#187 - How Vending Machines are Generating Millions, The Next Big Social App & Ghost Kitchens For Gifts

so i like these like big things software a companies that i can scale but when i heard him describing this i'm like god i wanna get it on this like this is so like you know what i mean yeah i feel like i could rule to where i know i could be what i want to from at all in and like a day's off on a less travel never looking back what's up sean here we got sam and today's episode we're gonna talk about a blue color side hustle a aka the hill billy of the week which is a vending machine business and sam breaks down all the numbers behind it we talk about this idea of creating the edible arrangements of door dash through ghost kitchens we talk about the new hottest app in the app store the number one app aka is this the next snapchat is this the next club house we don't know it's called paparazzi and i tell a story around that and we talk about vimeo a you know business you probably heard of but may not realize that vimeo is now a eight billion dollar business and then at the end we shoot the shit with bray you and the new bray you dan and you get to meet him a little bit so that's the last i don't know five ten minutes mess of the episode alright great episode enjoy alright what's up y you know what's funny i put out that thing for for merch designs and somebody had a great one that was alright so the funny ones i thought were somebody made a yada yada yada shirt fruit with your face on it and thought that was funny and then somebody made one that just goes it's both of our faces it's both our faces like kind of illustrated and it just says brady you we good which is really which is what you said at the end of every episode do i really i and another guy so sean we're we're doing this meetup up in miami by the way we we're call it a meetup up i feel like that under sells it right live show we're going on tour that sounds more badass ass than we're doing a meetup well yes you're right but there's two things going on here the first i was downplay playing it because i i frankly i didn't know how many people gonna show up yeah so we set the limit originally at four hundred and then our venue now is changing and so we don't i don't know how many is gonna seat right so we cap it now at three thirty five that's some many rs vps we have now so if more open up we're gonna open it up but i was doing it to like make it so if i fail it would be okay and also so when you were talking about show i know that you're i think you're pretty comfortable on stage and you actually aspire to be kind of a professional comedian i have no idea what we're actually to talk about we haven't even we haven't even set a word to each other about what are we gonna do there yeah so we'll figure it out but basically the way it's working and we agree to as per usual we agree stuff without thinking it through but basically we have a thing in austin at six pm on thursday that's probably gonna end at ten pm and then we have a seven am flight and i think that flight is gonna land at new twelve thirty in miami and then these are the logistics people came to listen for i then it well sorry but anyway it just we have a lot we're gonna be running them out the emails now you know what i thought was would be a fun idea i just thought about actually i was putting my contacts in before this i go what are we gonna say on stage what would be a good live show because i was either we just do research and we just have like a fire episode where it's like great ideas great billy of the week great business breakdown we could have that ready i said or we could do it you know like when you go to a comedy show they fucking they take your phone they zip it up so you're like you can't record this it's like well if they showed up live what can we get them that special that we can't just say on air so i thought maybe i think each of us probably has a few business stories war stories that we could share that our entertaining that you could do kind of in off the record format and i feel like we could put out five stories that we could tell about stuff you know or three three or four stories at least that could be entertaining about you know something something something that happened that is you you wouldn't just like you wouldn't go publish a blog post about it because it's not necessarily the details you can't get out to everybody but in a trusted group of some of our you know biggest fans i think that's cool a a four hundred person trust group but yeah i think that's a group of strangers i think i think maybe it might default to like q and a but we'll see it it's gonna be weird we're gonna i've never i've talked i think the most amount people have ever talked in front of is five thousand and it that's not a big deal i can do that all day but never five thousand people who came to see me just like r so that's gonna be weird but we've got a lot of ideas and you wanna get straight to it yeah let's do it what you about sure do you wanna actually start the the vimeo one's not an idea you have this cool name about paparazzi or i don't actually know know do you say yeah that's actually a lesson i wanna talk with vimeo because there's no lesson here i just thought it was cool so did so vimeo went public two days ago so i didn't even know this until i saw the tweet it was an awesome tweet about the woman was with her kid and i and saying like wishing her mama a good day's where when it goes public a good day's work to you are you know like no child like good good luck it was like a three year old say you know good luck as you ring the bell i i i'm a i i love that type of shit and anyway went public but there's a background behind vimeo so do you use vimeo i use it all the time i've i've used it i think everybody runs into vimeo once a while i don't use it to upload unless i'm like oh i need a high quality kinda of private thing and i'm just surprised this company made it it just seemed like video was dead i think it literally died at some point but they pivoted and made it actually into a great business so tell me about it it never died so it's always been like kind of popular like for a very particular type of person i love watching it on my tv because i've got like a fancy tv and they have fancy videos like high end videos and they particularly have like weird stuff weird music they've got what sort of a fancy weird videos you're watching like like like later maybe what there's like yeah on tons of nature stuff women yourself like what do you watching oh like like like a drone flying around or something gotcha or or this you know stuff that's it's like it just it's kind of like it's oddly entertaining or they'll have really unique art pieces like an art video or so it's very niche but it's really neat i love it but the way it started is actually interesting so these guys it was a guy named ricky van i think his name ricky van v started with a guy named josh to start and the guy named zach three of them they're only eighteen and they started this company called college humor and you know college humor of course we're a similar age we if you're young and listen to us you probably don't know it but basically it was literally fuck jerry but before instagram exactly or bars dual sports but not sports right and it was like a kind of a sm it wasn't sm but it was like s snl online and it was cool and it was one of the first blogs and they started it and it got going and they also had little side products these guys lived in new york and they were just like your typical like twenty year old cool new yorker guy where they like you would see their life and they would start little side project it was really fun one of their side projects was video uploading tool that they built because they were uploading videos before youtube was around mh and that was vimeo and barry dill who we have to do a deep dive he's very fascinating and he started this company be called ia they're pretty huge they've owned match dot com let's they spun out to be own business they own oo tinder they've bought a ton of stuff angie list and anyway