Lesson 3-10: Modern Marketing- The Garcia Taco Bar & Instagram
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LESSON SUMMARY
The Garcia Taco Bar exemplifies a modern business model that leverages Instagram as a key marketing tool to drive local traffic. Unlike traditional restaurants that face hefty monthly expenses, including an average of $44,475 to $73,375 for rent and operational costs on Long Island, the Garcia Taco Bar operates with a significantly lower budget of about $12,150 to $20,200. By utilizing a food truck model, they avoid high commercial rent and instead focus on strategic location choices to attract customers, particularly within the Hispanic community in Brentwood, New York. Their approach includes emphasizing lean business practices, such as just-in-time inventory management and simplifying their menu to improve efficiency and reduce costs.
Instagram plays a crucial role in the Garcia Taco Bar's marketing strategy, allowing them to showcase their culinary offerings visually and engage with customers interactively. The platform's geotagging and analytics features help them reach local audiences effectively. However, while Instagram is a powerful tool, reliance solely on it could pose risks. A diversified marketing strategy incorporating various channels would enhance their outreach and resilience against potential disruptions. In terms of supply chain management, the Garcia Taco Bar can improve efficiency by sourcing ingredients from bulk wholesale distributors and optimizing storage solutions to keep food fresh and reduce waste. This streamlined approach not only cuts costs but also ensures timely delivery of quality meals to customers.
The Garcia Taco Bar exemplifies a modern business model that leverages Instagram as a key marketing tool to drive local traffic. Unlike traditional restaurants that face hefty monthly expenses, including an average of $44,475 to $73,375 for rent and operational costs on Long Island, the Garcia Taco Bar operates with a significantly lower budget of about $12,150 to $20,200. By utilizing a food truck model, they avoid high commercial rent and instead focus on strategic location choices to attract customers, particularly within the Hispanic community in Brentwood, New York. Their approach includes emphasizing lean business practices, such as just-in-time inventory management and simplifying their menu to improve efficiency and reduce costs.
Instagram plays a crucial role in the Garcia Taco Bar's marketing strategy, allowing them to showcase their culinary offerings visually and engage with customers interactively. The platform's geotagging and analytics features help them reach local audiences effectively. However, while Instagram is a powerful tool, reliance solely on it could pose risks. A diversified marketing strategy incorporating various channels would enhance their outreach and resilience against potential disruptions. In terms of supply chain management, the Garcia Taco Bar can improve efficiency by sourcing ingredients from bulk wholesale distributors and optimizing storage solutions to keep food fresh and reduce waste. This streamlined approach not only cuts costs but also ensures timely delivery of quality meals to customers.
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Do Now: Do You Follow Any Businesses Online On Social Media?
Checklist Of What You Need To Do Today To Get 100%
DO NOW:
1.) Participate in Do Now. (Actively participate, you are facing the discussion, not turned away from the discussion, phones are always away at all times in class)
Independent Practice:
2.) Read or listen to the article below
3.) Complete Quizzes:
Lesson 3-10 Quiz A (On Schoology)
4.) Complete Higher Level Question
1.) Participate in Do Now. (Actively participate, you are facing the discussion, not turned away from the discussion, phones are always away at all times in class)
Independent Practice:
2.) Read or listen to the article below
3.) Complete Quizzes:
Lesson 3-10 Quiz A (On Schoology)
4.) Complete Higher Level Question
Lean Businesses And Modern Marketing:
The Garcia Taco Bar (Truck) Drives Traffic Through Instagram
Summary Of Video
The Garcia Food Truck utilizes a modern business model that leverages social media, particularly Instagram, to attract local customers, as evidenced by its organic following of over 31,000 users who appreciate its culinary offerings. The video discusses the high costs associated with traditional restaurant spaces, including an estimated monthly rent of around $1,875 for a 2,500 square foot location, which does not account for employee salaries or supplies. In contrast, the food truck avoids these expenses by operating in strategic locations, catering to the local Hispanic community in Brentwood, New York, and offering affordable, high-quality food options such as papusas and shukos. The owner, Roberto Garcia, shares his immigrant story and emphasizes the importance of cultural heritage in his cooking, while the video highlights the efficiency of using delivery services like DoorDash to enhance customer experience. Ultimately, the Garcia Food Truck exemplifies a successful fusion of culinary quality and innovative marketing strategies, providing an alternative to traditional fast food outlets.
