BuzzFeed's Struggle to Sell 'Hot Ones'

Introduction

• BuzzFeed is trying to sell the popular YouTube show 'Hot Ones'
• Several interested parties, but the $70 million price tag is a sticking point
• Discussion focuses on why it's not selling and predictions for the show's future

Key Discussion Points

Personal Observation

• 'Hot Ones' is seen as a premier YouTube show
• Shaun Evans is seen as both integral and distinct from the show

Background

• 'Hot Ones' started in 2015 at Complex
• Idea by Chris Schonberger, founder of First We Feast (FWF)
• Unique concept: celebrity interviews with increasingly hot wings
• Show hosted by Shaun Evans, originally a Complex employee

Reasons 'Hot Ones' Isn't Selling

1. Key Person Risk

• Shaun Evans does not own the IP
• Potential lack of long-term commitment from Evans
• Evans is integral to the show's identity
• Without Evans, the show may not thrive
• Examples of similar shows without key figures struggle

2. Limited IP Extension Ability

• Attempts to extend the IP have had mixed results
  • Hot sauce sales (good)
  • Cable TV show (cancelled)
  • Card game (moderate interest)
  • Licensing deals (e.g., Shake Shack - ended)
• Possible lack of investor confidence in future IP extensions

3. Replacement Value

• High price tag ($70 million) vs potential to create similar shows for less
• Several similar content formats exist:
  • 'Last Meals' by Mythical
  • 'Chicken Shop Date' by Amelia Dimoldenberg
• Potential buyers might consider creating their own version

4. Macro Media Trends

• Low period for media company mergers and acquisitions
• High costs of acquisition in the current market
• Increasing competition from individual creators and smaller teams

Possible Buyers and Predictions

• Who should buy 'Hot Ones'?
• Two main predictions:
  • Spotify: Aligns with their move into video podcasts
  • MrBeast: Potential to become a digital media mogul

Specific Points on Predictions

• Spotify:

  • Enhances content library for both video and audio
  • Capitalizes on celebrity interviews and ties to music
  • Aligns with recent investments like 'Call Her Daddy'

• MrBeast:

  • Could raise funds easily
  • Elevates his status in the media industry
  • Question of necessity and strategic fit

Conclusion

• Current market conditions, key person risk, and limited IP extension abilities are impacting the sale prospects
• Uncertainty on whether 'Hot Ones' under Shaun Evans will continue to thrive or be replaced by new formats or creators
• Debate over ideal buyers and the strategic fit

Final Thoughts

• 'Hot Ones' faces challenges but remains a culturally significant show
• Big question marks around Evans' future involvement and potential buyers' plans for the IP
• Audience engagement: who should buy it, what should Shaun Evans do next, and can the show survive without him?