Ever since the food trucks took a life of its own and began to sprout all over the country, food truck owners have had a difficult time settling in. First, they had to deal with brick and mortar business owners who complained loudly about the loss of income. Then they had to worry about stricter laws and permits including zoning and parking which led to some pretty inventive marketing. Now, the challenge has come full circle with the immense competition among food truck owners for a piece of the market.
Tag Archives: market
How To Beat Your Food Truck’s Closest Competitor
A food truck today is more challenged than a food truck that operated 5 years ago. This is because of the increasing number of food trucks on the road. Same market, more players suggests tougher competition and higher risk factors.
If you have a food truck and are facing threat from your closest competitors, you might want to try an indirect approach in beating them as the better option on the road. Here are some ways you can boldly address the competition without having to handle any direct confrontation.
Except for marketing and advertising, you should always be on the lookout for ways to lower expenses without affecting quality. For a new business, you need to ask around since you have no Profit and Loss figures yet. Find out who the best suppliers are, the quantities that will give you volume discounts, and where to find quality ingredients at low costs. Typically, this means buying in wet markets instead of supermarkets where the prices are almost always a tad higher.
You could also go over the day’s trends and find out when you can shut down the food truck rather than pay salaries on dead time.
Just don’t be stingy with advertising although be creative so you don’t have to spend so much. Use the Internet and social media to boost sales. Hire a social media marketing professional (even an intern) to drum up interest in your business.
Nothing Beats Outstanding Rapport with Customers
If you want to stand out as a food truck worth visiting and revisiting, you need to work hard on keeping your customers happy. They should be happy to eat your food, happy to wait for their food, and even happier to keep coming back for more. It’s really all about this. How many stories are there of millionaires going back to their roots where they would buy their lunch from a hotdog stand just because that guy selling the hotdogs was nice to them when they were just starting out? You need to be that personable hotdog vendor who everyone loves and can never forget. It’s what build loyalty and a special bond between business owner and customer.
Finally, don’t fear competition even if they are huge successes in the food business. Celebrate all successful food trucks because it legitimizes your existence. Concentrate instead on cooking great food at fair prices and being a wonderful vendor to buy from because that’s what people will remember and recommend. Just avoid stepping over the line and being too friendly or too personal with your customers. Keep it professional, straightforward and respectful.
Are Food Trucks Profitable? How To Get Started
Food carts or food trucks have been around since the 17th century and this is a definite sign that it is a business idea that works – with the right business plan and menu. It was because of food trucks that the term “chuck wagon” came about. These were food trucks designed to feed cattlemen on the road. Also before the 1900s, dog carts existed that sold hotdogs and sausages to students of Yale, Cornell, Harvard, and Princeton. Fast forward to a few years ago in 2008, Kogi BBQ hit the roads in Los Angeles and help reignite cravings for more creative food for people on the move.
Busting the Myths Being Said About Food Trucks
There are several stories being spread about food trucks that either deter or mislead anyone thinking of opening their own food truck business. Here are a few of them so that you can recognize them for what they are: discouraging talk and negative reactions.
It’s a Sure Way to Earn Money Today
This is a half-truth because it is harder to start and maintain a business nowadays so most business experts would recommend “going with the trend.” The food truck industry is reportedly earning a billion dollars a year. However, there is no business that comes with guaranteed revenue. There’s a load of work that will have to be done aside from proper marketing, a great food concept, and sufficient funds.
In addition, one of the key elements in running a business is being able to adjust to the market. For instance, you have to be in the right location and close to the kind of people who would want to buy your food product. If you feel you can earn more in another place, try it! The beauty with the food truck business is that you are mobile so take advantage of this.
There’s No Money in Food Trucks – The Market is Flooded
The person who would likely tell you this is someone connected to the food business and would not want a new competitor around. The market is not flooded. Two years ago, an irresponsible news article came out online saying that the country was flooded with 3 million food trucks. It may seem that way because food trucks are mobile but according to latest official count by the Census, the entire food industry consists of only 600,000 businesses.
Only People On-The-Run Buy from Food Trucks
Again, this is quite obvious to anyone who buys or watches a food truck in operation. Their customers are usually a mix-match of people on-the-go, curious bystanders, Twitter and other social media followers, and loyal customers. As a matter of fact, the more personable the staff behind the food truck counter, the more likely they are to bring more new customers.
It’s Easy to Run a Food Truck Business
Unfortunately, it’s just as hard to run a food truck business as it is to run a restaurant. One would have to wake up very early in the morning to buy the fresh produce. After marketing, there is food preparation (which should be done onsite), finding your location, making sure you have everything ready to go because customers want their food quick, and then clean-up. It’s important that you enjoy being in the kitchen and food business if you want to have a food truck. This is so that the work will not be burdensome to you – and you will have fun doing it.