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OpenTable buys Foodspotting $10 Million,,,, Time to Leave for Me

  • ALPOE Feb 16, 2013 06:37 PM

Foodspotting letter OPEN TABLE You've been had out of $10 million

I'd like to tell the story of how investors have been duped out of $10 million plus dollars by Foodspotting that makes claims of memberships and food spots that are 30 percent supermarket boxed foods and dishes at home. Yes I'm a disgruntle user that has spent hundreds of hours research this scam. take a look at one super market http://www.foodspotting.com/places/20... and there's thousands of these out there which there very aware of, but only encourage this to bump up there numbers to keep investors happy. They have thousands of users with zero spots of food they keep to boast we have x amount of members and x amount of spots. Please help me tell this story before OPEN TABLE buys them as rumors in the media pages have it. The top users on this site have had enough and I can share links on there own site to show the displeasure of hundreds of
members that spend thousands of dollars on meals to produce quality shots and hundreds of hour posting them only to have the Foodspotting team turn a blind eye to our requests on not having supermarket type photos allowed. If you don't want this story please pass this one to someone who can help. Thanks,,, AL POE See the links below ENJOY YOUR SUPERMARKET TOUR
http://www.foodspotting.com/places/20...

http://www.foodspotting.com/places/20...

http://www.foodspotting.com/places/41...

http://www.foodspotting.com/places/13...

http://www.foodspotting.com/places/50...

http://www.foodspotting.com/find/best...

http://www.foodspotting.com/places/53...

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  1. The supermarket photos are probably their revenue model, since that's where the money is (certainly not restaurants, and I assume you as a user won't pay for the service).

    I suspect that with enough pushback from the user base they'll deal with it by filtering the photos between grocers & restaurants, and then users can opt-out of seeing them - which takes money. $10M should be a good start.

    1. Guessing that Open Table probably checked it out pretty thoroughly before plunking down 10 mill because Open Table is publicly traded and has a board and investors to answer to.

      But hey - thanks for taking all those photos in restaurants and annoying the heck out of the other restaurant patrons and the restaurant owners. I just checked out the site - which I'd never heard of before now - and some of the pics are truly unappetizing.

      Here, from a new and much-heralded restaurant by Bryan Voltaggio: http://www.foodspotting.com/places/65...

      I mean really? Doesn't make me want to run to Range!

      1 Reply
      1. re: Just Visiting

        Ew, who wants to look at a plate of someone's half eaten fish?

      2. http://bits.blogs.nytimes.com/2013/01...

        Adding the NYT report so we have some context here. And I agree with the comment in the article that asks, where did OT come up with 10 million.

        7 Replies
        1. re: HillJ

          The market cap on OpenTable as of Feb. 15 was 1.26 billion.

          http://ycharts.com/companies/OPEN/mar...

          They seem to have leveled off after the big dip in late 2011.

          And, of course, there is always an LBO. Remember those? If you were around in the 90s, you do!

          1. re: Just Visiting

            "And, of course, there is always an LBO. Remember those?"

            Barbarians at the Gate

            1. re: Just Visiting

              Any idea what OT's debt is.

              1. re: HillJ

                They just filed their annual report with the SEC:

                http://investors.opentable.com/secfil...

                There's a balance sheet. Have at it.

                Here's the NASDAQ profile:

                http://www.nasdaq.com/symbol/open

                Here's the NYT profile:

                http://www.nytimes.com/top/news/busin...

                The market may be bullish but they are trading way too high for earnings, in my totally uninformed opinion. It isn't really a tech bubble per se because they obviously do have a proven track record of bringing in revenue, but a P/E ratio over 25 - there had better be a really good reason to expect a big increase in revenue.

                1. re: Just Visiting

                  Just V, you have no idea how much I actually appreciate this report. Family & friends in the restaurant business are going to 'have at it' not me....I was looking for a #. Stockholders always throw big #'s around.

                  And, my original comment about how did OT come up with 10 million was more in reaction to such a large offer. To offer 10 million in OT stock surprised me. Foodspotting was only able to raise 3 on their own.

                  1. re: HillJ

                    OpenTable paid cash, not stock. Personally, I think they are nuts. I think OpenTable is great and it pisses me off that they are going to be encouraging people to take photos of the food in restaurants. Let the restaurants hire professional photogs and post the photos on OpenTable so the food looks appetizing and some bozo at the next table isn't standing on his chair trying to get a better shot or asking me to move because I'm blocking the light.

                    1. re: Just Visiting

                      JustV, the article said stock. To what degree I don't know (yet). The publics fascination with taking photos while dining and posting to all sorts of sites (FB, Twitter, blogs, etc.) may be the reason OT believes this service is worth investing in. This might be a case of having ourselves to blame. The like/dislike of cell phone, digital photography has been debated on CH for quite some time.