Will this bring fast food prices down??

[Rainger99]

White Castle is using robots to make French fries. I would assume that making hamburgers will be next. With kiosks and robots, it seems that fast food restaurants will have significantly lower labor costs in the future. And more starter jobs will disappear.

White Castle is rolling out fry cook robots across the US (https://www.yahoo.com/news/white-castle-rolling-fry-cook-080858261.html)

[dewilson58]

"Will this bring fast food prices down??"

Probably not.
Won't happen right away because you need to recoup the investment.
Won't happen over the long run because there is inflation offsetting the efficiency.

"And more starter jobs will disappear"...............BINGO.
A prediction of increasing minimum wage to $15.

[asianthree]

Honestly have no idea how much fast food cost is. But Robot on fryer, less workman’s comp, and fries should always be ready since no breaks or lunch, is an issue

[Stu from NYC]

As a famous economists once said, Keynes, prices are sticky downward.

[retiredguy123]

I think what fast food restaurants need is more customers, not fewer employees. Whenever I go to a fast food place, the dining area is almost empty.

I have greatly decreased my visits to all types of restaurants. The food and service are mediocre and the prices are too high. They really need to upgrade their food quality and service, if they want to charge $70 to $80 for a meal for two. Two glasses of cheap house wine with tip is almost $20, which is more than the cost of two bottles of wine at the grocery store.

[Bill14564]

I think what fast food restaurants need is more customers, not fewer employees. Whenever I go to a fast food place, the dining area is almost empty.

I have greatly decreased my visits to all types of restaurants. The food and service are mediocre and the prices are too high. They really need to upgrade their food quality and service, if they want to charge $70 to $80 for a meal for two. Two glasses of cheap house wine with tip is almost $20, which is more than the cost of two bottles of wine at the grocery store.

I don't disagree with the thought but your wine example will almost always leave you disappointed. One rule of thumb for pricing wine in restaurants is the cost should be 25% to 45% of the income. In other words, the bottle of wine should be priced at two to four times what it costs.

Okay, the cost to the restaurant might be less than the cost to the grocery store and there is profit built into the price at the grocery store too but you get the idea. The cost of any food or beverage at a restaurant is likely to be two to three times the cost of the same item at the store.

We eat out less frequently as well.

[Pugchief]

I think what fast food restaurants need is more customers, not fewer employees. Whenever I go to a fast food place, the dining area is almost empty.



This is probably more related to an ever increasing percentage of total fast food sales being at the drive-thru rather than in the dining area.

[Keefelane66]

Watching the video after 3 years of up grades the chain still needs a body to empty fry basket into FF bin

[retiredguy123]

I don't disagree with the thought but your wine example will almost always leave you disappointed. One rule of thumb for pricing wine in restaurants is the cost should be 25% to 45% of the income. In other words, the bottle of wine should be priced at two to four times what it costs.

Okay, the cost to the restaurant might be less than the cost to the grocery store and there is profit built into the price at the grocery store too but you get the idea. The cost of any food or beverage at a restaurant is likely to be two to three times the cost of the same item at the store.

We eat out less frequently as well.
A 1.5 liter bottle of Woodbridge Pinot Grigio is $12 at Publix. That is 10, 5 ounce glasses at $1.20 per glass. Some restaurants will charge more than $7 for a glass of wine, and some will charge a lot more than that.

[Stu from NYC]

A 1.5 liter bottle of Woodbridge Pinot Grigio is $12 at Publix. That is 10, 5 ounce glasses at $1.20 per glass. Some restaurants will charge more than $7 for a glass of wine, and some will charge a lot more than that.

A $ 7 bottle of wine does us just fine and not about to pay 7 for a glass. That is not including tax and tip which makes it closer to 10.

[GpaVader]

I don't know that businesses are trying to reduce the number of employees as much as they are trying to make due with what they have. If they are properly staffed, we would not see the long lines we currently see. It's not because they are cutting back it's because fewer people want to work those jobs or at all. Even moderately paid employees will not show up, no notice or accept jobs and never show up. So I think its more about being able to do more business with what they have...

[retiredguy123]

This is probably more related to an ever increasing percentage of total fast food sales being at the drive-thru rather than in the dining area.
Probably, but I have no interest in going through a drive-thru. I also have no interest in using a touch screen in the restaurant.

[Bill14564]

A 1.5 liter bottle of Woodbridge Pinot Grigio is $12 at Publix. That is 10, 5 ounce glasses at $1.20 per glass. Some restaurants will charge more than $7 for a glass of wine, and some will charge a lot more than that.

