Houston rodeo prepares for 2020 season with new technology on the grounds

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From digital carnival tickets to gamification on a revamped app, the Houston Livestock Show and Rodeo is prepared for its 2020 season with new technologies. Photo courtesy of Rodeo Houston

When the 2018 Houston Livestock Show and Rodeo opened the gates to its first show of the season with headliner Garth Brooks, the nearly 90-year-old organization had just switched to digital ticketing. Around the time to enter the stadium, the BHP Billiton entrance, which welcomes in 51 percent of rodeo goers each night, was backed up with impatient rodeo fans.

For whatever reason, the roll out of the technology didn't go as planned, says Joel Cowley, CEO of the rodeo. But, after some damage control, the rodeo made some adjustments to the gate and ensured that those inefficient lines never happened again.

It was a lesson to learn for the rodeo, which isn't shying away from any other technology upgrades that will benefit rodeo goers and the organizations staff and volunteers.

"Anytime you do something new, you have to be on guard," Cowley tells InnovationMap. "You have to make sure you are stacked up on capacity — whether that be personnel, scanners, server capacity — because if you're not, it could create a situation from that."

A few months ago, the rodeo announced a slew of c-suite changes to its team following a reorganization led by McKinsey & Co. Among the changes was changing Andy Sloan's responsibilities from chief information officer to chief technology officer.

"As part of that reorganization, there was some focus on improving the technology that we utilize — and that's everything from our customer management system to what the consumer sees," Cowley says. "Andy is a great resource when we're trying to integrate those things."

The study prompted big ideas for new tech-driven initiatives for the rodeo, like a wristband that acts as your ticket but is also synced to your credit card for all purchases on rodeo grounds. But while that's an initiative for the future, 2020 rodeo attendees can expect to see new technologies this season.

Digital carnival packs

This year, the rodeo's carnival has began selling digital carnival ticket packs in an effort to transform the carnival experience to 100 percent digital. To prepare for this transition, the carnival volunteers have received extensive training — especially on how to communicate the process during the sales encounter.

Cowley says he expects to receive some negativity from longtime carnival ticket buyers, but also knows many people will appreciate the upgrade.

"The convenience for the users once they get used to it is going to be really great," Cowley says.

Gamification

Around two years ago, the rodeo conducted a study to understand its market. The study found that there are seven types of consumers for the rodeo. Cowley says they learned that there was a particular consumer type that they realized the rodeo could improve on attracting.

One of the ideas to attract this segment within the market was gamification. Cowley explains that according to the rodeo's survey data, rodeo goers' primary reason for attending is the show is the musical performer. The data also shows that when they get here, they enjoy their overall experience — not just the concert, Cowley says.

"Gamification is something that we are adding this year to engage the younger tech-savvy segment to give them something to do on the grounds," Cowley says.

The new tool, which is available on the rodeo's app, prompts users to check in around the grounds and complete tasks to earn buckles that can be redeemed for prizes.

"We think the more they see of the grounds, the better chance we have of making them lifelong fans," Cowley says.

There's also a new lounge called the Social Spur just north of the stadium where visitors can charge their devices and learn more about the app and the game.

Updated app

When it came to exploring gamification, Cowley says the rodeo looked into its app developer's capacity, as well as other app development companies. This process resulted in a new app provider and an overhaul of the rodeo's mobile app. The app, which syncs to the user's Facebook, is run by Canada-based Greencopper.

"It has been completely rebuilt from the ground up," Coweley says. "I think appearance-wise and functionality-wise — even though there was nothing wrong with the last one — this one is better."

Over the years, the rodeo's app has become more and more key in the rodeo experience. Users can find maps, buy tickets, view schedule information, and even receive up-to-date parking information.

Cowley says connectivity hasn't been a huge issue for the rodeo, but this year they've extended their WiFi service within NRG Stadium to cover just outside the gates so that users with digital tickets on the app can have that access.

In-seat food ordering

Also new for rodeo attendees is sEATz, a Houston-based startup that has developed an app that allows sporting event or concert attendees to order food to their seats. The app — through its partnership with the rodeo's food and beverage provider, Aramark —will be servicing the 100-level seats.

"It's really great to be able to be a part of the rodeo as far as a provider to help enhance that experience in the stadium," says Aaron Knape, CEO and co-founder of sEATz. "It goes back to our model of we want to serve a venue and the fans in that venue — not necessarily a specific sport or concert."
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Houston sustainability-focused company raises $50 million to plant new indoor farming facility

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Houston-based Dream Harvest Farming Co., which specializes in sustainably growing produce, has landed a $50 million investment from Orion Energy Partners to open a 100,000-square-foot indoor farming facility in Houston. The facility will enable the company to dramatically ramp up its operations.

The new facility, which will be built in Southwest Houston, is scheduled for completion in January 2023. Dream Harvest’s existing 7,500-square-foot facility in Southwest Houston supplies 45 Whole Foods stores in Texas, Oklahoma, Louisiana, and Arkansas, as well as Sweetgreen restaurants in Texas.

The company currently employs 25 people. With the addition of the 100,000-square-foot facility, Dream Harvest’s headcount will rise to 65.

Dream Harvest relies on wind-powered, year-round indoor vertical farming to generate 400 times the yield of an outdoor farm while using 95 percent less water and no pesticides.

“Because the vast majority of America’s produce is grown in California and has to be shipped over long distances, most of the country receives produce that is old, has a poor flavor profile, and a short shelf life — a major contributing factor to the more than 30 percent of fresh vegetables being discarded in the U.S. each year,” Dream Harvest says in a December 7 news release.

Zain Shauk, co-founder and CEO of Dream Harvest, says his company’s method for growing lettuce, baby greens, kale, mustards, herbs, collards, and cabbage helps cut down on food waste.

