Earlier this year, the Australian Financial Review reported the platform had lifted its valuation above $200 million.
Speaking to the Herald, EatClub chief executive and co-founder Pan Koutlakis said New Zealand had an incredible hospitality culture, but acknowledged it was a difficult time to run a restaurant.
“Costs are up, margins are tight, and at the same time people are looking much harder at what they spend. EatClub is designed for that exact environment. Diners get genuinely great value at amazing restaurants they want to go to, while restaurants can bring in incremental customers on their own terms,” he said.
Koutlakis has been in the industry for years and said his first experience working in hospitality came when he was 12 years old.
EatClub chief executive and co-founder Pan Koutlakis has worked in the hospitality sector for years.
After working through cafes, restaurants, bars and nightclubs, Koutlakis entered Sydney’s hospitality-tech sector.
“This was an idea that developed when I was running a bar and nightclub, and I used very offline versions of EatClub to make the bar that I ran more profitable by getting people in earlier, by starting the atmosphere. It was a really important part of how I ran this venue that I did.”
Asked about any catches to the platform, Koutlakis was understanding of the scepticism, noting it was a common question after launching in Britain.
“The way that the restaurant economics work is there’s actually quite a lot of margin in restaurant food, and often the issue is how much volume they do throughout the week, and also having periods of the day or periods of the week where they negatively contribute to costs.
“They don’t have enough revenue coming in to pay for the variable costs that are facing the business at that time. Our solution’s really aimed at turning those negative contribution periods into break-even or positive periods, and starting earlier and getting more walk-ins on their normal peak times.”
By using EatClub to drive incremental diners during already staffed quieter windows, venues can achieve up to 10 times cover uplift, adding about 12% in annual revenue and more than doubling off-peak profits, according to Koutlakis.
The platform also encourages customers to dine out more often, with active EatClub users dining out 70% more frequently on average.
Koutlakis and the platform earn revenue through a margin on each transaction and only charge the venue once customers have paid.
The dynamic dining platform was co-founded by three-star Michelin chef Marco Pierre White.
Alongside the core offering, Kiwis will gain access to EatClub Earn, a new feature turning everyday shopping into dining credit.
Users can earn up to 10% back in instant dining credit when using their digital card at hundreds of retail partners across fashion, beauty, sportswear and home essentials, unlocking higher reward tiers with continued use.
Koutlakis described the platform as akin to reward schemes run by airlines and hotels, but suggested users would see returns much quicker.
EatClub’s launch in New Zealand comes as the sector grapples with increasing cost pressures and poor consumer confidence, with hospitality liquidations up 49% year-on-year.
Despite the dour sentiment, Koutlakis said the app had received strong feedback.
“We’ve been blown away by the response from restaurants that we’re speaking to. I think restaurants are looking for ways to get more out of their venue and rightfully so.
“New Zealand’s dining scene isn’t only very close to Australia, but I think we’re very similar people. You’re definitely reporting some more recent troubles, but you punch incredibly well above your weight. The number of world-renowned venues is on a per capita basis probably one of the best in the world.”
EatClub launches with a line-up of more than 250 top hospitality venues across Auckland and Wellington, including some featured on the recently published Michelin Guide.
Koutlakis said the platform will likely expand to all population centres in the near future.
Tom Raynel is a multimedia business journalist for the Herald, covering small business, retail and tourism.
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