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AustenAllred's profile
Austen Allred
Austen Allred
Austen Allred
Verified account
@AustenAllred

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Austen AllredVerified account

@AustenAllred

CEO @LambdaSchool (YC S17): A CS education that's free until you get a job. I have made remarks that I do not agree with.

San Francisco, CA
lambdaschool.com
Joined December 2010

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    Austen Allred‏Verified account @AustenAllred Apr 7

    How do New York pizza joints that sell 99 cent slices make it? I would love to see the finances of one of those places

    12:40 PM - 7 Apr 2018
    • 6 Retweets
    • 74 Likes
    • Tony Thumpasery David Sam Alter Santi Ramón Cacho Uyen Vo Louis Arge Aditya Dehal Tapha
    22 replies 6 retweets 74 likes
      1. New conversation
      2. Henry McNamara‏ @HenryLMcNamara Apr 7
        Replying to @AustenAllred

        One of the great economic mysteries of our timehttps://mobile.nytimes.com/2010/03/16/nyregion/16pizza.html …

        1 reply 2 retweets 4 likes
      3. Tweet unavailable
      4. Slice‏ @SlicePizzaApp Apr 7
        Replying to @bjc290 @HenryLMcNamara @AustenAllred

        Well, they know the future, so we’re sure that helps.

        1 reply 0 retweets 4 likes
      5. End of conversation
      1. New conversation
      2. Ryan Holdaway‏ @Ryan_Holdaway Apr 7
        Replying to @AustenAllred

        They’re fronts dude. Money Laundering As A Service.

        1 reply 0 retweets 14 likes
      3. Shane Rowley‏ @utahshane Apr 7
        Replying to @Ryan_Holdaway @AustenAllred

        They have nothing on Mattress Firms in the ML business. I swear I see more Mattress Firms than I do Starbucks in a city.

        1 reply 0 retweets 2 likes
      4. Ryan Holdaway‏ @Ryan_Holdaway Apr 7
        Replying to @utahshane @AustenAllred

        https://www.google.com/amp/s/thenextweb.com/distract/2018/01/22/this-mysterious-conspiracy-theory-about-mattresses-is-everything-we-love-about-reddit/%3Famp%3D1 … 100% confirmed.

        1 reply 0 retweets 6 likes
      5. Shane Rowley‏ @utahshane Apr 7
        Replying to @Ryan_Holdaway @AustenAllred

        Holy crap! My assumption is confirmed. Article even references my comparison with Starbucks! 😂

        0 replies 0 retweets 1 like
      6. End of conversation
      1. Isaac Krasny‏ @isaackrasny Apr 7
        Replying to @AustenAllred

        They'll also sell you a pie for $0 now, but .025% of your income for the next two years

        0 replies 0 retweets 17 likes
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      1. Daniel Green‏ @dgrreen Apr 7
        Replying to @AustenAllred

        The ingredient costs are very low. It used to be <$2 per pie ($8 in revenue)http://mobile.nytimes.com/2010/03/16/nyregion/16pizza.html …

        0 replies 0 retweets 5 likes
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      1. AnnieW‏ @AnneNewsJunkie Apr 7
        Replying to @AustenAllred

        My guess is like other fast food places, they make it up on the sodas they sell.

        0 replies 0 retweets 6 likes
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      1. Freddy Vega‏Verified account @freddier Apr 7
        Replying to @AustenAllred

        If only cash: Money Laundering.

        0 replies 0 retweets 3 likes
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      1.  🤖 Sonya Mann  🎀‏Verified account @sonyaellenmann Apr 7
        Replying to @AustenAllred

        hard same — I wonder if a lot of them own their buildings? have ridiculous margins on soda or whatever so pizza is a loss-leader?

        0 replies 0 retweets 3 likes
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      1. New conversation
      2. Jake Huneycutt‏ @jakehuneycutt Apr 7
        Replying to @AustenAllred

        It's crazy how NYC rent is more expensive than virtually everywhere in the US, but restaurants are some of the cheapest. It's completely driven by volume. Marginal cost of making 8 slices ~ $2.5. If you sell enough, you can cover labor + rent and turn a profit.

        1 reply 0 retweets 4 likes
      3. 1 more reply
      1. Lauren White‏ @laurenoffwhite Apr 7
        Replying to @AustenAllred

        Anytime I ask myself this question about any physical mom and pop store I assume they launder money

        0 replies 0 retweets 2 likes
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      1. Greg Meyer‏ @grmeyer Apr 7
        Replying to @AustenAllred

        All other varieties beside plain are 2.99 or 3.99 a slice - plain is loss leader

        0 replies 0 retweets 2 likes
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      1. Payom Dousti‏ @PayomDousti Apr 7
        Replying to @AustenAllred

        they don't... 8th & Ave A had 3 pizza shops open and close within a year while i was living there.

        0 replies 0 retweets 2 likes
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      1. Gerardo Torres‏ @jesuisgerardo Apr 7
        Replying to @AustenAllred

        They make money with sodas/drinks/other types of pizza. The .99 is just to get you in the door.

        0 replies 0 retweets 1 like
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      1. Rob Broderick‏ @RobxBroderick Apr 7
        Replying to @AustenAllred

        Check out this video on the economics of a $1 slice vs a $1,000 piehttps://youtu.be/IjLsY7yuqfI 

        0 replies 0 retweets 1 like
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