FANTECH

Houston-based stadium ordering app closes near $1.3 million Seed round with plans to scale

Houston-based sEATz has closed a funding round and plans to reach more fans than ever this football season. Courtesy of sEATz

This article originally appeared on InnovationMap.

Fans across the country are headed to football stadiums this weekend to cheer on their teams, but only a few will have the luxury of ordering food, beer, and even merchandise from the comfort of their seats.

Houston-based sEATz has created a platform where fans can order just about anything their stadium has from an app. Much like any other ordering app, once the order is placed, a runner will pick up the food and deliver it to the customer for a small fee and a tip.

The startup is now preparing to scale up from seven venues to 10 before the year is over as well as launching a new version of the app thanks to an oversubscribed near $1.3 million Seed round led by Houston-based Valedor Partners. Houston-based Starboard Star Venture Capital also contributed to the round. SEATz has plans to launch its Series A round before the new year.

"We're building enterprise-level, scalable in-seat ordering, delivery, and pick-up software. We'll have all the data and validation we need this fall to really start to push that out," says CEO and co-founder Aaron Knape.

SEATz got its start when co-founder and COO Marshall Law missed a particularly amazing play by the Astros during a World Series gameduring a World Series game because he was waiting in line to get food for his family. In a world of Uber and Favor, it was time for stadiums to step up their convenience. Law and Knape had been friends for a while — they met through their wives — and they regularly bounced business ideas off each other.

"We would meet every couple weeks in the Heights for coffee and throw spaghetti at the wall. We knew we'd eventually find an idea together," Law says. "After I left that Astros game, I texted him from the parking lot and told him, 'I found it.'"

The duo teamed up with another friend, Craig Ceccanti —CEO and founder of Houston-based Pinot's Palette, which has locations across the United States — and created sEATz's parent company, Rivalry Technologies. The name's an homage to the fact that the men are from rivalry schools — Law went to the University of Texas, Knape went to Texas A&M University, and Ceccanti went to Louisiana State University.

Part of sEATz ability to grow so rapidly has been a series of key partnerships. A Rice University business master's grad, Knape got them a foot in the door at his alma mater, and sEATz's first game was at Rice last year. Then, the startup was connected to Jamey Rootes, president at the Houston Texans, at an event at The Cannon Houston. That partnership lead to an introduction with Philadelphia-based Aramark Corp., a global food service and staffing company. SEATz is a member of Cannon Ventures, as well as being a member company of Capital Factory, which has its Houston outpost at The Cannon.

"At this point, we know that fans want food in their seats," Knape says. "That concerns the concessionaires because they don't want an app that just helps them sell food, because they already have long lines. What we have on the back end actually helps them divert that traffic and reduce those lines."

Aramark got sEATz into the University of Houston's basketball games, but the university then switched their food service company to Delaware North. However, sEATz had proven itself to the athletic department at UH, and wrote it in Delaware North's contract that they will work with sEATz.

Continue on InnovationMap to learn about out all the stadiums sEATz has contracts with in Houston.

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This is getting out of hand. Photo by Ronald Martinez/Allsport/Getty Images.

Dr. Rick warns his patients, young homeowners who are turning into their parents, you can expect to pay more for snacks and drinks at a movie theater. It's the same deal at a professional sports venue. Three years ago, I put a down payment on a cheeseburger at Toyota Center ... I still have three more payments to go before I get it.

But this is ridiculous. The PGA Championship, the lesser (least) of golf's majors, is charging $18 for a beer, a 25-ounce Michelob Ultra, at Southern Hills Country Club in Tulsa. It's $19 for a Stella Artois. You can buy a six-pack for less at the supermarket. Aren't there laws against price gouging, like during a hurricane? Isn't Tulsa where the Golden Hurricanes play? Get FEMA in here. Did tournament directors get together and ponder, how can we piss off our fans? Sure, it's Tulsa and there's not much else to do, but that's no excuse.

Charging $18 for a beer makes the concession stands at Minute Maid Park look like a Sunday morning farmer's market. A 25-ounce domestic beer during an Astros game is $13.49. A 25-ounce premium beer is $14.45. Yeah, that's high for a beer, but at Minute Maid Park there are lots of hands in the till. Aramark wants to make a profit, the taxman has big mitts, and the Astros want their cut, too. Look, you want to sign Kyle Tucker and Yordan Alvarez to an extension or not? Then drink up and don't complain. Some quiet grumbling and head-shaking is permitted, however.

You know the PGA Championship is charging too much for a beer when even the rich pampered players take notice. "18 (!!!!!) for a beer ... uhhh what," former PGA Championship winner Justin Thomas tweeted. "Good thing I don't drink a lot."

Like he will be in line for a beer at a public concession booth, anyway.

Of course there will be fans sneaking in beer in baggies strapped to their ankles, like stuffing your pockets with store-bought Snickers before going to the movies. It doesn't have to be this way. The Masters, the most prestigious golf event, charges only $5 for both domestic and imported beer. I know it's a gimmick, part of The Masters mystique along with pimento sandwiches for $1.50, but still it's a welcome gesture. You never lose when you treat the public fairly. When Mercedes-Benz Stadium opened in Atlanta, Falcons owner Arthur Blank insisted that food vendors charge the same inside the stadium as they do at their regular restaurants. Same thing when Denver International Airport opened, fast food restaurants couldn't jack up their prices to their captive customers. Here? There needs to be a loan window outside the Cinnabon booth at Bush-Intercontinental.

Except for the Masters in Augusta, golf's majors aren't tied to a city. A major comes to a city maybe every few years or in most cases never. There's no need to ride into a city like the James Gang, rob the local bank, and high tail it out of town. Golf should be the last professional sport to stick it to fans. While the game has made strides to open its arms to lower-income youths, golf remains an elitist, extremely expensive sport for regular folk. Equipment is expensive, private courses are exclusive and country clubs are exclusionary. Public courses are less expensive but still expensive and crowded. Plus there's never been a professional sport more dangerously dominated by one person than golf. I can imagine network executives on their knees praying that Tiger Woods makes the cut and plays on weekends. Otherwise, TV ratings go straight into the toilet, you know, like whatever team Mattress Mack is betting on. (I joke because I love, and frankly a little scared.)

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