In the rapidly evolving landscape of the hospitality and food & beverage (F&B) industry, carving a niche requires not just innovation but also a deep understanding of market needs and customer preferences. Joe Frem, Co-founder and CEO of Matbakhi shares his journey from a young entrepreneur to a visionary leader in the hospitality sector. His insights provide valuable lessons for those aspiring to make their mark in this dynamic field.
Let’s start from the beginning of your entrepreneurial journey. Could you share how your early experiences shaped your career path in the restaurant and broader business world?
Joe Frem: My journey began quite unconventionally when I was just 13. I was fascinated by the concept of ownership and the financial independence it could bring. Starting out in the restaurant industry as a runner and later a waiter, I quickly learned the value of being customer-facing. This early exposure helped me develop a keen sense of emotional intelligence, which has been invaluable throughout my career.
Moving from hands-on restaurant work to launching a retail venture at such a young age must have been quite the shift. How did that come about, and what were the key takeaways from that experience?
Joe Frem: Indeed, it was a significant shift. At 15, seeing an opportunity to utilize an underused retail license owned by a friend’s father, we started a clothing business. This venture was my first real foray into identifying market gaps and capitalizing on them. It taught me the basics of business management and the importance of agility in entrepreneurship. Interestingly, this early venture is still operational, now managed by my friend’s father.
How did your educational path influence your business approach, especially your decision to study engineering?
Joe Frem: My choice to study engineering was strategic. I realized that an engineering degree would equip me with a versatile skill set. Though my heart was set on entrepreneurship, I understood the importance of a solid educational foundation. The analytical and problem-solving skills I developed during my engineering studies have been critical in all my business endeavors, allowing me to approach challenges methodically.
Transitioning from engineering to consulting at McKinsey is a notable shift. What drove that decision, and how did your time at McKinsey shape your understanding of business?
Joe Frem: My transition to McKinsey was driven by a combination of personal ambition and the desire to deepen my business acumen. At McKinsey, I was exposed to a range of industries and challenges, which broadened my perspective significantly. The experience honed my strategic thinking and gave me a robust framework for approaching complex business problems, which has been crucial in my entrepreneurial ventures.
What inspired you to start Matbakhi, and what gap did you see in the market that Matbakhi aims to fill?
Joe Frem: After years in consulting and observing the evolving dynamics in the food service industry, I identified a significant opportunity in optimizing F&B operations for hotels, particularly those not typically serviced by top-tier F&B management companies. Matbakhi leverages technology and operational expertise to enhance the profitability and efficiency of hotel F&B services, addressing the specific needs of 1-4 star hotels.
How does Matbakhi enhance the guest experience in these hotels, and what are some of the innovative solutions you’ve implemented?
Joe Frem: Matbakhi’s approach is holistic. We focus on everything from menu optimization to delivery efficiency, enhancing both in-room and restaurant dining experiences. For instance, we integrate digital solutions that allow guests to order food seamlessly, improving service speed and food quality. Our operational model also includes developing bespoke F&B concepts that cater to the unique demographic and regional preferences of each hotel’s clientele.
Looking towards the future, where do you see the biggest opportunities for innovation in the hospitality and F&B sectors?
Joe Frem: The future is incredibly exciting, especially with the integration of technology in hospitality. From AI-driven customer service bots to IoT in kitchen appliances for better resource management, the opportunities are vast. The key will be in personalizing guest experiences and streamlining operations to create value both for the guests and the hoteliers.
Finally, Joe, what advice would you give to aspiring entrepreneurs who want to enter the F&B or hospitality industry today?
Joe Frem: My biggest piece of advice would be to focus on understanding your customer deeply and to be genuinely innovative in solving their problems. The industry is competitive and ever-evolving, so staying ahead means being adaptable, leveraging technology wisely, and always aiming to exceed customer expectations. Also, build a great team because no one achieves success alone.
Joe Frem’s journey from a young waiter to the founder of a pioneering F&B service provider illustrates the power of early experience combined with strategic education and professional growth. Through Matbakhi, Joe is setting a new standard in the hospitality industry, proving that with the right mix of technology, insight into customer needs, and operational efficiency, significant strides can be made in enhancing guest experiences. His story is a testament to the impact that thoughtful innovation and committed leadership can have on an industry as dynamic and competitive as hospitality. For entrepreneurs looking to venture into this sector, Joe’s approach offers a roadmap that prioritizes adaptability, technological integration, and an unwavering focus on customer satisfaction.