But it is only 8 glasses if you are served 6 oz or if there is a little waste. At 8 glasses the Publix bottle would be $1.50/glass and if the restaurant collected $56 for that (you didn't mention before or after tax so I'll assume before) that would be a 21% cost. This is a bit better than 25% but not extravagant. This might also carry a premium due to being in/near the Villages (Disney prices).

I wonder what the numbers would be for a bottle that costs $30 at Publix? The multiple might be less for more expensive items.

I overpay for beer all the time. I have never walked out of ABC with a $144 case of beer (or $40 six pack) but I feel fortunate if I can get a $6 bottle at a restaurant.

I've dipped my toes into the restaurant business once. There are a lot of things costs that need to be covered beyond the price of the wine (or beef or beer or potatoes).

And sure, some restaurants gouge where they can get away with it. (I paid $4 for a glass of diet soda once - figure that was a $64+ 12-pack)

[Maker]

White Castle is using robots to make French fries. I would assume that making hamburgers will be next. With kiosks and robots, it seems that fast food restaurants will have significantly lower labor costs in the future. And more starter jobs will disappear.

White Castle is rolling out fry cook robots across the US (https://www.yahoo.com/news/white-castle-rolling-fry-cook-080858261.html)

The McDonalds on Sand Lake, near i4 in Orlando had 100% machine made fries 20 years ago. Everything from loading the baskets, to dispensing into retail holders was automated.
There are also automatic drink dispensers now too.
Makes drive thru faster.

[asianthree]

A 1.5 liter bottle of Woodbridge Pinot Grigio is $12 at Publix. That is 10, 5 ounce glasses at $1.20 per glass. Some restaurants will charge more than $7 for a glass of wine, and some will charge a lot more than that.

That bottle of wine at wholesale is about $6.15, depending on the state, and the supplier they use. Sometimes due to the amount of product ordered, some bottles end up free, or better promo price

[retiredguy123]

I am surprised that fast food restaurants seem to be on the decline. To me, they are a much better deal and more convenient than the typical sit down restaurants. I like that the service is fast, you can sit where you want, and the employees don't expect a tip. I think that automation will destroy the industry. They could upgrade the food quality and increase the prices and still compete with the full service restaurants. Who cares if someone delivers food to your table and then expects a 20 percent tip?

[JoMar]

Probably, but I have no interest in going through a drive-thru. I also have no interest in using a touch screen in the restaurant.

It will only get worse (or better) as automation and AI will continue to expand......I know you are ok with it but you are being left behind. Reminds me of my dad not programming his VCR because he wouldn't accept the technology advances.

[retiredguy123]

It will only get worse (or better) as automation and AI will continue to expand......I know you are ok with it but you are being left behind. Reminds me of my dad not programming his VCR because he wouldn't accept the technology advances.
Not just your dad. The VCR was a technology disaster because normal people couldn't program them. Most people couldn't even set the clock. Being an engineer, I loved them.

[Topspinmo]

White Castle is using robots to make French fries. I would assume that making hamburgers will be next. With kiosks and robots, it seems that fast food restaurants will have significantly lower labor costs in the future. And more starter jobs will disappear.

White Castle is rolling out fry cook robots across the US (https://www.yahoo.com/news/white-castle-rolling-fry-cook-080858261.html)

Wrong it just increase profit margins.

[Topspinmo]

I am surprised that fast food restaurants seem to be on the decline. To me, they are a much better deal and more convenient than the typical sit down restaurants. I like that the service is fast, you can sit where you want, and the employees don't expect a tip. I think that automation will destroy the industry. They could upgrade the food quality and increase the prices and still compete with the full service restaurants. Who cares if someone delivers food to your table and then expects a 20 percent tip?


Agree, like Walmart self checking. They have more self checkers checking than they do checkout employees.

[Topspinmo]

Not just your dad. The VCR was a technology disaster because normal people couldn't program them. Most people couldn't even set the clock. Being an engineer, I loved them.

Like smart TVs that aren’t so smart won’t upgrade. The messages come up press upgrade, says it failed, then, try again, failed. Every Time turn TV on the message pops up and you have jump though same hoops with same results, failed to upgrade. Don’t by Hisense. :shocked: I suspect eventually I’ll have to get new TV cause the message blocked screen and now way to up grade a perfectly working TV except for upgrade failure.

