Views: 0 Author: Site Editor Publish Time: 2024-07-29 Origin: Site
Did you know that the food truck industry in the United States has surpassed the $2 billion revenue mark as of 2023? According to IBISWorld, the industry is one of the best-performing segments in the US food service sector.
It has grown tremendously with a Compound Annual Growth Rate (CAGR) of nearly 13.3% between 2018 and 2023. However, it is not just the rising demand for affordable gourmet food that is boosting the food truck business.
There is also a growing focus on sustainable packaging in the food truck businesses because of changing consumer preferences and increased awareness about the environmental impact of traditional plastic packaging.
In this article, we’ll discover how you can turn your business into a stream of eco-friendly food trucks with biodegradable packaging. We will also discuss how it resonates with eco-conscious customers and enhances your brand reputation.
The food truck industry generated a revenue of over $2.2 billion in 2023 despite a slight decline of 0.5% in the overall CAGR for 2023 according to the IBISWorld report. What’s more interesting is that it also indicates that the number of food truck businesses has risen to a staggering 47,033.
It marked an estimated 15.8% increase over the period of 2018-2023. This growth shows how the industry is catering to the growing urban populations that seek unique, affordable, and convenient dining experiences.
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According to Mordor Intelligence’s report, the food truck industry is among the fastest-growing ones in North America estimated at over $4.15 billion in 2024. It forecasts an expansion of the industry to reach nearly $6.87 billion by 2029 at a CAGR of 6.5%.
Another important point to note is that the United States has been witnessing a growing number of food truck businesses in the country. As of 2024, there are nearly 753 food truck businesses operating only in the state of California.
This highlights the growing competition within the industry. Food truck businesses are grappling with different issues such as changing consumer preferences, fluctuating operational costs, and more to ensure profitability.
A report from Global Market Insights states that changing consumer preferences are among the key drivers behind the significant growth of the food truck industry. Consumers are looking for more convenient, affordable, and quick dining options.
And, food trucks can provide that along with the opportunity to explore unique cuisines. Similarly, a scientific study claims that rising tourism demands are also one of the main reasons why there is potential for revenue increase in the street food market.
With so much competition and consumers looking for innovative experiences, there is increasing pressure on food truck businesses to offer something unique. As a result, dining experiences with positive environmental impact through sustainable and compostable packaging have gained popularity.
Food trucks increasingly focus on ways to appeal to customers and offering biodegradable packaging is one of them. Since customers have become more aware of the environmental concerns of traditional plastic packaging, they are looking for sustainable alternatives.
When it comes to conventional food truck packaging ideas, there are quite a few problems associated with the use of plastics. Although they are highly versatile and cost-efficient, they often lead to problems like storage issues, leakage, and adverse environmental impact.
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Conventional packaging like a plastic food truck container doesn’t always have the strongest seal. It’s the same case for the Styrofoam containers too. They can leak during transportation which mostly leads to customer dissatisfaction or food waste.
Food trucks often have limited space which creates an even bigger challenge when there is un-stackable plastic packaging. It can occupy valuable space and that restricts food trucks from practicing efficient storage or holding the necessary inventory.
The United Nations Environment Programme (UNEP) reports that nearly 8 million metric tonnes of plastic makes its way into the ocean every. This includes non-biodegradable plastic packaging for food and beverages which contributes to marine litter. It might also conflict with consumers’ preferences for eco-friendly products.
Although a lot of plastic packaging is versatile and sturdy, it can still leak and break. Therefore, food safety regulations require food trucks to use packaging that can maintain the integrity of contents during transport and storage.
While those issues make the use of conventional packaging a challenge for food trucks, eco-friendly alternatives might offer a solution to them. For instance, biodegradable plastics and bagasse food containers are sturdy. Hence, they have a lower chance of leaking or breaking compared to plastics.
Moreover, sustainable packaging often comes in customized shapes and sizes. This ensures that they are stackable and compact for efficient storage activities. Plus, they don’t limit inventory capacity. And lastly, the use of eco-friendly packaging is extremely beneficial to the environment.