The Garcia Food Truck utilizes a modern business model that leverages social media, particularly Instagram, to attract local customers, as evidenced by its organic following of over 31,000 users who appreciate its culinary offerings. The video discusses the high costs associated with traditional restaurant spaces, including an estimated monthly rent of around $1,875 for a 2,500 square foot location, which does not account for employee salaries or supplies. In contrast, the food truck avoids these expenses by operating in strategic locations, catering to the local Hispanic community in Brentwood, New York, and offering affordable, high-quality food options such as papusas and shukos. The owner, Roberto Garcia, shares his immigrant story and emphasizes the importance of cultural heritage in his cooking, while the video highlights the efficiency of using delivery services like DoorDash to enhance customer experience. Ultimately, the Garcia Food Truck exemplifies a successful fusion of culinary quality and innovative marketing strategies, providing an alternative to traditional fast food outlets.
I asked ChatGPT What The Average Monthly Rent Is For A Restaurant On Long Island....
The Answer Was $142,500 Per Year/$11,875 Per Month For A 2500 Square Foot Space! YIKES!!!!
Sources:
www.matthews.com/retail-market-report-long-island-ny/?utm_source=chatgpt.com
https://www.propertyshark.com/cre/retail/us/ny/queens/?utm_source=chatgpt.com
https://www.cushmanwakefield.com/en/united-states/properties/new-york/retail-for-lease-brooklyn?utm_source=chatgpt.com
www.matthews.com/retail-market-report-long-island-ny/?utm_source=chatgpt.com
https://www.propertyshark.com/cre/retail/us/ny/queens/?utm_source=chatgpt.com
https://www.cushmanwakefield.com/en/united-states/properties/new-york/retail-for-lease-brooklyn?utm_source=chatgpt.com
In Addition To Costs To Rent A Space For A Restaurant, You Have To Pay For.......
Here’s a breakdown of common monthly expenses restaurant owners typically need to pay:
1. Rent or Mortgage
2. Utilities
3. Payroll (Salaries and Wages)
1. Rent or Mortgage
- Average: $5,000–$15,000/month (varies significantly based on location and size).
2. Utilities
- Electricity/Gas/Water: $1,000–$3,500/month
- Internet & Phone: $100–$300/month
3. Payroll (Salaries and Wages)
- Staff: Chefs, servers, bartenders, managers
- Typically 25%–35% of monthly revenue.
4. Food & Beverage Costs
5. Insurance
6. Taxes and Licenses
7. Marketing and Advertising
- Ingredients, inventory restocking
- Generally 28%–35% of monthly revenue.
5. Insurance
- General liability, worker’s compensation, property insurance, liquor liability, health insurance.
- Average: $500–$1,500/month or higher depending on coverage.
6. Taxes and Licenses
- Sales taxes, payroll taxes, licensing fees, health permits.
- Average: $500–$2,000/month.
7. Marketing and Advertising
- Digital marketing, social media ads, print advertising, promotions.
- Average: $300–$1,500/month.
8. POS System & Payment Processing Fees
9. Maintenance and Repairs
10. Professional Fees
- Credit card transaction fees, subscription fees for point-of-sale software.
- Average: $200–$700/month.
9. Maintenance and Repairs
- Equipment repairs, kitchen appliances, building maintenance.
- Average: $300–$1,000/month.
10. Professional Fees
- Accounting, legal advice, bookkeeping.
- Average: $200–$800/month.
11. Miscellaneous Supplies
Total Average Monthly:$44,475–$73,375
These numbers are approximate and can vary significantly based on restaurant size, type, location, and operational efficiency.
