WEBVTT - Flashfood Goes From Refuse to Rescue 0:00:00.080 --> 0:00:03.360 You're listening to Bloomberg Business Week with Carol Messer and 0:00:03.440 --> 0:00:05.840 Tim Stenebeck on Bloomberg Radio. 0:00:06.080 --> 0:00:09.000 Hey, so a story popped in on my radar while 0:00:09.000 --> 0:00:11.440 reading in for our next guest. It was from Industry Dive. 0:00:11.520 --> 0:00:14.080 They're a business to business news organization. They wrote, as 0:00:14.120 --> 0:00:16.640 grocers dial up their efforts to reduce food waste, a 0:00:16.720 --> 0:00:21.120 key area of focus within sustainability, artificial intelligence and other 0:00:21.160 --> 0:00:25.280 digital innovations are helping food retailers improve their data processes 0:00:25.320 --> 0:00:28.840 and workforce efficiencies. So I'm curious what our next guest 0:00:28.880 --> 0:00:30.600 has to say about that, and so delighted to have 0:00:30.680 --> 0:00:32.839 back with them. Earlier this year, he was named one 0:00:32.840 --> 0:00:35.519 of Canada's most Influential change makers by the Globe and 0:00:35.560 --> 0:00:40.000 Mails Report on Business magazine. Josh Domingis founded flash Food, 0:00:40.280 --> 0:00:43.280 the digital marketplace that connects consumers to heavily discounted food. 0:00:44.680 --> 0:00:47.240 I always feel like I was thinking about you again? 0:00:47.600 --> 0:00:50.120 Is that? Why the heck? Where weren't doing this sooner? Anyway? 0:00:50.159 --> 0:00:53.800 Welcome back, Welcome back, And Jess was reminded like this 0:00:53.920 --> 0:00:56.120 the first time we had she was here. She's in 0:00:56.240 --> 0:00:59.200 for Tim, but like, nice to have this continuity. 0:01:00.120 --> 0:01:01.880 How are you, I'm doing well. 0:01:01.960 --> 0:01:05.000 I mean, congratulations, you have a bigger family now. 0:01:04.959 --> 0:01:07.319 Yeah, thank you. We had another one, so our newness 0:01:07.400 --> 0:01:09.679 is now three months old. And I was joking that, 0:01:09.840 --> 0:01:12.480 like I go from all things crazy at home to 0:01:12.480 --> 0:01:15.200 all things crazy at work, but just on a journey, 0:01:15.200 --> 0:01:17.560 and it's so grateful to be in the position that 0:01:17.600 --> 0:01:21.000 we're at. We're really excited with what's happening stateside, Like. 0:01:21.240 --> 0:01:23.560 Well, tell us about the journey and what's happened since 0:01:23.600 --> 0:01:25.680 April A lot. I mean, you said to me, how's 0:01:25.800 --> 0:01:26.280 the world going. 0:01:26.280 --> 0:01:28.520 I'm like, it's crazy, it's nice job. It has just 0:01:28.560 --> 0:01:29.600 been so busy. 0:01:30.560 --> 0:01:33.800 Even with questions about the outlook and all these problems, 0:01:34.280 --> 0:01:36.520 there's growth, people are doing things. 0:01:36.280 --> 0:01:40.080 What's changed since April A lot of things, But. 0:01:40.040 --> 0:01:42.440 I'll say the first thing is like the reliance on 0:01:43.160 --> 0:01:45.640 from shoppers on flash Foot Now, like we've become a 0:01:45.680 --> 0:01:48.400 lifeline for some of our customers. Some of our shoppers 0:01:48.480 --> 0:01:51.960 where like they're not feeding their kids or their families 0:01:52.000 --> 0:01:55.160 as affordably as they would read or as healthily without 0:01:55.160 --> 0:01:56.960 the app. And we're seeing that just play out in 0:01:57.000 --> 0:01:59.440 more and more communities. And there was a story I 0:01:59.480 --> 0:02:02.280 was telling est our director of Commons before we stat 0:02:02.320 --> 0:02:04.480 in here, and me and my president stopped at a 0:02:04.520 --> 0:02:08.000 store in the Midwest last week and we went to 0:02:08.040 --> 0:02:09.920 the store. It was one of our newer stores that 0:02:09.960 --> 0:02:12.960 we had partnered with and still in like kind of 