 MrBeast just opened 300 restaurants practically overnight. And if you don't know who MrBeast is, he is like the opera of YouTube, having more than 75 million subscribers across all his platforms and giving away millions of dollars every single year free car. Having Lamborghini. And I'm going to give it away for free money. This is $1 million in cash. Now I'm gonna give random people one minute to try to spend all this money. And he's actually paying people to eat at his restaurant. That's how crazy he is. Hello friends, my name is Wilson, your friend in helping you build a profitable restaurant. Today we're gonna be diving deep into how this 22 year old YouTube star, which has zero culinary experience. For an unorganized restaurant full of people that have no idea what they're doing, was able to build out 300 restaurants overnight. And we're gonna be dissecting it play by play. So then that way you too can learn a thing or two here, take a page from that to build your own profitable restaurant. Let's dive right in. So how on earth can this 22 year old build 300 locations practically overnight? Well, with this concept called virtual kitchens, otherwise known as cloud kitchen or ghost kitchen. And this is something that I've been talking about for the last two years. So if you guys wanna learn more about what ghost kitchen is and how it works to pros and cons, definitely check out this video right here. We have a lot of videos that talk about how you can set it up, the pros and cons. And in this particular case, Mr. B's partnered up with virtual dining concept, a very similar concept leveraging virtual kitchens, which we'll dive into a little bit more later on. Well, with virtual dining concept is created by Robert Earl, who is the CEO of Planet Hollywood and also the creator of Hard Rock Cafe. So how does virtual dining concept work, otherwise known as VDC? VDC is basically a connector for three different parties. First up, the influencers, celebrities. They find celebrities with a lot of following because this creates a lot of demand and a lot of interest. Next up is they create the menu that fits and aligns with the influencers brand. So for example, Mr. Beast recently created a few different videos that went viral on his attempt in creating a burger joint and thus creating a actual legitimate burger joint is in line with Mr. Beast's brand. And next up, what they do is they find local operators across the countries who are having underutilized kitchens because not a lot of kitchens are fully utilized. They have the equipment, they're paying rent regardless, and yet they don't have the demand people ordering from them. That's the reason why VDC was able to turn these local distressed operators into ghost kitchens. So practically, they just fulfill and create items for this brand. After they do the fulfillment, they would connect with delivery apps for the last leg of the delivery. And that's how VDC works. They have the systems to create menus and to create the branding. They have the systems to link these brands with the local operators across the country in order for them to fulfill for these brands. So of course, the operators would need to have the proper equipment to fulfill Mr. Beast's burger as one of the part criteria's. And then afterwards, they link up with delivery apps for the last leg of the delivery. And that's how Mr. Beast is able to create 300 restaurants practically overnight without having to deal with all the fulfillment. Now, how is this a win-win-win situation? Well, first up, the celebrity wins by being able to monetize their following. With Mr. Beast, he has more than 75 million subscribers across all his platforms and being able to monetize and generate revenue from them through their food brand is something that VDC provides because they make money through the generating demand and interest. Next up, existing restaurant owners, the local operators, they make money through their kitchen fulfillment. They make money through having the equipment, having the rent and being able to fulfill for this brand. And next up, delivery apps, they make their money through servicing, through logistics, through being able to order through their platform. And last but not least, VDC is being paid for their systems, for being doing all the legwork to fulfill and connect all three parties together. Another great example for you is when VDC partnered up with Tyga. Yo, what up? It's Tyga, and I'm gonna welcome you to the Tyga Bites family. I'm so excited to have you guys apart of this. It's gonna be crazy. Tyga is a hip hop artist that is very, very popular and they created a brand called Tyga Bites, selling oven baked, boneless chicken bites. And the reason why this is really online and such a genius creation is because Tyga doesn't like performing with an empty stomach. So before a performance, he would always have a few different nuggets before he goes up on stage and perform for the crowd. And thus creating a brand that really suits and is aligned with Tyga is really, really smart and genius on VDC and Tyga's part. Then VDC goes out and find restaurant operators across the country and selling them on a turnkey, celebrity-backed, nationally marketed campaign. And that's the reason why they were able to attract a lot of operators to fulfill for Tyga's brand. Celebrity brings a brand, restaurant does the fulfillment and third-party apps does the logistics. And VDC basically holds all the intellectual property, making this a win, win, win, win situation. Now as good as this concept sounds, the only caveat is the quality control. Now what is the quality control is that every burger and every food item should taste the same across all locations. And this is something that is a huge, huge challenge when running a concept like this. Because for me, when we were running our dessert chain, just having seven locations, it was the major, major challenge to ensure that each and every single product that we send out is of quality because there are so many different people involved and for us, I can only think of VDC having a few different options to ensure consistency is there. Three options. First up is to have SOPs, which I'm pretty sure they already have. And these are basically manuals that we create and we send it to the operators. And the operators will see these manuals, use this as a training guide for all their staff. Now, because each operator is a little bit different, some might be lazy, some might not read, and some of their staff might not be following the protocols. That's the reason why they need operational management. And what does that mean? That means that they should be sending secrets shoppers out to ensure that the quality is there, sending managers to go out there to train for these different operators as well. And that's the type of service that I would probably would implement to ensure quality is there as well. And third up, to implement a star system to ensure that each operator withhold a certain standard of quality when they are creating their food. Now, of course, I don't know whether VDC does these three different principles to ensure quality control is there. I'm just sharing with you what I think is the best case scenario and a solution, just in the case that you wanna create your own VDC, right? To ensure that each operator withhold a certain standard of a rating. So then that way, if they fall below the threshold, then they take the brands away from them, take the ability for them to make money. This ensures that they would have much more incentive to meet the threshold, to make sure that they follow the SOPs, the standard operating procedure. So then that way, all the locations have a certain standard that they hit. And ultimately, that's where I'm seeing in the next few years, how these concepts would evolve into something that is a massive distribution center that has the standard met. But for the time being, we can just be expecting some crappy and undercooked sandwiches for now. So after all is said and done, what can you learn from this playbook? First up, virtual kitchen is here to stay and virtual kitchen will continue to change the way we fulfill orders. So definitely pay attention to this space. It is not gonna go anywhere. It is not mainstream yet, but it will be there in the next few years. Second, delivery apps and services are here to stay as well. So don't be victimizing yourself and complaining about the 20, 30% commission. Learn to leverage these apps for your business. Adapt to it so then that way, you can take advantage of it because if you don't, your competitors will. And third up, know for a fact that the Knicks McDonald's will be coming from a hybrid of one of these two concepts, utilizing virtual kitchens and utilizing delivery apps. So if you wanna create a restaurant or a concept for the future, definitely pay attention in this space. And that's the reason why I wanna introduce you to my good friend Akshay from Superfood. Check him out because he focuses on food technology. He's also one of the ex executive for Uber as well. So definitely go check out his blog in the link below and he's gonna share much more news with you. If you haven't already done so make sure you guys join our Facebook group. This is the virtual kitchen Facebook group where we share with you the latest insight, the strategies and more of these case by case study on how you can leverage virtual kitchen for your Knicks food concept. So definitely check it out in the link below as well. Thank you so much for watching this video. I really hope you enjoyed this. If you enjoyed this, subscribe and I'll see you guys in the next video.