Do you want to start a mobile juice bar truck? If YES, here is a complete guide to starting a mobile juice bar truck business with NO money and no experience.
Okay, so we have provided you an in-depth sample mobile juice bar truck business plan template. We also took it further by analyzing and drafting a sample mobile juice bar truck marketing plan backed up by actionable guerrilla marketing ideas for mobile juice bar trucks. In this article, we will be considering all the requirements for starting a mobile juice bar truck business. So put on your entrepreneurial hat and let’s proceed.
Table of Content
- 1 Why Start a Mobile Juice Bar Truck Business?
- 2 Starting a Mobile Juice Bar Truck Business – Market Research and Feasibility Studies
- 3 Starting a Mobile Juice Bar Truck Business – Legal Matters
- 4 Is Professional Certification Needed to Run a Mobile Juice Bar Truck Business?
- 5 Starting a Mobile Juice Bar Truck Business – Technical and Manpower Details
- 6 Starting a Mobile Juice Bar Truck Business – The Marketing Plan
Why Start a Mobile Juice Bar Truck Business?
The juice industry is one that is growing tremendously and this is because more Americans are looking to increase the amount of fruits and vegetables they ingest and they are therefore turning to juices that are packed with nutrients to supplement their diet.
According to statistics, the rate of high cholesterol and diabetes are falling because Americans are making healthy choices regarding what they consume. The center for Disease Control and Prevention recorded in 2015 that the number of people with diabetes dropped from 1.7 million in 2009 to 1.4 million in 2015.
Juice bars started coming into existence in the 90s because people began noticing the long term effect junk foods had on their bodies. This therefore led to the industry not only starting off but growing tremendously at a rate of between 4 and 8 percent every year and generating revenue of more than $5 billion. This therefore means that starting a mobile juice bar truck business is not just a way you can generate revenue and turn a profit; it is also a way you can help people live healthier.
While you might be rearing to go considering how good the business sounds, it is just not enough as it is essential that you conduct a thorough research into the mobile juice bar market to understand how the industry works. Studying the industry can be done by studying your competition – their products, customer relation service, their marketing techniques and their main areas of operation. You can also study the industry by reading up research reports from reputable research firms and then carrying out your own quick surveys as well.
The fact that almost everyone takes juice doesn’t mean that the possibility of your business failing woefully isn’t there. It is one thing to visualize a business but totally another thing to start a business, which is why entrepreneurs are often advised to have a business plan.
Starting a mobile juice bar truck business can gulp from thousands of dollars into hundreds of thousands of dollars depending on so many factors and due to this fact, it is important that you set a budget as regards what you will be willing to spend. Setting a budget is a huge deal as it will be used as a factor when financial decisions about your business will be made. A budget generally helps to keep your business on track.
Starting a Mobile Juice Bar Truck Business – A Complete Guide
- Industry Overview
The juice bar industry which is joined with smoothie is estimated to generate about $2 billion annually and growing at a steady rate of 2.8 percent from the periods of 2011 to 2016, according to IBIS World. There are more than 4,800 juice and smoothie bars in the United States employing more than 49,000 people. The reason for the steady growth experienced by the industry is due to industry operators being able to quickly adapt to changing consumer preferences.
Juice bars have in recent years been forced to go back to the drawing table especially after the perceived high sugar content of some of the juices that were being sold to customers. This led to the emergence of cold pressed juice where fruits and vegetables were chopped and crushed without the use of heat, thereby also leading to the emergence of mobile juice bars.
It is expected that the industry will continue to evolve in the next five years, 2016 to 2021 in line with changing consumer tastes and preferences as well as other trend determinants. Also, the fact that there is expected to be an increase in competition with less certainty about what consumers would like in future, the industry is predicted to become more nimble as mobile juice bars come into play.
The mobile juice bar which is within the juice bar industry has not had any top industry players as players seek to dominate the areas where they are located. On the other hand, brick and mortar juice bars have several brands that have gained prominence even though many of these brands are independently owned and operate in a single location.
Most of the juice bars have turned to franchising as this is expected to help spread the brands involved and allow it become more of a national brand than being limited to a single location of operation.
Demand is expected to increase for this industry in the future as more people look to consume their fruits and vegetables in a healthy way without having to do it for themselves. It is also expected that more people will start to order for juices to be brought to them as opposed to getting it themselves.
Only one juice bar is publicly traded and also dominates a large percentage of the overall market. Even though market share is expected to increase, it is predicted to come through consolidations which will be from mergers and acquisitions leading some operators to increase their overall revenue and in extension market share.
