As the virtual restaurant and ghost kitchen business has struggled for much of the past year, proponents pointed to the success of MrBeast Burger, a virtual restaurant chain started by the YouTube star that expanded to over 300 contracted restaurants and included some physical restaurants.
But now it looks like the creator behind the virtual brand wants out, tired of a business in which he claims he has little control over the quality of the end product. In a series of now-deleted tweets late last week, MrBeast – whose real name is Jimmy Donaldson – explained he was ready to move on from the brand and wanted to focus more on his snack brand, Feastables. In one of the tweets, Donaldson lamented that the company he partnered with to launch the brand (Virtual Dining Concepts) won’t let him stop “even though it’s terrible for my brand.”
In the following tweet, which has yet to be deleted, Mr. Beast explained his reasoning for wanting to move on:
Yeah, the problem with Beast Burger is i can’t guarantee the quality of the order. When working with other restaurants it’s impossible to control it sadly
— MrBeast (@MrBeast) June 17, 2023
And tbh I just enjoy Feastables 100x more. Making snacks is awesome and something I’m way more passionate about
MrBeast’s problems with varying food quality are a symptom of the virtual restaurant industry’s decentralized and distributed operating model and lack of a uniform set of enforceable quality standards. Still, much of his loyal fan base has been willing to cut him some slack, and up to last fall, Donaldson was still discussing plans to expand the brand to more physical restaurants.
Despite his wishes, VDC still looks to have an enforceable contract that they plan to run with. Donaldson lamented their insistence on continuing the brand, saying, “the company I partnered with won’t let me stop even though it’s terrible for my brand.”
Donaldson’s disclosure about his feelings leaves VDC in an awkward spot, even if they have the right to continue opening the brand. MrBeast’s fans tend to be pretty loyal to him, and if word gets out that he’s soured on the project, my guess is any remaining loyalty they have to the virtual brand will evaporate.
Unlike the virtual restaurant brand, Donaldson’s snack brand Feastables is one over which he appears to have much more control. The brand was internally incubated through his own management company, and he partnered with industry pioneer Jim Murray (founder of RX Bar) as a co-founder and CEO of the company.
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