[SpotOn Series] Serving Up Innovation With Markus Pineyro, Co-Founder of oomi Digital Kitchen

Rise25
29 min read

Markus PineyroMarkus Pineyro is oomi Digital Kitchen’s Co-founder, a dedicated entrepreneur and visionary leader with 18 years of experience in the restaurant industry. His journey began with the founding of Dallas-based Urban Taco in 2007, showcasing his entrepreneurial spirit. In 2020, Markus ventured into the world of digital innovation by co-founding oomi Digital Kitchen, a delivery-only kitchen that leverages technology to provide efficient and contactless dining experiences.

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Here’s a Glimpse of What You’ll Hear:

  • Markus Pineyro reflects on the founding of Urban Taco in 2007 and how it became his most well-known brand
  • The role the pandemic played in the 2020 launch of oomi Digital Kitchen and its delivery-only kitchen concept
  • How customer feedback helped shape oomi’s diverse menu, featuring brands like Love Bowls, Clucky’s, and Hot Lips
  • What are some differences between operating a digital kitchen and a traditional brick-and-mortar restaurant?
  • Markus discusses the daily dining patterns of most consumers
  • How technology like Empower Delivery influenced oomi’s growth and operation
  • The future of oomi — new brands and more

In this episode…

Restaurants are always looking for ways to improve their process and keep their menu fresh. What often-unappreciated data can be used to both improve day-to-day performance and lead to new menu ideas or even new restaurant brands?

According to oomi Co-founder Markus Pineyro, customer feedback is of paramount importance to his brand’s success. From personal interactions during food pickups to leveraging transaction data for targeted follow-ups, the strategy addresses positive and negative feedback alike. Markus emphasizes a hands-on troubleshooting process to identify and resolve issues, and he highlights the significance of turning dissatisfied customers into loyal patrons. Moreover, oomi actively listens to its customer base, whose feedback helps shape the brand’s offerings and innovations, exemplified by the creation of popular concepts like Love Bowls, Clucky’s, and Hot Lips through customer polls and order analysis.

On this episode of the Top Business Leaders Show, Markus Pineyro, Co-founder of oomi Digital Kitchen, joins Rise25’s Chad Franzen to discuss his restaurant journey, oomi’s unique approach as a delivery-only kitchen, its diverse menu crafted from customer feedback, and how to address negative reviews.

Resources mentioned in this episode:

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SpotOn:

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Episode Transcript

Intro 0:04

Welcome to the Top Business Leaders show powered by Rise25 Media. We feature top founders, executives and business leaders from all over the world

Chad Franzen 0:20

Chad Franzen here co-host for this show, where we feature top restaurateurs, investors and business leaders. This is part of our SpotOn series. SpotOn has the best in class payment platform for retail and they have a flagship solution called spot on restaurant, where they combine marketing software and payments all in one. They’ve sorted everyone from larger chains like Dairy Queen and Subway to small mom and pop restaurants. To learn more, go to spoton.com This episode is brought to you by Rise25. We help b2b businesses to get ROI clients referrals and strategic partnerships through done for you podcasts. If you have a b2b business and want to build great relationships with clients referral partners and thought leaders in your space. There’s no better way to do it than through podcasts and content marketing. To learn more, go to rise25.com or email us at support@rise25.com Before I introduce today’s guest, Markus Pineyro. I want to thank Meredith Sandland for the introduction. Meredith is the author of the award winning book Delivering the Digital Restaurant and she is CEO of Empowered Delivery, a b2b SaaS company that enables all restaurants to profitably and sustainably serve the growth consumer demand for delivered meals. She has been a guest on the show, and I encourage you to go back and listen to her episode. It’s called upgrading your restaurants digital strategy. As for our guest today, Markus Pineyro is a dedicated entrepreneur and visionary leader with a proven track record of creating and growing successful ventures. He has 18 years of experience in the restaurant industry, which includes founding Dallas based Urban Taco in 2007. And oomi Digital Kitchen in 2020. Markus, welcome to the show.