Starting a Mobile Juice Bar Truck Business – Market Research and Feasibility Studies
- Demographics and Psychographics
Persons who will buy your juice cannot be limited to a certain people as the young, middle aged and old people especially those in the middle and lower income bracket can be defined as the core market. Those that are likely going to be around a mobile juice truck are those within the ages of 16 to at least 60. Therefore, if you are looking to define the demographic for your mobile juice bar truck, it should focus on this age group.
List of Niche ideas Within the Mobile Juice Bar Truck Business That You Can Specialize in
A mobile juice bar truck business is one that primarily sells juices that are freshly made to a set of customers. These juices might contain add-ins such herbal or nutritional supplements. Most juices that are sold in the market are usually stocked with preservatives and so due to changing tastes and preferences, more people prefer to take juices that they know are freshly made and will hardly contain any preservatives.
In order to penetrate the market, you might need to need to carve out a niche for yourself as regards the juices you produce or go into making other products as well. While niches might help you stand out and compete fairly against your competitors, it is essential that you conduct a thorough research before branching into a niche. Below are some of the niche ideas within this particular business that you can specialize in;
- Protein Shakes
- Other beverages
- Finger foods
The Level of Competition in the Mobile Juice Bar Truck Industry
Mobile juice bars thrive well in locations where there is huge foot traffic. However, other businesses know the advantage of foot traffic as well and so will likely establish their businesses close to or within the traffic. While you might get away with being the only mobile juice bar within your area, you will most likely be facing competition from brick and mortar juice bars, grocery stores as well as fast food restaurants.
Therefore, if you are looking to start your mobile juice bar truck in the United States of America, you should expect intense competition from other juice bars especially the ones that have made a name for themselves.
List of Well – Known Brands in the Mobile Juice Bar Truck Industry
In every industry, there are usually brands that stand out due to the quality of their products and or services, their fees, the way the brand is perceived nationally, their marketing and promotion campaigns and their customer service.
The mobile juice bar business industry is one that may not have national brands but brands that stick out in the different areas where they operate. Below therefore is some well-known mobile juice bar truck businesses;
- So Fresh Mobile Juice Bar
- Ripe Mobile Juice Bar
- BEET It Up Mobile Juice Bar
- Zummo Z11 Big Orange Mobile Juice Bar
- Blended Mobile Juice Bar
Even though taking a bit comfort food every now and then isn’t a bad idea, it usually turns out into a bad decision on the long run. It is getting hard to say healthy especially due to how fast everyone is living and the need for fast foods as well, which makes a mobile juice bar a very healthy option for those looking to balance their nutrients.
This industry is one that is thriving and according to research reports, is experiencing steady growth as well. The growth experienced by this industry has been attributed to the growing fitness and wellness industry as customers are increasingly becoming more health and wellness conscious especially as regards what they consume and juice bars have taken advantage of this.
Businesses are not only taking advantage of the change in health trends of the market; they are also going into niches in order to be able to guide their customers in order to the most nutritious juices.
While juice bars are becoming trendy, mobile juice bars are becoming even trendier with more entrepreneurs avoiding purchasing franchises in a bid to start off with their own brand and create a name for themselves by creating their signature recipes instead of working for another brand.
Starting Your Mobile Juice Bar Truck Business from Scratch versus Buying a Franchise
One of the toughest decisions that you will be making while starting your business is whether to start your business from scratch or to buy a franchise. While each option might have its pros and cons, whichever decision you choose should be dependent on what the overall goals and objectives for your business are; however, none of the option is a guarantee that your business will succeed or fail.
Franchises are usually for entrepreneurs looking to get a head start in their business. In buying any franchise, it is important that you have conducted a thorough research so that you do not end up paying for a franchise that will not benefit you and therefore be a waste of your investment.
In starting your business from scratch, you might have the option of buying a used truck or buying a new truck and customizing it to your preference. Starting your business from scratch usually affords the entrepreneur the opportunity of being in control of the business. Entrepreneurs are often however encouraged to have a business plan of some sort as this will help guide them towards making better decisions regarding their business.
Possible Threats and Challenges You Will Face When Starting a Mobile Juice Bar Truck Business
Every entrepreneur should expect threats and challenges to the business as there is no how this can be avoided. Every industry no matter how little the business might be always have threats and challenges peculiar to the business. It is important to however note that certain threats and challenges cannot be handled and the best way for these kinds of threats and challenges is to remain optimistic till they pass.
Some of the threats and challenges that you are therefore likely to face when looking to start or while running your mobile juice bar truck business in the United States of America include; competition from already established competitors (juice bars, mobile juice bars, fast foods, brick and mortar buildings), changing customer tastes and preferences, changing industry trends and pushing to become a known brand.