he bought that for twenty million dollars in two thousand and six and he's held it now for almost fifteen years vimeo they spun it out so what barry dill is he does is they buy these companies they employ people to run them and they grow not like crazy fast they grown and then they spin them out to go public and it works often and they went public recently they bought this business for twenty million dollars it's now worth eight billion dollars is that crazy that's insane publicly traded in worth eight billion by the way if vimeo worth eight billion youtube's worth what eight it eight hundred like youtube let's youtube is yeah they more valuable than vimeo so that just seems it's a little off right they like you youtube value dude vimeo does like four or five hundred or six so it's like many almost close to it's half a billion ish in rev yeah you could have like twenty billion in revenue it's crazy is like yeah well i'm agree with you youtube it should be worth a lot but i don't think vimeo so so explain the niche so vimeo basically did what they they went they sort of pivoted from consumers uploading videos to more like businesses or creative people filmmakers you know type of people uploading videos is that right yeah so if you wanna upload a video and you wanna upload it quickly and you wanna upload in the highest highest quality possible you'll use vimeo and you'll buy a creators account they also let you do some editing online that makes a little bit easier you can have catch and things like that you can have a people will use it to like store their portfolio and so what you'll see if you go on there you type in like nature you'll see some video and like then you'll see like oh wait this has this is by yeti and it's yeti hosting a lot of their cool videos that they'll pay a creator to make for them as like an ad and and they'll i don't know actually know where they even display this videos other than vimeo but like you'll see what's the coat come what's the outdoors company that let my people go surfing north face the north face guy like you'll see him fishing in a stream telling with the a story about the round of the company right so a lot of outdoors a lot of brand stuff it's pretty interesting the niche i don't actually know how to describe that niche but it's kind of interesting is like it's all people who wanna have higher quality stuff than youtube in terms of like resolution and they also do a couple things that they like goes against their culture like they don't have view counts they don't have a sort by popularity thing so it makes it a little bit easier discover to discover stuff that you normally wouldn't have seen well it's it's good by them because all the other video upload sites whether it's like daily motion or like all those other ones they all died right youtube just youtube youtube took over it ate it ate everybody up and vimeo just squared it away and found a niche that works for them that is actually like an eight billion dollar niche right it it ended ended up working out and not like a that's a lifestyle business kind way so you know props to them because i don't think this was the i don't think this was what most people would have bet was it would be the outcome once youtube started growing like it did so the company video has two hundred million users so two hundred million people a month i believe go and use them and also they have one point six million paying subscribers so pretty substantial another company that i didn't put on here but is killing it in video do you remember wee yeah the oh sorry not we believe what's the other one starts the w w with with you know so wi is in the same thing so wi is kind of an an interesting company they also started in thousand six and they were based on a boston and they raised a shit ton of money built this business to be like thirty forty fifty million recurring revenue and then they bought out their shareholders they raised money from p from k the pe company and bought out their investors i've actually that company could be potentially worth a billion dollars as well but they're kinda doing something similar yeah you know when a last episode i had this thing or or not the mark lower one but the one before that where i said you know one of my learn one of my learnings that one of the counterintuitive things that i learned is never underestimate these mega trends even when you feel like you're late you're early and there's another version of that which is even when you even when your niche you're big with with a mega trend and so mark zuckerberg came out i don't know when it was i i didn't start using this term mega trend until i heard z use it i think five years ago when he goes video is a mega trend i thought well that's interesting facebook not even at that time facebook wasn't even about video they hadn't launched watch the feed was mostly photos and text updates and but they see everything right facebook knows what's going on on the internet they know exactly where all the opportunities are whether they can capture them or not and for video i thought what does he mean by mega trent and i think what it means is like mobile like the internet like now video social these were there were like trends of trends meaning like they were gonna transform basically every space and so you saw there you saw this with video all of a sudden newspapers or you know the kind of the meme in for media companies was we're pivoting the video right but which is like used to write articles and now you produce videos you know same thing happened with with with instagram you know more and more instagram content shifted from photos to videos either through stories or posts or now like reels or tiktok and so video just says just eating up more and more share of people's attention and what the internet is used for and i think that that's pretty pretty fascinating and i think this is a good example of video is such a big mega trend that even being the niche kind of like the the video uploading site for creative makers hobby fishermen and photographers it's like boom eight million dollar you know eight million dollar company if you end up winning that space that niche and so yeah just another example of do not underestimate a mega trend don't think you're don't think you're late when it's a mega trend and don't be afraid of going niche because even the niches are big with mega trends i would say today's mega trends my personal bets are that today's mega trends are anything that's actually real in machine learning or ai as well as crypto i think those are the two mega trends that are happening right now speaking of mega trend something happened the other day an app like went crazy viral and you kinda have an insider story of it yeah a little bit okay so there's this app so i'll i'll i'll tell you kinda of my my my learning here friend friend of the pod actually he's never come on but one of our friends are i don't know if you know him very well it's guy nikita beer he he's an entrepreneur his company was tb got acquired by facebook for a hundred million dollars and a really crazy way they basically were grinding trying to build like social products like you know the next the next twitter the next snapchat for a while many years and we're just getting really really smart about it learning a bunch of stuff and never hitting the home run and i think about a few months before they ran out of ran out of money they just threw you know they're were either gonna wind it up just alright let's all go get jobs or you know get get aqua hired somewhere they they threw one last attempt and they made this app called tb h and it went viral amongst high schoolers it was like a app where you're kinda like answering questions or polls about for your friends you know who's most likely to blah blah blah or who is your favorite person about blah blah and then it was a place to go you know can i post like a social network with price scores took takes off facebook buys it for i think a hundred million bucks with the reported price was that how do you think that deal was structured at a hundred million dollars for