"LineLeap enables customers to bypass queues at bars by paying a fee"

No one enjoys waiting in line. Last Saturday, I experienced the unpleasantness of waiting in a two-hour line for a nightclub in unexpectedly cold weather. Fortunately, there is a solution for this issue: LineLeap, a startup supported by Y Combinator, allows individuals to pay to skip lines at bars. Through LineLeap’s mobile apps, users can purchase front-of-the-line passes for venues that the startup has partnered with.

Driving from college town to college town

The founders of LineLeap, Max Schauff, Patrick Skelly, and Nick Becker, started working on the business plan and website for LineLeap while still in college at the University of Wisconsin-Madison and the University of Michigan. They launched the platform in Madison, Wisconsin, and spent several years driving from college town to college town to expand their business.

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Despite facing competition from other line-skipping apps, the founders focused on targeting college bars as their primary customer segment. After years of hard work and determination, LineLeap secured a spot in the Summer 2019 cohort of Y Combinator. Fast forward to 2024, LineLeap has survived the challenges brought by COVID-19, established an office in NYC, and grown to a team of 40 people.

Inequity and privacy concerns

Today, LineLeap offers more than just line-skipping passes. Users can purchase concert tickets, pay cover fees, pre-order drinks, and reserve VIP table/bottle service using various payment methods. The platform also provides notifications for special events and promotions, while venue owners gain access to transaction reports and analytics. Additionally, LineLeap rewards users with points for completing tasks, which can be exchanged for passes. The company generates revenue through convenience fees and fees on newfound revenue for venues.

Overall, LineLeap has provided a solution to the inconvenience of waiting in line at bars, offering additional features and benefits to users and venue owners alike.
LineLeap and the Impact of Technology on the Hospitality Industry

Challenges of LineLeap

LineLeap stands as a prime example of technology catering to the affluent, allowing them to bypass waiting times. According to CNN’s Nathaniel Meyersohn, this trend has led to a “booming industry of advantages,” albeit at the expense of less fortunate customers, raising concerns about service quality and fairness for those who cannot afford to pay a premium.

This approach may have repercussions for some establishments, as evidenced by a review on LineLeap’s app in the Google Play Store suggesting patrons seek other venues if asked to pay for reservations.

Data Privacy Concerns

Despite assurances from LineLeap CEO, Schauff, about the benefits of technology in the hospitality sector, questions remain about data retention policies. When asked about these policies, Schauff diverted attention to the terms of use on the LineLeap website, which lack a clear timeframe for data retention and suggest limitations on deleting or de-identifying user data due to technical or operational reasons.

Schauff later clarified that user data is retained for operational and marketing purposes, with the option for customers to request data deletion, albeit with certain data retention requirements for business record-keeping. The data is also shared with venues for transactional purposes, but not sold to third parties.

Future of LineLeap

Despite concerns, Schauff remains focused on expanding LineLeap to more venues in the nightlife and entertainment industry, introducing new in-app features, and developing a comprehensive customer relationship management platform for bars and clubs. He emphasizes the company’s commitment to long-term partnerships with venues, distinguishing LineLeap as a sustainable player in the industry.