0:02:12.960 --> 0:02:15.000 the pilot phase, and so we weren't going to go 0:02:15.040 --> 0:02:17.160 in and like talk to anybody. We weren't planning on 0:02:17.200 --> 0:02:18.520 doing that. Really, we were just going to kind of 0:02:18.520 --> 0:02:20.639 see how people were doing in the store. We ended 0:02:20.720 --> 0:02:23.200 up meeting the assistant store manager. She's like, you need 0:02:23.240 --> 0:02:25.560 to go talk to the store manager. He pulled in 0:02:25.800 --> 0:02:28.720 the meat department manager who was the one running flash 0:02:28.720 --> 0:02:31.080 food at the store, and he just pulls us society. 0:02:31.080 --> 0:02:33.919 He's like, I've reduced the amount of food that I'm 0:02:33.919 --> 0:02:37.000 throwing out like a ridiculous amount. And then he called 0:02:37.000 --> 0:02:39.359 over the seafood manager who was just like walking by 0:02:39.400 --> 0:02:40.760 and he stopped and he's like, I just want to 0:02:40.760 --> 0:02:43.840 say thank you, Like what you're allowing us to do 0:02:43.960 --> 0:02:46.600 is so impactful. And we left that meeting. We were 0:02:46.600 --> 0:02:48.640 going to another dinner with a couple of other executives 0:02:48.680 --> 0:02:51.120 at Admire in the Midwest, and the store that we 0:02:51.200 --> 0:02:53.119 left and I was talking to my president and I'm 0:02:53.160 --> 0:02:56.280 just like, this is not like it's not like a 0:02:56.320 --> 0:02:59.960 surprise factor. It's not like a reinvigoration. It's more like confirmatory. 0:03:00.280 --> 0:03:02.520 To me, it just is so obvious that this is 0:03:02.560 --> 0:03:04.280 going to continue to happen and the scale is going 0:03:04.360 --> 0:03:06.280 to keep happening, and we're going to be in every 0:03:06.320 --> 0:03:08.960 community in America, like it's just a matter of time. 0:03:09.480 --> 0:03:13.200 So it's balancing that with I guess the headwinds that 0:03:13.240 --> 0:03:15.480 are the grocery sector, that are the food sector that. 0:03:15.560 --> 0:03:17.440 Like and I want to give you that, but give me, 0:03:17.600 --> 0:03:19.560 give me we are bloomberg, So we get a little 0:03:19.600 --> 0:03:21.480 like number crazy, but give me an. 0:03:21.360 --> 0:03:23.960 Idea in terms of like we'll go ahead, good, Well. 0:03:23.840 --> 0:03:25.880 The size and scoop that he threw out the last 0:03:25.880 --> 0:03:27.560 time he was here, he was talking about how it's 0:03:27.600 --> 0:03:30.160 about five to ten thousand dollars of food every day 0:03:30.160 --> 0:03:32.720 of stores throwing out and that really stuck out to me. 0:03:33.160 --> 0:03:36.600 Yeah, we've now saved shoppers. So one number that comes 0:03:36.600 --> 0:03:38.440 to mind is like, we've now saved shoppers over two 0:03:38.480 --> 0:03:42.000 hundred million dollars in their groceries, like and and we're 0:03:42.000 --> 0:03:45.240 in just under two thousand stores. There's so what does 0:03:45.240 --> 0:03:45.560 that mean. 0:03:45.600 --> 0:03:48.280 So when somebody shop, tell me what that number means. 0:03:48.440 --> 0:03:50.800 The average the average discount on flash food is about 0:03:50.840 --> 0:03:54.320 fifty percent off. Okay, So, like we've saved shoppers in 0:03:54.400 --> 0:03:58.000 total across the entire platform over two hundred million dollars 0:03:58.040 --> 0:04:02.520 now and then like we're in nineteen hundred stores. There's 0:04:02.720 --> 0:04:06.320 forty or fifty thousand grocery stores in America, Like we're 0:04:06.360 --> 0:04:08.960 still just scratching the surface. There's still so much opportunity. 0:04:09.000 --> 0:04:10.880 Who's shopping? Who is your shopper. 