Mat Wartime Strategy Email

Source type: Primary — email from Mat O’Keefe Date: 6 April 2026 (after 1am Japan time) To: Shae, Monique Anderson (CC) From: Mat O’Keefe (in Japan with Howard, on holiday) Subject line framing: “URGENT AND CONFIDENTIAL — Pride Wartime Strategy Pivot” Status: Proposal — subsequently confirmed as decision at Mat Meeting 11 April 2026 (5 days later)


Context and Trigger

Mat and Mon exchanged messages on 6 April following a catastrophic $7,000 Saturday result. While an outlier, it continued a 5-week decline since a war began on 28 February 2026. Mat frames this explicitly as a wartime economy: “Australia is in the war and supporting it and Iran obviously is on to that and is making sure our lives are difficult so it’s actually a real change of circumstances.”

Macroeconomic factors cited: interest rates up, petrol up, consumer disconnection from normalcy, government policy driving the crisis.

Key timing: January and February 2026 were promising — the structural recovery was working. The war destroyed the momentum.

Co-authorship: Mon and Mat developed this strategy together through messages exchanged on 6 April. Mon is a full strategic partner in the pivot, not merely informed of it.


The Proposal (Subsequently Confirmed 11 Apr)

Saturday Theatre Lounge

Three Saturdays per month: seated theatre restaurant with food. Last Saturday of the month: nightclub party night returns.

Operating hours: 3pm–3am (Saturday and Friday aligned).

Pricing:

  • $10 entry for the drag floor show
  • Free entry to Superbia for food and drinks without seeing the drag show
  • Free entry after the drag show ends — late-night food service

Entertainment:

  • Two drag queens at ~$400 each = $800 + super (down from up to $1,100 + super)
  • Four shows each per night
  • No DJ — “DJ Emily and DJ Spotify”
  • No loud music; patrons must be seated

Staffing changes:

  • No dedicated ticket seller downstairs
  • One person at front desk combining cloakroom + ticket sales
  • Fewer bar staff needed (seated service)
  • Security eliminated — $1,500 saving per Saturday; seated format with no loud music and no nightclub conditions prevents trouble

Safety mechanism: “Because there’s no nightclub, because there can’t be any loud music and people have to be seated, it prevents trouble from starting because people can’t annoy strangers. Most of the kickouts are creepy men going near women; that can’t happen when everyone is seated.”

Kitchen Menu

Jaffles, own pizzas, hot dogs, “a couple of other little things.” Positioned as “dinner and a show.”

Late-night opportunity: The Footscray kebab caravan has closed — “you haven’t been able to eat anything late in Footscray” — creating a genuine late-night food gap the kitchen can fill.

Friday Alignment

Friday brought into the same model: open from 3pm for cocktails and food, running until the start of the Friday special event. If patrons don’t want to attend the event (e.g. bingo), they can continue in Superbia.

Thursday Expansion

Must be open every Thursday. Tom and Emily need to “earn their money to run events every Thursday.” Critical for making up Saturday revenue loss.

Sunday Market Concept

Art and treasure market in the mornings. Coffee, jaffles, cups of tea while people browse. From 12pm: Bloody Marys, margaritas, etc. Possible live acoustic music (no security required) to keep people around after markets. “Small bits of revenue that don’t involve security guards, DJs, or too many drag queens.”


Marketing and Narrative Direction

What NOT to do

“A ‘Pride’s struggling’ or ‘Pride needs help’ campaign won’t work — people still think we’re closing because of that campaign in 2023 when the cost of living crisis nearly got us.”

Creative direction

Mat references Magda Szubanski’s 1991 recession comedy character “Miss Mary McGregor’s tips for the recession” — acknowledging crisis through humour, not defensiveness. The framing should be: everyone is going through a hard time since the war started, and Pride is adapting with something new and positive.

Proposed narrative: “Pride is going to do something. Pride is going to mix it up for the duration of this crisis. Pride’s about to open a kitchen and it’s going to do its amazing entertainment alongside food, cocktails and with good people all around us, we are going to ride this out.”

Tone

Not defensive. Not a call for help. An acknowledgement that “since the war started life has become even worse for people and it’s just not a time to party and go crazy every week, but we can still spend some quality time together.”

“Cockroach mentality” — survive the war “in the same way the Iranians are surviving the war, by making the best use of our resources and our ingenuity.”


Financial Logic

The email captures Mat’s reasoning for why the nightclub model is unsustainable: “we are not going to survive by throwing money at providing a nightclub for 12 people at 2:00 am on a Saturday night.”

Cost reductions:

  • Security: ~$1,500/Saturday eliminated
  • DJs: eliminated
  • Drag queens: ~$300/Saturday reduction ($800 vs $1,100)
  • Staff: fewer roles needed

Revenue adjustment: Lower per-event revenue expected, offset by lower costs and supplemented by food revenue, Thursday events, and Sunday market.


Other Notable Details

  • Mat is in Japan with Howard (holiday), leaving the next day after writing this at 1am
  • Mat suggests possible government assistance may come but is sceptical the RBA would allow it (“those fckwitz at the Reserve Bank may view help as ‘inflationary’ and therefore raise rates again”)
  • Mat requests Shae’s input “and also the input of Humphrey the AI” — explicit request for the intelligence app to contribute to strategy
  • Email style: stream-of-consciousness, emotional, urgent — reflects genuine crisis management under pressure