Friends of Branded!
Happy Saturday and I hope you had a great week.
Merriam-Webster defines a “restaurant” as a business establishment where meals or refreshments may be purchased.
Cambridge Dictionary defines a “restaurant” as a place where meals are prepared and served to customers.
Both definitions are of course accurate (I’m not crazy enough to challenge the definitions authored by Merriam-Webster or Cambridge), but neither of the above are very interesting or sexy.
Let’s work a little harder on this definition and come up with something we can be a little prouder of - a “restaurant” is more than just a place to eat - it's a stage where culinary artistry meets human connection. It’s a dynamic space where chefs transform raw ingredients into memorable dishes, where flavors tell stories, and where people gather to celebrate, unwind, or simply savor the moment.
Now we’re getting somewhere, right? This last definition is far more romantic and appealing. Good, b/c now it’s bait & switch time!
What if I said a “restaurant” is a vehicle to identify, vet and validate technology & innovation?
Well, that’s a most sterile definition!
Maybe the right answer lies in the place I went towards far too often on standardized tests: E, all the above.
Of course, we all know that a restaurant is a business where meals can be purchased, and of course it’s a place where meals are prepared and served to customers. And some may accept that a restaurant is also where culinary artistry meets human connection.
But very few people (and I’m specifically directing this comment to restaurant operators) will believe or accept that a restaurant can also be a vehicle to identify, vet and validate technology & innovation.
Let’s rewind the clock a few years! It’s February 5th, 2017, and the New England Patriots, overcome a 28 – 3 deficit, and come back to defeat the Atlanta Falcons and win their 5th Super Bowl (JB: enjoy this gift my friend, b/c I don’t expect to ever do this again).
At the same time, Branded Restaurants has renovated one of our restaurants on the upper east side of Manhattan (83rd and second avenue to be exact) – Duke’s Original Roadhouse and a new technology that offers a self-pouring beverage system that engages guests differently as well as reduces labor and eliminates waste.
This restaurant, which was really a joint on the upper east side, had a nice run where many good times were had. But more than anything else, when I think of this single store, I think about the technology and innovation it helped Branded identify, value, and ultimately invest into.
This single unit was where Schatz and I were introduced to and lead to the investments in PourMyBeer; and only a short while later, Chowly; Bbot and GoParrot.
Bbot was acquired by Doordash and GoParrot was acquired by Square. PourMyBeer and Chowly remain independent companies and continue to be among the strongest allies to operators in our portfolio of now over 50 companies.
One restaurant, four technology companies, two exits and a wealth of value that helped us launch Branded Hospitality Group, our investment, solutions, and media platform.
This coming week, hundreds of public and private company management teams, institutional investors, sell-side research analysts, investment bankers, and private equity professionals will arrive in Orlando for the 27th annual ICR Conference.
Ahead of this conference, Branded Hospitality fully embraced the lesson so many of us learned from School House Rock (where “Three is a Magic Number") and announced with pride a partnership with Craveworthy Brands and Everstar Asset Management.
Here’s a link to the announcement we sent out this week: Leading Operators, Tech Experts and Investment Veterans Unite to Back Next Generation of Restaurant Innovation
You see, we believe if a single restaurant can help us deliver the type of value for operators and stakeholders that we’ve been fortunate to generate in partnership with PourMyBeer, Chowly, Bbot and GoParrot, then imagine the potential value we can create from working with 200 restaurants, 500 restaurants, 1,000 restaurants, or even 10,000 restaurants.
Readers of the H^2 know that restaurants are NOT technology companies (sorry Domino’s, you’re not a tech company that sells pizza, you’re a leading pizza delivery company that leverages technology and now wants people to get off their sofa and come pick up their own pizzas).
Restaurants are a people business, and we’re a food & beverage business. We’re also a business that, like every other industry, can leverage technology, and can be tech-supported and tech-enabled.