0:04:11.040 --> 0:04:13.800 It's funny I was talking about this earlier, Like there's 0:04:13.840 --> 0:04:16.720 a small cohort of people that don't have to ever 0:04:16.760 --> 0:04:19.839 think about how much their grocery, their groceries are, And 0:04:19.880 --> 0:04:20.280 there's a. 0:04:20.200 --> 0:04:22.360 Cohort increasingly, not because I feel like. 0:04:23.880 --> 0:04:27.080 To be fair, To be fair, there's people who are 0:04:27.200 --> 0:04:27.640 sat on. 0:04:27.600 --> 0:04:29.640 It's a very small number and it's getting smaller. And 0:04:29.680 --> 0:04:32.560 there's a small number of people who just like are 0:04:32.560 --> 0:04:36.000 on the other spectrum, and our shoppers are the mass 0:04:36.040 --> 0:04:39.960 market that's in between. Like, it's not just people who 0:04:40.040 --> 0:04:42.200 need to save money on their groceries. People need to 0:04:42.200 --> 0:04:45.359 save money anywhere now, So in terms of the shopper, 0:04:45.640 --> 0:04:49.000 it's typically young moms that are our main shopper. But 0:04:49.240 --> 0:04:53.240 it runs the gamut, like across the spectrum economically. 0:04:53.520 --> 0:04:54.760 How does it work exactly? 0:04:54.800 --> 0:04:57.280 If you go to the store, remind. 0:04:57.040 --> 0:04:58.720 Everybody because I know you went through this last time. 0:04:58.760 --> 0:05:02.039 But yeah, so you usually check the app, so I'll 0:05:02.040 --> 0:05:04.119 talk the flow. You check the app in the morning, 0:05:04.120 --> 0:05:05.760 you see what a store posts, you buy it. So 0:05:05.839 --> 0:05:07.440 let's say you buy a pack of chicken rest and 0:05:07.480 --> 0:05:10.479 it's fifty percent off. Anytime that day, you go to 0:05:10.520 --> 0:05:12.800 the store and you go to the flash Food zone, 0:05:12.800 --> 0:05:15.640 which is by the customer service desk usually, and they 0:05:15.640 --> 0:05:17.279 have a device with the list of names of people 0:05:17.320 --> 0:05:19.200 that are coming to pick up. You just say I'm Jess, 0:05:19.240 --> 0:05:21.839 I bought this chicken through flash Food. They click your name, 0:05:21.960 --> 0:05:24.160 click confirm, pick up, grab your item for you, give 0:05:24.200 --> 0:05:27.040 it to you, and you're done. So the transaction happens 0:05:27.040 --> 0:05:28.520 in the app, and that way you know that your 0:05:28.520 --> 0:05:30.680 food's going to be waiting for you there anytime in 0:05:30.720 --> 0:05:32.760 the day. We actually have stories of people who will 0:05:32.800 --> 0:05:36.919 like buy from multiple stores and they'll send their father 0:05:36.960 --> 0:05:38.839 in law, their mother in law, whoever's coming home from 0:05:38.839 --> 0:05:40.599 work that day, like, hey, stop at the store. You 0:05:40.640 --> 0:05:42.760 got to grab my order. That's actually becoming more of 0:05:42.800 --> 0:05:44.240 the thing as we add more locations. 0:05:44.279 --> 0:05:45.919 Are they restrictions on how much you can buy? 0:05:46.240 --> 0:05:47.320 No? 0:05:47.320 --> 0:05:49.520 No, do you typically sell out? 0:05:49.600 --> 0:05:50.880 It's the purple fridge. 0:05:50.600 --> 0:05:52.760 Right, Yeah, we're selling like depending on the store, but 0:05:52.800 --> 0:05:55.000 we're selling seventy five to eighty percent of all the 0:05:55.040 --> 0:05:56.880 food that makes its way on the flash food platform. 0:05:57.080 --> 0:05:59.080 Some of the markets, some of the stores as we like, 0:06:00.200 --> 0:06:02.280 have been on for a while, more shoppers know about 0:06:02.320 --> 0:06:04.480 them when we launched. There's some like education to let 0:06:04.520 --> 0:06:06.960 shoppers know. For example, like from the last time I 0:06:07.000 --> 0:06:09.159 was here, we went from I think it was like 0:06:09.200 --> 0:06:11.760 ten or fifteen stores with Stopping Shop to now over 0:06:12.279 --> 0:06:15.160 three hundred stores live with them across New England, New Jersey, 