial sector we've focused on, with roots that stretch back to our onboarding of a corporate accounting solution for professional services firms in NYC.
Delivery Service Providers (DSPs) have transformed into something completely different. Mainstream self-delivery, reliance on a fax machine, and 5% commissions are things of the past. The announcement of DSPs and the changes in the delivery landscape have opened up the opportunity for native and white-label solutions to create a counterbalance within the market.
Bashing the DSPs won't be happening here, but there's a need for white-label solutions that provide significant value for the operator from a cost, guest experience, and personalization perspective.
Branded isn't new to this game—we've had successful exits with Bbot to DoorDash and GoParrot to Square, but we've loaded up on white-label solutions again with our partners at Incentivio and have watched one of our earliest portfolio companies, Chowly, transform from a leading middleware and online food integration platform to a digital ordering powerhouse serving the SMB market. The delivery and off-premise segment continues to be a cornerstone of our industry, and this merger will deliver (pun intended) for enterprise restaurant brands.
What makes Lunchbox a can't-miss for enterprise restaurant brands? Let me break it down. It's the product suite and the value of getting six companies in a single platform: (i) Web Ordering; (ii) App Ordering; (iii) Catering Ordering; (iv) Order Aggregator; (v) Call Center; and (vi) Loyalty System. And finally, has there ever been a more operator-centric tech platform and conference organizer that likes to have fun? Check this video out for yourself: Don't Stop Believin'—a celebration of work and play.
Finally, we're excited to announce that the modest liquor brand, LiquidRails, has joined our Branded family. LiquidRails understands what alcohol brands need and desire, aligning perfectly with Branded's operator-centric investment strategy. We've joined forces because LiquidRails has developed a platform that tackles the significant challenges of alcohol brands in the e-commerce market.
LiquidRails comes to the rescue by optimizing and enabling on-site compliant e-commerce sales, quick delivery, and shipping within 24–48 hours in up to 46 states. It's a digital market platform that provides full-funnel marketing data, demographics, and shopping behavior to give brands the upper hand in e-commerce sales and to keep control of their customer data. Full-funnel marketing data and customer ownership go hand-in-hand. Ain't no debate there.
The alcohol industry is saddled with outdated beverage alcohol regulations, which makes selling online complex and expensive. There's plenty of information online about this regulatory environment, but in short, the existing regulations make it difficult for brands to own their customer data, create a DTC customer experience, and the three-tier system makes selling alcohol online difficult.
LiquidRails has created a white-label e-commerce software platform that is integrated into its brand's website, allowing for DTC online sales and enabling the brand to access the coveted customer data. Two LiquidRails customers we want to spotlight:
Any readers of our newsletter interested in learning more about our newest portfolio companies are invited to contact us directly. I'm biased, but I've got complete confidence and conviction in the portfolio companies we're supporting with capital and the Branded flywheel are among the strongest emerging technology and innovation companies, allied with restaurant owners and operators.
As for the New Kids on the Block photo, just a fun fact—this band first popped up in the Macy's Thanksgiving Day Parade in '89. Strange connections, huh?
Readers of our platform interested in learning more about Branded's portfolio companies, investment strategies, and future opportunities are encouraged to explore becoming part of our Access Hospitality Network.
Request More InformationLIVE From the CREATE conference in Palm Springs California, the Restaurant Guy and Finance Guy chat with emerging restaurant brand leadership on their growing concepts and path to expansion.
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With Branded's newest technology and innovation portfolio companies making up this week's Top of the Fold section, I'd like to use this Shoutouts section to shed some love on our favorite emerging brands. Are we going after emerging restaurant brands more lately? Yeah, you could say we're inspired by Branded's first investment in an emerging restaurant fund. Do we believe in coincidences? I'll leave that one to you.
First up, the smokin'-hot BBQ sensation, Mighty Quinns BBQ. Under the visionary leadership of CEO Micha Magid, this fast-growin' CPG company is takin' over the market, one award at a time.
If you've missed out on tasting their mouth-watering meats, might I suggest diggin' into their award-winning Mighty Gobbler, the Smoked Gobbler Bowl, and their newly released Chipotle BBQ Chicken. And guess what? These specialties are available 'til the end o' the year, just in time for Christmas. And just in case you missed out on their Thanksgiving turkeys, fear not—they'll be back for the holiday season, and take-out orders will be available from December onwards.
Mighty Quinn's BBQ plans to expand its empire in Maryland, with a store openin' in Columbia this year, followed by an outlet in Annapolis.
What do we look for in an emerging restaurant brand? A strong, dynamic leadership team, and a commitment to neatin' up with the best-in-class technology to optimize margins. And it looks like Mighty Quinn's is solidly checkin' off both of those boxes. Their embrace of Branded portfolio companies like Bite and Ovation is a bonus we can't help but appreciate.
I'd like to give a shoutout to the man himself—Scott Taylor. One of the great people in our industry and a key force behind the success of Baton Rouge, LA-based casual dining brand, Walk-On's Sports Bistreaux. We see you, Taylor, and we salute you!