an app that doesn't like it's brand new i have no idea obviously it was an over pay you know months later tb eight's shut down you know no longer it was kind of a fad right it didn't have legs they shut it down and they kept you know something most of the talents and so anyway anyways he's been there for the while so he tweets out when the app store refreshes there's a new king five hundred thousand installs on day one alright you got my attention i'll bite what is it and people start speculating what it is and i thought sort of i i i sort of do some internet digging and and i find out okay there's this app called paparazzi so have you seen what the app is the app is called paparazzi it's currently the number one app in the app store it's had over a million installs and i think less than a week they're their waitlist list basically they were a test flight app which is like how you give it to like beta testers it's not even in the app store their test flight app went viral and so they had half a million people ready and waiting to download the app as soon as so they just they just rushed it onto the app store and bang they hit the they hit the number one i think there's still number one on the free charts above snapchat above tiktok above facebook above above everybody and okay so what is paparazzi and by the way paparazzi has almost the same story as tb these guys been working on this for a while they three years i think years yeah they were just kinda grinding away you know small team i think they're in la and two brothers they they almost got acquired or i kinda hired for single digit millions of dollars like you know a couple of the big social networks we're talking to them and they could've took that you know they would've have made probably you know a million bucks two million bucks amongst themselves if they did it but they said alright fuck it yellow one more try they released this new ant paparazzi and it hits and it hits big and so we'll see if this gonna last right no who social lapses could be like a tv h it could be like a club house it could be the next stop snapchat right that's the thing with social lapses they all start sort of start start out looking the same they look kinda silly the sound kinda dumb and then you know you fast forward a year and then you know some people are proven right i told you that was dumb it faded away and then for some people like me my my you know i think i was right about club house my famous club house prediction they i think it's being proven right you know they're their downloads went from like one million to four million to ten million and then back to two million one million half a million right so you have intel are you are you right i mean the download numbers would tell us a story that i'm right so far now but when i was saying it it looked like this thing was gonna take off it just had ten million downloads in a month which is insane now it looks like i'm right but of course it could turn around then may you know maybe they could maybe they can turn me wrong but how do one app yeah hunt get popular so how so i don't know exactly how how it got up is very cleverly architect the way there's sort of flow works to get you to invite friends but i think it was just like a novel hook with this so why is it called paparazzi it's called paparazzi because on every other social network you post about yourself right i go post on instagram i post a photo from my camera that i took about being in my life and if i post a story same thing paparazzi is just like the name sounds it's other people pay taking pictures of you which is funny right so like your profile is not pictures you upload about yourself which tends to be you kind of in a manic setup up environment making yourself look good with paparazzi it's other people taking pictures of you and that sort of is like a photo tag onto your wall and so your whole profile is just peep pictures that other people took a view and you can sort of like accept them or deny them if you don't like the photo whatever and so that creates a cool dynamic where now you're getting people in more candid shots because it's other people taking photos and which makes the content more interesting it's more raw than what you're getting on on facebook it's more raw than what you're getting on into on this instagram it's even more raw than what what snapchat was which this is the game snapchat played on facebook snapchat was more raw candid because the photos disappeared so people they had less of a filter on what they posted but still they wanted to you know post a certain type of thing that made themselves look good this is even more raw than snapchat it's even more candid it's content that wouldn't have made it to snapchat makes it on the paparazzi which is what makes it interesting now you're getting new shit shared that you're wouldn't have otherwise got so that's the premise of it what do you think of this never in a million years but i thought this was gonna work and i can't decide if i just had bad case where if i'm old is that the app i'm opening the app there's like a hype video do you which is cool more apps should do that they should have like a trailer like instead of a boring onboarding this thing is playing me like yeah i wanna play the music it's like let's get it pop in and then there's pictures of all these like cute boys and girls my phone is literally vibrating it's like this the most excitement and app ever should no do you but when you were looking at this did you add think that this so i i get that as popular now and it's easy to say yeah i i get it but no i never predicted this right like okay you would've have told me i've been like that's clever but still probably not gonna fucking work right like it seems so unlikely for anything to just like hit like this is so unlikely and it's not the expected things so you sort of by default you sort of you don't imagine that this would hit same thing in the club i was like oh let's cool up i've seen a bunch of things like that i don't really see why this one will go go viral but it did and so it's very hard to predict with social even i spent like maybe like five six years of my life trying to build social stuff i knew everybody in the space i tried so many different things so i i would say i'm not like a novice to this stuff but it's very very hard to predict and our friend jack smith says this best you goes if you look at even the guys who invested in snapchat or whatsapp or whatever they go and they start like okay sequoia the best venture fund that's you know ever existed basically they invest in whatsapp they invested in every single round of whatsapp they let every round which was a genius move so when it exits for nineteen twenty billion bucks they were huge winners out of that cool guess what they also invested in yi ka a social product that died whisper a social product that died right they have a graveyard of other things they tried that didn't work out and i don't know if those are the exact ones that they invest in but they have a bunch and so jack pointed out is he's like if even the best guys who we've had the home runs have a bunch of swings and misses with social it just shows how hard it is to like correctly predict social before it plays out i have a friend who who who was in the seat stage a friend of a friend he was in the seed stage of robin and a whole bunch of other stuff and probably worth multi billion oh for sure work multi billions and someone was asking him about social apps and about consumer stuff and he goes honestly if the person's competent maybe do it but really it's just gambling and i have no idea which one's gonna work is that if she goes would b to b stuff i can kinda like i can look at some stuff i'm like okay i understand you can right you can cut you can likelihood that you can make this at least a mild success is quite high but with social and some basic consumer stuff it's just i'm just rolling dice and i i have very little confidence in any of it so the the beautiful thing about social like who it's like who would try this right like because you're right it's so