Starting a Mobile Juice Bar Truck Business – Legal Matters
- Best legal entity to use for this type of business
One important decision you will ever make when starting your business is in choosing a business name as well as a legal entity for your business. You should know that the choice of your legal entity will have an impact on your business and its ability to grow in the long run.
The process can usually feel overwhelming especially for someone that is newly starting a business and so in this regard, it is best to find out what the competitors in your area are using or consult with an attorney regarding which entity would best suit your business.
There are five different kinds of entities that are available to all entrepreneurs in the United States of America such as Sole Proprietorship, Partnership, S Corporation, C Corporation and Limited Liability Company (LLC). However, not all might be suitable for an entrepreneur looking to start a mobile juice bar truck business. There are several factors that should be taken into consideration when it comes to choosing a legal entity and they are; ease of setup and control, tax implications, flexibility and liability limit.
The three legal entities that you might need to focus on are; sole proprietorship, partnership and LLC. The sole proprietorship is one of the easiest legal entities to set up and is used by most entrepreneurs starting out their businesses in the United States.
The entrepreneur is regarded as the sole owner and one who is in charge of all the aspects of the business. Owners under his legal entity usually use their own capital or source for soft loan from their family members and friends. The only issue with a sole proprietorship is that should the business run into debts or be sued by any of its customers, it is usually the owner and his personal assets that bear the direct consequences.
Catchy Business Name ideas Suitable for a Mobile Juice Bar Truck Business
Choosing a name for your business is very important as the name you choose goes a long way to determine how your business will be perceived by your intended customers. Choosing a business name should not be considered trivial because the name has to be one that is unique, memorable, easily pronounceable and indicative of the industry that you are in.
Below are some of the catchy business name ideas that are suitable for your mobile juice bar truck business;
- Mama Cee Juice
- Pete’s Juice Bar
- Slurp Juice
- Splash Mobile Juice Bar
- Nero Juice
If you are looking to start any business in the United States, it is required that you have procured at least one insurance policy with which to protect you or your business in the event of your business encountering any circumstances – foreseen and unforeseen.
When you buy insurance policies, you are in effect transferring any risk that your business will encounter to the insurance company you had purchased your insurance from. Businesses that do not have insurance usually have the owner paying more when something happens to the employees or customers.
A mobile juice bar deserves several insurance policies especially as consumers can claim to be sick from consuming your juice. Ensure that you engage the services of an insurance agent so that you will know which insurance policies to buy. Below are some of the basic insurance policies that you will need to purchase for your mobile juice bar truck business;
- Commercial Property Insurance
- Casualty Insurance
- Unemployment Insurance
- Workers’ Compensation Insurance
- General Liability Insurance
- Product Liability Insurance
- Business Auto Insurance
- Umbrella Policies
- Contents Coverage
Intellectual Property Protection/Trademark
While researching and trying different juices, you might stumble upon your signature juice that will be the defining moment for your business but applying for an intellectual property protection in order to protect your recipe might be a waste of time because all anyone needs to do is to add another ingredient to theirs to also make their own recipe. Therefore entrepreneurs in this industry do not often bother applying for any IPP regarding their business at all.
If you however have concerns about your company name, logo, slogan or any other material which you might deem worthy enough, you can contact an experienced IPP attorney to help you apply for an IPP. However, this should not be considered a priority.
Is Professional Certification Needed to Run a Mobile Juice Bar Truck Business?
Anyone can make juice and start selling them in the United Sates as making a juice everyone loves will come from thorough research regarding recipes as well as constant practice. No one coming to get juice from your mobile truck will need to see any sort of professional certification.
However, should you be looking to take your business to a corporate level by bidding for corporate events, having a professional certification either in major fields like management or marketing or even regarding food production will be to your advantage.
List of Legal Documents You Need to Run a Mobile Juice Bar Truck Business
Every business that is started in the United States is expected to have all necessary documents in place before opening its doors for business. Not having all the necessary documents will likely put you in trouble with the law and not only might you be fined by appropriate authorities, but you might also be banned from running such business either in your intended area of operation or in your state.
This is why it is best to make a thorough research about what your business will require before going into it. You can visit your state department to find out what documents you will require or engage the services of a lawyer. Below are some of the documents you will require to run your business depending on the state where you intend operating the business from;
- Certificate of Incorporation
- Operating Agreement for LLCs
- Doing Business As (DBA) Certificate
- Business License and Permit
- Business Plan
- Insurance Policies
- Food Handler Permit
- Employment agreement
- Contract Document
- Seller’s Permit
- Federal tax identification number
- Employee Identification Number (EIN)
Financing Your Mobile Juice Bar Truck Business
Once you have a business idea that you are passionate about, the next logical thing is to try and make the business become a reality by pumping in money. No business can be started without money, even the simplest business; however, most entrepreneurs do not often have start-up capital at hand with which to finance their business idea and so have to source for this capital from external sources.