0:06:15.279 --> 0:06:18.240 New York. So Stopping Shop is our biggest expansion in 0:06:18.240 --> 0:06:19.640 the last quarter that we've had. 0:06:20.240 --> 0:06:23.600 So in context as far as if something is two 0:06:23.680 --> 0:06:26.200 to three days before the expiration date is due or 0:06:26.200 --> 0:06:29.080 even weak out, what causes that to happen? Are people 0:06:29.160 --> 0:06:32.000 just going in not if it's stays suitor. Are they 0:06:32.040 --> 0:06:33.719 not wanting to grab that and they're trying to buy 0:06:33.760 --> 0:06:35.880 something that's going to last a little bit longer? So 0:06:35.920 --> 0:06:37.839 that's why stores end up having to throw this out. 0:06:37.960 --> 0:06:41.240 That's exactly it. It's consumer habits, specifically in North America, 0:06:41.320 --> 0:06:43.400 when we go grocery shopping, we're always reaching at the 0:06:43.440 --> 0:06:46.479 back for whatever has long. Yeah, we're all guilty of it, 0:06:46.560 --> 0:06:48.359 and the near dated stuff moves to the front, and we. 0:06:48.880 --> 0:06:51.120 Think that there's not quite as many items left. I'm 0:06:51.160 --> 0:06:54.239 kind of questioning why things might be there. 0:06:54.320 --> 0:06:56.080 That's exactly the next point. If you go buy a 0:06:56.080 --> 0:06:58.240 watermelon and there's one on the shelf, consumer so the 0:06:58.320 --> 0:07:00.400 worst one. So the retailer has to stop the shelves. 0:07:00.680 --> 0:07:03.000 So it's a combination so that we get selection. It's 0:07:03.040 --> 0:07:06.279 a combination of like inventory getting into the store, but 0:07:06.320 --> 0:07:10.440 also consumer habits that drives to this like dual sided problem. 0:07:10.520 --> 0:07:12.880 I guess as someone who's created this business, Josh, do 0:07:12.920 --> 0:07:15.280 you think about, like you know so much when we 0:07:15.320 --> 0:07:18.640 talk about retail or some other markets. You know, managing 0:07:18.680 --> 0:07:22.000 your supply chain is crucial, right, And I do wonder 0:07:22.080 --> 0:07:24.000 do you think that there is a moment in time 0:07:24.080 --> 0:07:28.760 where food or supermarkets are better at managing their food 0:07:28.800 --> 0:07:32.000 purchases so that there isn't waste that you can't tap 0:07:32.040 --> 0:07:33.040 into or is it not. 0:07:33.320 --> 0:07:35.239 It's not the way this market works. 0:07:36.040 --> 0:07:37.840 I mean, I mean, I'm just curious if you yeah, 0:07:37.880 --> 0:07:40.280 it's not. It's not serving to the business. But I mean, 0:07:40.320 --> 0:07:42.920 I would love if that were the case. From personally, 0:07:43.000 --> 0:07:45.240 from like an environmental perspective, I would love if that 0:07:45.280 --> 0:07:45.760 were the case. 0:07:45.840 --> 0:07:48.200 But is there something about it that almost makes it impossible. 0:07:48.200 --> 0:07:49.880 It's it's not ever going to get there. It's so 0:07:50.160 --> 0:07:53.760 hard to manage inventory and fresh food. Like we're in 0:07:53.800 --> 0:07:55.800 New York City and you can get a banana at 0:07:55.800 --> 0:07:58.560 any time of the year. Like people forget how just 0:07:58.760 --> 0:08:01.640 much of a miracle that is, Like you're not they're 0:08:01.680 --> 0:08:03.440 not growing down the road. You got to get that 0:08:03.480 --> 0:08:06.320 across the world basically, and take that for any item 0:08:06.440 --> 0:08:09.040 like and avocado, the same thing. So as long as 0:08:09.160 --> 0:08:11.640 our habits are as they are, which they will continue 0:08:11.640 --> 0:08:14.840 to be, it's basically impossible to be perfect on your inventory. 