Markus Pineyro 1:55

Hey, pleasure to be here, Chad, thank you for having me.

Chad Franzen 1:58

Hey, tell me, you’ve got kind of a varied list of experiences. Tell me about how you got started in the restaurant industry.

Markus Pineyro 2:05

So it was literally my first job out of college. You know, I graduated on Friday and started working with a Restaurant Group here in Dallas on Monday. So it really became the only thing I really knew what to do. You know, growing, you know, post college, it just became my lane and my channel. So, you know, there was no turning back after that.

Chad Franzen 2:31

What was your first job?

Markus Pineyro 2:34

So I supervised a one location for a multi concept group here in Dallas. And from there, it just kind of developed into more of a management role as a director, and then kind of grew up the ladder a little bit. And then two years after that, I opened my first restaurant at 24.

Chad Franzen 2:53

Wow, amazing. Did you grow up like working in the restaurant industry? You know, you know, to earn extra cash or anything like that? Or did you just start out after after college?

Markus Pineyro 3:01

Um, yeah, there’s a few jobs that I held, like, just like the majority of folks like, you know, through, through, through mostly through, like high school, and then pass that, you know, I always just envisioned myself as a concept person and just a passion for food and the restaurant industry in general.

Chad Franzen 3:21

Where does that passion for food come from?

Markus Pineyro 3:24

Well, we all like to eat, I just like to eat a little bit more than most folks.

Chad Franzen 3:29

What do you enjoy most about working in that industry, that restaurant and hospitality industry.

Markus Pineyro 3:33

Um, I think there’s a certain feeling of that I enjoy in terms of one the hospitality part of it is just, you know, being able to be hospitable to, you know, folks that come in and experience your food, your creation. And, you know, to me, the biggest compliment is when, you know, when I look at it from a certain perspective, in terms of somebody made a conscious effort to spend their money with my, you know, buying my food that I created that I developed. And to me, that’s just one of the most satisfactory feelings I can get as an entrepreneur. That’s something small, you don’t think about it all the time. But when you really put it in perspective, that feeling is it’s very hard to get from anything else in my opinion.

Chad Franzen 4:23

Yeah. Yeah. You know, as I mentioned, you founded oomi in 2020. And we’ll, we’ll get into that. But, uh, take me through your journey kind of up to that point, especially some of your entrepreneurial ventures. I know, you found an urban taco, like, you know, more than 10 years before me. So take me through that. And, you know, some of the other things you’ve been involved with, if you could.

Markus Pineyro 4:42

Yeah, so, you know, the Urban Taco, you know, it’s the thing that I’m most known for, at least hear at a at a regional level. And it’s my most well known brand, and then became my identity, you know, it’s who I was. It’s, you know, I’m the urban taco guy. And, you know, we we had urban taco for about, you know, the last 18 years. And, you know, it’s a traditional brick and mortar. You know, there was no, the restaurant industry went through a period of zero innovation for you know, I guess for the last, I mean, pricing the first digital POS, like there’s just been no innovation in the restaurant business and COVID. You know, I guess a silver lining would be that it really brought a level of innovation into the restaurant business, I have never really been experienced with, you know, a lot of things technology, a lot of private equity money, a lot of VC money. And it can accelerate certain aspects of the restaurant industry that needed innovation, and really just took us to, you know, pulled forward the pipeline of innovation that was going to happen. So at that point is when I realized, like, hey, like I understand there’s a certain need for what we’re trying to create. There’s enough technology and third party development technology that’s been developed that we can harness to create what we are looking to, to develop, which was oomi, which is a delivery only kitchen. So because of that port forward innovation, we were able to create our very efficient restaurant, which you know, it’s a delivery kitchen is that you know, what we’re going to call it, you know, you can see what we have behind me, those are our pickup lockers, where people, you know, traditionally will place an order on their phone on our app, and then our food is either picked up by them here through those lockers without any interaction with, you know, front of half staff or waiter or manager. And then the food is in order the food can be delivered through our first-party drivers as well.

