SXSW 2011 Lesson: Food Trucks as a Model for Social Innovators
#1 Thing You Need to Learn from This Post:
Launching new ideas in today’s marketplace requires less capital and greater agility – something food trucks know very well.
A More Detailed Exploration:
Eating barbecue in Austin during SXSW is part of the annual pilgrimage. Since I have spent my fair share in Austin with my prior travels and previous times at SXSW, I was searching for something new. Fortunately, I caught a news story about a place that has skyrocketed on to the Austin BBQ scene: Franklin Barbecue.
What caught my attention was that they were opening their first permanent location on the Saturday of SXSW Interactive after operating for some time from a food truck. Yes, you’ve seen those food trucks in your city starting to multiply like rabbits. There’s a good reason for that. It’s far cheaper to open for business, especially since the credit market has been so tight for small businesses as of late.
Apparently, Franklin Barbecue is so good, people will wait in line for over an hour to eat it. Even more interesting is how Franklin Barbecue is open until they run out of food – which is fast. This daily scarcity is because of capacity issues. They only have one smoker, but are in the process of building a second one. But the fact it can run out adds urgency for barbecue lovers to buy the product when they can.
I showed up at about 11:45am to beat the rush. That was naive. A few had camped out over night and most got in line by 10 am for the 11 am opening. The line was this long (see left) when I got there and took a little over an hour to get to the counter. The line moved steadily and gave me a chance to talk with passionate people who’ve been eating there for awhile. That’s how I knew to order the two-meat plate that came with two sides AND a brisket sandwich. Brisket is by far the reason for its success. (see above)
The Lessons for Social Innovators
Before you mistake this post for a restaurant review (5 stars, BTW – most amazingly moist brisket and three types of sauces. Ribs and sausage were great, too), I think food trucks offer up important lessons for social innovation. Here goes:
- Smaller Entry Barriers = Greater Risk Taking – Opening up a barbecue stand featuring espresso-marinated brisket is risky, especially when you source your brisket from a humane-certified ranch in Montana that you sell in Texas.
- Carve Your Niche and Stay Focused - Walking around Austin, I found food trucks selling gourmet mini-donuts at DocMunchies, multiple Korean taco trucks, estate-grown espresso drinks, wood-fired Italian sandwiches, waffle cones full of bacon and cereal, Australian pocket sandwiches and much more.
- Go to Where the People Are - Unlike fixed point restaurants, you can move if the crowd has migrated away from where you set up for the night.
- You Can Be Classy in a Food Truck - I ate one of the most exquisite Indian meals at G’Raj Mahal Cafe, which was a food truck parked in a pea gravel lot with magnificent Moroccan-style tents interspersed with the Austin Bike museum’s collection (see below).
- Use Social Media to Build Your Following - Twitter and Facebook are a great way to let your loyal customers know where you’ll be, what new recipes you’ll be serving and any other changes. I followed @DocMunchies to find out where and what they’d be selling. (I went with Mexican Chocolate and traded some for my friends’ Coconut, Cinnamon and Sugar and Hazelnut orders – all excellent).
- Prototype Then Scale - Just like Franklin Barbecue, you can test out your recipes, portions, prices and other elements of your operations. Once you’ve figured out the right mix, you can move from the equivalent of a food truck to the bigger scale brick and mortar in your sector.
What other lessons do you think social innovators can learn from food trucks?
Camping out overnight…for food? I remember being 18 and camping out overnight for Garth Brooks concert tickets, but seriously…for lunch?
Wow. That must be some good eats.
Interesting analysis. Thanks for sharing!
Hmm . . . learn from food trucks? My guess is maybe . . .
“Of all races in an advanced stage of civilization, the American is the least accessible to long views… Always and everywhere in a hurry to get rich, he does not give a thought to remote consequences; he sees only present advantages… He does not remember, he does not feel, he lives in a materialist dream.”
That’s a sweeping generalization. Not only do I take issue with calling Americans a race, I would dispute that everyone in America subscribes to those views.
This is so cool . I love me good food, being that my home of NY has it’s foodise, and last years winner is down the block from me (and it’s AMAZING).
Anyway innovators/bigger businesses can learn a whole lot from food trucks, but possibly most of all they should learn that Quality comes first!