This partnership with Craveworthy and Everstar represents a unique flywheel and a significant shift in how restaurant technology, and emerging concepts are evaluated, funded, and scaled. The (not-so) secret sauce is to drive this strategy with true operators at the helm.
I continue to believe that the hospitality industry is among the most misunderstood b/c people often project their guest experiences onto it and conclude that they understand the workflow, systems and operational management required to successfully operate a restaurant.
Spoiler alert, they don’t.
I’ve been a passenger on a lot of flights, but that doesn’t mean I can build an airplane or fly one. Better still, I’ll let Joan Cusack say it for me!
This partnership with Craveworthy and Everstar is focused on supporting emerging restaurant concepts and technology ventures that demonstrate the potential to transform the future of the industry, with the added advantage of immediate access to in depth operational expertise, technology validation and strategic guidance from leaders who have built and scaled successful hospitality businesses.
Operators, if you take away only one thing from this week’s Top of the Fold, I’d like it to be this – we want you to be involved and we invite you to be involved. We know firsthand how difficult it is to run a restaurant in any environment, and we also know how truly difficult it is to do it in this current environment.
You want to do things the way you’ve always done them? Respect, we wish you well.
You want to go fast? Respect, go alone.
The work we’re doing isn’t intended to be exclusive, and to the contrary, we want it to be inclusive and it will be inclusive. There’s room at our table for you.
As our partner and Craveworthy’s CEO & Founder, Gregg Majewski said, "As operators who live and breathe the realities of restaurant opportunities and challenges, we know what it takes to thrive in this resilient industry. Our partnership will allow us to champion the ideas and innovations that make a true impact by investing and scaling the solutions and concepts that truly elevate hospitality."
Before closing out this week’s H^2, I want to end with simple but important wish that our friends on the west coast, and that includes fellow operators, guests, and communities are safe. The wildfires in the Los Angeles area are heartbreaking and the Branded Team is saddened to see so many lives and businesses impacted by this devastation. If you’re able and interested, I’ve copied a link to the CA Governor’s Office of Emergency Services here: CA State Recovery Resources
It takes a village.
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I’m not going to lie, the Shoutout section is becoming a little more difficult one to pull together as so many companies in our community are doing rockstar things that deserve attention.
I also respect (and continue to welcome) folks sharing some of the things they’ve got cooking in an effort to help keep me informed (and maybe they're also lobbying for inclusion in this section).
The FIRST Shoutout this week didn’t need any prodding, but I did receive some overwhelming support from many friends in connection with the good people at Toast POS and specifically its “One of Those Nights” short film.
Branded uses Toast in our restaurants and we also love working with this dynamic and operator-centric company.
We want to give a big shoutout and congratulations to our friend Kelly Esten, the Chief Marketing Officer at Toast on this campaign and collaboration with Matty Matheson, Chef PJ Calapa, and the entire Marea restaurant team.
You can read about this amazing campaign here: Little Things, Big Impact: Toast and Matty Matheson Celebrate the Details That Define Great Hospitality
And you can view the short film here: One of Those Nights
Fantastic work Team Toast and I can't wait to see what you're going to do next!
The SECOND Shoutout this week goes to our partners at Starfish, which is the PLAID, for product traceability (thank you Matt M for the “three words: but, for, and with” advice) and Branded’s foray into food manufacturing technology (do you think “FM-Tech” will catch-on?).
Starfish is empowering transparency, safety, and trust in food supply chains worldwide. We feel very fortunate to have partnered, as a founding member, with the talented Mr. Wiggs Civitillo, Starfish’s founder and CEO and we’re LOVING the attention the market is affording this youthful company (please note, “youthful” is a word Schatzy and I haven’t been called in decades).