hard to predict if you're a great entrepreneur and you go into this space you're intent you're going to a casino and you're saying alright my odds at the crap table or you know fifty one i'm i'm a forty nine to one forty nine to fifty one underdog blackjack i'm forty nine to fifty one oh you have you know whatever chinese back over here okay i wanna go play pai gal i'm gonna go play pai gal even though the odds are you know eighty percent chance of loss it's like why do you do that because it's a it's fun and b when you get social right you're the freaking king of the universe right like it's like yeah my app is the one that's used by like a billion people every day of their life their whole social scene is on here they use it with their mom their friends their their girlfriend boyfriend whatever and so it just hits different when you hit social and that's what that that's why i love even talking about things that are social they hit because it's a rare type of game that you kinda have to be a mad man who who'll go play so let me bring up something that's the total opposite of this which is you don't have to be a mad man and and the likelihood that it's gonna succeed is incredibly high but it may not be like a huge winner okay i guess what just with that information do you know what i'm going with this i see vending machines on our thing and i i think that a vending machine business is probably the most predictable simple understandable guaranteed type of business you could do is that what you're going to yeah so these two folks came to me and they pitched this idea they're raising money for it's a vending machine business for it basically is mostly female products so tampon and stuff in bathrooms and oddly enough i had another guy emailed me a deck about a vending machine business and i'm not gonna do that one but this first one was kind of intriguing they've got some traction they're making money it's kind of intriguing and i started doing some research and i tweeted out who knows everything about this the person that you had talked about buddy machine it got a ton of traction for some reason know i guess a lot of people are interested in in this this guy named quinn miller reached out to me and i did a call with him this morning very fascinating he worked and i and i just wanna bring this up because this is the exact opposite of what we were just talking about right but it's oddly as compelling and as interesting even though it's the two totally different parts in the world so this guy he's twenty seven he worked in software sales he quit about a year ago to start this business he's got a vending wound machine business and he gave me all his numbers and he said i can reveal he's about ten months into the thing he's currently doing fifteen thousand dollars in monthly revenue and he's doing that across twenty seven machines his startup costs were six hundred dollar five hundred dollar or four hundred dollar to buy a machine and two dollars to fix it and move it to the place where it had to go by the way this is our weekly blue collar side hustle this is the great blue collar side hustle yeah so on the fifteen thousand in revenue sixty five percent is profit so he's doing around ninety seven ninety eight hundred dollars a month in profit so far total investment into the biz so far after he already bought his first machine has been fifty thousand dollars time involvement per week relatively high twenty hours a week because he's actually delivering all the stuff i asked them all about i was like how does this work because the reason i reach out to this guy i was i was like hey there's just like tampon startup it kinda looks interesting what's your tampon on vending machines start up what what's your opinion he goes yeah i mean i obviously don't know anything about that like too much but basically my opinion is the world he goes america runs on coke and monster energy drink and i was like what you mean he goes let me let me explain so i put these vending machine i love that i buy so let's slow down so so the guy basically buys vending machines like vu and i are used to just snack vending machine nothing nothing innovative there well he does one quote innovative thing he puts he installs a credit card machine on them for about two hundred fifty bucks you can get know a credit card so he's vending machine he says people aren't carrying quarters so i'm gonna take cards he puts them he puts them so he buys each machine you said for five five hundred bucks the first one was five hundred he has twenty seven machines with fifty k so whatever that math is so what's that two k a machine roughly yeah okay so he buys a a thousand to two thousand dollar machine he puts it in places like what office buildings department so mean cold calls lower income hotels hotels assisted living places in in and low income apartments sorry low income apartments dash or comma motel comma assisted living places okay grant and so he he goes and he basically says hey put this here and he there's a revenue split or he pays rent how does that so most of these businesses the way that they work is they give ten percent to twenty percent to the real estate folk right this guy he goes i actually am because i sold software i'm pretty good at sales and i do what's called a value sale and he goes basically i say look your tenants are if i just improve your tenant experience by just a small percent maybe you're gonna make more money because someone wanna stay or wanna a rep player he gives him happen he gives them nothing but he keeps and so he's got a bunch of machines in like ten different locations and he just cole calls him and then it's so un where does he get a stuff costco so he buys a can of coke from costco for thirty three cents and he charges a dollar for it right and it's very simple not complicated at all but like my grandfather used to have a vending machine so this was probably the first business i ever encountered was i think it was probably five years old and my parents you know they worked so my dad would work in an office building and he needed me to be baby sets but then like you know old people also kinda need babysitting sitting so my dad went for a two for one he basically bought or rented out a a little like kinda like a corner store inside like a like a little deli inside of the office building and and then my my grandfather ran it and we used to go like work the register at the age of you know seven and then he was like maybe see maybe see he basically he occupied his grand grandparents and his kids without having to like do any pay for any like caretaker takers in fact it made a little bit of money and then my grandfather had this vending machine that we used to go and do this exact refill we would go to costco buy the coax put it in he would collect a bag of like change and then we would like go to the bank and like exchange the change and i remember being like what is this he had one vending machine as his business it sounds awesome and i asked the guy but by the way his guy's name is quinn miller give shout quinn miller i asked them michael how big this get he goes look i'm not trying to be offensive or anything but the operators of these businesses typically are pretty hill billy and so they're pretty un which doesn't mean they're dumb they're just not sophisticated in terms of like technology or anything like that and they like dude there's one of a low easy life he goes but i met a guy in palm springs so he had about sixteen hundred machines and he was making anywhere from five to ten million in revenue with about half and profit right and i was like well that's pretty amazing how else can get big like what else is big and he said that there's a company called canteen and i looked it up i i i think it's public but they do like fifteen billion in sales of this and they're the largest vending machine company in america they operate them yeah and they do distribution so the thing is is like what this guy does quinn he he find he finds his route so he finds a route so he's like alright i go from destination a to b it's a straight line i'll do everything