Foodservice operators from all segments are supporting their customers’ on-the-go lifestyles through grab-and-go service, food trucks and other retail solutions. In this hour-long webcast our panel of experts will explore where the mobile food movement is headed, the trends influencing it and how design and equipment selection can pave the road to success.
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Food on the Move: Food Trucks and Mobile Food Trends
1. Food on the Move
This deck is part of a free webcast from Foodservice Equipment & Supplies magazine
that will be available until January 2016.
The link to the webcast is available on Slide 7.
2. Today’s Objectives
Explore the opportunities for growth in the retail
foodservice arena, including food trucks, grab-and-go
service, c-stores and more.
Examine how technology, including today’s foodservice
equipment, helps operators serve customers across a
variety of non-traditional locations.
Discuss the layout implications for food trucks, grab-and-
go service and even the emerging retail foodservice
segment.
Answer your questions.
3. Meet Our Panelists
A.J. Barker
Co-Founder and
Chef Consultant
Think Tank
Hospitality Group
Storm Hodge
Assistant
Director,
Housing and
Food Services
University of
Washington
Jackie
Rodriguez
Senior Manager,
Technomic Inc.
8. What Put Food in Motion?
How consumers access
food prepared outside
the home has changed
The where and when of
eating is evolving
Consumers expectations
are changing
Operators need to
innovate to spur growth
9. Consumers’ Options Are Growing
9
THE CONSIDERATION SET
FAST CASUAL
SNACK BOXES
VENDING
CASUAL DINING
FOOD TRUCKS
GRAB N GO
MEAL KITS
FAST FOOD
DELIVERY
RMS
10. How the Foodservice Function has Changed
Cooks used to have to
start the fire – literally
The investment was
significant
Today’s start up costs can
be much less and you can
literally be up and
running in minutes
There’s much more
support available in the
form of commissaries
and other services
12. Comparing Foodservice Formats
How food trucks and other small footprint operations
differ from traditional foodservice operations:
Traffic comes in waves
for food trucks,
grab-and-go, etc.
Greater emphasis on
speed of service and
throughput
Smaller operations need
support from elsewhere
13. Defining Traits
Three universal characteristics all successful small
footprint foodservice operations have in common:
1. Good food
2. Convenient for the customer
3. Customization
14. Menu Composition
Menus for food trucks and grab-and-go operations:
Are focused but
feature some
flare or pop
Meet the
customer’s
expectations for
variety
Provide some
level of portability
15. The Importance of Portability
Portability impacts
packaging
Food facilitates on-
the-go consumption
Customization can
slow things down
but operators can’t
compromise speed of
service
Can customer-facing technology help?
17. Designing a Small Footprint Operation
Key considerations when developing a space:
Determine how many customers the business has to
support to be successful.
Break down the science of cooking to understand
what equipment is needed.
Avoid items that are too big or require too much
cleaning.
Keep the menu and ingredients simple.
18. Designing a Small Footprint Operation –
A Closer Look
How Storm Weathers the
Design Process:
Food trucks have a unique
menu and provide value.
Place your locations on
popular thoroughfares and
understand the population
they will serve.
Understand where the
product comes from and
what you need to get it
there.
Allow room to grow.
19. Specifying Equipment
Key equipment specifications include:
Rapid recovery
Small utility load
Small footprint,
big output
Flexibility
20. Specifying Equipment
Key pieces of equipment at
University of Washington:
Refrigerated trucks to
transport food from prep to
point of service
Two-door reach-in
refrigerators
Refrigerated display cases
that are self-serve on the
bottom and have bakery
cases on top
Panini grills are crowd
pleasers
21. How the Game Changed
Ways foodservice equipment
has evolved:
Expansion of food
knowledge and a change in
thinking
Repurposing of equipment
allows operators to feed
smaller batches of people
more frequently
More focused menu –
operators doing fewer
things but doing them
really well
22. Who is Positioned for Progress?
Regardless of size, this requires an investment in
equipment and labor
Growth opportunities vary by market
Operators with 10 or fewer locations tend to be more
nimble
It’s easier for C-Stores to add space for freshly
prepared foods without a total rebuild
Some c-stores now have open kitchen designs
25. Closing Thoughts
Jackie’s future vision:
Building new locations represents
a significant commitment in
today’s operating environment
Higher real estate costs will
continue to drive daypart expansion
Competition will remain tough
Snacking is an emerging
daypart worth monitoring
27. Closing Thoughts
A.J.’s advice:
Understand the global nature
of this change.