As an emerging technology company, it would be financially irresponsible for Starfish to engage a PR firm, but when you accept capital from Branded, while we’re not a PR firm, we’ve been known to play one on TV. 😊
I specifically want to give a nod to Friends of Branded, Mr. Gilad Berenstein, and Ms. Cara Whitehill, the hosts of the podcast, Travel Tech Insider along with Branded’s non-executive director, Mr. David Peller, who was responsible for bringing Wiggs, Branded and Gilad & Cara together.
In addition to the Travel Tech Insider podcast, Starfish is (not so) quietly making noise and I’ve proudly shared some of the announcements and media attention on this company below.
The THIRD Shoutout this week goes to our partners at Brizo Foodmetrics, the most comprehensive foodservice insights on the market.
This week Brizo put out a piece of thought leadership that not only caught my eye, but I found very relatable.
Brizo’s blog post, Rotten Foodservice Data: How to Prevent CRM Data Decay, is really for ResTech companies and specifically the sales team (and manager).
Pulled from Brizo’s post, the rate of B2B data decay is increasing exponentially, reaching 70% a year in 2024, according to Gartner. This means if you start the year with 10,000 contacts in your CRM, you’ll only have 3,000 valid contacts by New Year’s Eve. What’s worse, you won’t know which of those 3,000 contacts are accurate, impacting the reliability of your whole database.
To help address the challenges from CRM data decay, Brizo has created the List Enricher.
Brizo FoodMetrics’ List Enricher feature keeps your database up-to-date by importing your existing data and supplementing it with the latest foodservice market intelligence.
With the List Enricher feature, you can:
- Learn which locations are now closed or have new contacts to reach out to
- Deepen your knowledge of each account with detailed business information, like whether they’re part of a chain or what restaurant technologies they use (hello, delivery marketplace and POS data!)
- Perform an instant gap analysis to discover which restaurants are missing from your CRM, including those that have just opened
- Apply filters to segment your accounts and find lookalike audiences to target
Brizo will automatically detect and flag future data updates to your previously imported establishments, ensuring your CRM is always clean, and your team is always working with the freshest, most accurate and up-to-date insights.
Want to learn how to enrich your database so your team is always working with the most accurate, up-to-date market intelligence? Then contact Brizo! I don’t work for them. 😊
Okay, I’ll help, here’s a link to sign-up for a free trial of Brizo’s List Enricher: Sign up for a free trial
And yes, we’re doing a FOURTH, final, and important Shoutout this week and it’s to our friends at Dog Haus for the great work they’re doing to help the people on the west coast and specifically the first responders that are battling the fires.
Friend of Branded and the CEO of Dog Haus, Michael Montagano, did a news clip on the many businesses that have closed as the wildfires continue to spread and how Dog Haus along with other restaurants are focusing on taking care of the people that are trying to take care of the community that’s under so much duress.
The hospitality industry is LOADED with good people that want to serve their communities in the best way they know how. Michael and the entire team at Dog Haus (looking at you Andre’ and CJ) are among these very good people.
Dog Haus provides food for locals in wake of Wildfires
Branded invites readers of the H^2 that are interested in learning more about our portfolio companies, and investment strategies to become part of our Access Hospitality Network.
In Q4 2024, Branded proudly announced our joining the good people at ARI Venture Studio as a Founding a member and this week I want to use the Access Hospitality section to dive a little more into this company.
Branded’s investment strategy when it comes to ResTech has been to work with early-stage companies and that have a minimally viable product and ideally some threshold of proof of concept as a result of their producing revenues.
We LOVE working with emerging and early-stage companies b/c its where we believe Branded is best positioned to add-value. As companies find success along the maturation curve, we understand that their needs change and growth capital become more of a priority than the nailing down of their product, market, fit and go-to-market strategy.
An area of the business we’ve been very interested in is the ideation stage and the work specifically that venture studios perform in connection with the active building and developing of start-ups. I fully recognize this is a very different business model than Branded’s, but one that we believe is very synergistic and aligned with our platform.
When the opportunity presented itself to partner with some good friends and experienced business builders at ARI Venture Studio, that's exclusively focused on the ResTech sector, we enthusiastically got on board.
