What happened to the humble Aussie burger shop?

In a takeaway landscape dominated by American fast-food giants and a new wave of brand-led gourmet operators, the old-school burger shop keeping the suburban corner store tradition alive has become increasingly rare.

These family-run businesses trade on a distinctly Australian take on the humble burger. Forget plastic American cheese, fancy aioli and sweet brioche buns – we’re talking the straight up classic on a slightly toasted bun, or an overloaded ‘with the lot’, wrapped in butcher’s paper and stacked with beetroot, egg, and if you’re going all the way, a slice of pineapple.

From a famed Melbourne institution to a beloved roadside Sydney joint, we meet a pair of operators still flipping the classic milk-bar style burger to find out what it takes to survive in a changing market.

Australia’s oldest burger

Renowned as the oldest dedicated burger shop in the country, Andrew’s Hamburgers in Albert Park near the F1 Grand Prix circuit credits its enduring success to a steadfast commitment to tradition.

“Fads come and go and the world changes around us, but we keep things the same. It’s why we’ve been around for 87 years,” owner Greg Pappas told realcommercial.com.au.

“We just keep running things old school. Our burger with-the-lot is still made the same way and that hasn’t changed since day one. With each bite, you’re tasting a little bit of history.”

Founded in 1939 by Greg’s great-uncle, Cypriot immigrant Andrew Georghiou, the Melbourne institution has remained in the family ever since.

A throwback with Uncle Andrew, ‘Little Greg’ Pappas, and Ernie of Andrews Hamburgers. Picture: Andrew’s Hamburgers Facebook

Mr Pappas took over the business from his own uncle in 2001 after graduating from university – a move he says wasn’t part of any grand plan.

“To be honest it just felt natural to take the reins. I started working here when I was 12, helping out every Saturday afternoon by toasting the rolls and wrapping the burgers. Pretty much the same as what I do now. And I still love it,” he said.

A popular spot for a celebrity sighting, Andrew’s Hamburgers has served the likes of Tina Arena, Matt Preston and Rick Astley. Even Ed Sheeran has made the pilgrimage – twice.

“Well, sort of,” Mr Pappas said. “Last time he got his team to pick up his order because he was a bit too hungover to come in.”

Andrew’s Hamburgers is serving up classic Aussie-style burgers – think egg, beetroot and pineapple. Picture: Andrew’s Hamburgers Facebook

Pop star visits aside, Mr Pappas said the nostalgic appeal of a classic Aussie burger is what keeps his grills running and customers returning.

“A bloke from Sydney came in recently. He used to live in Melbourne and hadn’t been here in 40 years,” he said. “After one bite, he said he nearly cried, because it brought back memories of his parents bringing him here as a kid.”

The Andrew’s ‘with the lot’ burger remains the crowd favourite, however Mr Pappas has also expanded the menu with a handful of American-style options to cater to evolving tastes, such as the Rusty American and Five-O Hawaiian.

“You still have to adapt where necessary.”

Ed Sheeran reportedly loves a burger from Andrew’s. Picture: Supplied

A family operation

Finding the balance between staying true to your roots while adapting to changing tastes is something Paul’s Famous Hamburgers in Sylvania – an award-winning south Sydney and Sutherland Shire favourite for almost 70 years – knows well.

Co-owner Chris Sinesiou recalls the chicken burger boom of the 1990s.

“The arrival of Oporto shifted tastes towards chicken as a healthier takeaway option, so we introduced our own grilled marinated chicken burger to keep up with demand.”

Paul’s has been a Sydney institution since 1957 and the Sinesiou family has owned it since 1998. Picture: Supplied

But Mr Sinesiou draws the line at the American smash burger.

“The smash burger certainly has its place, but our customers come for the traditional, old-school hamburger. If you want an American-style burger, I’m afraid you’ve come to the wrong place.”

Originally established in 1957, Paul’s Famous Hamburgers has been in the Sinesiou family since 1998, with Chris running the shop alongside his parents, three brothers and their partners.

“It’s very much a family operation,” he said.

While social media is heavily reshaping food retail, Mr Sinesiou believes word of mouth remains the most powerful form of marketing – and key to the ongoing success of Paul’s Famous Hamburgers.

“You’re only as good as your last burger, so you’ve got to make sure both your product and service stay consistent.”

He added that delivery apps have been one of the biggest shifts in the industry over the past decade.

“People value convenience now more than ever.”

Paul’s Hamburgers came before McDonald’s. Picture: Paul’s Facebook

The profitability squeeze

But that convenience comes at a cost.

Food consultant Suzee Brain of Titanium Food told realcommercial.com.au that, pre-COVID, delivery accounted for less than 10 per cent of orders.

“Post-pandemic, that figure has risen to around 20 per cent nationally,” she said.

A recent IBISWorld report found the surge in online delivery has boosted industry revenue, but also placed significant pressure on profitability.

Andrew’s Hamburgers owner Greg Pappas said delivery platforms can take a 30–35 per cent cut of his revenue each week.

“That’s a huge amount for a small business owner,” he said. “But if you’re not on the apps, customers will go elsewhere.”

With margins under increasing pressure, operators are being forced to adapt. At Paul’s Famous Hamburgers, Chris Sinesiou said offering customers value for money remains central to the business model.

The Sinesiou family has been running Paul’s Hamburgers since 1998. Picture: Supplied

“Our plain burger is $11.50 and our works burger is $15.50. Compared to the major chains or upscale operators, that’s great value,” he said. “Our pricing has helped us survive decade after decade, through all the trends and fads.”

Another critical lever in protecting profitability amid delivery commissions, rising input costs and wage pressures is to maintain a small, tightly engineered menu, Ms Brain said.

“Burger margins are being eroded fast, so focussing the menu, concentrating on upsells, bundles and add-ons is the way to claw back profitability.”

So, can the classic Aussie burger shop survive?

Food delivery apps are threatening the survival of independent burger joints. Picture: Andrew’s Hamburgers, Facebook

Ms Brain said that while international chains continue to dominate, there remains a clear bifurcation in the Australian market and room for independents to carve out a niche.

“Interestingly a recent ‘mission’ by the Sydney Morning Herald to find the best chips in Sydney turned up independent beachside operators who are keeping the classic hot chip standards upheld,” she said.

As for entrepreneurs looking to open their own burger shop, Chris Sinesiou believes success ultimately comes down to commitment.

“Takeaway businesses are demanding, but if you’re willing to sacrifice a lot and go all in, you can make it work.”