- Cleaning products, paper goods, tableware, uniforms.
- Average: $250–$1,000/month.
Total Average Monthly:$44,475–$73,375
These numbers are approximate and can vary significantly based on restaurant size, type, location, and operational efficiency.
GOING "LEAN" Is A Trend That MANY Businesses Are Doing In The 2020's
Think about it! There is a LOT less risk in running a Lean business. Look at the table directly above this. It is estimated that restaurants on Long Island pay $44,475 - $73,375 in expenses per month. The Garcia Taco Bar will show us how to be a lean business in the 2020's.
Businesses, especially restaurants, have increasingly embraced lean principles in the 2020s to optimize efficiency, reduce unnecessary expenditures, and boost profitability. The lean approach emphasizes identifying and cutting out waste, streamlining operations, and ensuring resources are allocated only to processes that add genuine value. For restaurants specifically, this means meticulously analyzing every aspect—from supply chains to daily operational routines—to uncover inefficiencies that can drain resources and revenue.
One critical area restaurants target when going lean is inventory management. Excess inventory often ties up capital and increases waste due to spoilage or expiration. By adopting lean inventory strategies, such as just-in-time (JIT) ordering, restaurants keep only the stock necessary to meet immediate demand. This approach not only reduces costs related to storage and spoilage but also enables businesses to respond more flexibly to shifting consumer preferences and fluctuating market conditions. How the Garcia Taco Bar handles its (food) inventory management is a mystery. As you can see below, there is the bus, and two tents that follow the bus. Where does the food get refrigerated is a question that only the Garcia's can answer. It could be that a member of the Garcia family lives close by and there are multiple refrigerators that are used at that home and easy Just In Time delivery of that food as needed.
Businesses, especially restaurants, have increasingly embraced lean principles in the 2020s to optimize efficiency, reduce unnecessary expenditures, and boost profitability. The lean approach emphasizes identifying and cutting out waste, streamlining operations, and ensuring resources are allocated only to processes that add genuine value. For restaurants specifically, this means meticulously analyzing every aspect—from supply chains to daily operational routines—to uncover inefficiencies that can drain resources and revenue.
One critical area restaurants target when going lean is inventory management. Excess inventory often ties up capital and increases waste due to spoilage or expiration. By adopting lean inventory strategies, such as just-in-time (JIT) ordering, restaurants keep only the stock necessary to meet immediate demand. This approach not only reduces costs related to storage and spoilage but also enables businesses to respond more flexibly to shifting consumer preferences and fluctuating market conditions. How the Garcia Taco Bar handles its (food) inventory management is a mystery. As you can see below, there is the bus, and two tents that follow the bus. Where does the food get refrigerated is a question that only the Garcia's can answer. It could be that a member of the Garcia family lives close by and there are multiple refrigerators that are used at that home and easy Just In Time delivery of that food as needed.
As you can see below, all food is clearly cooked and assembled on site. The Garcia's are always ready to show their culinary artistry on Instagram. Instagram and word of mouth is what drives traffic to their business.
Lean restaurants are also heavily investing in technology to automate routine tasks and reduce labor costs. Advances in digital point-of-sale (POS) systems, ordering kiosks, and kitchen automation significantly cut down the time and resources required for mundane tasks. Additionally, restaurants utilize analytics tools to gain insights into customer behavior, allowing them to tailor their menus precisely, minimize ingredient waste, and improve overall efficiency through data-driven decision-making.
Moreover, lean-focused restaurant owners carefully evaluate their menus, simplifying offerings to include fewer but higher-quality items. A concise menu means fewer ingredients, simplified preparation, reduced training time for kitchen staff, and lower overall operational complexity. Restaurants are embracing seasonally rotating dishes and limited-time offerings as strategies to maintain customer interest without incurring the costs associated with overly broad, static menus. What is amazing about the Garcia's is that there is a lot that can be made from a limited list of ingredients. This is what was mentioned on DoorDash.
