Sunday Raises $24M Seed Round for Restaurant Checkout

Introducing Sunday: A New Approach to Restaurant Payments

Sunday is a recently launched startup poised to gain significant attention, having secured $24 million in seed funding at a $140 million post-money valuation. This substantial investment reflects the company’s ambition to scale rapidly within a short timeframe.

The Founding Team and Their Background

The company’s foundation lies with Victor Lugger, Tigrane Seydoux, and Christine de Wendel. Lugger and Seydoux previously collaborated as the creators of Big Mamma, while Christine de Wendel brings experience as the former head of Zalando France and COO of ManoMano.

Big Mamma: A Proven Track Record

For those unfamiliar, Big Mamma has successfully established a chain of twelve Italian restaurants throughout France. They also operate La Felicità, a popular food hall located at Station F.

While celebrated for its quality and affordability, Big Mamma is also recognized for its often-lengthy wait times and the fast-paced dining experience it provides. Nevertheless, the concept has demonstrably thrived in recent years.

The Genesis of Sunday: Addressing Pandemic Challenges

The challenges presented by the pandemic while managing Big Mamma spurred the creation of Sunday, a spin-off company incorporated in the United States. The initial goal was to provide a contactless solution for menu access and payment processing.

Responding to the widespread need for hygiene, the restaurant group implemented QR codes on tables, allowing customers to access a digital menu via their smartphones.

Beyond the Menu: Integrated Payment Solutions

Sunday’s capabilities extend beyond simply displaying the menu. It integrates directly with point-of-sale (POS) systems, including Oracle Micros, Brinks, Tiller, Zelty, Revo, and CashPad. This integration enables customers to scan a QR code, review their bill, and complete payment directly from their mobile devices.

Upon finishing their meal, patrons can settle their accounts independently and depart at their convenience.

Demonstrated Results and Efficiency Gains

Following trials within Big Mamma restaurants, Sunday yielded promising outcomes. 80% of customers opted for QR code payment, resulting in an average reduction of 15 minutes in wait times and improved table turnover rates.

This highlights a core principle of Sunday: its value proposition lies in its ability to enhance restaurant revenue.

The Potential for Increased Revenue

Restaurants experiencing high demand and limited seating capacity stand to benefit significantly from Sunday’s streamlined checkout process.

Furthermore, the platform facilitates convenient bill splitting, allowing diners to easily divide costs directly through the application.

While currently reliant on QR codes, Sunday’s architecture is adaptable, potentially incorporating technologies like RFID chips or tablets for bill presentation.

Sunday’s Vision: The Future of Restaurant Checkout

Sunday aims to revolutionize restaurant checkout, envisioning a seamless integration of online and offline payment experiences – essentially, becoming the “Fast Checkout” for restaurants.

A Transparent and Competitive Pricing Model

Sunday operates without monthly subscription or setup fees. Restaurants are charged only processing fees based on their usage, which are generally lower than those associated with traditional card machines.

Investment and Expansion Plans

The seed funding round was spearheaded by Coatue, with participation from New Wave, a European seed fund led by Pia d’Iribarne and backed by Xavier Niel. The round also included contributions from various hospitality and technology investors.

The strategy involves rapid expansion, securing partnerships with numerous restaurants, and capitalizing on the current market opportunity presented by the pandemic.

Currently, Sunday has a team of 40 employees and is actively forging agreements with restaurants, even those temporarily closed in Europe.

Execution is Key

Sunday’s success isn’t rooted in groundbreaking technology, but rather in its ability to efficiently implement a streamlined checkout experience. The company that can deploy this solution most effectively will likely dominate the market.

Current Partnerships and Geographic Reach

As restaurants reopen, Sunday QR codes are anticipated to appear in France at establishments like Eataly, PNY, Paris Society, Eric Frechon, and restaurants within Groupe Bertrand (Burger King France, Hippopotamus, Groupe Flo…). In the U.K., partnerships are underway with JKS Group (Hoppers, Brigadiers, Gymkhana…), Corbin & King, and others.

Discussions are also ongoing with companies in the U.S. and Spain.

Currently, over a thousand restaurants are in the process of adopting the Sunday platform.

A Familiar Approach to Growth

“We’re employing the same strategy that proved successful when launching our restaurants with Big Mamma,” stated Victor Lugger, co-founder and CEO of Sunday. “Seven years ago, we invested significantly more than our competitors to minimize fixed costs and deliver a superior product.”

Future Development and Personalized Experiences

Sunday has an ambitious product roadmap, with plans to introduce features such as personalized accounts that remember past bills, track dietary restrictions, and store preferred payment methods. Ultimately, success will depend on effective execution.