[retiredguy123]

Like smart TVs that aren’t so smart won’t upgrade. The messages come up press upgrade, says it failed, then, try again, failed. Every Time turn TV on the message pops up and you have jump though same hoops with same results, failed to upgrade. Don’t by Hisense. :shocked: I suspect eventually I’ll have to get new TV cause the message blocked screen and now way to up grade a perfectly working TV except for upgrade failure.
Smart TVs are a scam. Just buy any TV and plug in a $40 Roku stick. You will then have a smart TV that actually works.

[OrangeBlossomBaby]

"Will this bring fast food prices down??"

Probably not.
Won't happen right away because you need to recoup the investment.
Won't happen over the long run because there is inflation offsetting the efficiency.

"And more starter jobs will disappear"...............BINGO.
A prediction of increasing minimum wage to $15.

Someone has to increase robot production, and that will require employees working in the manufacturing industry "on the floor." In some states those are very firmly Union jobs, but in others they aren't. So depending on who's putting those bolts on the bots will determine if it'll cost more, less, or no change on the actual presentation of finished product.

In the meantime, someone still has to drain, clean, and refill the fryolator once in awhile, so they'll still need humans do handle it.

[OrangeBlossomBaby]

A $ 7 bottle of wine does us just fine and not about to pay 7 for a glass. That is not including tax and tip which makes it closer to 10.

Don't get a glass of Coke or other soda - I paid something like $7 for a ginger ale somewhere in the Villages recently. Mostly ice, maybe enough actual soda to fill a manhattan glass. I thought "hey I'll buy a non-alcoholic drink instead of the free but disgusting tasting tap water with lemon for a change" would be a good cheap option. Then the bill came. Never again. If I'm gonna pay $7 for a drink it'll have booze in it from now on. Free horrible-tasting tap water with lemon, it is.

[dewilson58]

Watching the video after 3 years of up grades the chain still needs a body to empty fry basket into FF bin

Easy enhancement.

There are robots plating food today.

[Stu from NYC]

Easy enhancement.

There are robots plating food today.

At lunch the other day the guy plating the food looked like a robot.

[OrangeBlossomBaby]

Dunno if all of them have these now but the last cruise I went on a few years ago had a robot bar. You selected the mixed drink from the menu, and the robot arm went back and forth, back and forth, mixing and pouring, shaking and stirring, and presented the finished product to you on the conveyor belt. It was a nifty gimmick, a cool novelty, but nothing I was interested in repeating.

[Rainger99]

Dunno if all of them have these now but the last cruise I went on a few years ago had a robot bar. You selected the mixed drink from the menu, and the robot arm went back and forth, back and forth, mixing and pouring, shaking and stirring, and presented the finished product to you on the conveyor belt. It was a nifty gimmick, a cool novelty, but nothing I was interested in repeating.

Did the cruise line add an automatic gratuity for the robot??

[Stu from NYC]

Did the cruise line add an automatic gratuity for the robot??

No it went to the robot pool so they can all share

[coralway]

Most of the White Castles have closed

[msilagy]

The Villages - the fast food capital of the world - this is a concern? With all that's going on in this world!

[Bill14564]

The Villages - the fast food capital of the world - this is a concern? With all that's going on in this world!

I need something to think about when I take a break from easing world hunger, cleaning up the streets of San Francisco, fighting the drug cartels, and ending the invasion of Ukraine.

[Rainger99]

The Villages - the fast food capital of the world - this is a concern? With all that's going on in this world!

A lot of people seem to be concerned about AI replacing humans. This is another aspect.

[rsmurano]

The government needs to stop paying people to stay home instead of working. Nobody wants to work anymore because they know they will get paid.
Plus, raising the minimum wage fixes nothing. Everybody who got a $5 increase in pay still made less overall because all the businesses raised their prices to cover the increase in salaries and part of the inflation we have been experiencing is due to these increase in salaries.

[mtdjed]

Probably, but I have no interest in going through a drive-thru. I also have no interest in using a touch screen in the restaurant.

You got that touch screen right. I have not been to an Olive Garden for years. My last image was of a small child playing some game on the touch screen while wiping drool from his mouth and nose with those same hands. Saw the wait staff come in and remove the dishes, a quick wipe of the table, and reset the table for the next customer. The touch screen was merely repositioned.

Spoke to the manager about observation and was told that it was corporate policy that cleaning be performed after every use. Good to know that policy protected us.

You might ask, why bring that up in a thread about automation? Touch screens are part of the process of automation. Get rid of the people and transfer the work directly from customer to robot. Who controls the touch points? Only a good well-trained manager with a well-trained staff. Are they building that into automation?