- American Cheese
- Avocado (Aguacate)
- Bacon
- Beef
- Cabbage (Repollo)
- Carnitas (Slow Cooked Fried Pork)
- Cheddar Cheese
- Chicharron Chapin (Pork)
- Chicken
- Chorizo
- Cilantro
- Corn Flour
- Country Bread (Country White Bread)
- Eggs
- Fries (Papa Fritas)
- Guacamole
- Ham (Jamon)
- Hot Dog (Salchicha)
- Ketchup
- Lettuce (Lechuga)
- Lime (Limon)
- Longaniza Chapin (Guatemalan Sausage)
- Mayonnaise (Mayonesa)
- Mozzarella Cheese
- Munster Cheese
- Mustard (Mostaza)
- Oaxaca Cheese (Queso Oaxaca)
- Onion (Cebolla)
- Pickles (Pepinillos)
- Pork
- Portuguese Bread (Pan Portuguese)
- Refried Beans (Frijoles)
- Salsa Picante (Red or Green Salsa)
- Salami
- Sausage
- Steak (Carne Asada)
- Swiss Cheese
- Tomato (Tomate)
- Tortillas
Finally, restaurants in the 2020s adopting lean methodologies have prioritized energy efficiency and sustainability. Incorporating eco-friendly practices—like energy-efficient appliances, optimized lighting systems, composting waste, and reducing single-use items—not only mitigates overhead costs but also resonates strongly with environmentally conscious customers. This dual benefit of cost reduction and consumer appeal illustrates why lean practices have become a cornerstone of modern restaurant management strategies, shaping a more efficient and resilient hospitality industry. The Garcia's don't seem to be doing that, but they are smart about how they manage their business. There is no physical space where people eat. People usually get the food and eat it in their cars with their family. The food is served on paper plates and boxes and it is up to the customer to discard the food. All cooking is done on site and propane is used as well as a natural wood stove.
How does Instagram drive traffic to small local businesses? Can a business rely completely on instagram to drive traffic?
Instagram is a highly effective tool for driving traffic to small, local businesses because of its visual-centric format, interactive features, and broad user base. Small businesses, particularly restaurants, boutiques, or service providers, benefit significantly from showcasing their products or experiences through visually appealing images, videos, and stories. These posts encourage local customers to visit, interact, and share content, effectively amplifying brand visibility within the community.
Instagram also allows businesses to leverage location-based tagging and geotags, helping potential customers discover businesses through local searches. When a business regularly tags its location or utilizes local hashtags, its posts become discoverable by individuals exploring specific neighborhoods or towns. Additionally, the platform's algorithm favors locally relevant content, increasing visibility and engagement, especially within nearby areas.
Instagram Stories and Reels further enhance the ability of businesses to engage their audiences. These short-form, ephemeral features foster frequent interaction, creating a sense of urgency and excitement around limited-time offers, behind-the-scenes content, or new products. Interactive stickers such as polls, questions, countdowns, or direct links encourage customer participation, turning passive viewers into active customers and driving physical foot traffic.
Moreover, Instagram's built-in business analytics tools provide valuable insights into audience demographics, engagement patterns, and content performance. Businesses can thus tailor their marketing strategies based on measurable outcomes and specific user behaviors. Paid advertising on Instagram, through targeted and locally-focused ads, further allows businesses to reach specific demographic segments, amplify promotions, and maximize return on investment.
However, relying solely on Instagram to drive traffic presents significant risks. The effectiveness of Instagram can fluctuate due to algorithm changes, increased competition, or evolving user behavior. If Instagram becomes a business's sole marketing avenue, any disruption—such as temporary platform outages, account suspension, or shifts in platform policy—could severely impact revenue and customer engagement.
Therefore, while Instagram is powerful for attracting local traffic and generating awareness, a comprehensive strategy incorporating multiple marketing channels—such as Google listings, websites, email marketing, local partnerships, and other social media platforms—is essential. Diversifying marketing efforts ensures resilience, expands potential reach, and mitigates the risks associated with dependence on a single platform.
