How do I price my menu?
Reviewed by Editorial Team
Menu pricing is math first, gut second. Step one: cost every plate — weigh each ingredient, multiply by current invoice price, add disposables. Step two: divide plate cost by your target food cost percentage. FSR Magazine and the National Restaurant Association cite 28-35% as the industry benchmark; food trucks often run 30-33%. A $3.00 plate cost at 30% = $10.00 menu price. Step three: sanity-check against the market. If you are 25% above competing trucks on a comparable item, you need a clearer value story or a price cut. Step four: round to clean price points. Reprice every quarter; beef, eggs, and oils move fastest.
Common mistakes
- Pricing on competitor prices alone without knowing your own plate cost.
- Forgetting disposables, oil, and sauces — they easily add 8-12% to true plate cost.
- Holding prices flat for a full year while protein prices climb every month.
Related FAQs
How do I write a food truck business plan?
A food truck business plan needs seven sections: executive summary, concept and menu, market analysis, operations (truck, commissary, staffing), marketing, financial projections (3 years), and funding request. Use the free SBA Learning Center template as your skeleton, then layer in mobile-specific details like service locations and event calendar.
How much should I budget for first-year operating losses?
Plan for 3-6 months of operating losses while you build a customer base, refine the menu, and lock in catering pipeline. A working reserve of 3 months of fixed costs — typically $15,000-$30,000 for a small operation — keeps you from making panic decisions in month two.
What is a healthy food cost percentage?
Food cost percentage of 28-35% is the standard industry benchmark per FSR Magazine and National Restaurant Association reporting, with food trucks typically targeting 30-33%. Anything above 35% chronically signals a pricing, portioning, or waste problem.