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-- group bought it living social there is a new player eating up the daily deal space the New York based start up called.
Savored offers 30% discounts of the nation's top restaurants and the best part is.
You don't need a coupon.
Eating up is the key phrase there -- McCain is the co-founder and CEO of savored well teen bandits in the government so after a long and storied career in investment banking and kidding because forgive me for sharing your age -- -- only 25 -- I started this new endeavor.
Tell us about it and with group -- so many other -- sites out there now how are you setting yourself apart.
Short -- investment bank -- Merrill Lynch covered the Opentable IPO.
Really dove deep into the restaurant space in -- opportunity to combine the reservation platform from open table with the discount model -- Let's just be specific about works now -- make a reservation through you at a fancy restaurant.
And I get a 30%.
Hike I think you ten dollars but I get a 30% discount in my restaurant exactly you come to -- dot com you pay us ten dollars when you go to the restaurant they have the reservation details.
No coupons at all third I -- do I get a return if I get my money back if you do not get spent more than 34 dollars -- Russia exactly what are the -- -- their entire.
Not having to percent to coupon is there a statement there connect personal -- if I bring absolutely need to understand that in this -- a lot of who looked into the state my eyes on the consumer side you don't want your dates in our business standards now.
Restaurant side there's a stigma as well they don't want the other diners restaurants and you're gonna coupon now let me ask how it is when it went well you're 25 now I don't know how much how old you were when you get your four million in venture capital.
What you're about 24 then when you get that point four exactly how is it 24 year old walk into average person's office and say I want four million bucks what we had a lot of success of the model so we're working or 750 restaurants nationwide top tier restaurant so.
Spice market capitol -- -- -- restaurants is restaurants use us for yield management and it's a pretty compelling so so in other words you've leveraged their reputation in order to get your foot in the door in their money.
I'd -- the success of the business -- absolutely is driven by their reputation and that was big component of being able to raise the funding.
-- tables public groupon just priced its IPO also what are your future plans for savored well we're certainly expanding very quickly.
We're signing a lot new restaurants -- -- number of diners receiving his.
Growing exponentially so we're hoping -- we're gonna how about you on our -- stuff and would you expand out of the restaurant space is this model applicable to other types of businesses we actually believe the opportunity is incredibly large in the restaurants based really be the marketing partner trees restaurant so.
For the time being now we're we're very much focused on restaurants.
Would you stand so they have been so squeeze restaurants in a recession has to work as a waiter in one washing -- everything you name it.
Nobody gets squeezed like restaurants do in a recession and this is this if we're not in recession were to -- her.
How how much of a profit margin how much more can they go in terms of discount so we've actually found that our our business increases a profit.
They're very careful which tables actually offered discount on so these tables or otherwise going -- for filling up the remnant inventory which otherwise they're getting no revenues.
So can you give us an example some these gating factors I think you're leading to like you can only make a reservation on what like a Tuesday at 2 o'clock in the afternoon we'll so that's the that's the assumption actually every restaurant has a couple tables that just will not turn on -- -- so.
You come on there's 250 restaurants in New York.
And you say Friday night 8 PM.
It might refresh -- a 150 but generally.
Every single restaurants offering prime time tables if this model is so successful wired -- -- a dozen other competitors out there well they are but they're just not getting the attention we are because they're they're not having as much successful -- we're certainly focused on the competition it's going to be.
A big challenge to us it's an attractive market.
Reason to -- quarter our principles.
Talk to me more about those principles and in this challenging economic environment what -- you reading up against -- you -- to keep the lean mean.
Profile as well.
Yeah -- sold the real challenge I think is the competition so while corporate tool bars as we stick.
On the restaurant side we're sitting on their side of the table and a lot of these other players out there the daily deal sites they focus on the consumer and I think that we're gonna have to maintain that core principle in order to win and you ask you you made a bet before we came on about how many times you would start -- -- Woodward so.
I think kids about thirty times just a you know -- that but I don't think you can raise capital in Silicon Valley this news ultimately over under on 30 Rock site -- Good for you listen best of luck to you that you American Idol stuff projecting graduation which I served set I will I will they can -- McCain --
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