Pick your identity
Don’t bite off more than
you can chew – let customers
see the care
28. Closing Thoughts
Storm’s advice for weathering the change:
Allow enough queue space
Ask the simple questions
UDS allows for flexibility
and the ability to apply
new technologies
32. Thanks for Listening
Visit Us Online at:
www.fesmag.com
and
www.rddmag.com
Follow Us on Twitter:
@FESMagazine, @FES_Editor
33. Future Webcast Ideas
We are listening, too!
Send your ideas for future webcasts to:
Joe Carbonara
joe@zoombagroup.com
You may download the slides from the toolbar below.
A link to the CEU quiz will be sent when the webcast archive goes live.
Editor's Notes
“Moduline offers the best performing, most efficient hybrid steamers, ovens, and holding equipment available today, with tomorrow in mind. Efficiency & performance means more happy customers, less waiting time, and increased menu capabilities. Moduline, the ultimate in ready meal regeneration and mobile solutions."
With unmatched durability and grace under pressure, Vitamix blenders are engineered to reduce prep time and improve efficiency. Which is why Vitamix was named Overall Best-In-Class by Foodservice Equipment & Supplies for six consecutive years.
Vitamix. Engineered to change your life.
Learn more at vitamix.com/commercial.
Joe’s introductry points. He speaks to these four points and then starts Q&A with panelists on the next slide.
Joe: What’s driving this food on the move phenomenon?
Jackie: We are seeing foodservice everywhere. Her answer includes:
Alternative formats emerging
Retailers and mass merchandisers not only more aggressive but also amping up the quality of the food they offer.
Walmart is quietly building that market and C-stores are doing the same thing and even opening some in store locations with café seating
Next generation vending machines, probably have the smallest footprint, out there. You can get a hot pizza from some vending machines today.
The restaurants see what’s happening and are trying to answer back. Starbucks, for example, has really expanded its grab and go case to meet what its customers want.
Storm agrees and adds:
Customers are no longer from families where they no longer sit down and eat their meals as a family. So the idea of sitting down does not resonate with them. People come into the regular dining halls to get their food to go and still eat it there.
Our latest operation, Local Point, we went back to china, flatware and the whole deal. We charge them for to go orders.
Joe: The way foodservice functions has changed dramatically in recent years, hasn’t it? Used to be that foodservice operations required large, monolithic facilities with lots of firepower. Now they are everywhere.
AJ’s response to include:
We needed big steam ships. Lots of room. Boilers, etc. The guys that taught me how to cook, had to literally start the fire when they first started.
And the investment was significant. Now you can start a food truck for far less and have it up and running in 10 to 12 minutes.
With the expansion of commissaries and smaller support businesses, you don’t have to drive as far or pay as much for those support services.
Joe: This trend is really starting to impact restaurants and foodservice operations across the board, isn’t, Jackie?
Jackie’s response to include:
It’s a huge influence in terms of operations, in terms of what’s desirable for the consumer. What we are starting to see is a lot of new players, even in delivery. Some have no restaurants. Just order and have it delivered to you. Prepared in a commissary.
But non-traditional retailers are going to really grow. This will be the bulk of the growth for the foodservice industry. This includes C-store. Food trucks. Grab and go. Vending.
Independents and multi-unit operators with less than 10 units is where most of this will happen. Fast-casual is growing at a faster rate than the industry, but it is a relatively small industry segment.
20 percent share of the growth will come from independent restaurants, where in the past most of the growth came from the chains
Joe: How do food trucks or other grab and go operations differ from more traditional foodservice operations?
AJ’s response:
It’s different than regular foodservice businesses in that customers come in waves. And when that wave hits, you have to be ready to take advantage because there are other options nearby.
Our smallest taco shop is 5 x8 and has a 5 foot hood in it and can service 1,500 to 1,800 people a day.
Storm adds:
You are drinking from the fire hydrant for three hours.
For food trucks, it’s really about speed of service. It’s not necessarily a huge gold mine. Throughput is really important.
The biggest lesson for us with the food trucks, is that you have to have that support kitchen somewhere. You need it to help with speed of service.