in between and so i try to find location on the way so one truck can do all of it in a an easy short amount of time and he's like i'm very specific about where i choose and that's where you make a lot of money is you can be very efficient with your time and so basically that's what he does and he said this company can't team just does out have huge scale and they're ultimately at the end of the day a logistics company and a bit of a supply chain company but at this point quinn told me he was like i rented a small warehouse now because i'm getting so much freaking coke he goes the reason i like doing that and and so back to tampon he goes you have to like look at what the repeat purchase rate is he goes if i go to like lower income area these folks love coke and love monster are to the point that one guy will drink five coke today i'm getting five dollars from you have to ask something to get that for tampon or or other products and he goes in fact a lot of the but guys once they move from coke and monster energy they're starting to go what's into what's called honesty market so basically at a we work you know how they like you swipe credit car you only take one sandwich for eight dollars yeah he's like that's where the money is right now that's interesting and yeah that's so it's it's almost like there's whales for the vending machine it's not like everybody buys one every three days it's like one guy drinks nine coke a day or you know four red bulls you know a week and that's where you make your money on the like ten percent of the of the residents who buy like ninety percent of the goods or something like that probably yeah this guy was interesting man he's only twenty seven he's the it listen in san diego worked in tech sales he told me that he goes like basically i'm a pretty he goes i'm pretty i was pretty good at selling software i'm not the best one i'm pretty good and this industry that i went into they're just kinda not that great at that many stuff and i could out sell relatively easily i could kinda out work relatively easily and so anyway fascinating story so you know we have the billy of the week i think this needs to be the hill of the week it's the hill billy business that's billy of the week that's actually great so quote miller you are the hill of the week congratulations i love this business so just to summarize buy the thing for a thousand bucks cold call you know apartment complexes motel hotels you know low income the better i guess is is the way that this market works and then you're trying to generate he's generating off of what did you say fifth fifty machines twenty seven twenty seven off of twenty seven machines he's generating about a hundred to a hundred twenty k of profit a year and so that's you know that's the business and then what's the work it sounds like it could be easily you know delegated but sounds like he wants to do it keep his margins which as you go you buy the stuff wholesale and then you stock all the the machines on some regular cadence and you collect you know the payments on the other side so that's why i was so fascinating to so like i get when people call me a tech guy am like not really i work in publishing like i i'm a publisher but i guess if compared to someone who works in vending machine i am a tech guy and so i like these like big things software a companies that i can scale but when i heard him describing this i'm like god i wanna get it on this like this is this so like you what i mean that's like it's like when you just got thought talking about paparazzi ross and how this young guy named make nikita who's sold an app for a hundred million dollars till facebook and is probably twenty six years old baller like die you'll die a billionaire if you just breathe okay so that's it but then i hear the shit about this guy who spent fifty grand and it's gonna make a hundred and fifty thousand dollars a year in profit and i'm like fuck yeah sign me let's get into this so i think it's kind of interesting thing i like hearing about it yeah whatever floats are about you know i look okay let's do some quick like other ideas are other the brains so i think first of all i'll say the beauty of this is that you don't need to come up with a a genius twist on it you just do the same thing in your local market and it would work okay so that's that's cool but if you were gonna do a twist right like i i i like to dabble an ideas so let's let's come with my ideas here's a couple that i think might be interesting as twist you mentioned the honesty market what do you call honesty market that's what he called it yeah so i've seen this at big companies they do this like i the adobe office i remember they did this which is like there's a bunch of sandwiches in a thing you take it out and you pay and nobody's watching you so there's no labor cost and they just hope that you're not gonna steal shit and that works in certain types of like high end places you said we work things like that okay i think that's cool so maybe there's an there maybe there's an opportunity there what about subscription so you've if you're taking my credit card and you got this vending machine how do you get me with saying hey you could buy this one right now you could buy this one can of coke for a dollar but for you know six dollars a week and get unlimited coke or you can get unlimited vending machine swipe and and you basically set up a recurring revenue business off of the residents in the in the place and you know it's like a breakage model so you you know you they they just can't empty you out and dude i think that's the move but you're wrong it's not unlimited no no it's it's cap right but the machine caps you it's like oh hey it's user whatever i don't know how they would know that you're you're you i guess that's a little bit of a tricky one you'd you have to swipe your car every time which feels bad you just need like a metro card you know like a like a like a metro car or exactly you a car or whatever where where you can just get a certain amount so the question is this if someone's gonna if you're gonna spend so when i live in college i had a vending machine when i spend thirty dollars a month in that vending machine i think yes i think i did yeah yeah i think i did we had snap holes and i couldn't resist right so then the question is you just have to ask yourself are you willing to give up fifteen percent of your revenue in order to give the customer a discount if they pay up front yeah but you know i i think it where it works both ways so you get two benefits one is they prep so you float all the money that way and you're able to like cash flow the business better the second thing is not everybody's gonna maximize the value so there's like a breakage model where some people use the full amount great and you know if thirty percent of people don't max out that's just free money for you that you didn't have to spend spend a dime on and easily you know most of i think this is the the the ugly side of most subscription businesses that people don't use the subscription they just don't remember they don't cancel they're either too lazy or they forgot as you said here thinking if you have all these happy customers and in reality go look at your usage numbers how happy are they if they haven't used you in a you know year and a half and you're just charging their card and so that's the truth about subscription business is why people love them because the people set it and forget it and and so yeah i think the same thing would happen here alright so that's another idea last one else i'll bring up with this vending machine thing is i'm buddies with the guy who started life aid he came on the podcast they have yeah i remember that fit aid party aid you know recovery aid whatever sleeping whatever whatever they are they a bunch of different drinks i'm like addicted to fit aid it's like my whole mini fridge of my gym here is stocked with them and he got his break by giving he he basically went to crossfit gyms and he said hey crossfit it you don't have a mini fridge i will give you a free mini fridge and a case of fit aid here you