0:08:14.920 --> 0:08:17.480 Isn't that funny? Like I think about growing up, I'm 0:08:17.520 --> 0:08:19.200 older than both of you, but it's. 0:08:19.080 --> 0:08:22.520 Like peaches were in season, like this was in season 0:08:23.000 --> 0:08:25.200 corn in you know, like there was just certain things 0:08:25.200 --> 0:08:26.920 that we would have and it was kind of fun. 0:08:27.560 --> 0:08:29.360 But it's not that way anymore, it's. 0:08:29.160 --> 0:08:31.320 Gone away very different, and now if they don't have 0:08:31.400 --> 0:08:33.960 something at one store, your competitor has it down the road. 0:08:34.040 --> 0:08:37.080 So like, because of that reason, in addition to supply chain, 0:08:37.160 --> 0:08:39.720 addition to moving food, and in addition to every time 0:08:39.760 --> 0:08:42.160 you touch food like it degrades its quality a little bit, 0:08:42.400 --> 0:08:47.720 it's just really really difficult to get fresh food right forecasting. 0:08:48.200 --> 0:08:50.360 So my belief is, no matter what, we're gonna have 0:08:50.400 --> 0:08:52.560 a surplus in North America food at the grocery stores. 0:08:52.600 --> 0:08:55.200 I think it's going to reduce over time, but I 0:08:55.200 --> 0:08:56.760 think it's always going to be there. And I say 0:08:56.800 --> 0:09:00.240 that having friendships close ties with some of these companies 0:09:00.320 --> 0:09:02.680 that are doing what you're saying, like using AI and 0:09:02.760 --> 0:09:04.760 leveraging the best way you can order, the best way 0:09:04.760 --> 0:09:08.960 you like, you can adopt your systems to being perfect. 0:09:09.480 --> 0:09:13.320 Yeah, exactly, Sit tight. Sure, we want to talk more. Awesome, 0:09:13.360 --> 0:09:14.360 I want to pick your brain more. 0:09:14.640 --> 0:09:16.440 Josh Domingus is going to stay with us. He's founder 0:09:16.440 --> 0:09:19.400 and CEO of Flash Food. Fascinating story, and I feel 0:09:19.440 --> 0:09:22.079 like Jessice fits into. We were talking with Eric Shatsker 0:09:22.120 --> 0:09:25.800 about the Bloomberg Catalyst. Yes, the New Economy Catalyst. I mean, 0:09:25.880 --> 0:09:28.040 these are people who are doing this, like thinking about 0:09:28.080 --> 0:09:29.880 food and food production. 0:09:29.640 --> 0:09:32.040 And also climate goes into that as well. 0:09:32.160 --> 0:09:34.880 Absolutely, So we're going to continue this conversation just a moment. 0:09:35.080 --> 0:09:37.440 I want to get right back to Josh Tamingus, founder 0:09:37.480 --> 0:09:40.160 and CEO of Flash Food, still here with us in 0:09:40.160 --> 0:09:43.480 our Bloomberg Interactive Broker studio. As you know that they 0:09:43.520 --> 0:09:47.120 are a digital marketplace. They bring together consumers or connect 0:09:47.160 --> 0:09:50.840 consumers to heavily discounted food that is nearing its. 0:09:50.640 --> 0:09:54.720 Best before date. Fascinating to hear what you are doing. 0:09:54.880 --> 0:09:57.439 One thing I have a question with you with you 0:09:58.360 --> 0:09:59.800 is where's the Whole. 0:09:59.600 --> 0:10:02.840 Foods, Walmart, the Costco, the kroger the Wegmans, the Albertson's, 0:10:02.880 --> 0:10:06.440 the all d to partner with you? What's what's the 0:10:06.440 --> 0:10:07.720 conversations you're having? 0:10:08.400 --> 0:10:09.800 Yeah, I'm assuming you are. 0:10:10.160 --> 0:10:12.199 Yeah. Yeah, And if anybody knows any of them, like 0:10:12.240 --> 0:10:14.600 give them a call. No, we're speaking to uh, We're 0:10:14.600 --> 0:10:16.520 speaking to basically everybody in America. 0:10:17.400 --> 0:10:18.360 Do they want to do it? 0:10:19.120 --> 0:10:22.360 Yes? And you have different levels within these big companies, 0:10:22.440 --> 0:10:24.920 decision making from different people. It depends who you get 0:10:24.920 --> 0:10:28.600 in through with some of the like we are what 0:10:28.640 --> 0:10:31.240 I'll say is we're very focused on being national in 0:10:31.280 --> 0:10:36.360 America and that is something that we continuously are focusing on. 0:10:36.520 --> 0:10:38.520 And then with some of those companies, like I think 0:10:38.520 --> 0:10:42.119 it's a matter of time, Like I just for whatever reason. 