We originally thought they could be completely self-sustaining. But realized quickly we did not have the space.
More of a finishing kitchen and have more space for storage and staging.
Joe: Are there any universal traits when it comes to food on the move?
Jackie’s response to include: Three givens of food on the move.
Good food
Convenient
Customization. This plays into the consumer’s perception of value. This can be as complex as made to order. Or offering pairings can help give the perception of customization or options and condiment bar
Remember the perception of freshness creates value and conveys quality
In fact, 74 percent of consumers say freshness creates overall value. And 72 percent of consumers say fresh descriptions make c-store foodservice high in quality.
In creating c-store value, freshness is only equaled by taste. And it is the LEADING descriptor that contributes to quality, followed closely by “prepared daily,” which also indicates freshness. Relatedly, more than a third of consumers say that the availability of fresh fruits (39%) and fresh vegetables (35%) could help improve overall value at c‐stores.
Source: spring 2014 C-StoreMB
Joe: How does menu composition differ for these types of operations?
AJ’s response: Focused menu is key.
And it has a little more flare and pop.
Road food in the past did not want to offend anyone, so it was pretty bland.
Even wraps today are of much higher quality than in the past. We are very ingredient centric these days.
Storm adds:
Can have a variety of sandwiches, salads and wraps. Customers expect that.
We have a full grocery store on campus and can’t keep product on the shelf.
Smaller espresso areas subsidized by the are large markets (c-stores)
Joe: So the concept of portability, which includes being able to order food while on the move, pick it up while on the move and eat it without skipping a beat seems to really resonate with customers.
Jackie:
The concept of portability is very popular and has packaging impacts
Consumers have specific ideas of what they want in terms of packaging. For many, foam packaging is a turn off. Environmental concerns. Says cheap.
Eating on the go. KFC’s go cup fits into the cup holder
Speed of service is key, particularly when you are on the go.
The impact of technology on throughput will be worth watching. Customization slows things down but kiosks and apps can really streamline customization. As consumers get more comfortable with this, it speeds up the process. If you are able to better accommodate the rush through online ordering, that can help manage customer expectations and manage throughput.
Great example is Panera.
Starbucks exploring this, too.
Joe: What are some key steps in designing a small footprint foodservice operation?
AJ’s response to include:
Break down the science of cooking and you will see some types of cooking come from the same kinds of layout. For example, Italian and Chinese use similar layouts. For as much as we have diversified, the advancement of tools have helped create this stage to do this.
Determine the guest count. What does the business have to support?
The truck is a conduit that serves people. So look at old cafeteria planning programs and do a facility flow. Walk the food from the back door to the customer. That will help you determine what you need and how much of it.
You don’t want items that are too big or require cleaning too often.
In terms of menu planning, consider a kitted program: Focus on four ingredients per menu items to keep it simple and not take up too much space. You can portion them out, too.
Joe: Storm, why don’t you walk us through some of steps and considerations you go through when planning your next grab and go operation.
Storm’s answer to include:
We have 41 locations where you can get food on campus. This includes 23 espresso/express cafes scattered in different buildings
We also have 3 food trucks. They have specific locations and do not move them much. And they still draw long lines of customers every day.
This part of our business is growing as the food trucks have a uniqueness about the type and quality of food you get. Good value and big portions.
We create our own grab and go menu items in house, 8,000 to 10,000 pieces per week. \
We are decentralized in so many ways on this campus. So a dean will call us saying they want a café in their building.
In your new location, makes sure you are in a popular thoroughfare and not in a closet. Also, do the math on building population
Typically, we are a victim of space before we know how many customers we will get. Some locations will get two deliveries a day because we don’t have enough space in there.
How do you get the most out of that space? We look at the number of components we need and then find a way to stack them up.
You have to ask: Where is the product coming from and what sort of infrastructure do you have to get it there?
Look at the layout to make sure it’s effective.
Joe: What are some key considerations when specifying equipment for a food truck or other small footprint foodservice operations?
AJ’s response to include: Two key elements to consider when specifying equipment for a food truck:
Rapid recovery: we like to think of machinery as being pretty consistent but when you put fries into a fryer, there’s still a temp drop, whether they are fresh or frozen. So you want something that’s durable and won’t have the temp dip too much. You want to be able to cook through and kick food out on a consistent basis. You may pay a premium for something like this. Can’t cut corners. And when eliminate décor and other expenses, you can invest more in this equipment.