go you know here's a seventy nine dollar mini fridge and a case of fit aid try it out give it to your people let me know what they think and if they like it or if you like it and you guys make a little bit of income off this just give me a callback or you know i'll send you a second case next month and so this is how he grew the brand was through the crossfit the crossfit gym network and specifically with this idea that they didn't have fridge so they didn't have a vending machine didn't have a fridge they couldn't have a vending machine because you can't be crossfit and the sell kit kat bars that doesn't work and but you what you could do is you could make the the post workout machine and you could put it in every gym what's in the post workout machine it's gatorade propel it's you know fit it's all that all the no i'm just saying you could do this this is idea and then you have like you know i mean the bc like the branch chain amino acids you should take post workout as little supplement you know it could have hydrant for your for your hydration needs so you could put a whole bunch of post workout stuff that people take protein powder protein prem mixed drinks you could put it all in of vending machine and put it put it in gyms i think you have a similar model yeah i think that can work i would i don't know actually what the margins are on health food versus a coke i imagine they're the same to be honest but i'm into it yeah i think that those honesty market things how bet works shockingly well yeah i remember when we were doing the sushi restaurant we met the guys who started like i don't know pane tamara or something like that and pine bread was doing this actually i think in saint louis they open up the bridge yeah they're from saint louis the first like pay what you want restaurant so pay what you can i think is what they called it at the time which is like anybody could go and you could eat and you just pick what you want and at the end it says hey whatever you want the average person pays twelve dollars and what he said was that the average ticket price in that restaurant was higher than their normal ticket than their normal restaurants where they have fixed prices you would think people are gonna scam you g you anyways said it's a bell curve twenty percent of people go over twenty percent of people go under and most of people pay the exact same you know but when you look at how the exact numbers breakdown it's a little bit higher because people eat more and because they feel like they're getting a deal and and the customers were happier because they didn't you know it's like kind of like a feel good story so i thought that's was kinda interesting then in i also when he was talking i was like this sounds a little bit like p r so i'm i'm gonna like discount what you're saying by like thirty percent here i might do this for fun do what i might do this many machine thing i think it's i think it's a great idea i think you should do it as the just basically build it in public for the podcast i think she you should basically give us updates on how the vending machine business going i think i will i think i'm gonna do it i love it i think this is a fun fun we can think you wanna talk about one more thing you wanna do a ghost kitchen gifting yeah so so it was my trainer birthday yesterday or two days ago and i was like oh shit wanna get him something what do i get him right and i was like okay i'm not great at buying gifts buying gifts was like a huge pain in the ass i'm a so like today is his birthday so i can't like order something online it's not gonna arrive it's gonna clearly be like i ordered this on your birthday it's gonna arrive three days later that's fucked up yeah that's who am i'm fucked up right like this just the reality of the situation and so i was like okay well what do i do that what can i do now that will like arrive today and how do i be a good friend who's also a lazy pastor and so my go to recently has just been i just surprised order people post weights or uber eats stuff like i'm just like i'll just order you know like do two java juices to somebody's house and they're like and i'm just texting be like hey they you know they're still free you outside and they're like what and they go and they pick it up or they you the person rings the doorbell and says hey this is you and people love the shit i it happened to me somebody on my birthday instead of giving me a birthday give they just ordered me food from one of a restaurant that i like and i was like this is fantastic and like sometimes the logistics don't work because you're like not there or whatever like it's not perfect but these the food ordering apps i think they recognize this because now like recently and all their apps they kinda have like a gift a meal like option but what it made me think of was oh what's the actual business what's the if this is you know what that phrases where have you ever seen this diagram or there's like a street or like a a a walkway where you're walking and it's like a l right like i walk straight then i turn left and then there's like if you cut across you get there faster and you could see in the grass peep so many people have cut across it's like worn out it's called like a happy path or something like that like a s path it's basically like you show what people actually wanna do it's called the desire path and so similarly i think the desire path here is not to randomly order food have to ask your friend for their exact address hope that they're there to receive it so you can't really surprise them but instead why don't people make why does somebody make the version of like edible arrangements or like one of these like gift basket products on top of uber eats and post space and all these companies that that we all already use so if if you're on top of door it already has my credit card i'm already opening the app every day why doesn't somebody make the best way to just send a gift product to somebody else as it ghost to kitchen on top of i think this is a no brainer successful idea and one is animal arrangements to oh you know how basically it sends like a kind of like a platter or a gift basket to somebody and yeah hear yeah i know it's in a like cool format and this business does like hundreds of millions of dollars it it's a very very successful business old school business no i i get that but how do they how do they like how is this any different than you just ordering food for someone so what edible range it looks like a gift like it's a it's like a a gift basket it's like you wanna do that for a restaurant no i think somebody should make a ghost kitchen on top of uber eats and door dash that is specifically a way to send food gifts to other people it looks like a gift it's like a giant chocolate thing right interesting it's like a giant fruit fruit arrangement it's a it's just you know hard and strawberries and chocolate cover strawberries or whatever right like it's stuff like that and it basically and like instead of you know when in door it says customize your order you're like you know i'm allergic to gluten and the center of this it's like what's your gift message we have we we print it out we put it in there right like the thing you want to be a thoughtful person is like a cool looking thing that looks like a gift and it comes with a little message but i want it as a last minute option and the way to do that is as a ghost kitchen i think so i was talking to andrew in this last podcast and then i talked to him afterwards i call them i go hey we to talk about was pretty interesting tell me more so he started this bakery bakery basically andrew is being andrew he's always tinkering and he was like i want low carb like something to satisfy me like bread right and so we've he uses this thing called sucrose i think some i'm monk fruit some alternatives sweetener right and he got the guy him he hired a chef and he paid him a small amount of money single digit low hundreds of dollars to come to his house for a few hours and make these recipes this single digits low hundreds of dollars what does that mean like i don't like