Chowly Company Profile

Background

Founded in 2015 and headquartered in Chicago, Illinois, Chowly is a technology company dedicated to simplifying digital operations for restaurants. The company's mission is to empower restaurants by integrating third-party delivery marketplaces with point-of-sale (POS) systems, thereby streamlining order management and enhancing operational efficiency. Chowly's solutions cater to a diverse range of restaurant sizes, from small independent establishments to large chains, reflecting its significant role in the restaurant technology industry.

Key Strategic Focus

Chowly's strategic objectives center on:

Seamless Integration: Facilitating the direct integration of orders from platforms like Grubhub, Uber Eats, DoorDash, and Google into restaurant POS systems.

Comprehensive Digital Solutions: Offering a unified platform that encompasses website creation, online ordering, and marketing tools to enhance restaurants' digital presence.

Profitability Enhancement: Implementing features like dynamic pricing to optimize revenue and profitability for restaurant partners.

Market Expansion: Extending services to a broad spectrum of restaurants, including small and medium-sized businesses (SMBs) and enterprise-level chains.

Financials and Funding

As of September 2022, Chowly has raised a total of $31.7 million in funding. The most recent funding round secured $10 million, aimed at enhancing product offerings and expanding market reach. Notable investors include MATH Venture Partners and Chicago Ventures.

Technological Platform and Innovation

Chowly distinguishes itself through several proprietary technologies and innovative methodologies:

Smart Pricing: An AI-driven tool that analyzes various factors, such as peak periods, weather, and holidays, to suggest optimal pricing strategies, thereby maximizing profitability.

POS Integration: Seamless integration of third-party delivery orders directly into restaurant POS systems, reducing manual entry errors and improving operational efficiency.

Comprehensive Digital Platform: A unified system that includes website building, online ordering, and marketing tools, enabling restaurants to manage their digital presence effectively.

Leadership Team

Sterling Douglass: Co-Founder and CEO. Under his leadership, Chowly has expanded its services to over 17,000 restaurants nationwide.

Justin McNally: Co-Founder. Instrumental in developing the initial technology that integrates third-party ordering apps with POS systems.

Walter Beller-Morales: CTO of Koala, now part of Chowly. Plays a critical role in integrating Koala's solutions with Chowly's platform.

Melanie Norton: Chief Product Officer of Koala, now part of Chowly. Contributes to product development and integration efforts.

Brett Spiegel: Co-Founder and COO of Koala, now part of Chowly. Focuses on operational integration and strategy.

Leadership Changes

In February 2023, Chowly acquired Koala, a digital ordering experience platform. As part of this acquisition, Koala's leadership team, including CEO Nat Trienens, CTO Walter Beller-Morales, Chief Product Officer Melanie Norton, and COO Brett Spiegel, joined Chowly to assist with the integration and expansion of services.

Competitor Profile

Market Insights and Dynamics

The online food delivery services market was valued at $150 billion in 2021 and is projected to grow at a compound annual growth rate (CAGR) of 11.51% from 2022 to 2030. This growth is driven by increasing consumer demand for convenience and the proliferation of digital ordering platforms.

Competitor Analysis

Olo: Provides digital ordering and delivery solutions, holding approximately 7% market share.

Square: Offers POS and payment solutions with about 10% market share.

Toast: Delivers restaurant management and POS systems, capturing around 9% market share.

These competitors focus on integrating digital ordering with POS systems, similar to Chowly's offerings.

Strategic Collaborations and Partnerships

C³ Partnership: In June 2021, Chowly partnered with C³ (Creating Culinary Communities) to offer C³'s digital culinary brands to Chowly's restaurant partners, expanding menu offerings and revenue opportunities.

Grubhub Collaboration: In October 2020, Chowly partnered with Grubhub to enhance the onboarding process for mutual restaurant clients, streamlining operations and improving service delivery.

Operational Insights

Chowly's competitive advantages include:

Comprehensive Integration: Combining third-party delivery integration with POS systems and digital marketing tools in a single platform.

Focus on SMBs: Tailoring solutions to meet the unique needs of small and medium-sized restaurants, providing enterprise-level technology without complexity.