Instagram also allows businesses to leverage location-based tagging and geotags, helping potential customers discover businesses through local searches. When a business regularly tags its location or utilizes local hashtags, its posts become discoverable by individuals exploring specific neighborhoods or towns. Additionally, the platform's algorithm favors locally relevant content, increasing visibility and engagement, especially within nearby areas.
Instagram Stories and Reels further enhance the ability of businesses to engage their audiences. These short-form, ephemeral features foster frequent interaction, creating a sense of urgency and excitement around limited-time offers, behind-the-scenes content, or new products. Interactive stickers such as polls, questions, countdowns, or direct links encourage customer participation, turning passive viewers into active customers and driving physical foot traffic.
Moreover, Instagram's built-in business analytics tools provide valuable insights into audience demographics, engagement patterns, and content performance. Businesses can thus tailor their marketing strategies based on measurable outcomes and specific user behaviors. Paid advertising on Instagram, through targeted and locally-focused ads, further allows businesses to reach specific demographic segments, amplify promotions, and maximize return on investment.
However, relying solely on Instagram to drive traffic presents significant risks. The effectiveness of Instagram can fluctuate due to algorithm changes, increased competition, or evolving user behavior. If Instagram becomes a business's sole marketing avenue, any disruption—such as temporary platform outages, account suspension, or shifts in platform policy—could severely impact revenue and customer engagement.
Therefore, while Instagram is powerful for attracting local traffic and generating awareness, a comprehensive strategy incorporating multiple marketing channels—such as Google listings, websites, email marketing, local partnerships, and other social media platforms—is essential. Diversifying marketing efforts ensures resilience, expands potential reach, and mitigates the risks associated with dependence on a single platform.
An Estimated Monthly Budget For The Garcia Taco Bar
Compare this to the $44,475–$73,375 monthly budget for more traditional Long Island restaurants above. I estimate that the Garcia Taco Bar operates on a monthly budget between $12,150 and $20,200.Judging by the line I saw when it was 5 degrees outside, this puts the Garcia Taco Bar in line to be a lot more profitable than the average restaurant.
LEAN BILLION DOLLAR COMPANIES:
Generations ago, the biggest companies in America had tens of thousands of employees and each made a wage that was comfortable enough to live on. It is true that with every salary and expenditure, there is a risk involved, but perhaps one of the reasons that wages have not kept up with inflation is because American companies are getting smaller and smaller. Advancements in technology and AI are causing this trend and it seems that it will continue. The graphic below illustrates that American paychecks are bigger than they were 40 years ago, but their purchasing power is greatly diminished. And yes, below the graphic are two examples of billion dollar companies with less than 35 employees.
Instagram is a well-known example of a billion-dollar company that achieved its valuation while having fewer than 35 employees. When Facebook acquired Instagram in 2012 for approximately $1 billion, Instagram had just 13 employees.
Another example is WhatsApp, which was acquired by Facebook for $19 billion in 2014 with approximately 32 employees.
Both cases illustrate how lean, efficient teams can create tremendous value.
Another example is WhatsApp, which was acquired by Facebook for $19 billion in 2014 with approximately 32 employees.
Both cases illustrate how lean, efficient teams can create tremendous value.
Higher Level Questions
Task: In a 2 paragraph response, answer the following questions.
1.) What exactly is a "supply chain"? (Summarize an answer from the short article below)
2.) How can Garcia's Taco Bar further improve their supply chain?
1.) What exactly is a "supply chain"? (Summarize an answer from the short article below)
2.) How can Garcia's Taco Bar further improve their supply chain?
What Exactly Is A "Supply Chain"?
A supply chain is a coordinated network of individuals, organizations, activities, information, and resources involved in producing and delivering a product or service from initial suppliers to final consumers. The effectiveness of a supply chain is measured through efficiency and cost. In other words, a great supply chain is very dependable (great systems and great people) and for the lowest cost possible (without negatively effecting the entire process.
