Food Tech Connect and the State of Funding & Parnterships

In the Food Tech Connect must-read monthly, Brita Rosenheim reports on the state of startups.

She echoes recent sentiments on “technology-focused food startups are enhancing the way consumers engage with food,”  and,  that “as the food tech sector matures, we are seeing an increasing number of these companies being funded or acquired by industry players.” Her monthly column highlights the most interesting acquisitions, financings and partnerships within the Food Tech & Media ecosystem, and has an awesome infographic to match.

Square Adds New Features to Speed Communication and Service

Are you using Square?

It sounds like the new features, as reported in FastCasual,  — order modifiers and custom kitchen tickets, will enable merchants to customize orders while keeping the line moving, and record orders while improving communication with the kitchen. The customizable kitchen tickets attach a number or customer’s name to an order.

Read the full analysis here.

New Bold Grocery Delivery Services Taking on Fresh Direct

There are a few new grocery delivery models taking on Fresh Direct and trying to improve upon their model. As Grub Street reports, the increasingly food-concious populace is embracing these combination food boxes, which have elements of CSA, farmers’ markets, and gourmet local mixed in. Check out: Quinciple, The Vermont Sail Freight Project, and Good Eggs.

There’s a New Android Tablet in Town for Quickserve: Leaf POS Expands

Leaf, a fast-growing provider of POS systems, business intelligence and customer loyalty platforms, has announced its latest solution: Leaf for Quick Serve. The tablet-based POS gives operators a cost-effective alternative to traditional POS, one that also increases visibility into their business through sophisticated, user-friendly analytics and an improved customer experience.

New features include:

  • Support for take-out and delivery: Built-in customer look-up functionality allows QSRs to save customer preferences and delivery addresses that can be looked-up by phone number.
  • Clock in/out: The LeafPresenter can now double as an employee time-keeper to track employee data and strengthen its business analytics.
  • Email and text receipts: Customers now have the option to receive their receipt via text or email.
  • Custom or default tips: Merchants can set a default tip amount or let customers choose an amount after swiping a card and signing with their fingers.

One plus of this proprietary system? A one-tablet system is $50 per month, additional tablets are $250.

Micros Announces a New Mobile Platform to Accompany Mymicros.net

Micros, the provider of information technology solutions for hospitality and retail industries, is looking to redefine how restaurant operations data is delivered to mobile devices with its release of inMotion. MICROS inMotion is a full-featured free app initially available through iTunes, as a mobile companion for users of mymicros.net.

With MICROS inMotion, mymicros.net customers have real-time, mobile access to performance statistics, critical labor details, and customer service tools, all supported by an intuitive user design and key operations’ alerting mechanism. Designed specifically for restaurant management, MICROS inMotion allows restaurant operators and management to understand both high-level trends and front-line operations using their smartphone.

Read the full story here.

Tech Trends: Mobile Loyalty Programs Benefit Enterprises and Guests

As part of our continuing series on tech trends, we explore the growing trend towards mobile loyalty programs. These programs replace the traditional punch card or swipe card with a smartphone app that allows enterprises to become more familiar with their frequent guests and guests to collect their rewards on their phones. The advantages are plentiful for both.

Enterprise Benefits

1) Social media marketing
Full integration with social media. When guests share, post, and tweet, they help create online content and spread the word about your enterprise. The ease and fun of the app makes them even more likely to do so, according to Forbes.com expert Kelly Clay.

2) Enhanced guest analytics
Most programs use an online or mobile dashboard that instantly creates graphs, charts, and other analytics about the guests, the reward redemption, and guest feedback. This allows you to spend more time using data, rather than formatting it.

3) Integrated guest outreach
Through the dashboard, enterprises can create email marketing campaigns, post to Facebook and Twitter, and in some cases even send offers directly to guests’ mobile phones, eliminating the need for separate email marketing and contact programs.

The Guest Advantage

1) Convenient redemption of rewards
By replacing a handful of loyalty cards with one app on their smartphone, mobile loyalty programs make it easy for guests to earn and redeem rewards.

2) Fun
Mobile apps also make the loyalty program more game-like by using custom reward levels, graphics, and pop-up alerts.

3) Socially interactive
Guests can even see new offers on their Facebook and Twitter feeds right away and share their visits with friends.

Connect Your Enterprise Now

1) Know the requirements
Most programs require only a computer with Internet access to view the analytics dashboard and a POS system.

2) Pick a program that works with your operations
– Integrate with mobile payment systems, so guests can pay and earn rewards at the same time. Examples include Square and LevelUp.

– Scan guests’ phones using an in-store iPad or scanner provided by the program. Examples include Belly and Passbook.

– Print receipts with QR codes or other information that guests scan themselves. Examples include FrontFlip and Punchcard.

– Have staff push a button on guests’ phones to stamp a virtual representation of the traditional loyalty card. Examples include Perka.

Happy Rewards…TaraPaige Group

Free Webinar: Mobile Payment Trends and Network Security: April 2nd at 2pm

Fast Casual is hosting a free webinar focusing on mobile payment security.

Business owners are capitalizing on wireless technology to provide their customers with new customer loyalty and couponing programs. However, creating a mobile interface for your customers to interact with can create vulnerabilities in your system.

