Companies in this industry prepare meals and snacks for immediate consumption from motorized vehicles or nonmotorized carts, such as food trucks, ice cream trucks, mobile concession stands, and hot dog carts. No major companies dominate the industry.
Demand is driven by consumer tastes, personal income, and local demographics. The profitability of individual companies depends on location selection, food quality, and effective marketing. Large companies have advantages in name recognition and economies of scale in food and equipment purchasing. Small companies can compete effectively by specializing in unique food products and leveraging relationships with local suppliers. The industry is fragmented: the top 50 companies account for about 25% of revenue.
Products, Operations & Technology
Sales of meals, snacks, and beverages from mobile food outlets account for the bulk of industry revenue. Some companies earn secondary revenue from catering private events.