[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

[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]

Originally Posted by 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.

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]

Originally Posted by 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.

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]

Originally Posted by Bill14564

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]

Originally Posted by retiredguy123

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]

Originally Posted by Pugchief

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]

Originally Posted by retiredguy123

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]

Originally Posted by 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

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]

Originally Posted by retiredguy123

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