Supply chains begin with sourcing raw materials and continues through manufacturing, warehousing, distribution, and ultimately, retail or delivery to end customers. Every stage in the supply chain relies on efficient communication, careful planning, and precise execution to meet consumer demand promptly and cost-effectively. A business like Garcia's Taco Bar does not grow its own food or raise its own livestock or poultry but it does depend on finding the right sources to get the food it needs; perhaps a wholesale outlet like, BJ's or Costco, or a discount grocery like Aldi's. It essentially sources the raw materials that it needs (food) from options that are familiar with many consumers (BJ's, Costco, Aldi's) or perhaps uses a bulk wholesale food distributor (higher volumes of food at cheaper prices).
Effective management of a supply chain involves ensuring a seamless flow of goods, minimizing disruptions, reducing costs, and improving overall customer satisfaction. Businesses often rely on supply chain strategies such as inventory optimization, just-in-time production, and demand forecasting to improve responsiveness and profitability. These practices help organizations control costs associated with holding excessive inventory, expedite delivery times, and better adapt to changing market conditions. We will discuss these strategies in depth in the future, but right now, you need to know that after Garcia's Taco Bar acquires the food, it needs to have a good system of storage to keep the food fresh (food is perishable) and to get it to the kitchen in a timely way, and based on demand. That might sound simple, but it is not. It takes a lot of planning and teamwork.
For bigger businesses, supply chains today are increasingly complex and globalized, involving multiple countries and continents. For a business like Garcia's Taco Bar, the entire operations biggest strength is its simplicity.
Ultimately, a well-structured supply chain is critical to the competitiveness and success of a business. It ensures products reach consumers efficiently, economically, and reliably, directly impacting customer satisfaction and brand reputation. As consumer expectations for rapid delivery and product availability rise, companies must continuously innovate and optimize their supply chains to meet these demands, reduce vulnerabilities, and maintain a strategic advantage.
For the purpose of this essay, can you think of a way that Garcia's Taco Bar can improve its supply chain? Focus on cutting costs and improving efficiency.
Supply chains begin with sourcing raw materials and continues through manufacturing, warehousing, distribution, and ultimately, retail or delivery to end customers. Every stage in the supply chain relies on efficient communication, careful planning, and precise execution to meet consumer demand promptly and cost-effectively. A business like Garcia's Taco Bar does not grow its own food or raise its own livestock or poultry but it does depend on finding the right sources to get the food it needs; perhaps a wholesale outlet like, BJ's or Costco, or a discount grocery like Aldi's. It essentially sources the raw materials that it needs (food) from options that are familiar with many consumers (BJ's, Costco, Aldi's) or perhaps uses a bulk wholesale food distributor (higher volumes of food at cheaper prices).
Effective management of a supply chain involves ensuring a seamless flow of goods, minimizing disruptions, reducing costs, and improving overall customer satisfaction. Businesses often rely on supply chain strategies such as inventory optimization, just-in-time production, and demand forecasting to improve responsiveness and profitability. These practices help organizations control costs associated with holding excessive inventory, expedite delivery times, and better adapt to changing market conditions. We will discuss these strategies in depth in the future, but right now, you need to know that after Garcia's Taco Bar acquires the food, it needs to have a good system of storage to keep the food fresh (food is perishable) and to get it to the kitchen in a timely way, and based on demand. That might sound simple, but it is not. It takes a lot of planning and teamwork.
For bigger businesses, supply chains today are increasingly complex and globalized, involving multiple countries and continents. For a business like Garcia's Taco Bar, the entire operations biggest strength is its simplicity.
Ultimately, a well-structured supply chain is critical to the competitiveness and success of a business. It ensures products reach consumers efficiently, economically, and reliably, directly impacting customer satisfaction and brand reputation. As consumer expectations for rapid delivery and product availability rise, companies must continuously innovate and optimize their supply chains to meet these demands, reduce vulnerabilities, and maintain a strategic advantage.
For the purpose of this essay, can you think of a way that Garcia's Taco Bar can improve its supply chain? Focus on cutting costs and improving efficiency.
Rubric
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