Chad Franzen 6:50

So you’re in the oomi location right now we’re looking at it.

Markus Pineyro 6:53

No, this is just a background.

Chad Franzen 6:54

Nice, okay, okay. Yeah, I was gonna say it looks pretty cool. Looks pretty cool. So, so you found it in 2020? Surely, is it all just a reaction to COVID? Or did you have that idea kind of percolating in your head for a while?

Markus Pineyro 7:06

Yeah, very good question. So I, ironically, like I met my business partner in 2019, and our kids were in the same school in the same class. He also has a restaurant background. And, you know, we started talking probably late 2019, about some of the trends that we’ve been observing. And, you know, he comes from a very corporate background, and he was trying to also find something different to do in the restaurant space, just not the traditional restaurant. And then we, you know, we started talking about, you know, some of the trends that we saw that could come to fruition in the near future that could, you know, shape the future of the restaurant like the restaurant, the future, and that, you know, revolved around the ghost kitchens base, dark kitchens, virtual brands, and right when COVID came around March of 2020, you know, we you know, everybody ran for the hills and like, hey, like, let’s take our family like we don’t know what’s gonna happen. And as we were coming on at COVID, we started talking again and realized that hey, like, I think the idea that we were crafting I think there’s there’s legs for that and you know, it’s something that we can you know, I think it’s a good time to start it so yeah, we started really crafting the idea wrote, you know, several different business plans you know, we have multiple different ideas, but you know, concepts and we just really kept fine tuning and fine tuning until we figure you know, we came up with the final model for me visual kitchen.

Chad Franzen 8:36

So tell me how it works from a customer standpoint, they would go to your oomi website or something like that. And I’m guessing from what I saw on the website, there’s a there’s multiple options they can choose from in terms of the types of brands and things like that, can you tell me just how it works and what a customer would you know, let’s say a first time customer goes to the website and they want to get something to eat?

Markus Pineyro 8:58

Yeah, absolutely. So we are digital footfall, a customer can go to our website or download or or mobile app. And then from there there’s currently we have seven different concepts or brands where they can order from. We have one central kitchen, and we know the same guy that’s cooking chicken for grilled chicken tacos is also doing grilled chicken for your salad. So that we cross utilize, you know, ingredients cross utilize our staff, and run one central kitchen where we are able to control the quality, it’s you know, we’re vertically integrated. So it’s, you know, you place an order through our platform, we make the food with our staff, and then we either deliver the food or you come pick it up and one of the things that differentiates us versus a regular restaurant is that yes, you can order from multiple restaurants so or concept or menu so you know, let’s say you’re at your house and you’re you know, there’s a family of four and the kids want chicken nuggets, the wife wants a salad and the husband wants tacos so you can go on our on our app and place an order for all different types of cuisines and then it’s up to you know, it all comes together with one ticket one delivery.

Chad Franzen 10:07

So Urban Taco is is one of the brands served by oomi, I’m looking at your website. Now. You also got Love Bowls, Clucky’s, Hot Lips, Bowlrito, Savage Rabbit, Tribal All Day, and Paciugo Gelato. Are some of the some of those also your, your, you know, brainstorms or are they partner brands?

Markus Pineyro 10:30

Paciugo is a CPG brand. And then so it’s Tribal juice, and it’s a local juice company here in Dallas that does cold, cold pressed juices. So we, you know, we are a marketplace for them. But the Restaurant Brands are all our brands, including Urban Taco, which is part of the umbrella. But you know, we created those brands, based on what we saw our customers were looking for. And you know, based on the data that we’re looking at, we have shifted some brands here and there, but now we understand what the customer is looking for, you know, we serve our customers, we asked them what they’re looking for. And you know, every time that we develop a new brand, it’s based on customer feedback. And you know, these brands that we develop and put it out seem to be doing better than the previous brands based on that feedback that we get from our customers.

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Chad Franzen 11:20

So if you don’t mind, just tell me kind of like, just give me a brief description of what like, you know, Love Bowls is?

