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Sales numbers roadside vending

 
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smokelahoma
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PostPosted: Jun 01 2011    Post subject: Sales numbers roadside vending Reply with quote

I'm sure this has been covered before but i had a hard time finding anything while searching. How do I figure what kind of sales numbers I could expect in a BBQ food truck.

What type of info do I need? demographic, traffic, etc.

I guess this is always the hard question, but I'm working on numbers to figure whether I can afford an employee for a business that doesn't really exist yet.

The food truck scene has finally begun to develop in Tulsa, and I'm am wondering wether to try to cash in by hiring someone to run the truck.
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PostPosted: Jun 01 2011    Post subject: Reply with quote

That's the $10,000 question and not one that any of us (that don't live in your neck of the woods) would have any idea of truthfully answering.

I could give you suggestions on promotions (so could others) spots to look for etc. but it would still be a crap-shoot.

As with any business I highly doubt you will "cash in" hiring somebody else to run the truck- at least not initially.

I cash in on my own business by running my own business.

Jeff Hughes tried it (I believe in Tulsa) at the VA parking lot and we never heard back on the results (that I can remember anyway). Hopefully he will chime in here and offer up his own experiences.

I'd also be curious as to what happens with the food trucks when the snow flies.

Good luck with it, I look forward to the other answers you get!
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Louie
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PostPosted: Jun 01 2011    Post subject: Reply with quote

$10,000 question? More like a $100,000 question!! Wink
I have seen some investors owning a food truck or having one tied to their restaurant. You would have to be making some good coin to be able to pay employee's, You would certainly have to run it as a restaurant in a good location with a great menu to draw the peeps and a pocket full of cash to get it off the ground.
I think it's certainly doable, under the right circumstances.

Here's a link that may help. http://www.mobilefoodnews.com/

Good Luck
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PostPosted: Jun 01 2011    Post subject: Reply with quote

Quote:
Smokelahoma: How do I figure what kind of sales numbers I could expect in a BBQ food truck?

If available, use sales tax data of other food truck vendors as a starting benchmark. That in and of itself will give you a basis of what others are doing. If you have catered then you could have a prior following, although possibly small and scattered.

Quote:
What type of info do I need? Demographic, traffic, etc.

Once you have a couple of locations you are entertaining you can pull traffic data, if on a state hwy – some cities also have traffic data – you don’t want a overly heavy traveling street with excess speeds.

You can also pull specific demographic data per zip code.

Quote:
I guess this is always the hard question, but I'm working on numbers to figure whether I can afford an employee for a business that doesn't really exist yet.
The food truck scene has finally begun to develop in Tulsa, and I'm am wondering wether to try to cash in by hiring someone to run the truck.
Y
You might reconsider that approach.
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SoEzzy
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PostPosted: Jun 01 2011    Post subject: Reply with quote

One thing to remember the big chains run expensive and complex calculations when they are planning a new site for a fast food restaurant.

That can also be used as a clue to other restaurants / vendors, I was speaking 7 or 8 years ago to one of the people running the numbers for Mcdonalds, they grid the area round a prospective site then fly helicopters in spirals around it at different times of day, with camera's recording the traffic patterns and traffic density.

Notice how often when one of the big 6 puts a new location in, 2 or 3 of the others will be within 150 yards, well it's no coincidence!

So look for the places that they are looking at if you can.
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smokelahoma
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PostPosted: Jun 03 2011    Post subject: Reply with quote

Thanks for the replies.

I run numbers all the time, I try to factor in days good days and bad days. At this point I've been using anything from20 sandwiches a day to 100 sandwiches a day.

I was just curious what kind of average unit sales you guys are having per day?

I'm not trying to make any real money with the employee, i'd be happy to pay them and pay all the bills. Any profit will be put back into the company for bigger better equipment.

I have a day job that pays me more than this could pay me, so I can't quit my job yet. But I don't want to wait until I have left my job.
I would be very hands on I would be at the truck several hours a day, I would work any catering jobs personally, and I would try to work for the first month or so with the employee.
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PostPosted: Jun 03 2011    Post subject: Reply with quote

What are you gonna do when "Joe Blow or Suzy Rottencrotch" quits without notice, gets drunk and don't show up, gets knocked up, steals you blind, etc?
Do you have the time to keep the ball rolling?
Not to be negative, but I wouldn't let somebody run off with my trailer, let alone a truck, and me be responsible for their actions.
JM2C & YMMV

Edited to add after Smoke's rebuttal: I've been screwed by "Friends and Family" more than I have by a person that I screened, checked references and done a background check on. (Not my business, I was the manager)
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smokelahoma
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PostPosted: Jun 03 2011    Post subject: Reply with quote

This would be someone I already know.
So the risk is being the boss of a friend or family member which is a totally different can of worms.
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PostPosted: Jun 04 2011    Post subject: Reply with quote

Quote:

I run numbers all the time, I try to factor in days good days and bad days. At this point I've been using anything from20 sandwiches a day to 100 sandwiches a day.