two three dollar no like single day as in not like eight hundred or i guess that yeah okay right give bucks gotcha yeah a few hundred dollars to come and make a bunch of muffins i think is what he made okay and he adam used this monk fruit thing and he goes was this is sick and he designed a website called the i forget what it was called something like i forget he made a little website on shopify for the brand and then he put it on a a door or uber eats and he sent it to a bunch of friends and he only did local delivery in victoria and he and he had the the meal delivery of dude he sold like three grand in in month one worth the stop and he's like invested eight thousand dollars into his didn't a profit but kinda sit he was able to test this idea very easily it he's i'm like man of all the stuff that you do this like agency which makes more way more money this bakery thing is so much more fascinating and than like just make you know doing a design design work for someone this is way neat to me right and anyway i thought i think you could test this so easily yeah totally because you could just rent out a comm kitchen for the hour right you don't even have to commit to to a very long so you could rent these things by the hour so you can rent it for couple weeks few hundred bucks maybe maybe a thousand dollars max you list your your restaurant on your you five or logo you list your you ghost kitchen on on door dash or uber eats you pick one city and you start and if this works you basically just you become the easiest way for people in that city to send a thoughtful little gift to others the key is you don't have to spend the money acquiring customers right so like you could have always done this business but you would be competing against you know one eight hundred flowers and edible arrangements and i forgot what the other ones like david something where you send like chocolate like i did this for my neighbor my neighbor lets us use their playground with my kid and so i sent them like a big like chocolate gift basket or something like that i like i don't know i to do something nice and i don't wanna make anything so like you know how do i spend a hundred dollars and give a thoughtful nice gift to somebody make them happy for for five minutes and so did the same so that's what i wanna do but i don't wanna have to fig go google search and figure out the brand and then like go through their website and input my credit card no i already opened door dash six times a week it should just be there my credit card saved push the button and it goes to the person and it's it's done what's your grocery bill every month if do groceries are insane i don't know if i'm insane or if inflation has happened but i went to the grocery store no joke last two times went to grocery store it's the four hundred fifty to five hundred dollars for me my wife and i have a like you know i have a baby who drinks breast milk because i don't even that doesn't even count and then we have like a you know a twenty month old so do you go to whole foods it's whole foods but like whole foods you didn't it wasn't a five hundred dollar trip for me before it was like a two hundred dollar trip so i think we got like a little crazy being like yeah well buy these like nine dollar juices or something like that i don't know what's happening but it's crazy what's yours i would have to look but i imagine it would be between one thousand to fifteen hundred dollars a month one thousand okay so that's like four hundred dollars a so about the same yeah but my thing is even before i had anything i would always spend a lot on it because my logic was what's the point of living if you don't feel good and so i'm gonna buy the highest quality stuff i know i don't care about price my logic was i want this i really want to eat this right now no look like when it comes to books i don't care what the price saying and i don't even care if i read it if i just get one sentence so what i'm a built yeah i could change my life forever so i don't care like there is one time i saw this and it was eighty dollars i'm like oh my god i'm like i don't care i'm buying it yeah same mostly it's the same thing with groceries so like the healthiest freshest stuff that like like for example i used to buy like k that's like the grocery door in nashville like k generic cheese and like if i thought about that now i'm like i need even think about eating that right now i you thing where you're like you look at your parents and you're like y what were you thinking like yeah cheese and can and like yeah this like our every yeah every thursday we used to eat like you know like like you know pizza rolls and like ta cod or whatever those things are like they're like y yes same exact thing because that the regular food we ate that wasn't like that one off thing if you ask my mom what a car is i don't think she could still tell you so like i just mom i just straight like this is good it has carbs i'm like no mom that's the problem you know this has carbs and you're like yeah pasta that's a good hearty meal i'm like no no that bob that's like because she's still like you know the but i can't even blame her do the food pyramid the food pyramid how big of a lie was that that was like a middle finger to america the bottom of the food pyramid is like get your grain and your carbs and cereals and pasta and breads and then like vegetables has this small little half slice on the third layer like fruits and vegetables just got like you know shoved in last minute right right next to dessert it's crazy yeah like if you how many grams of sugar are are in a kinda coke ballpark you know i think it's like thirty forty grams yeah a great thing so you that's the ballpark yeah so i think it's like a little bit more it's forty if you ask my family like growing up how many grams are i have no a million but i don't know like what is like what is the yeah like i don't know and also like as i told them forty five they'd be like i don't is that right forty five percent like is that good it's like we're not we're not at a hundred percent sounds good to be they wouldn't know so i think that there's something here but like i i am middle school i used to eat to school lunch in texas i grew in houston texas in middle school and this is my first time where like yeah mom stopped packing my lunch and i start to buy the school lunch six six seventh grade and straight up every single day i a a f pie which is by the way that's not even like a meal like you can't go to a restaurant and order of free to pie because all it is is it's a bag of f emptied into a a basket and then chili and cheese put on it like nacho just i ate that every day tastes fucking amazing by the way but i ate that every single day as a kid and my parents where was the intervention that's what i wanna know where was the intervention that that should not have happened i definitely think it's changing now i don't think it's changed entirely at all but i think it has yeah jamie oliver died for this man he tried to change the schools or whatever yes and naked a chef i so yeah so when it comes to like budgeting i for food at just whatever because like i'm putting this in my body okay i need it to be like the best stuff so but i can't just think like a diet dr pepper yeah i was gonna say pretty sure i'm seeing just like just house like a whole halloween that's small child like halloween whole i do or podcast one time it's a it is a it is a huge weakness of mine but whatever i i'm mostly doing good we we'll we'll i'll have to do an update so i've been i'll i'll say it now i've been taking t now for about a year yeah and both sean and i invested in this t company called pete it's switching its name now but it's switching its name and i'll while i do an update on it but basically like i took it not to change my body i took it because like i was willing down and i got tested and they're like all your teeth are low it has made me jacked like totally jacked like i i feel feel like a still feeling down but dude i'm so we're gonna have to do an update on this and i like i told these guys i was like you know