To participate in the contest: shoot us an email with a photo of yourself sportin' some Branded "swag" and let us know where in the world you are!
TODAY'S TRIVIA
TECHNOLOGY
The Value of Customer Storytelling in Marketing
By: Seth Temko, Solutions Services Partner at Branded Hospitality Ventures
Telling your customers' stories is the key to successful marketing. So, what makes a good customer story?
Once upon a time, newspapers boosted sales by publishing sensationalist headlines with shallow stories. This strategy worked for a while, bringing in customers. But the day a competitor had a more enticing headline, readers flocked to the rival paper. Publishers needed another approach.
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BUSINESS
The Celebrity Culinary Wave: How Restaurants Benefit from Star Power
By: Julia Suchocki, Partner at Branded Hospitality Ventures
There's been a surge in celebrities entering the culinary world. Whether for self-expression, new income streams, or the pursuit of culinary aspirations, the influx of celebrity-owned restaurants and partnerships has become impossible to ignore.
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Donate to CORE this Giving Tuesday
CORE: Children of Restaurant Employees needs your help this Giving Tuesday! Giving Tuesday is an internationally recognized day of giving, and we're asking you to participate by making a donation to CORE - a non-profit that provides financial relief to food & beverage service employees with children when they face a life-altering medical crisis or natural disaster. Will you show your support for qualifying restaurant families this Giving Tuesday? Learn more and donate by clicking the button below!
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FINANCE
On the Rise: Alternative Protein Startups Facing Hurdles
By: Noah Stern, Associate, Branded Hospitality Ventures
Alternative proteins, once hailed as the future of food, are now facing challenges.
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MARKETING
5 Ways to Drive Customer Engagement and Growth
By: Rev Ciancio, Head of Revenue Marketing at Branded Hospitality Ventures
Improve customer engagement and growth with these 5 steps. Watch the video on LinkedIn or YouTube.
Want to boost customer engagement, increase repeat visits, and make your guests fall in love with you? Click here to learn more and register for the P3 Mastermind Marketing Summit happening in Columbia, SC this January! Reserve your spot now and get access to 5 workshops, the entire course Restaurant Recharge, a 60-minute marketing audit with Chip Klose, and Rev Ciancio's TikTok growth guide for restaurants, all for just $297 when you register by 11:59 PM ET on November 26th!
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Restaurant Industry Movers in the Market
Data as of 11/24/23
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Trivia Answer:
65% of customers aged 18-29 indicate that ordering food online is their preferred method.
Ask the Headline:
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In the News:
The latest news in the food service and hospitality industry.
- GoTab: GoTab Feature Shorts | Pocket POS: Elite Hospitality Experiences
- Yumpingo: Yumpingo CEO, George Wetz, on the RFDC
- Ovation: Setting the Table for Success in Brand Expansion with Troy Hooper
- Vromo: How to be a successful food delivery driver
- Leasecake: The Ultimate Guide to Leasing a Restaurant: Terms, Costs, and Negotiations
- Incentivio: Engage Customers with Mobile Apps in Restaurants
- Brizo Foodmetrics: How Restaurant Industry is Using Menu Data to Increase Revenue
- Brizo Foodmetrics: The Critical Role Business Intelligence Plays in the Food Service Industry
And other News:
- Food Dive: Brown-Forman sells chardonnay maker to Duckhorn for $400M
- Restaurant Business: Joe & the Juice has a new majority owner
- Restaurant Business: Welcome to a tough new normal
- Restaurant Business: Expect more restaurant acquisitions in 2024
- Hotel Dive: Aimbridge Hospitality CEO to step down
- Food Dive: Beyond Meat in 'survival mode' with going-concern risk a possibility, analyst says
- Rolling Stone: How Pepsi has thrived for 125 years
- Hotel Dive: 'Hospitality is back': What travelers want from hotels this holiday season
- Restaurant Dive: Why ghost kitchen pioneers want to distance themselves from the name
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- With the new investments, Branded is embracing emerging brands like Ripples, a technology company that enhances the guest experience in the Food & Beverage, Hospitality, and Event Management industries.
- In the hospitality industry, longevity isn't always about having the longest history; it's about adapting to the digital transformation journey and finding the perfect puzzle pieces to streamline operations, such as Lunchbox, a white-label solution for the off-premise market.
- The legendary Wednesday night before Thanksgiving set the author back onto the path of the hospitality industry, and now, with the Access Hospitality Network, readers can explore investment opportunities with Branded's emerging portfolio companies.
- Gamifying the drink experience, Ripples, a Branded portfolio company, transforms ordinary drinks into works of art, creating shareable, envy-inducing moments and generating more revenues for venues, much like the entertainment and lifestyle industry.
- The flexible, white-label e-commerce software platform, LiquidRails, joined Branded's family to help alcohol brands in the e-commerce market optimize sales, quick delivery, and shipping while maintaining control of customer data, making it easier for brands to thrive in a digital world, just like the general-news industry adapting to the ever-changing landscape.