Enjoy your next fast food or any dining experience knowing that corporate policy is protecting you.

[spinner1001]

I think what fast food restaurants need is more customers, not fewer employees. Whenever I go to a fast food place, the dining area is almost empty.

Fast food restaurant revenues have been growing except during the pandemic.

Revenue for Limited-Service Restaurants, All Establishments, Employer Firms (LRRAEEF2722513) | FRED | St. Louis Fed (https://fred.stlouisfed.org/series/LRRAEEF2722513)

[mikeycereal]

We'll never have to worry about a robot not washing their hands.

[LonnyP]

No. Have to cover equipment cost first and it will then decrease overhead and increase profit. It helps solve the worker shortage, nobody wants to work in the service industry anymore.

[Rodneysblue]

White Castle is using robots to make French fries. I would assume that making hamburgers will be next. With kiosks and robots, it seems that fast food restaurants will have significantly lower labor costs in the future. And more starter jobs will disappear.

White Castle is rolling out fry cook robots across the US (https://www.yahoo.com/news/white-castle-rolling-fry-cook-080858261.html)
And don’t forget to add in pink slim beef.

[oldtimes]

Plus, raising the minimum wage fixes nothing. Everybody who got a $5 increase in pay still made less overall because all the businesses raised their prices to cover the increase in salaries and part of the inflation we have been experiencing is due to these increase in salaries.

Exactly:

1950
Minimum wage: $0.75/hour.
Gas: $0.27 or 22m.
Movie ticket: $0.48 or 38m.
Rent: $42 or 56hrs. (All figures represent the average cost of a movie ticket, a gallon of gas, and the median rent.)

[Bay Kid]

In California they passed a law to pay fast food employees $20 an hour minimum wage. Robots will be getting a lot more work.

[Steve]

White Castle is using robots to make French fries. I would assume that making hamburgers will be next. With kiosks and robots, it seems that fast food restaurants will have significantly lower labor costs in the future. And more starter jobs will disappear.

White Castle is rolling out fry cook robots across the US (https://www.yahoo.com/news/white-castle-rolling-fry-cook-080858261.html)

Won't happen because the aim of automation is not to bring prices down. It's to push profits up. The real losers will be the employees who will be out of a job. That's why I NEVER use the self-checkout lanes. I'm willing to stand in line for a few minutes to save someone's job.

[mntlblok]

Not just your dad. The VCR was a technology disaster because normal people couldn't program them. Most people couldn't even set the clock. Being an engineer, I loved them.

It was *so* painful to not only set that clock, but also to set it up to record your programs. Turned out that there were just enough motivators for me to break down and get it done - not the least of which being that I learnt from my peers the term "twelve o'clock flasher". The best thing about the internet coming along in the mid-nineties was that I finally had so much better *access* to my peers. Best invention ever - the internet, not the VCR's.

[Vermilion Villager]

White Castle is using robots to make French fries. I would assume that making hamburgers will be next. With kiosks and robots, it seems that fast food restaurants will have significantly lower labor costs in the future. And more starter jobs will disappear.

White Castle is rolling out fry cook robots across the US (https://www.yahoo.com/news/white-castle-rolling-fry-cook-080858261.html)
Will this bring prices down? Absoultly not! You only have to look as far as a Winn-Dixie Publix, walmart, or Target to see the automated checkout lanes.Did their prices go down?

[Stu from NYC]

In California they passed a law to pay fast food employees $20 an hour minimum wage. Robots will be getting a lot more work.

Why in the world would a business owner forced to pay unskilled employees 20 bucks an hour (who often think they are doing their employer a favor by showing up) not think about replacing them with a machine?

[Vermilion Villager]

"Will this bring fast food prices down??"

Probably not.
Won't happen right away because you need to recoup the investment.
Won't happen over the long run because there is inflation offsetting the efficiency.

"And more starter jobs will disappear"...............BINGO.
A prediction of increasing minimum wage to $15.

Your prediction appears to include the assumption a fast food buisness that they cannot fill these jobs at $15/hr could have a more positive outcome by paying less??? Please explain....

[tophcfa]

We'll never have to worry about a robot not washing their hands.

And they never call in sick, can work long hours without having to be paid overtime, don’t ever need to take breaks, perform repetitive tasks consistently without ever complaining, don’t have to be sent to sensitivity and diversity training, aren’t in a labor union, and don’t talk back to their supervisors. Raising minimum wages and employee benefits is the tipping point that will make them economically effective for many menial tasks.

