Marketing channel strategies and effectiveness

Marketing

For Yats' food truck, the distribution channels are the business. Currently all of Yats' locations are bricks and mortar, and the food truck represents a brand extension in mobile food service. The truck will be purchased and retrofitted so that it can produce quality Cajun and Creole food. There are two types of food truck businesses -- stationary and mobile. The former are typically fixed in place and time, but the latter move around the city. The latter is more likely going to be the case for Yats, as city licensing will necessitate that the truck moves from location to location. The entire point of this method of distribution is to a) bring Yats to areas that do not currently have Yats and b) to create mobile destinations for food truck fans to seek out.

Distribution therefore is the most critical component of this business. A food truck must abide by the old restaurant maxim of "location, location, location." While food trucks will attract people to the truck, there is a significant element of timing involved in selecting locations. The business, however, cannot simply set up anywhere it wants, but must set up where the city allows or, if on private property such as a parking lot, where and when the property owner allows. Therefore, Yats must strike a balance between space availability and locating in areas with high traffic throughput and ample parking for customers (or strong walk-by traffic if there is minimal parking).

Parking is often important for food trucks because although the entire business is based on take-out, the customers will often prefer to eat their food immediately. There are exceptions, however. For example, if the truck were to focus on serving oyster po-boys outside of a popular bar at 1am, parking is not as important. In general, however, the food truck model relies on being able to not only situate in a high traffic area but one that has some parking so that people can drive up and eat in their cars. Without this, the revenue potential for the truck will be diminished.

As the product is essentially self-distributing, it is worth considering that we also need a vehicle to haul the food truck around town. The truck is a self-contained unit, but it may require driving. To that end, we will need to either ensure that our food truck is self-driving or if using a trailer that we acquire a truck to drive it. Depending on the city bylaws, we may need to move the cart frequently, multiple times per day. Thus, we need to have reliable transportation for the truck.