Markus Pineyro 11:31

Yeah, Love Bowls sorry, lifestyle bowl concept. So, you know, it’s, you know, a little bit of Mediterranean, a little bit of Latin-infused flavors, more like global flavors, but you know, very, like lifestyle driven, you know, so anything from like a shawarma bowl to a buffalo chicken bowl. So very, very diverse.

Chad Franzen 11:49

And Clucky’s? I’m guessing the name kind of speaks for itself.

Markus Pineyro 11:52

Yeah, that’s our chicken wing house. So you know, wings and fried chicken. So, you know, we got some great fun flavors for our wings. And then we also do tenders and chicken sandwiches.

Chad Franzen 12:04

What about Hot Lips?

Markus Pineyro 12:06

Hot Lips are Asian concept in probably one of our most popular one. So anything from that Thai to Drunken Noodles. We have a hot chicken, like a bank bank, chicken. And I mean hot lips is a good example of like some of the things that we do that gives us a like, because we have such a diverse menu, you know, we’re able to cross utilize some of our ingredients. So we have a Barbara ca egg roll. So we use a barbacoa from Urban Taco to make an egg roll. So that’s something fun that we created in house.

Chad Franzen 12:35

Very nice. I’m guessing I know what Bowlrito is. But can you tell me?

Markus Pineyro 12:39

Yeah, so Bowlrito is, you know, it’s a little bit. It’s like a sister brand to Urban Taco. So imagine Urban Taco but in a burrito.

Chad Franzen 12:45

Sure. So that’s why I kind of figured that. So and then Savage Rabbit would be the last one that I’ll ask you about.

Markus Pineyro 12:54

Yeah, that’s like, big salads, you know, we’re getting, we’re doing salads right now, eventually we’ll do wraps. But, you know, they’re very fun and creative salads that, you know, have a little bit of a savage attitude.

Chad Franzen 13:10

Yeah, very nice. So a very hungry rabbit would attack those things. Yeah. Hey, you mentioned that a lot of those brands were founded upon kinda like feedback from customers. How important is customer feedback to oomi?

Markus Pineyro 13:24

I think it’s probably the top three most important things for oomi. I think that it should be for any restaurant operator if there’s nothing, there’s no more valuable data than actually listening to your customers and getting their feedback. So we really, really focus on getting as much feedback from our customers at any point of their, you know, their life cycle through us. So, you know, whether it’s them picking up Urban Taco, you know, picking up their food and just asking them questions. Hey, how are you doing? How did you hear about us? Hey, like, how was your dish yesterday, I noticed, you know, we can look up at a customer and say, hey, this person ordered one of our new balls last week, let’s ask him what they thought about it. And that’s just like, at a personal level, but then we also, you know, have different levels levers in the back that we can pull with, you know, follow up questions, you know, because every transaction that’s done through our platform, you know, we we, we have the data, we have either an email or phone number. So based on that, you know, we’re able to retarget the customer and ask them directly for their feedback. So, about an hour after the order is picked up, we send them a follow up text question and ask them for feedback. So, you know, it could be you know, good feedback, and we, from there, we funnel them to maybe a Google review, or maybe some other perks, if it’s negative feedback, which is to me the most important one, we you know, I come in and troubleshoot it myself and figure out a way to one figure out what happened, you know, who was on the shift that they you know, what items they ordered, and then what can we do to fix it internally, but also how do we turn around this customer to make them happy? And that’s where you know we are different. Well said, we can invite him back in, you know, turn the customer around and avoid a negative review.

Chad Franzen 15:23

How did customer feedback then lead to you know, Love Bowls? Clucky’s? Hot Lips?