0:10:42.000 --> 0:10:44.400 Bring them revenue, you potentially bring them new customers. 0:10:44.679 --> 0:10:46.960 We will absolutely drive in new shoppers that I'll spend 0:10:46.960 --> 0:10:49.160 more money in their stores, will help produce the waistline, 0:10:49.320 --> 0:10:51.640 drive in like a contract of their waistline. So it's 0:10:51.640 --> 0:10:53.719 just found money in a lot of ways. But the 0:10:53.800 --> 0:10:56.120 challenge with big companies, and this is not just grocery, 0:10:56.240 --> 0:10:59.040 is you have a strategic priority list. What do you 0:10:59.080 --> 0:11:02.000 pull out to put something new in front of and 0:11:02.040 --> 0:11:05.079 who's owning it, who in the organization, who's allowed a speaker, 0:11:05.120 --> 0:11:08.079 who has the most like opportunity to do it? And 0:11:08.120 --> 0:11:10.720 that is the hard part of selling anything into a 0:11:10.720 --> 0:11:13.160 massive company. It's not whether somebody wants to do a 0:11:13.200 --> 0:11:15.800 thing or not, because a lot of folks and a 0:11:15.840 --> 0:11:18.400 lot of companies are excited about new ideas. It's really like, 0:11:18.720 --> 0:11:20.520 how do you get to the heart of what the 0:11:20.520 --> 0:11:23.520 other person cares about enough to really drive something through. 0:11:23.920 --> 0:11:26.400 And I think one thing I'll say is, like we 0:11:26.400 --> 0:11:29.280 were founded in Canada, Canadian company based in Toronto. Now, 0:11:29.280 --> 0:11:32.480 we predominantly American in terms of the store accountant and 0:11:32.720 --> 0:11:35.720 a lot of our staff, but we had a pandemic 0:11:35.720 --> 0:11:38.240 where I couldn't cross the border for two years. So, 0:11:38.440 --> 0:11:40.720 like you, if you take away that block of time 0:11:40.760 --> 0:11:42.439 and if I just happened to be stateside, I think 0:11:42.440 --> 0:11:45.320 we would have had more of those names on sooner. Now, 0:11:45.559 --> 0:11:47.439 saying that we're in a very good position with a 0:11:47.440 --> 0:11:49.559 lot of names that you're shared and we're really focused 0:11:49.559 --> 0:11:53.559 on I think I think allowed here in a couple 0:11:53.600 --> 0:11:55.760 of months again and we'll have another update. I think 0:11:55.800 --> 0:11:57.080 that's I think that's the right way to go. 0:11:57.200 --> 0:12:00.480 Okay, So what different verticals are you thinking about? 0:12:00.920 --> 0:12:03.480 So one of the most exciting things that we're actually 0:12:03.559 --> 0:12:07.640 doing right now with a third party delivery company one 0:12:07.640 --> 0:12:10.080 of our grocery partners. All of our grocery partners have 0:12:10.120 --> 0:12:14.480 distribution centers that have waste because they can't get through 0:12:14.559 --> 0:12:17.480 so they bring all this food into these centralized locations 0:12:17.520 --> 0:12:18.840 and then they try to send it out to their 0:12:18.840 --> 0:12:21.880 stores and for whatever reason, there could be a breakdown. 