Industry Analysis & Industry Trends
While the larger food-service sector relies on buoyant consumers to drive revenue, the Street Vendors industry has not been as susceptible to volatility in consumer spending and confidence over the past five years. In the five years since the recession, many consumers spent less on discretionary items such as food purchases. However, street vendors were largely able to avoid these potential hindrances by selling food that is even cheaper than traditional fast food restaurants. The public's newfound obsession with food trucks will likely subside over the next five years, but sustained interest from major metropolitan areas will still present some opportunities for growth... purchase to read more
Industry Report - Industry Investment Chapter
The Street Vendors industry has a low-to-moderate level of capital intensity. In 2015, IBISWorld estimates that for every $1.00 an operator spends on wages and associated labor costs, it will spend $0.12 on the use and replacement of capital. The major industry costs relate to the owner's own labor costs (and the cost of hiring employees, if applicable) in supplying food services to customers and in purchasing food, beverages and similar items for re-sale.
The many capital costs operators are exposed to include vehicles and cooking equipment. Operators with limited access to capital can rent or lease equipment, which lowers the average level of capital intensity. The cost of various food-preparation equipment ranges based on function and quality... purchase to read more