“Demand for our produce has far outpaced supply, an encouraging validation of our approach as well as positive news for our planet, which is facing the rising problem of food and resource waste,” Shauk says. “While we have the yields today to support our business, we are pleased to partner with Orion on this financing, which will enable us to greatly expand our production and increase access to our produce for many more consumers.”

Dream Harvest expects to expand distribution to more than 250 retail locations in 2022.

“Orion’s focus on sustainable infrastructure and deep experience in building large industrial facilities will be complementary to Dream Harvest’s impressive track record of being a reliable supplier to high-caliber customers by achieving consistent yields, food safety, and operational efficiencies … ,” says Nazar Massouh, co-managing partner and CEO of Orion Energy Partners, which has offices in Houston and New York City.

Other companies in the Orion Energy Partners portfolio include Houston-based Caliche Development Partners, Tomball-based Python Holdings, The Woodlands-based Evolution Well Services, Houston-based Produced Water Transfer, and Houston-based Tiger Rentals.

Zain Shauk is the co-founder and CEO of Dream Harvest. Photo courtesy of Dream Harvest

Exclusive: Houston logistics SaaS startup raises $2.5M seed round

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A Houston company that's providing software solutions for middle-mile logistics challenges has raised fresh funding.

Velostics Inc., which has an enterprise software-as-a-service model that specializes in automating inbound logistics at industrial facilities — like terminals and warehouses — announced it has raised $2.5 million. The seed round was led by Kansas-based Flyover Capital with participation from Small Ventures USA, Cultivation Capital, Starboard Star, Congress Avenue Ventures and BioUrja Ventures.

Founded by Gaurav Khandewal, Velostics targets the $37 billion inbound logistics management market, a so-called "log jam" for businesses that the company's software strives to make flow a lot more optimally.

“Flyover is incredibly excited to support the Velostics team in their mission to transform inbound logistics,” says Keith Molzer, managing partner at Flyover Capital. “This segment of the supply chain is ripe for better technology to address challenges of congestion, driver labor shortages, and the growing demands of ecommerce. Gaurav and team are an exceptional group of entrepreneurs ready to drive efficiency and a better customer experience at industrial facilities.”

The fresh funding will go toward recruiting top talent for Velostics's team, particularly in its account management, inside sales, and marketing departments, as well as continuing to develop the AI-driven product, which has an impact for both its users and the environment.

“Idling trucks waiting outside facilities emit over 42 million tons of CO2 annually — eight times the US national average. By orchestrating the movement of trucks in and out of facilities, not only do we provide tremendous supply chain benefits, we also help the environment," Khandewal says in the release. "We’re excited to partner with our customers and our investors to solve global congestion.”

Flyover Capital was founded in 2014 and has a keen interest in the Houston market, Dan Kerr, principal at the firm, previously told InnovationMap.

Houston is "one of the cities among those that fall in our region where we plan to spend a significant amount of time," Kerr said in May of last year. "We cover a lot of ground, but there are certain cities were we try to get there quarterly. Houston is definitely one of those places."

In September, Khandewal joined the Houston Innovators Podcast and discussed how he has been a champion of Houston innovation since he started ChaiOne in 2009. He shared how he thinks the city has a great opportunity to be a leader in logistics technology.

"I think that there are some trends in Houston that I'm seeing as a founder, and one of them is logistics," Khandewal says on the show.

Gaurav Khandelwal, CEO and founder of ChaiOne and Velostics Gaurav Khandelwal is the CEO and founder of Velostics. Photo courtesy

Houston VC-backed tech founder on reinventing a sales team and supporting financial independence

Houston innovators podcast episode 112

Four years ago, Samantha Ettus found herself as a keynote speaker in a room with thousands of ambitious and talented women. It was a conference for multi-level marketing sales associates and, as Ettus found out later, most of them — despite their talent and passion — were losing money on whatever product they were selling.

"I realized there was a problem. There obviously was a need — all of these people want to be doing something outside of their families that gives them fulfillment and meaning and has goals associated with it — but they also want to be earning money," Ettus says on the Houston Innovators Podcast. "And the first part was being fulfilled — but the second part wasn't."

Ettus created an alternative to check both of those boxes. Park Place Payments is a fintech startup founded in 2018 in California. Houston was one of the initial six test market for the business model, and the company now has over 1,000 account executives across all 50 states. Sales team members are trained for free on how to sell Park Place's payment processor service to local businesses.

Ettus says the payment processor industry is competitive and most small business owners are very disappointed with the customer service they receive. The average business changes payment processors every three years, Ettus says, and Park Place wants to change that.

"Payments is an industry where something always goes wrong," Ettus says. "As a small business owner, if you can't reach someone — that's really important for the livelihood of your business. ... We really think of ourselves as an outsourced payment partner for small businesses."

This past year has been one for growth for Park Place, Ettus says, and earlier this year, she closed on the company's seed round, which was supported by Curate Capital, founded by Houstonian Carrie Colbert. Now the company is focused on its tech team, including hiring a CTO. Early next year, Ettus hopes to close a Series A round, again with support — financially and otherwise — from Colbert.

"I feel so lucky because a lot of people pointed us to traditional Silicon Valley VCs in the beginning, and I had a lot of conversations. I didn't feel some of those firms had the patience to grow with us," Ettus says.

The company has been tied to Houston from its early days, from testing the business in town to a Houston-based early hire, Nancy Decker Lent, who is a founding member of the team and head of product for Park Place.

Ettus shares more on her passion for supporting financial independence for women and how she plans to grow her company on the podcast. Listen to the full interview below — or wherever you stream your podcasts — and subscribe for weekly episodes.

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