[Nordhagen]

Agree, like Walmart self checking. They have more self checkers checking than they do checkout employees.
They always show up.

[Marine1974]

White Castle is using robots to make French fries. I would assume that making hamburgers will be next. With kiosks and robots, it seems that fast food restaurants will have significantly lower labor costs in the future. And more starter jobs will disappear.

White Castle is rolling out fry cook robots across the US (https://www.yahoo.com/news/white-castle-rolling-fry-cook-080858261.html)

Labor shortages is a problem in our country . Many workers have to do the job of 2 or 3 workers which is unfair. It’s not about not wanting to pay for labor . They cannot find enough labor .

[Topspinmo]

Labor shortages is a problem in our country . Many workers have to do the job of 2 or 3 workers which is unfair. It’s not about not wanting to pay for labor . They cannot find enough labor .


It’s problem cause 50% or more not working or want to work IMO.

[jebartle]

Best deal in town, Koyame lunch, entree (easily enough for 3 people) rice and soup or spring roll, $9, so fast food is Alive and well"

[dewilson58]

Your prediction appears to include the assumption a fast food buisness that they cannot fill these jobs at $15/hr could have a more positive outcome by paying less??? Please explain....

Wasn't my prediction......even though I agreed with it.......it was economist and finance peeps.

Push wages up for many brainless jobs, automation will become more financially wise.

[Bilyclub]

Did the cruise line add an automatic gratuity for the robot??


18% like the other bars.

[Stu from NYC]

18% like the other bars.

The robot does have needs so needs to pay for them. He had his eye on a cute one working ____.

[kkingston57]

This is probably more related to an ever increasing percentage of total fast food sales being at the drive-thru rather than in the dining area.

Chick Fil A is a prime example of that.

[ThirdOfFive]

Labor shortages is a problem in our country . Many workers have to do the job of 2 or 3 workers which is unfair. It’s not about not wanting to pay for labor . They cannot find enough labor .
My wife and I were vacationing in Thailand some years back. It was my first trip there following our marriage. My wife is ethnic Thai, so that gave me a great opportunity to avoid the tourist traps, to travel and hang out with the family and see the real Thailand. I particularly enjoyed the street vendors in the towns (Bangkok, Khaenkhoi, Siekhieu, some others) we visited. My observation to my wife was that it looked like half the country was buying, the other half selling.

During one of our conversations I asked her about the Thai public welfare system.

Her reply: "Simple. If you don't work, you don't eat".

Our problem isn't a shortage of labor. Our problem is a government that pays people to sit on their collective a__es and collect money that the rest of us pay out in taxes. I think that a little of the "if you don't work, you don't eat" ethic would go a long way here.

[OrangeBlossomBaby]

My wife and I were vacationing in Thailand some years back. It was my first trip there following our marriage. My wife is ethnic Thai, so that gave me a great opportunity to avoid the tourist traps, to travel and hang out with the family and see the real Thailand. I particularly enjoyed the street vendors in the towns (Bangkok, Khaenkhoi, Siekhieu, some others) we visited. My observation to my wife was that it looked like half the country was buying, the other half selling.

During one of our conversations I asked her about the Thai public welfare system.

Her reply: "Simple. If you don't work, you don't eat".

Our problem isn't a shortage of labor. Our problem is a government that pays people to sit on their collective a__es and collect money that the rest of us pay out in taxes. I think that a little of the "if you don't work, you don't eat" ethic would go a long way here.

Except, she is incorrect.

Thailand has a relatively comprehensive social protection system. There are 44 non-contributory government welfare programmes that take care of people in all age ranges.

They also have universal health care, where treatment is completely free except on Saturdays. While their medical care is considered fairly good, they have long wait times and outdated equipment.

They also have unemployment compensation. They also don't offer freedom of expression or assembly - their government has some restrictions on both. Their government commits torture and "forced disappearances" of people who violate their laws. There is no gender equality, or even any attempt at it.

So if you like the idea of "no work, no eat" then enjoy Thailand. I'd rather enjoy my retirement, and not have to work til I'm dead because of sub-standard pay.

[Bay Kid]

They always show up.

They never leave!

[Bilyclub]

The robot does have needs so needs to pay for them. He had his eye on a cute one working ____.

Somebody at Royal Caribbean loves the robots. They have a six of them handling movable video boards in the aft showroom on the Quantum Class ships.

[Stu from NYC]

They never leave!

Wait until they take over and they make us do all the work