Similar Stories to New Tech Is Changing The Restaurant Reservations Game on Bing News

"The main issue is trying to manage risk, trying to incentivize patrons to keep their reservations," says Northwestern University microeconomic theorist Jeffrey Ely, noting that ticketing systems transfer all the risk to the diner. [...] platforms such as ticketing and a bevy of new apps — think table auctions and a digital concierge — could mean more seats for eager diners and fewer empty tables for restaurants. Kokonas says this summer he expects to release a commercial version of the computer software he uses called "Tock." Resy, created by social media entrepreneur Gary Vaynerchuk and Eater co-founder Ben Leventhal, says it charges about $25 to nab peak reservations at hot venues in New York, Los Angeles, Miami and Washington. In addition to helping restaurants' bottom line by reducing no-shows and filling seats that might otherwise go empty, the apps can generate revenue by charging patrons for prime time seats. Reserve allows eager diners to offer premium payments, for instance 30 percent above menu prices, if the night they want is booked, though such bids don't guarantee a table. While business travelers and last-minute diners may welcome the opportunity to pay more for an otherwise elusive seat, some restaurateurs say they are uncomfortable selling tables like airline tickets. Bailey says the company hopes the app will drive more business and tourism traffic, but that the reservation fees are donated to Arcadia, a food and farming nonprofit created by company founder Michael Babin.