Sourcing for capital is not usually an easy venture but as an entrepreneur, you should be prepared for it. What will however make it easy for you to get the attention of whoever you are looking to approach is how much you have at hand and have put into the business yourself, how much you are looking for and what plans you have made regarding how the business will generate money to repay their (investors) investment.
Below are some of the financing options that are available for your mobile juice bar truck business;
- Generating part of your startup capital from personal savings or sale of property
- Sourcing for soft loan from family members and friends
- Applying for loan through the SBA
- Getting a business partner to come up with the remaining capital
- Approaching angel investors for loan or startup capital
Choosing a Suitable Location for your Mobile Juice Bar Truck Business
One aspect that might cause your business to flop or become a success is where you are located and so this is a very important decision that must be thoroughly researched on. The fact that your mobile truck is located anywhere does not mean that you will not generate revenue, it only means that you might not be able to recoup your investment fast enough, which might eventually result into your business failing.
One advantage with running a mobile juice bar truck business is that you can move your business if you are not making what you feel you should. Also, you can move your location around several times in a day as long as you feel this is the right thing for your business.
Before starting your business however, it will be best to have mapped out the best spots in the city, where there is likely to be a large number of people so that you know where to move to at certain times during the day. It goes without saying that your business will thrive more in locations where there is huge foot traffic such as the malls, movie theaters, concerts, sporting activities, outdoor entertainment events such as carnivals and fairs.
Because your truck will be doing the most work of conveying you to your intended location, it is necessary that it is always in top condition as allowing break down in a location that is not suitable will not be good for your business at all.
Starting a Mobile Juice Bar Truck Business – Technical and Manpower Details
There are expenses that you will typically incur when looking to start your mobile juice bar truck business and the biggest investment that you will ever make will be the truck that will be used. If you are starting your business with financial constraints, then you might need to buy a second hand truck, which will cost you less than a new truck would. However, the issue with getting a used truck is that if not properly checked, you are likely to pay to fix mechanical break downs that in the end would be more expensive than if you purchased a new truck.
The next big expenses that you will need to consider are what will be used in your kitchen. If you intend to just sell juice without selling other beverages or smoothies, then all you will need to procure is a commercial cold press juicer.
There are some mobile juice bar trucks that serve finger foods; these ones usually require more than a juice presser. If you are running under a tight budget, you might need to focus on just selling juice till you have generated enough money with which to start your business.
There are other equipment and supplies that you will need to procure in order to be able to run your business efficiently and they are; Point of Sale (POS) system, laptop for business administration functions, cups, straws, and napkins. There are other variable expenses that you will need to take account of and they are marketing expenses, cost of ingredients, gas, car park fees and other running expenses.
The mobile juice bar business is something that you can run by yourself except you are looking to serve other beverages as well as finger foods or except you intend to own more than one truck. Therefore, if you are looking to run your business effectively, you might be the only one at first till your business expands.
The Service Delivery Process of a Mobile Juice Bar Truck Business
In order to get customers to your door, there are processes that you will need to engage in. First, it is essential that you have registered the business and taken care of all legal ends so that you do not run into any trouble with the law. You should have a unique juicing recipe and this can be done by looking for a main ingredient and hinging on that in addition to creating other recipes.
Once you have created your recipes, then you should ensure that your business is well branded in order to easily get the customers to come.
Starting a Mobile Juice Bar Truck Business – The Marketing Plan
- Marketing ideas and Strategies
Marketing is a very important process for any business whether you are looking to make profit or not. It is with marketing that people get to be aware of your business and it is from this awareness that interest could be generated about your business which can be later converted to sales.
Marketing involves active and inactive campaigning and while the former involves you putting in effort to create awareness, the latter has to do with being strategically placed in order to create awareness. Also, marketing involves the act of being able to anticipate the needs of your target market in order to fulfilling those needs.
An effective marketing campaign ensures that you are able to penetrate your target market, carve a niche for yourself and also a fair market share while competing fairly against your competitors. Before a marketing campaign can be said to be effective, the entrepreneur must first write out the business’ intended marketing goals and objectives.
Also before this, a thorough market research has to be conducted where the entrepreneur makes a visible effort to know who the target market for his business is, where they are located, what they expect from the kind of product or service that is being offered by the entrepreneur, and what behaviour the entrepreneur should expect from the target market as well. The market research should also enable the entrepreneur identify the major competitors that the business has, their strengths and weaknesses and how these weaknesses can be taken advantage of.