ARI Venture Studio creates and scales start-ups that address operational inefficiencies and management challenges in the restaurant industry. As an investor in operator-centric technology companies, ARI’s focus and desire to be an ally to operators is incredibly aligned with Branded’s ethos.
ARI leverages a unique studio model, combining the financial backing of venture capital, the structure of accelerators, and the innovation of start-up entrepreneur founders. This hands-on approach systematically builds business and turns ideas into scalable companies.
Here’s what Branded is certain about – death, taxes and that everyone we know will eat and drink, every day, for the rest of their lives.
We’re also certain that the restaurant industry is experiencing a massive transformation, and this trillion US industry is at a turning point, driven by operational efficiency and digital transformation. Technology adoption has become essential, and industry experts are uniquely positioned to lead this shift with solutions tailored to the sector’s needs.
ResTech may have exploded onto the scene, but it's still very much emerging and that’s particularly true when it comes to AI powered applications.
ARI Venture Studio’s proven expertise and domain experience along with its exclusive focus on restaurant technology, provides an advantage over traditional build-and-launch technology start-ups.
Call to action: I invite corporations and other industry folks to contact me directly if you’d like to explore opportunities and discuss opportunities with ARI Ventures Studio.
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Featured Episode: The #1 Burger in the Universe! Habit Burger Crushes the Burger Wars
In this episode of Hospitality Hangout, we sit down with Shannon Hennessy, the powerhouse behind one of the fastest-growing brands in the quick-service restaurant industry, Habit Burger. Shannon shares her incredible journey—from filing papers at her father's pediatric office to leading a brand that’s become famous for its award-winning burgers, innovative campaigns, and commitment to customer loyalty.
During our conversation, Shannon dives into Habit Burger’s unique recipe for success, from their "Best Burger in America" title to creative campaigns that sparked the "better burger wars." She also discusses how AI is revolutionizing their drive-throughs, how they’re meeting customers where they are with digital platforms, and what it’s like being part of Yum! Brands while maintaining their signature cook-to-order approach.
Don't miss out on insights about everything from kiosks in every store to hot takes on AI-powered operations and California’s minimum wage increase. Tune in now for a taste of Habit Burger’s journey to the top!
Tune into the episode and subscribe to our channel here: Hospitality Hangout With Shannon Hennessy
Re-Run of the Week: Olo’s Founder Noah Glass: The Restaurant Tech Gold Medalist
In this REWIND episode of The Hospitality Hangout, we chat with Noah, the visionary behind Olo, who has transformed the restaurant industry through cutting-edge technology. With roots in Political Science from Yale and an impressive journey from service stations to tech startups, Noah founded Olo to streamline digital ordering and delivery for restaurants. Now a leader in hospitality tech, Olo is empowering restaurants to merge digital and traditional payment systems, enhancing both the customer experience and operational efficiency.
Noah shares insights into Olo’s latest innovation—introducing card-present payment processing through Olo Pay—and discusses how data is key to driving sales and building personalized guest experiences. He highlights the balance between traditional, in-person transactions and the industry’s ongoing digital transformation, demonstrating how Olo integrates "the old fashioned way" with modern technology to keep the human touch alive while leveraging data-driven decisions.
Tune into the episode and subscribe to our channel here: Hospitality Hangout With Noah Glass
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That’s it for today!
See you next week, same bat-time, same bat-channel.
It takes a village!
Jimmy Frischling
Branded Hospitality Ventures
jimmy@brandedstrategic.com
235 Park Ave South, 4th Fl | New York, NY 10003
Branded Hospitality Ventures ("Branded") is an investment and solutions platform at the intersection of foodservice, technology, innovation and capital. As experienced hospitality owners and operators, Branded brings value to its partners through investment, strategic counsel, and its deep industry expertise and connections.
Learn more about Branded here: Branded At-A-Glance