The biodegradable containers, cups, straws, and other products are often compostable and break down into organic matter over time. This reduces environmental degradation and decreases the potential landfill pollution.
Why should your food truck use sustainable packaging? Well, because of the environmental benefits and consumer appeal. Those two are the important reasons to incorporate compostable packaging into your food truck business among others.
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A scientific study from 2024 claims that biodegradable plastics can lead to nearly 62% less carbon emissions. This was a comparison between 1000 biodegradable plastic products and 1000 traditional plastic products. As a result, food trucks can reduce their carbon footprint significantly.
According to the 2017 CSR Study by Cone Communication, nearly 90% of consumers want companies to operate in a way that is beneficial for the society and environment. And for that reason, using sustainable packaging makes more sense as it can help food truck businesses build a positive image among customers.
There are practical benefits to using biodegradable packaging made of bagasse, wood, and recycled paper. They are lightweight and durable for use with a variety of food types. As a result, this helps food trucks perform efficiently without worrying about leaks or damages. What’s better is that they can be customized for easy stacking to ensure efficient storage.
It is best to know that the initial costs of adopting compostable packaging can be higher than traditional plastics. However, the long-term benefits far outweigh those costs in terms of environmental friendliness and a cleaner planet. Statista revealed that the global sustainable packaging market was over $276 billion in 2023. This growth can improve cost-efficiency over time as more manufacturers step into the growing market.
The use of paper-based, bagasse, and other biodegradable materials for packaging can help you stand out from the competition. It can highlight your efforts to become an environmentally responsible business. That appeals to consumers who share the same values. A study also indicates that consumers might be willing to pay for eco packaging.
You will come across numerous packaging options for foods and beverages. They vary by size, material, and ideal use. For instance, a wooden cutlery and utensils set is common for household and restaurant applications. Meanwhile, a food truck could benefit from bagasse and recycled paper packaging for takeaways.
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By knowing which type works best for your business and appeals to your customers, you can reach out to the right supplier and have your needs fulfilled efficiently. Let us help you understand how sustainable packaging for food varies based on sizes and materials.
By Size | |
Type | Description |
Cups | biodegradable cups from Polylactic Acid (PLA) and paperboard from renewable sources like bagasse and cornstarch |
Bowls and Takeaway Boxes | Compostable and microwave-safe products made of bagasse which are ideal for hot meals |
Cutlery | Eco-friendly, lightweight, and durable alternatives made from wood, bamboo, and bagasse |
Trays | Biodegradable and compostable products are made from recyclable paperboard |
Biodegradable bamboo or PLA straws that decompose naturally over time |
Cups made from sustainable materials are lightweight and sturdy, making them ideal for hot and cold beverages.
These disposable utensils, which include forks and dessert spoons, make it easy for customers to handle a variety of foods, such as spaghetti, burgers and pizza.
The eco-friendly trays are easy to stack and store at colleges and universities, and do not bend due to the weight of the food. Typically used for salads, sandwiches, burgers, tacos and other common food truck foods.
Sustainable straws are an alternative to traditional plastic straws. They can be customized in a variety of shapes and sizes to match the type, consistency and temperature of the beverage.
By Materials | |
Material | Characteristics |
Bagasse | Biodegradable and compostable, suitable for hot and cold foods, comes from a renewable source |
Bamboo | Renewable, lightweight, and sturdy for use as cutlery, plates, and bowl |
PLA | Compostable bioplastics that come from cornstarch or sugarcane fiber |
Recycled Paperboard | Post-consumer recycled paper suitable for trays and cups |
Bagasse packaging has excellent insulation and condensation properties, which makes it ideal for takeaway food and casual dining carts.
The most common use of PLA is as a salad and beverage container for food trucks.
There are several good food truck packaging ideas that you can use to promote your business. You should know that sustainable packaging isn’t just about keeping food safe and the environment clean. It can also help you promote your business with high-quality branding.
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Customized biodegradable packaging also has the potential to enhance competitive edge of your business's against others in the market. This is because it is a unique way to tell your customers about your brand and its commitment to sustainability.