Looks like you made a great run on the ATX food truck scene. Congrats on Freshly Pressed!
Man, I want to go to SXSW so bad just for the food alone!
It’d be worth it. There is so much going on in Austin where you don’t need a SXSW badge. Austin is a foodie place.
Sometimes I think it is hard to distinguish between the taste of the food and a hype that has formed around it…
yummi………….
i am hungry, when i see a food
I thought brisket was a religion in Texas. Seriously, it is great that from a lesser investment you can work and hone your skills before getting that permanent establishment.
Sounds like a lot of good eats down there! I really like food trucks. I wish where I lived had more of them. {Vermont is sort of small.} Congrats on being Freshly Pressed:)
Thanks – I live in the Boston area and we have a growing food truck scene here (Clover Food Truck is one of my favs). Yes, the Freshly Pressed feature has created quite the traffic today.
Wow to camp out to pay for a good meal! Now that is something else! Are they going to open a restaurant in So Cal.?
I like the food trucks. You can really get a huge variety of food you may have never got to experience. And it’s kind of like a “mom and pop” thing. No chains and more original.
They have some of the best food.
I was thinking about running a taco truck up and down the broder with Mexico. My wife won’t let me.
Yum! We have a great selection of food trucks in PDX and it’s interesting to see how they are growing in popularity and acceptance in other parts of the country. And – I get the “risk” part; at one time my co-workers and I used to call them “Salmonella Row”!
Jen
Awesome tips. Proof that they’ve evolved from they’re evolving from that “roach coach” image.
Congratulations on being FP!!
Great observation. Hawaii has food trucks that have become institutions. Their quality rivals that of fixed restaurants. In a market where the cost of leasing a space drives costs to stratospheric heights, food trucks offer unbeatable value. These entrepreneurs are rewarded for their efforts. Contrats on being Freshly Pressed.
I’ll admit I was skeptical at first but that Hawaiian Big Kahuna Burger was delicious…. Austin can always be counted on for amazing food and good times… Its a good thing Im living in Dallas (home of chain restaurants and anything cliche) for the time being because if I was living in Austin I wouldn’t be able to button my jeans anymore.
Two thumbs up for food trucks in Austin.
If you want to support a guy who is trying to start a healthy-food truck in the Denver area, check out Cripple Creek Barbeque’s project on Kickstarter (no, it’s not my project, but it is very relevant to this post) – http://www.kickstarter.com/projects/CrippleCreekBBQ/ccb-and-the-food-truck
I agree– Portland’s food cart scene is really taking a turn for the amazing. Coming from a small town, the idea was completely foreign to me at first, but I’m glad I finally took the plunge– those waffle carts will literally be the death of me. Plus, there’s something about ‘em that makes it feel like a summer festival all year round.
I read an article about food trucks in Austin — I think it was in the Washington Post — and I was impressed by the diversity of the food offerings from these entrepreneurs. Their flexibility is amazing, and I like how they can quickly offer alternatives to brick-and-mortar stores. Along the lines of craftspeople selling their creations on Etsy, or at street markets. Big difference is that the food trucks can zip around to where the people are. Food trucks are popping up close to me in Washington, DC — so it’s cool to see this trend happening closeby. Thanks for sharing your lessons learned from the food trucks!
Ice cream trucks only do their rounds in summer in Australia. But I guess Texas has a vast expanse where there are empty pockets. Is this meant for isolated areas? Lot of competition if they are in cities.
The current food truck phenomenon is happening in dense urban areas which can support these niche offerings. Yes, lots of competition which creates even greater creativity.
it’s nearly lunch time here and your 1st photo is killing me
One of my favorite things about food trucks is that the majority of the effort, creativity, etc is focused on the food itself. I mean, I’ve seen some tricked out food trucks, but even the cost of doing that can’t compare to the time and money that go into maintaining a restaurant. Chefs get an opportunity to devote all they want to what they create.
THIS IS AWESOME!! I think it is amazing that food trucks are really starting to get the recognition they deserve (when they deserve it). We are in the midst of crowd funding for our BBQ truck in Denver/Boulder. Small market with lots of up side. I hope one day to have people camping out! LOL
Looks like you made a great run on the ATX food truck scene. Congrats on Freshly Pressed!
900 E 11 St. Austin, Texas Y’all!!
The sauce the pulled pork!!