like i don't know if i wanna post a shirtless pick but i might be open to it if you wanna do like a like a because you're they're feeling like nerds and i'm like i'm that if you but i i looked like a kind of a shredded nerd right now maybe i could be like you're you want me to post to pick like before and after i will but oh my god this t stuff i feel amazing that is crazy so you were taking this before but you switched peak is that what you did i took it for a little while and then i got off of it when i got when i got lime i because i couldn't get like a refill something like that and then i got like and then i'm back on it again now and i and i started using peak pretty cool service i'm not telling anyone to take this by the way don't i mean just like this is like some doctor shit yeah but it's pretty awesome yeah if don't come to our podcast for either financial or medical advice to be honest so but i just say say what we do and what works for us that doesn't mean it's gonna work for anybody else no no promises for anybody i'm eating whole foods and i'm shooting up with t and like your body transforming me my body is completely transformed in the last six months i'm just like crazy strong i have pretty low body fat like fifteen percent which isn't that low but pretty low and i just feel like a professional athlete so it's pretty awesome that's amazing congratulations i think now we know what to do with the live show you just need to take off your shirt i think that's gonna be your contribution and then i'll pair some content well i sent you a pic and tom was like you look like a white eight you like you like a gorilla you look like you were like you looked like stunning like when you wear your shirt like right now if somebody's watching on our youtube channel which you should youtube dot com slash hustle con i think is it yeah if they see right now they're gonna be like like i'm not meaning this as an insult but you just look like an average person right now yes you sent me that picture and you looked like my bodyguard like you look at you look like somebody i would hire to protect me it was just insane yeah i was crazy so anyway we'll do an update about that my birthday is coming up in june and i thought about maybe i'll post the shirtless pick just like why aren't you why don't you wear shirts that make you look more jacked do you wear stuff that like makes you look non jacked are you trying to do some clark kent superman shit i don't know it's not intentional i it's not intentional i don't think about it so we may a bit we'll see if this turns out to be any good no dude that was great the vending machine stuff alone was the price of entry i think people will you know go check out paparazzi vimeo that was okay and then the ghost kitchens for gifting i think is like a cool idea but nobody's gonna go do that but i think the vending machine thing was the star of the shutter what do you think bra or should we ask dan because a bra you you know handing off the baton to dan so let's start with dan and then let's go to a bra you let's go for the apprentice and then the master alright i liked the paparazzi i i like the vimeo vending the machines i don't know i looked at that when i in high school actually oh damn the contrary and i love it yeah and then the ghost kitchens i don't know you guys use door dash stuff maybe i'm just too old i don't use that stuff yeah i feel like that's one thing that i'm always like yeah everybody uses door dash six times a where week i'm like oh problem probably not probably most of people don't but that way pete i on dan you don't use door net or you don't i like to cook yeah but what do you do i wanna do i usually go out to eat or i'll pick something up i don't think that like you like to cook all the time but yeah he's like i i like the cook is like dude but you eat what you do for the other eighteen times yeah you're making best i also want yeah i also like to we dan yeah yeah i i i didn't i cooked two last brunch i don't think steven i don't think seen in the older personally like it's just expensive you're just paying so much for the delivery yeah but like what do you do when it's like your hungry when i get an figure i i guess yeah ready you cook every meal yeah just about but i also like chicken august for lunch so i'm yeah yeah okay so give give me give me yesterday's menu what did you eat breakfast lunch yesterday and snack on yesterday today i'll start with dinner it was mashed potato k frozen veggies toasted hawaiian and a hawaiian bread whatever it's called lunch is always the same thing it's carrots and chicken nuggets every single pack so so i feed my dog here and then morning it's just like coffee okay what's killed boston like it's like a poll sausage yeah yeah polish sausage with hawaiian bread and what mashed potatoes frozen veggies dude so you're not on the whole foods yep dude that's yeah you're you're eating like my mom my mom top you're eating like my mom taught me to eat you're starting a company a bra you it's like at least going the whole food scholarship and eat and you gotta like when you're on the whole food scholarship you gotta you fill the plate with the hot food and then you take a car you walk around while you're eating it and then you just and then just bounce to try that you could pay him back when you're done okay but like that's that's crazy to me dan what do you eat i feel like now i again now i feel like an asshole i'm is this what i'm supposed to be doing i think i'm supposed to be eating k for dinner what i have a little instant pot spice pack business so make a instant pop meal a few times a week so i got them dan coming in pop with the plug what is it what's the this man spices dot com a n i spices dot com so you put spices into it esp and then what you put just like chicken there or yeah so the biggest thing i thought was a challenge with the instant pot was measuring out all the spices if you wanted to make something so i had a butter chicken recipe took two minutes to do everything but the spices so we sell a pack it's compost comfortable has the recipe has all the spices you just open it up dump it in makes using an instant pot much easier that's all a bad idea okay what's how's the business doing i kinda one on hold when covid hits some spin it back up why would it go on hold for covid like you had to go on hold ended up losing all my clients i was doing consulting for events and that kinda disappeared i see see okay gotcha and so you you paused the business okay but yeah are we talking are we in the tens of dollars hundreds of dollars thousands dollars tens of tens of thousands like the hundreds of dollars a month so okay alright so everybody go to on spices order something let's get them into the thousands of dollars i'll get one what's your best one is butter chicken recipe butter chicken i have little indian three pack we have a rogan josh an indian curry lentils and a butter chicken if i take off my shirt i also have a little indian yeah that's my nickname sauce what's it well that mean that was easy you just yeah thank you for the assistance dan what's the url at a n i spices dot com a n i spices dot com yep alright and dan so bra you grades us at the end of every episode barry would you give this one i thought the vending machine thing was worth it that made it an a minus everything else was a so in the a's thanks for the vending machine and then dan are you are you more simon cowell are you harsh or you paula ab abdul you just give everybody a what's your what's your greatest style let's do this one as a b plus i feel like there's say bra is literally has never given us a beat only in a it's a skills a minus or and dude it all only used to be b's you guys started actually doing some work you got some a's alright fair enough alright good stuff let's let's let's leave all this in this is fine people can people can enjoy this so alright we're out of here see you in austin see in miami i bought my tickets this morning yeah i feel like i could rule to word i know i could be what i want to put my all in it like a days off on a goal travel never looking back