Small utility load: Your utility load gets split between your water, electric systems and gas. What kind of water system are you running? Are you tied into a grid or self-supporting? You don’t want to use too much water but need to operate a food safe business. Menu type (burgers or sausage, for example), will dictate whether you cook/prepare at the commissary or all on the truck. You have to mesh your trailer with what you are trying to do on the front end. In a regular building, you can always add more firepower.
Other points to consider include:
Strive for the most robust output in the smallest footprint.
Understand how local ordinances will impact your utility selection.
Flexible equipment, too. Something that can make multiple menu items.
One piece of equipment taking care of 80 percent of your operation can be beneficial. Maximizes return on equipment investment and limits the amount of labor required
Joe: Storm, what are some key pieces of equipment in your cafes?
Storm’s answer to include:
It’s all about local ingredients, but the food has to be cheap and the packaging has to be compostable.
We prepare food for grab and go prepared in the catering kitchen and use drivers and refrigerated trucks to get the food there. It’s worked really well.
Two-door glass reach-in or self-served refrigerated case with baked goods on top and refrigerated on the bottom.
Quite a bit more refrigeration fewer freezers
More portability – sandwiches are the ultimate portable item.
Panini grills to make hot sandwiches in 45 sec are real crowd pleasers.
Joe: How has equipment evolved to be able to function in this brave new world of foodservice everywhere?
AJ: Equipment helped change the game. Someone can throw together a $5,000 food truck and run a small footprint business.
Restaurant equipment was seen in one light and everything else was concession equipment.
Countertop steamers, for example.
It’s about repurposing equipment: feeding smaller amounts of people in more frequent batches.
This has been aided by the expansion of food knowledge.
Some people with a vision, perhaps centered around a smaller menu, took the food out of a clunky box. They do a few items and do them well.
Joe: It seems to me that right now, the development of grab and go service, food trucks and the like favor the smaller operators. Is that the case?
Jackie: Yes and no.
It’s easier for c-stores to dedicate more space to fresh prepared foods without having to do a total re-build.
Some c-stores now have designs that feature open kitchens and even offer customization of menu items. They are embracing rapid cook technology and have learned from the leaders like Wawa and Sheetz.
As you grow into a larger chain, your ability to float new ideas such as concepts, menu items, etc. becomes more difficult compared to an operator with 10 units who wants to add a food truck. Bigger operators are less nimble. They will continue to innovate but it will take time.
For everyone, however, it does require some investment in terms of equipment and labor. Expansion is happening on a market by market basis.
Joe: Jackie, tell me what’s in store for the industry in this area.
Jackie’s response to include:
Still feeling the impact of the financial market. While things are better we are still not there. So building a new store is a big financial commitment.
With respect to site selection the urbanization of America has made real estate expensive so you will see continued expansion of daypart for concepts.
For food trucks there will be lots more competition, too.
Snacking is an emerging daypart for operators to monitor.
AJ’s response to include:
Understand the globalization of this change. Getting up and running can be such a community fight, dealing with local boards and businesses, but this movement is not going anywhere.
Your opportunity in food trucks and grab and go, you can pick your identity. What kind of food truck do you want to be? What’s your client base?
Don’t bite off more than you can chew. This is more of a retail-oriented business. Everything is on display. People can see where the care is in your business. Customers can see who is making an effort.
Storm: When starting a smaller footprint foodservice project, consider the following:
Need to have enough queue space.
How much product can you have on hand at one time. How fast can you get them through?
Also, ask the simple questions like where does the garbage go?
Try to overbuild for the future to allow space for growth.
Incorporating UDS provides more equipment flexibility – you can roll items in and out and even adopt new technologies
“Moduline offers the best performing, most efficient hybrid steamers, ovens, and holding equipment available today, with tomorrow in mind. Efficiency & performance means more happy customers, less waiting time, and increased menu capabilities. Moduline, the ultimate in ready meal regenartion and mobile solutions.
With unmatched durability and grace under pressure, Vitamix blenders are engineered to reduce prep time and improve efficiency. Which is why Vitamix was named Overall Best-In-Class by Foodservice Equipment & Supplies for six consecutive years.
Vitamix. Engineered to change your life.
Learn more at vitamix.com/commercial.