Markus Pineyro 15:28

Yeah, so we did that through a series of polls and asking customers like, hey, like, if we were to come up with a new concept, like what would be your top concepts that you would recommend? We add. And then we also look at what people are ordering the mouse. So we realized that our demographic and our customers really like spicy and really like, like, like rich food. So we then created our cookies concept thinking with that in mind, you know, so very bold sauces for our wings for our tenders, like very, like, strong bold flavors. And then we also had a cohort of customers that were looking for something that, you know, isn’t necessarily Mexican isn’t necessarily ethnic or spicy, and, you know, more of an everyday lifestyle type brand. And that’s how we say it. Okay, well, let’s, let’s think about milder flavors. Maybe not, you know, when you were not. So it’s like, you have two different different cohorts, and you got to kind of in the same at the same time, like the same person that you know, we study our customers behavior. So, you know, we can see when customers on Monday and Tuesday, they like to order salads, they like to order bowls, they like to kind of stay healthy recovered from the weekend. By Thursday, they’re ordering tacos. And then by Saturday and Sunday, they’re, you know, heavy on the wings, chicken sandwich tenders, peptide, Drunken Noodles. So because of that, and like our customer, you know, we have a flavor for every occasion. So you know, the same customer that likes Love Bowls on a Monday or Tuesday, there might like, you know, wings on a Sunday night or Sunday evening or Sunday morning. So that’s another reason why our customers can keep coming back to us because it’s not the same dish over and over like you can, you can pick a restaurant that you like, and you know, you probably go once a week, you know, it’s hard to start going to three times a week with us because we have different flavor profiles in different locations, different different menus, were able to cater to the same customer customer multiple times a week,

Chad Franzen 17:31

you literally just described my weekly eating habits. Is operating a digital restaurant vastly different from running a brick and mortar restaurant?

Markus Pineyro 17:27

I would say yes, there’s definitely, there’s a lot of similarities like our kitchen or four walls in the kitchen, it’s very, very similar. Actually, I like to think about it more like a traditional restaurant, because we want to put out good quality food, you know, we have experienced cooks, we have full recipes. You know, we don’t, we don’t, you know, everything is made in house from scratch. And our sauces are marinates. So it’s operating like a traditional restaurant. But then past the expo, that’s when things change up a little bit. You know, we don’t have waiters, we don’t have front of house staff. We don’t have busboys. So we don’t have to do you know, we also don’t have like our ticket times a little bit different, you know, we, we base our ticket time based on where the drivers are, you know, when they’re picking up the food. And that’s when we start making food, it’s based on our driver demand in our drivers, I guess, our driver supply and where the drivers are at a time. So we don’t want to make a prepare a bag, a ticket when our driver is 20 minutes away, we want to start making that food when our driver is about five to seven minutes away. And that’s when we go that’s about how long it takes to make a dish. So that’s where, you know, they’re, you know, we’re using and power delivery to help us with that, you know, it’s you know, their system is based on machine learning. And it helps you optimize when to make a dish based on where your drivers are. So when a customer gets our food, that food literally got made about eight minutes ago, it got made, the driver picked it up delivered to your house. So there’s not sitting around an expo counter is not going around the city taking a tour, while you know they’re delivering other restaurant food. It’s going from our kitchen straight to the drivers hand and then straight to your door. So that experience is it’s hard to be you know, so that’s where our best in class delivery experience comes into play.

Chad Franzen 19:28

What about — do you guys hire your own drivers? Like, you know, if it was a brick and mortar, you’d hire the service staff obviously. What about this case?

Markus Pineyro 19:36

Yeah, so we have our pool rolling drivers, and that’s who we deliver our food through? Correct.

Chad Franzen 19:44

What about marketing? Is that a lot different from brick and mortar compared to, you know, these kind of Digital Kitchen environment?

Markus Pineyro 19:51

Yeah, that’s it. I think it’s very correlated to being a digital footfall. So digital marketing for us is essential. We rely on, you know, our social network channels. You know, that’s to me, it’s like we’re, I guess we’re different is, you know, we, the way that we market our food is we try to create content that has a certain viral component to it. And we want, you know, our network of, you know, whether it’s influencers or customers, like we want our food to live on the internet. So when we think of making food, you know, we think about how it’s going to photograph, we think about how it’s going to travel, how we package it. So when the customer receives a food, it’s kind of like the apple box experience, like, when you buy an Apple product, and you open the case, it’s a really nice box, it just feels like you’re about to like, it feels like good quality. So our food has a similar component to where, you know, we want people to look at our food tastes great, but we also want people to spread the word, post our food. So we, you know, our social, and our online channels are very important. And I find them to be more relevant and more important than traditional brick and mortar, where it’s, you’re not in a traditional brick and mortar, you’re selling an experience with food, you know, with us, you know, the experience comes in the bag. And, and that’s, that’s the entire experience. So, one, the food has to shine, and it has to be, like, a much better than a traditional restaurant delivering food. And then once we receive the food, like we want that food to shine, and really come through.

