Grubwithus Inc.

Business Model

Grubwithus books revenue upon selling meal seats to its users. Grubwithus sells these seats to its members at roughly the price of the meal. Since the private food-based social media company buys these seats at a discount from its restaurant partners, Grubwithus' net revenue comes from the difference between the price it pays to restaurants and the price users pay for a seat, roughly a 30% premium.

Prices

Depending on how one considers it, Grubwithus users pay both a premium and a discount for their group meals. Most restaurants offer Grubwithus deals in a prix fixe format. If one were to order each dish on the prix fixe menu separately, the cost would usually outstrip the cost of a Grubwithus meal. However, it is important to note that under other circumstances, Grubwithus diners may have chosen not to order an appetizer/dessert at all, in which case they would have paid less for a meal at the same restaurant.

For restaurant owners, this means that Grubwithus… Continue Reading →