One important factor that should be taken into consideration when looking to start any business especially a mobile juice bar truck business is the location of the business. A strategic location is a marketing strategy because the more that people see your mobile juice bar truck, the more they will help spread the word either consciously or unconsciously.
While getting a good location might cost you money initially, you might end up recouping your investment within a short period of time than someone whose business is located in a not-so good place. Some of the marketing ideas and strategies that can be used to create awareness for your mobile juice bar truck include;
- Advertise your mobile juice bar strategically to those that are located in your area of operation by buying targeted ads online
- Distribute handbills and paste fliers about your mobile juice bar truck with contact information and services you are offering in various strategic locations
- Ensure that you create a website and engage the services of an SEO strategist to ensure that the website ranks tops in different search engines
- Go into niche juices in order to carve a niche for your business
- Reward your loyal customers periodically especially those that refer others to your business
- Use your social media platforms such as Facebook, Twitter, Instagram and Snapchat to spread the word about your business
Possible Competitive Strategies for Winning your Competitors
In every business environment, there is bound to be competition and this industry is no different as a mobile juice bar truck will face competition from fast foods, brick and mortar juice bars as well as other mobile juice bar trucks. As an entrepreneur, you are not only expected to know about your competition, you are also expected to have strategies in place that will allow you to not only effectively combat but also to win over your competition as well.
Some of the competitive strategies that you will therefore need to be able to win over your competitors include; coming up with niche products, offering quality services, having a great customer service and charging affordable prices for your juices.
Possible Ways to Increase Customer Retention
Customers are how a business achieves its revenue generation goals that will help to sustain and grow the business. If a business does not have the required number of customers it will need to recoup its initial investment and then start to make profits, that business will not be able to operate for a long time. This therefore goes to show how important customers are to a business and why it is necessary to create strategies that will attract customers in the first place.
However, while attracting customers is all very important, ensuring that a large percent of the customers that are attracted to your business stick to it is one way of ensuring that your stream of revenue is steady. Retained customers are very helpful to a business and a research report found that those that retained a high number of their customers spent less in comparison to those that kept losing their customers and had to keep attracting them all the time.
The mobile juice bar truck might not be compared to regular brick and mortar businesses because of how mobile the business is but ensuring that you have retained a high number of your customers mean that there will be familiar faces coming to purchase juice amongst the new ones. The reason why customers leave a business for another is the poor quality of the product. If your juice is not fantastic enough, you will not have the same people coming back.
Great customer service has not failed any business and so being polite to your customers, listening to their complaints and promptly resolving it as well as making visible efforts to improve your brand will make your customers not only stick to your brand but also refer others as well.
Strategies to Boost Your Mobile Juice Bar Truck Brand Awareness and Create Your Corporate Identity
No matter what level of business you are looking to start, promoting the business is one sure way of not only generating revenue for your business but taking it to the next level as well. Every entrepreneur wants his or her brand to be so well known within the industry and the only way this can be achieved is via intense publicity. One good thing about publicity is that it not only helps you to stand out, it also allows you to penetrate the market and get a fair share for yourself.
Businesses need publicity in order to thrive, and simply starting a business and hoping that it gets noticed enough to attract enough customers is wishful thinking; which is why entrepreneurs are often encouraged to start with a business that they are passionate about as this will enable them be eager to promote the business using various means and methods.
The mobile juice bar truck business is a growing one and it is only publicity that can enable the industry to attract more entrepreneurs willing to take the industry to the next level. For your publicity campaign to be effective, it is best that you have thoroughly studied the market you are going into in order to create the strategies that will help you achieve your goals and objectives.
The internet has opened up various possibilities for entrepreneurs looking to take their businesses to the next level in terms of promotion, and it is not only cheaper especially for entrepreneurs who are starting off their business on a tight budget, but it is also considered to be more effective.
Below are some of the strategies that you can use to boost the awareness for your brand and also create a corporate identity for your mobile juice bar truck business;
- Distribute handbills and paste fliers in various strategic areas around the location where you intend to run your mobile juice bar truck business
- Use your social media platform such as Facebook, Twitter, Instagram and Snapchat to promote your business
- Ensure that your loyal and satisfied customers help spread the word about your business by offering incentives for those who do
- Participate in outdoor events, fairs and carnivals in order to promote your mobile juice bar truck business
- Ensure that you create a distinct logo and have it prominently emblazoned on the truck
- Install flexi banners in strategic locations in order to create awareness about your business to others
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