Chad Franzen 21:36

Speaking of traditional, you know, I barely am aware of ghost kitchens, but do you view oomi as a traditional ghost kitchen?

Markus Pineyro 21:44

Absolutely not. So I think so we were delivery kitchen, you know, we’re forward facing, you know, our brand is very important to us, it’s an open kitchen, we’re on almost a main and Main Street. So there’s really not a lot of mystery to it or, you know, dark kitchen component to it, you know, we’re like, as you can see, you know, very, like, this is also part of the experience is the pickup, you know, when customers pick up like it’s not, you know, you’re not going to a warehouse district and picking up food from, you know, the back of a warehouse, you know, where this is also part of the experience. So we differentiate ourselves in a way where also our food, you know, where we’re responsible for our own food were responsible for our platform, you know, most ghost kitchens, you know, they don’t control the entire vertical. So, that’s a little bit different in terms of how we perceive ourselves to our customer.

Chad Franzen 22:42

Do you use a software platform that has made you unique to something you’re doing? And has it helped you a lot?

Markus Pineyro 22:50

Um, yeah, I think the Empower Delivery platform has been essential for our, you know, our growth and our operation. It really is the brains and kind of like our command station. So we, like our business revolves around Empower.

Chad Franzen 23:09

Do you? What’s kind of your goal for the future? Would you view growth as expanding the brand’s currently offered or moving to different locations? Or both?

Markus Pineyro 23:18

Yeah, it’s, I think, it could be a little bit of both. But really, like, our focus will be based around like expanding the oomi footprint, and then, you know, whether, you know, most likely those brands will come along with it. But you know, let’s say we’re going to a demographic where maybe one of the brands is not relevant, like people maybe don’t like fried chicken and wings, where we’re going so we can create a different brand. And we have that flexibility that we can launch a digital brand. Pretty much in 30 days, you know, we don’t need to build a restaurant. You know, we’re building a menu, we’re building a brand. And that’s all it takes. So we have flexibility with our brands, and we can replace them. If a brand doesn’t perform how we think it should be performing. We can always either improve it or replace it, but the idea would be to grow our UI footprint.

Chad Franzen 24:06

I have one more question for you. But first, tell me how people can find out more about me on the kitchen.

Markus Pineyro 24:13

Yeah, so our social handle is at oomi Kitchen across all social platforms, and then our website as well at oomikitchen.com We’re located in Dallas, Texas.

Chad Franzen 24:23

Okay, great. Okay, last question for you. You go to oomikitchen.com And you go to the brands drop down menu and you’ve got those brands what’s kind of your go to meal of choice when you’re a customer

Markus Pineyro 24:37

Depends on the day of the week. Now so so for me like my my go to right now is and I also go through like phases, but under Love Bowls. We have a Sunset Strip ball. It uses a rosewood ranch ribeye. It’s a prime cut, so it’s just a phenomenal addition. I’m just kind of hooked on it right now. And then every once in a while I’ll kind of go into the wings and you know, mix them up a little bit. Like, like our angry buffalo wings or phenomenon.

Chad Franzen 25:14

Sounds fantastic. Yeah, I’m looking at the Sunset to Sunset Strip now looks great. Hey, Markus, it’s been great to talk to you. Thank you so much. Best of luck with oomi and everything in the future. Really appreciate it.

Markus Pineyro 25:24

I appreciate it. Thank you for having me.

Chad Franzen 25:25

So long, everybody

Outro 25:26

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