Ben Borton

First location, a great time to start a consumer business business.

promptly closed our doors along with everything else in March of 2020 in New York City.

But after that initial gut punch, it was turned out to be something that was really great for the business because we were one of the first businesses in New York, non-essential businesses to reopen.

We reopened in May of 2020 and, you know, became the business really kind of grew like crazy during that period.

And we were able to do that because we were doing contactless entry, no employees on site, naturally socially distanced activity, and we could track everybody who came through the door.

Yeah, I mean, just from a utilization, we had a single location, but it was utilization was, I think running between 60 and 70% on a 24 hour basis.

So if you have a low fixed cost business, that unit was very, very, very, very profitable.

Yeah, pricing is anywhere from $20 to $50 per hour.

You have kind of private pods, which are sort of a private space where you have your own space that has kind of one hourly rate.

Then you can get a table in a open pod, which is a shared space where there are kind of other people in that space.

you know, I think the best way we look at kind of what is the average revenue per hour used, which is probably kind of the way you're thinking about this.

And that in those days was about like $30 per hour across everything.

So, you know, there are different ways that you're taking revenue and it's not just a pay to play model.

You've got memberships, you have other sorts of things, but we always looked at it from a kind of the price volume relationship is how many

hours do you have available?

How many of those hours get used and how much do you get paid per hour during that?

So let's talk about the transition from kind of ping pod to to pod play.

Right.

So ping pod was the predecessor business.

That business now has 20 plus locations.