E85: Analyzing Everything with Byrne Hobart and Patrick McKenzie

This week on Upstream, we’re releasing a conversation between Patrick McKenzie and Byrne Hobart where they navigate the compelling terrains of in-app purchases and restaurant economics. They dive into the monetization strategies of video games and the influence of food delivery platforms like DoorDash on pricing and menu designs and explore the bridge between finance, technology, and human behavior through airport currency exchange models and the emerging role of AI in economic data processing. — 🔥 Apply to join over 400 founders and Execs in the Turpentine Network: https://www.turpentinenetwork.co/ — SPONSORS: 📝Notion offers powerful workflow and automation templates, perfect for streamlining processes and laying the groundwork for AI-driven automation. With Notion AI, you can search across thousands of documents from various platforms, generating highly relevant analysis and content tailored just for you - try it for free at notion.com/upstreampod  💥 Head to Squad to access global engineering without the headache and at a fraction of the cost: head to https://choosesquad.com/ and mention “Turpentine” to skip the waitlist. — RECOMMENDED PODCASTS: 🎙️Complex Systems with Patrick McKenzie Patrick McKenzie (@patio11) talks to experts who understand the complicated but not unknowable systems we rely on. You might be surprised at how quickly Patrick and his guests can put you in the top 1% of understanding for stock trading, tech hiring, and more. Spotify: https://open.spotify.com/show/3Mos4VE3figVXleHDqfXOH  Apple: https://podcasts.apple.com/us/podcast/complex-systems-with-patrick-mckenzie-patio11/id1753399812 🎙️The Riff with Byrne Hobart and Erik Torenberg Investor and writer of the popular newsletter The Diff, Byrne Hobart, and co-host Erik Torenberg discuss today’s major inflection points in technology, business, and markets – and help listeners build a diversified portfolio of trends and ideas for the future.  Spotify: https://open.spotify.com/show/6rANlV54GCARLgMOtpkzKt?si=fa34868d46b94584  Apple: https://podcasts.apple.com/us/podcast/the-riff-with-byrne-hobart-and-erik-torenberg/id1716646486  — LINKS: Bits About Money: https://www.bitsaboutmoney.com/  The Diff: https://thediff.co/  — X / TWITTER: https://twitter.com/byrnehobart  https://twitter.com/patio11  https://twitter.com/Upstream__Pod  https://twitter.com/TurpentineMedia  — TIMESTAMPS: (00:00) Intro (01:05) The economics of in-app purchases (04:45) Understanding consumer behavior in gaming (07:52) The role of high spenders in the gaming industry (20:48) Bespoke software and high-end customization (24:14) Sponsors: Notion | Squad (28:04) The evolution of restaurant websites (35:27) The future of delivery apps and restaurant economics (43:39) The economics of portion sizes (45:24) Restaurant groups and concepts (48:44) The role of certainty in dining (49:09) Business meals and social signals (51:18) The evolution of fast food (55:03) The tech cafeteria phenomenon (01:02:43) The power of written records (01:06:31) Exploring ai and memory (01:13:58) The future of search and ai (01:25:10) Wrap