I was just curious what kind of average unit sales you guys are having per day?


Which guy?
Which state?
Which area (rural or urban)?
Which time of the year?

I don't mean to be negative here, but there really is no valid answer to your questions......................only a guess on our part (or at least on mine).

I'm going to guess that unless there is a well established food truck scene, and you have a solid reputation that follows you on social media (like Twitter and Facebook) that the ROI won't justify the investment.

But that's just my guess!

I'm a well established (10+ years) caterer that also vends a fresh market 8 month's out of the year.

We tried roadside vending in two different locations a few years ago and barely made expenses.

The food truck scene is just emerging in my area (Greater Tampa Bay with over 3 million in population).

I'm looking to do something similar to yourself having my step-son run the food truck part of the business.

The weather here is conducive to year round operations, 8 month's of the year the weather here is spectacular. And in addition to the locals we have a sizable influx of tourist $$$.

I have no car payments, CC balances, or young kids to support. My medical expenses (thank goodness) are provided through the VA. My wife has a good day job w/benefits.

That all being said, I can't afford the operational expenses to make it work myself (and I already own the equipment outright to do it legally).

JM2C and experiences, YMMV.

Have you talked to the local comp guys you probably know?

Bob is in the Tulsa area, Jeff (mentioned earlier) Mike (ASNF) and a number of others.

What do they think?
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PostPosted: Jun 10 2011    Post subject: Reply with quote

Just curious on a follow up here Rob?

What do your local guys think?
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halftimer
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PostPosted: Jun 10 2011    Post subject: Reply with quote

in texas if they run off with the truck you CANNOT turn it in as stolen and you have to find it.
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PostPosted: Jun 10 2011    Post subject: Reply with quote

halftimer wrote:
in texas if they run off with the truck you CANNOT turn it in as stolen and you have to find it.


I'm a bit lost here so please forgive me for the following question(s)

You mean to tell me that a legally registered road going vehicle with a tag from the DMV is not reportable as being stolen if it disappears?

Most every state I know grand theft auto is still grand theft auto?

In other words you are playing hide and seek with a high dollar vehicle?

And insurance pays for the loss without a police report?
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smokelahoma
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PostPosted: Jun 10 2011    Post subject: Reply with quote

I have talked to jeff and mike about roadside vending in the past, neither were very optimistic. I talked to some other food truck vendors as well about there numbers as well. I haven't gotten the greatest numbers from the foodtruck guys either.

But most of these are people who show up on a corner and hope someone shows up, very little marketing is being done.

I was really just looking for actual numbers from posters, but i understand that these numbers aren't going to be applicable to my situation.
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PostPosted: Jun 10 2011    Post subject: Reply with quote

halftimer wrote:
in texas if they run off with the truck you CANNOT turn it in as stolen and you have to find it.

Bet my a$$ and the farm, if I turned it in as stolen and they told me that. I would lose even more respect for the law. WTF, y'all still wear six shooters down there for? You can get shot for stealing a $200 horse, but get away with a $40,000 catering truck?
The more I think about the GPS tracking device for $10 a month, the more I like it. If you were to do that to me and I found you, you would be very lucky with the following warning.
"Hello A$$hole, may I introduce you to Mr. Smith and Mr. Wesson. Evil or Very Mad
Would you like to come along with me or do you feel lucky?
If you feel lucky, you must ask yourself three questions.
Is he near sighted or is he far sighted?
How big of a hole will that F'n cannon make?"

Now that's the Redneck way.

I've had too much chit stolen from me. I may not blow your a$$ away, but I will make it very painful. Which knee first, which N*t hangs the lowest. Catch my drift?
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PostPosted: Jun 10 2011    Post subject: Reply with quote

smokelahoma wrote:
I have talked to jeff and mike about roadside vending in the past, neither were very optimistic. I talked to some other food truck vendors as well about there numbers as well. I haven't gotten the greatest numbers from the foodtruck guys either.

But most of these are people who show up on a corner and hope someone shows up, very little marketing is being done.

I was really just looking for actual numbers from posters, but i understand that these numbers aren't going to be applicable to my situation.


I'm glad that you had the chance to speak with the local guys that have "boots on the ground" so to speak.

Jeff has done some vending and I respect his opinion.

I know Bob (OsoSlow) is a Tulsa native. I've met Bob and his wife (both great folks) and as a straight shooter would have some perspective as well.

One of the nice things about this forum is the wide spread membership that can offer advice from a locals point of view.
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