With the right supplier, such as Sumkoka, you can customize your packages to reflect your brand’s identity. This can include unique logos, color varieties, textures, and other eco-friendly printing options. You can even go for unique designs and shapes to create a memorable dining experience for your customers.
Another great benefit of bespoke biodegradable packages is that they make your food truck instantly recognizable. It could be due to the use of eco-friendly materials, unique shapes, or custom prints and logos. Regardless, it can lead to better market visibility.
Moreover, when customers enjoy the packaging along with the food you serve them, there is a great chance that you will earn either repeat businesses or word-of-mouth referrals - sometimes both.
Before you decide to work with a supplier and buy customized eco-friendly packaging for your food truck business, you should consider a few helpful factors. These will ensure you make the right choice that matches your business needs, branding requirements, and customer preferences.
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Pick a compostable packaging variety that can withstand the temperature and oil content of the food or beverages you serve. Some biodegradable packaging is better for hot foods while others are more suitable for cold foods.
It is advisable to go for packaging that is easy to stack and store. This is because food trucks often have limited space and you need to ensure food safety without the risk of damaging or contaminating the packaging.
We also recommend checking the biodegradability certifications like ASTM D6400 or BPI (Biodegradable Products Institute) to make sure your chosen products meet the composting standards.
Your goal should be to work with a disposable packaging and tableware supplier that offers customization. The supplier should have the necessary industry certification and must meet quality standards with a positive reputation in the market, such as Sumkoka.
Lastly, you should consider the overall costs of incorporating sustainable packaging into your business. This includes the initial purchasing costs along with the slight expense of setting up proper disposal and delivering the waste to reliable composting facilities.
Your food truck business can practice sustainability in numerous ways other than eco-friendly packaging. One of the most common ways is to be energy-efficient which can help reduce your carbon footprint. You can do that by installing LED lights and using energy-efficient appliances that have an ENERGY STAR rating.
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Moreover, you can reduce food waste by educating your customers through social media campaigns or encouraging food truck signage or posts. The World Counts reports that nearly one-third of the world’s food goes to waste. That is about 1.3 billion tons every year.
You can have your food truck serving containers made out of bagasse or other material that is easy to compost and replaces single-use plastics efficiently. Furthermore, you can start sourcing local and organic ingredients as a way to boost the local farming sector.
1. What Are the Most Common Materials Suitable for Food Truck Packaging?
The most common sustainable packaging materials among food trucks are usually bagasse and paper board. However, cornstarch-derived bioplastics like PLA have also become quite popular.
2. Is Biodegradable and Compostable Packaging the Same?
Biodegradable packaging decomposes over time depending on various environmental conditions. However, compostable packaging requires specific composting conditions to break down into organic waste.
3. How Can Food Trucks Dispose of Sustainable Packaging Responsibly?
Food trucks can dispose of sustainable packaging by setting up clearly labeled recycling and composting bins to reduce environmental impact.
Sustainable packaging is very important for the success of food trucks mainly due to changing consumer preferences. The competition is growing in the industry and your business will need strategies to gain consumer attention.
However, eco-friendly packaging offers more than just a way to gather customer attention. It is functional, naturally aesthetic, and highly practical. It helps reduce the environmental impact that otherwise takes place due to rampant plastic packaging usage.
You should go for compostable and biodegradable options that meet your local guidelines and regulatory compliance requirements. It showcases your commitment to environmental friendliness as a responsible food truck business. In turn, it can improve your brand reputation while delivering long-term benefits.
Sumkoka is a leading manufacturer of disposable bagasse tableware in the world. With over 12 years of experience, our company delivers highly functional and aesthetic tableware solutions. We use high-quality equipment and processes to produce lasting tableware products.
Our company ethically sources sugarcane fiber (bagasse) and recycled paper to create eco-friendly solutions for food trucks and other businesses. Our goal is to help you embrace sustainable packaging for positive environmental and social contributions.
Want to test out our eco-friendly bagasse tableware and packaging? Request a free sample from our team of experts with custom branding details.
Take part in the global sustainability movement and contribute toward a healthier, greener planet with Sumkoka. Contact us today!