TECHNOLOGY “The U.S. labour market is changing; workers don’t just take a schedule set in stone every two weeks. In the era of Uber and on-demand models, where workers can turn their availability on and off, they want more flexibility.” – S. SOMASEGAR, VENTURE PARTNER AT MADRONA VENTURE GROUP AND INVESTOR IN SHYFT
Mr. Patrontasch said the problem with previous shift-sharing options is that a worker would need to have a colleague’s phone number or be friends with him or her on Facebook. That led to situations where workers might not be able to reach the right colleagues or where not all employees who wanted to pick up extra shifts knew they were available. Mr. Patrontasch said much of Shyft’s growth has come organically. Because the app requires multiple users who work at the same store for it be useful, once one employee at a specific location downloads the app, others often follow. “Now the name of the game is growth and scale,” he said. The app is particularly well-timed, according to S. Somasegar, a former vicepresident at Microsoft and now a venture partner at the Madrona Venture Group. “The U.S. labour market is changing; workers don’t just take a schedule set in stone every two weeks,” he said in a release. “In the era of Uber and on-demand models, where workers can turn their availability on and off, they want more flexibility.” But it hasn’t been all steady growth for Shyft. The company launched in 2013 as Coffee Mobile. Originally, the plan was to sell the app to employers, who would then use it to communicate with front-line workers. “Back then, we were building something Shyft’s team includes (from left) Chris Pitchford, Daniel Chen, Ottawa native Brett Patrontasch and Kyle Liu. PHOTO COURTESY SHYFT that enterprise clients had said they wanted,” Mr. Patrontasch said. Despite pilot projects with brands such as Yogen Fruz, Pita Pit and BeaverTails, the app didn’t get the traction Mr. Patrontasch was looking for. So he decided to rebuild it and change its target market. “We spent four months literally cold calling and in malls, talking to employees and store managers,” he said. “We’d show them our product, show them our (minimum viable product), ask them what they like, what they didn’t like, how to make BY JACOB SEREBRIN The seed stage investment was led by program ended in May, Mr. Patrontasch it better. That helped us design a feature set Special to OBJ Seattle-based Madrona Venture Group decided to stay In Seattle. that was really designed by users versus one and also included several angel investors “The U.S. economy is larger,” he that was designed by business executives.” n Ottawa native is hoping to make – most notably former Ottawa mayor explained. “There’s more access to The Shyft app is free and doesn’t it big south of the border thanks to Larry O’Brien. Before going into politics, opportunities.” generate any revenue yet. Mr. Patrontasch a new mobile app startup that has Mr. O’Brien was the founder and CEO of But it’s not just the country, it’s the city said he has a plan to monetize the app but just landed $1.5 million in venture capital. Calian Technologies. itself, he added. doesn’t want to talk about it until he’s seen Brett Patrontasch is the founder and “Larry definitely brings a skill set “Seattle’s typically been a great tech more growth. CEO of Shyft, an app producer now based and experience both in understanding market,” Mr. Patrontasch said. However, in a May press release, the in Seattle. The app is intended to help how labour forces work and also how It’s also home to the headquarters company suggested it would be replacing hourly workers at fast-food restaurants, technology products work and scale,” Mr. of Starbucks, where many of his users its enterprise software-as-a-service model retailers and cafes trade shifts. Patrontasch said. happen to work. In May, Shyft said almost with a marketplace model. “Shyft connects workers directly with Also investing in the round was former 10,000 Starbucks baristas had signed up on Shyft isn’t the first business Mr. others at their location and lets them Seattle Seahawks offensive lineman Russell the app. Patrontasch has launched. In 2012, he quickly and easily exchange and cover Okung, who recently signed with the Super So far, the company says, more than was named one of OBJ’s Forty Under 40 shifts,” Mr. Patrontasch said in a recent Bowl-champion Denver Broncos. 26,000 work hours have been traded recipients, an award that came after he interview with OBJ. Mr. Patrontasch relocated Shyft to through the app. founded Scholars At Your Service, which He said the investment will allow the Seattle in March to attend Techstars, a The app connects users based on sells residential painting franchises to company to hire people for key positions startup accelerator program. Before that, the store where they work. Users can students. and drive growth. the company had been based in Toronto. post shifts they need covered and get That company still operates in Quebec “Now we’re just working on growing the He said the Techstars program helped confirmation if one of their colleagues and Ontario and has posted annual business,” he added. speed the company’s growth. When the wants to pick up the shift. revenues of $2.5 million.
Shyft in location pays off for former Ottawa entrepreneur
2012 Forty Under 40 recipient’s mobile app finding startup success in Seattle
MONDAY, JULY 18, 2016
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