During “So you think you’re ready for mobility? Mobility Payment Trends and Network Security,” Brad Cyprus, chief of security and compliance at Vendor Safe Technologies, will discuss the security and PCI implications associated with mobile customer loyalty programs and how to adequately prepare your network. Also, discover how a variety of leading operators have teamed up with manufacturers to take advantage of mobile capabilities to benefit their brand.

Sign up for the webinar here.

Investors Hot on Brooklyn Blue Apron, Kitchensurfing, Underground Eats

Brooklyn startups are continuing to attract serious investor interest by directly connecting eaters to meals and chefs online.

“I think technology has been kind of late to come to food,” said Adam Sirois, of Dumbo-based Underground Eats, tells Crain’s New York Business. “It’s one of the last major categories that developers and coders are starting to explore.”

Crain’s details three which have been garnering much attention:

• Blue Apron

Williamsburg-based Blue Apron announced a $3 million Series A funding round in February, with investors including First Round Capital, Bessemer Venture Partners and Dave Tisch, who manages early-stage investment fund BoxGroup.

Blue Apron delivers prepackaged kits containing the ingredients needed to prepare a gourmet meal. The idea is partly to make ingredient shopping more efficient—no more ending up with too much leftover parsley—but also to introduce at-home cooks to unique recipes and hard-to-find ingredients, said CEO and co-founder Matt Salzberg.

“That’s an important part of our product,” Mr. Salzberg said. “It’s an experience, not just a convenience.”

• Kitchensurfing

Gowanus-based Kitchensurfing raised $1 million late in 2012 and this year expanded from New York City and Berlin into Boston.

Kitchensurfing brings chefs directly into subscribers’ kitchens. Customers can purchase catered meals starting at about $20 per person or place their own requests and receive proposals from Kitchensurfing chefs. After chef and customer agree on a plan, the chef shows up with the ingredients, then cooks and cleans up.

CEO and co-founder Chris Muscarella, a tech and food industry vet, says he sees two trends in food. Restaurants are trying to put diners closer to the chef via open kitchen designs and special events. “Kitchensurfing takes that to its utmost extreme,” Mr. Muscarella said.

The second trend is based on convenience. Customers are looking for one-click, online access to food delivery. But a bespoke dining experience can actually be facilitated surprisingly quickly, Mr. Muscarella said. In some cases, meals have been arranged in as little as a day.

• Underground Eats

Mr. Sirois’ Underground Eats, which has four employees, opted to forgo outside funding after meeting with early-stage investors last year, he said. However, the company exceeded 20,000 subscribers in January, roughly one year after launching. It plans to double its small staff over the next year.

Brooklyn seems to be the heart of the growing tech-food scene. The city’s Food+Tech Meetup group—which started in Brooklyn—has more than 800 members and hosts regular discussions running the gamut from e-commerce to sustainability.

“I think it’s the fact that in Brooklyn you’re surrounded by food thinking,” said Elizabeth McVay Greene, a founder of the Food+Tech Meetup as well as Plovgh, which allows consumers to buy produce directly from nearby farms. “And there are also the technologists and designers who can, in 48 hours, put an app together.”

That being said, the food space is complex, and industry experience outside the traditional tech space is invaluable, said Ms. Greene.

“I see a lot of people building restaurant apps and websites for agriculture, but you can’t just build an Etsy for food,” she said. “I’ve seen a lot of companies come and go.”

The fundamental problem with scaling up a high-end food-based business is the artisanal nature of food. If you build a food operation on the scale of Costco, it tastes like food from Costco.

On the other hand, meeting that challenge is easier in the tight confines of New York City.

“Food in New York City is kind of the ultimate pursuit,” Ms. Greene said. “It’s the coolest thing you can do, and now technology is right up there with it. So the combination is appealing.”

Instagram and Your Enterprise: Connecting with Customers

Instagram quickly became one of the hottest ways for operators to interact with their clientele. It’s low-cost, you can receive and share customers’ photos on your own feed, facebook, twitter, or other social media. And for now, it’s still free.

Great Tech Trends: Guest Feedback at Ed’s Chowder House

Incorporating new technology into your enterprise can seem exhausting, but there are many easy ways to make technology work for you, your guests, your employees, and your enterprise. In the next few Enterprise Insights, we will profile a few of them.

We recently found a great tech trend in play at Ed’s Chowder House that will help owners and managers get valuable feedback from guests and make sure they leave happy.

When guests sit down at Ed’s, they’ll find a business card with the name of the restaurant’s General Manager on the front, and a QR code and web address on the back, along with their table number.

The web address or QR code will take guests to a unique site for Ed’s Chowder House, run by a company called Yorn—short for Your Opinion Right Now. Once at the site, they can leave feedback that is relayed to management in real time.

While many guests are timid about making commentary face-to-face or to a server who they feel may not have power to correct a problem, they are often willing to leave comments online or in an indirect manner. Just think about the ever-increasing popularity of Yelp.

This type of technology, almost like a real-time Yelp, offers a unique opportunity to address guests’ questions, comments, or concerns promptly—before they even leave the enterprise.

Yorn offers customized feedback solutions depending on your specific enterprise, so it can provide valuable insight for a bakery-café, fast casual enterprise, or quick service restaurant, as well.