0:12:21.880 --> 0:12:23.680 There could be a snowstorm, there could be a flood, 0:12:23.679 --> 0:12:25.400 and they can't get the food to their stores in time. 0:12:25.679 --> 0:12:28.560 So at the distribution centers there happens to be a 0:12:28.640 --> 0:12:32.080 higher amount of than normal of fresh food waste. And 0:12:32.120 --> 0:12:34.600 what we've done with one of our partners is partnered 0:12:34.640 --> 0:12:37.880 with a third party delivery company and put a flash 0:12:37.920 --> 0:12:41.559 food storefront. So they took a location on that distribution 0:12:41.720 --> 0:12:45.080 center's facility and they retrofitted it. It was like an 0:12:45.120 --> 0:12:47.120 old guard shed. They retrofitted it, cleaned it up, put 0:12:47.120 --> 0:12:49.200 a bunch of fridges in and it's now a flash 0:12:49.200 --> 0:12:51.880 food storefront. And we actually have a flash food by 0:12:52.000 --> 0:12:55.600 Meyer storefront in Lansing, Michigan on the door dash app. 0:12:55.920 --> 0:12:58.319 So if you're in Lansing, Michigan, you can order groceries 0:12:58.600 --> 0:13:00.920 at up to fifty percent off delivered to your door. 0:13:01.160 --> 0:13:01.720 That's great. 0:13:02.040 --> 0:13:04.400 And what's the business been like with that model? 0:13:05.640 --> 0:13:08.760 Right, it's early and Lancing is a university town, so 0:13:08.920 --> 0:13:13.640 without having the university in town, it's just there was yeah, no, no, 0:13:13.679 --> 0:13:16.880 it's fine. There were just kinks to for example, like 0:13:16.920 --> 0:13:20.000 at the beginning there was only five mile radius for delivery, 0:13:20.120 --> 0:13:22.520 and just so happens at these facilities that are going 0:13:22.559 --> 0:13:25.400 to be with every CpG or every food company are 0:13:25.400 --> 0:13:26.720 going to be in places that not a lot of 0:13:26.720 --> 0:13:29.320 people live. So you just you learn things as you go. 0:13:29.440 --> 0:13:31.679 It's a brand new vertical for us, but that has 0:13:31.720 --> 0:13:34.160 sense almost tripled in terms of like the coverage and 0:13:34.200 --> 0:13:34.720 the radius. 0:13:34.920 --> 0:13:37.120 What's the delivery time though, or the delivery is it 0:13:37.160 --> 0:13:38.280 a long distance. 0:13:37.920 --> 0:13:40.319 Now same day same day delivery? 0:13:40.920 --> 0:13:42.319 And the cost for the delivery. 0:13:43.320 --> 0:13:46.280 I think it's five dollars depending on the order size, 0:13:46.280 --> 0:13:48.200 but it's like between five and ten dollars, but your 0:13:48.320 --> 0:13:50.320 order is up to fifty percent off of the food 0:13:50.320 --> 0:13:53.440 that you're getting. So this is a model that we're 0:13:54.040 --> 0:13:56.520 testing out now. It's going well, it's going better than 0:13:56.520 --> 0:13:58.640 we anticipate at the stage, better than the original model. 0:13:59.200 --> 0:14:01.040 I think it can be here than our original model 0:14:01.040 --> 0:14:03.920 in terms of the amount of food waste production. I 0:14:03.920 --> 0:14:06.040 think it's different. I think it adds a whole bunch 0:14:06.080 --> 0:14:09.400 of different partners. I think all of these CpG companies 0:14:09.440 --> 0:14:13.200 have locations across America. Yeah, consumer product good companies have 0:14:13.520 --> 0:14:16.640 I know that they have locations across America that have 0:14:16.679 --> 0:14:20.400 wasted their facilities. Like there's a there's a scenario here 0:14:20.400 --> 0:14:22.400 where this could be a really big vertical for US. 0:14:22.520 --> 0:14:24.400 You also mentioned you have a bit of a reach 0:14:24.440 --> 0:14:25.200 on TikTok. 0:14:25.480 --> 0:14:30.120 Now, yeah, so the Josh no no, no, no no, 0:14:30.480 --> 0:14:32.720 the flash Food brand, we would not we would not 0:14:32.800 --> 0:14:38.760 have any reach if it was the Josh we're getting like, yeah, exactly, 0:14:38.880 --> 0:14:41.320 and the kids that'll probably be more exciting as people 0:14:41.360 --> 0:14:43.160 are on boxing and shoppers are on boxing. 