Stick To Your Event Minimums and Profit First
Quote from coffee gap on Oct 15, 2024, 2:19 pmLesson for you new food truck owners out there that I had to share. Just last night, I landed a $1,800 catering for 40 people, three hours. A lot of vendors would never dare charge this much, but don’t your insecurities cut into your profits.
When you’re quoting off-market prices, like $45 per person for burgers and fries, people naturally ask for an explanation. Here's the reasons I gave this a lady who filled out the form on my website:
Mary: I’m interested in hiring your truck for a birthday party! 😊 8/15/25 6pm 40 people. We’re in [removed city name / details.] We have food trucks at the park a block from our house weekly so it's nice and flat. Let me know if you have availability and rates.
My Response:
Hi Mary! Thanks for reaching out. I actually have another booking that day, but I could move it around if needed. Just a heads-up though, our minimum rate is $1800 for events like this. We usually do breweries on weekends, which brings in $2-3k in business, so we have to be selective with our bookings. For $1800, we can feed around 90 people with our standard catering menu. Let me know if that works for your budget!Mary:
$1800 for 50 people feels kind of steep, especially since it’s not a huge crowd! The truck my friend booked charged a lot less for their event. Can we figure out something a little lower cost?My Reply:
I get where you’re coming from, but that $1800 covers more than just the food. It includes our time, setup, staffing, and being on-site for a few hours. Plus, our pricing is based on what we’d usually earn at a brewery gig, where we bring in $2-3k on a good weekend. You’re also getting enough food to feed up to 40 people with some flexibility there if your guest list grows. We just have to make sure the event is worth the time and resources we’re putting in.Mary:
That makes sense, I didn’t think about everything else that goes into it. It’s not just about the food, but the time and service you’re providing. Let’s go ahead and lock in the date.My Reply:
Sounds great, Mary! I’m glad we could work it out. I’ll lock in your booking for 8/15, and we’ll be ready to serve up a great time! I'll send an invoice later today for 50% of the catering fee. Looking forward to it!It’s important to stand firm on your pricing and minimums. You can’t take every gig, and sometimes you have to be willing to walk away.
Lesson for you new food truck owners out there that I had to share. Just last night, I landed a $1,800 catering for 40 people, three hours. A lot of vendors would never dare charge this much, but don’t your insecurities cut into your profits.
When you’re quoting off-market prices, like $45 per person for burgers and fries, people naturally ask for an explanation. Here's the reasons I gave this a lady who filled out the form on my website:
Mary: I’m interested in hiring your truck for a birthday party! 😊 8/15/25 6pm 40 people. We’re in [removed city name / details.] We have food trucks at the park a block from our house weekly so it's nice and flat. Let me know if you have availability and rates.
My Response:
Hi Mary! Thanks for reaching out. I actually have another booking that day, but I could move it around if needed. Just a heads-up though, our minimum rate is $1800 for events like this. We usually do breweries on weekends, which brings in $2-3k in business, so we have to be selective with our bookings. For $1800, we can feed around 90 people with our standard catering menu. Let me know if that works for your budget!
Mary:
$1800 for 50 people feels kind of steep, especially since it’s not a huge crowd! The truck my friend booked charged a lot less for their event. Can we figure out something a little lower cost?
My Reply:
I get where you’re coming from, but that $1800 covers more than just the food. It includes our time, setup, staffing, and being on-site for a few hours. Plus, our pricing is based on what we’d usually earn at a brewery gig, where we bring in $2-3k on a good weekend. You’re also getting enough food to feed up to 40 people with some flexibility there if your guest list grows. We just have to make sure the event is worth the time and resources we’re putting in.
Mary:
That makes sense, I didn’t think about everything else that goes into it. It’s not just about the food, but the time and service you’re providing. Let’s go ahead and lock in the date.
My Reply:
Sounds great, Mary! I’m glad we could work it out. I’ll lock in your booking for 8/15, and we’ll be ready to serve up a great time! I'll send an invoice later today for 50% of the catering fee. Looking forward to it!
It’s important to stand firm on your pricing and minimums. You can’t take every gig, and sometimes you have to be willing to walk away.
Quote from Richard Myrick on Oct 15, 2024, 2:24 pmLove this! I’ve been in the game for years, and trust me, sticking to your minimums is so important. I've made the mistake of undercutting myself early on. It's never worth it!
Love this! I’ve been in the game for years, and trust me, sticking to your minimums is so important. I've made the mistake of undercutting myself early on. It's never worth it!