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huvarda10/01/20242 repliesview on HN

Mr Beast burgers werent even a real restaurant. Theyre just faceless ghost kitchens with a mrbeast sticker slapped on top.


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dangus10/02/2024

As it pertains to the original query of this comment thread, whether this is a real business model, it doesn’t really matter that it’s not “a real restaurant,” what matters is whether it’s a viable business that makes money.

Mr. Beast burgers is not really that different than McDonald’s franchising if you really think about it. Most people don’t buy a McDonald’s burger based on who the franchise owner is and how they run their restaurant, they’re buying a McDonald’s burger because of the McDonald’s brand and product.

McDonald’s captures 80% of ~~revenue~~ net income and leaves only 20% to franchisees.

Essentially, the concept is the same: the business value and profit margins are owned by the brand and the laborious act of delivering the product locally is a thin-margin interchangeable “ghost kitchen.” Not only that, the power dynamic is one where the franchise dominates the franchisee. The physical kitchen, its owner, and its employees are replaceable, the nationally recognizable brand is not.

I would argue that ghost kitchens basically take the franchise concept to the logical 21st century conclusion: essentially, why bother doing all the expensive stuff that McDonald’s does with their franchises when your storefront is digital and anyone with a flat top, fryer, and a pulse can follow the directions to produce your fast food product?

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al_borland10/02/2024

I’ve tried various things from ghost kitchens via Door Dash. Some are better than others.

From the little I understand, someone like Beast Burger would come up with a recipe, then provide the supplies and recipes to the ghost kitchen to make it. If the ghost kitchen is really Chili’s, it’s not the Chili’s burger showing up when a Mr Beast label, it’s Chili’s Employees in the Chili’s kitchen, making the Beast Burger recipes.