0:14:43.160 --> 0:14:46.360 So on flash Food, you buy a box of produce 0:14:46.400 --> 0:14:48.120 and you you see a picture of what's going to 0:14:48.160 --> 0:14:49.360 be in it. But a lot of times people are 0:14:49.360 --> 0:14:51.600 opening this box and they're seeing items that they never 0:14:51.640 --> 0:14:54.600 tried before. So there's been like a pretty big unboxing 0:14:55.120 --> 0:14:57.320 theme on TikTok where people are sharing what they're getting, 0:14:57.360 --> 0:14:59.720 and then they're also sharing. For example, like one person 0:14:59.760 --> 0:15:03.000 gets one hundred bananas for five dollars, they'll unbox it 0:15:03.040 --> 0:15:04.880 and they'll be like they'll know they're getting a bunch 0:15:04.880 --> 0:15:07.160 of bananas, but they're like, Okay, what am I gonna 0:15:07.200 --> 0:15:08.680 do with all these bananas? And then you'll see them 0:15:08.760 --> 0:15:11.360 share that. They'll be content going back and people saying 0:15:11.400 --> 0:15:14.480 try this, try this, and so this is the other 0:15:14.560 --> 0:15:16.560 side of it, like we've built a platform that's helping 0:15:16.600 --> 0:15:20.560 retailers make more money, reduce waste drive in new shoppers. 0:15:20.560 --> 0:15:22.320 But there's also a whole angle here on like the 0:15:22.360 --> 0:15:25.000 origination of what are you making? What are you doing 0:15:25.000 --> 0:15:26.800 in the kitchen? Like what are you trying? What are 0:15:26.880 --> 0:15:30.080 you cooking? And it's becoming a fun part of the 0:15:30.120 --> 0:15:32.960 process in a way that I personally didn't anticipate when 0:15:33.000 --> 0:15:33.440 we started. 0:15:35.080 --> 0:15:38.320 What's the most difficult part of the business. 0:15:40.160 --> 0:15:45.040 Getting more retailers on board faster? That's it because I'll 0:15:45.080 --> 0:15:47.760 sit down with an executive and share all the things 0:15:47.800 --> 0:15:50.320 that I've shared on the show, and they're just There's 0:15:50.360 --> 0:15:53.400 one executive of a big retailer who has whatever, almost 0:15:53.400 --> 0:15:56.280 two thousand locations, and I was like, why don't you 0:15:56.360 --> 0:15:57.920 just do this in all your stories. He's like, what 0:15:57.960 --> 0:16:01.640 people don't realize is we have, however, many thousand employees, 0:16:01.680 --> 0:16:04.080 However many hundreds of thousands of shoppers that come into 0:16:04.120 --> 0:16:06.400 the stores every day, and there was a coffee mug 0:16:06.400 --> 0:16:07.800 in front of them. He's like, for me to get 0:16:07.800 --> 0:16:10.800 this coffee mug, move from here to there in one 0:16:10.840 --> 0:16:14.880 of our stores in Unison consistently on a daily basis 0:16:15.320 --> 0:16:18.840 is a monumental task. And so as he was saying 0:16:18.840 --> 0:16:20.320 it that way, I was like, Okay, Yeah, these are 0:16:20.320 --> 0:16:24.600 big numbers. So the challenge is like getting scale faster 0:16:24.680 --> 0:16:28.320 because we are tightly embedded with our grocery partners. We 0:16:28.360 --> 0:16:30.200 don't have a business if it's not for our partners. 0:16:30.560 --> 0:16:32.640 And that's unique in a lot of tech companies. And 0:16:32.640 --> 0:16:34.280 we're not trying to come at this and be smarter 0:16:34.360 --> 0:16:37.360 than them, because we're not. We just have one vertical 0:16:37.440 --> 0:16:39.280 that can solve one part of the problem in a 0:16:39.320 --> 0:16:42.840 really meaningful financial way. And just yeah, that's been it. 0:16:43.280 --> 0:16:45.600 I gotta say, Son of a great interview is that 0:16:45.640 --> 0:16:47.920 you're leaving and I still have like a dozen questions 0:16:48.000 --> 0:16:49.280 I want to ask you, So you're going to have 0:16:49.320 --> 0:16:49.720 to come back. 0:16:50.080 --> 0:16:52.160 It sounds like there's going to be in the future. 0:16:52.760 --> 0:16:53.440 Jo just I Mingus. 0:16:53.480 --> 0:16:56.600 He's founder in CEO Flash Food. Congratulations on the family 0:16:56.880 --> 0:16:58.000 and good to see you. 0:16:58.120 --> 0:16:59.200 This would be so much for happening