The Downfall of MrBeast: 6 Mistakes Why Feastibles Failed

Feastables, once a sweet-smelling success story of Jimmy Donaldson, famously known as MrBeast, has reportedly turned into a bittersweet cautionary tale. For the unversed, Feastables Inc. is a chocolate and snack brand founded by Donaldson in January 2022 under his company Beast Industries, which reportedly generated about $250 million in sales and $20 million in profit last year (via Bloomberg). 

But what began as a sweet dream turned sour faster than milk left in the sun. In September 2025, a video by Ecom Empires dissected this spectacular downfall: how supply-chain chaos, child labor allegations, and tone-deaf marketing melted the chocolate empire into crisis.

6 Poor Operations & Supply Chain Chaos: First Big Mistake Behind Feastables’ Failure

Mr Beast’s Feastables | Credit: YouTube/Ecom Empires

According to Ecom Empires, Feastables’ biggest blunder wasn’t about flavor; it was logistics. The company overestimated its viral muscle and underestimated the machinery of global production. Cocoa sourced from Peru was shipped through a complex web of co-packers across the U.S. and abroad, creating what insiders later called a “logistical headache”.

As demand skyrocketed, the brand cracked under its own success. Tariffs reportedly devoured profit margins, container shortages delayed deliveries for weeks, and a strong U.S. dollar inflated costs. Retailers who once begged for more stock later found themselves drowning in expired, chalky bars.

A former operations manager told Food Dive the grim reality:

Hype can ignite a brand, but it can’t navigate customs. Feastables reportedly learned this the hard way.

5 MrBeast Faced Allegations Over Potential Child Labor in Feastables Chocolate Production

Credits: YouTube/MrBeast

The sweetest product became entangled in the sourest scandal. In 2024, YouTuber Ahnestly accused MrBeast of indirectly supporting child labor in cocoa sourcing for Feastables (per Tribune). The allegations suggested that the company’s Peruvian suppliers might be connected to farms using underage workers, a claim that struck hard at the brand’s ethical image.

For a creator who built his empire on philanthropy and kindness, the irony was brutal. Fans and watchdogs demanded transparency. Donaldson suddenly found himself under scrutiny from the same community that crowned him.

The controversy remains unresolved, but the stain on Feastables’ reputation was deep.

4 Marketing: Golden Ticket Mistake That Damaged the Feastables Brand

Image Via Youtube/@MrBeast

If hype were gold, MrBeast would have been the new Wonka. But his Golden Ticket marketing campaign reportedly quickly lost its shimmer. Aimed primarily at children aged 8–16, the campaign promised fantastical prizes, including a real chocolate factory tour, but hid the nearly impossible odds of winning.

The Children’s Advertising Review Unit (CARU), a branch of the Better Business Bureau, investigated and ruled that the sweepstakes contained unclear disclosures and misleading odds (per Ecom Empires). Many children genuinely believed they had a real chance to win life-changing prizes.

CARU forced Feastables to issue corrective tweets and updated disclaimers. But the damage was irreversible. Parents, the actual buyers, felt duped. 

3 The Beast Burger Backlash: How Another MrBeast Brand Hurt Feastables’ Reputation

MrBeast’s recreation of Ashton Hall’s morning routine is hilarious | Credits: MrBeast’s IG

Feastables’ decline wasn’t isolated; it was poisoned by another MrBeast project, MrBeast Burger. The delivery-only restaurant brand was buried under lawsuits alleging “inedible food” and catastrophic quality control issues.

Even though legally separate, the public didn’t see it that way. To them, the name MrBeast was the common denominator. As court filings circulated and media outlets dissected the fiasco, Feastables’ image reportedly took collateral damage.

At the height of the burger chaos in summer 2023, Spin’s retail data revealed that Feastables’ sales had plunged 18% week-over-week (per Ecom Empires). For consumers, the connection was simple: one bad food brand taints another. 

2 Pricing & Lost Value: How Expensive Chocolates Accelerated Feastables Collapse

Jimmy Donaldson aka MrBeast | via MrBeast’s Instagram

Price can be a brand’s death knell. Feastables launched at a sweet spot, reported $2.99 per bar, an accessible indulgence. But as costs reportedly ballooned from supply-chain inefficiencies, that price quietly crept up to $3.49, and in some stores, $3.99.

For a 2.1-ounce bar, the hike was fatal. Online forums erupted in frustration (per Ecom Empires):

Data showed sales velocity nosedived the moment prices crossed the $3 psychological threshold. Retailers reportedly slashed shelf space, shrinking Feastables’ footprint from four rows to one lonely slot.

1 Desperate Cost-Cutting and Recipe Changes Contributed to MrBeast’s Feastables Downfall

MrBeast in a still from Beast Games | image: Prime Video

As the company’s foundation crumbled, Feastables’ leaders reached for the panic button: aggressive cost-cutting. Internal documents reportedly revealed a 40% reduction in marketing spend, choking the very lifeline that fueled its early momentum.

Soon, flavors were reportedly axed, notably the Crunch bar and suppliers were told to source cheaper cacao. A former food scientist shared anonymously on an industry forum (per Ecom Empires):

Between logistical failures, ethical questions, tone-deaf marketing, and crumbling trust, the sweetest empire reportedly soured under its own weight. Will MrBeast’s next business venture learn from these missteps, or will history repeat itself under a new wrapper? Drop your thoughts in the comments below!