Once confined to brick-and-mortar restaurants, restaurateurs can now open and manage their businesses in shipping container restaurants. Since their introduction, these container restaurants have steadily gained traction worldwide.
Such growth shows how container restaurants become an alternative to longstanding alternatives like food trucks. However, debates on container restaurants versus food trucks and regular restaurants can become intense.
Since all restaurant types have distinct benefits and downsides, how can we find the one that actually suits our needs?
Why People Are Slowly Shifting to Shipping Container Restaurants
Before getting into the strengths of each restaurant type, let’s see what makes shipping container restaurants successful everywhere.
One major factor driving this shift is cost efficiency. Opening a conventional restaurant requires a significant investment in real estate, construction, and interior design. Shipping container restaurants, on the other hand, offer a much lower startup cost while maintaining a trendy and professional appearance.
Sustainability is another reason. Many business owners are looking for ways to reduce their carbon footprint and operate more eco-friendly businesses. Furthermore, these buildings need fewer raw materials for construction compared to traditional buildings.
Portability and flexibility also play a role. While not as mobile as food trucks, container restaurants can still be relocated more easily than traditional brick-and-mortar establishments. This makes them an attractive option for areas with fluctuating foot traffic or seasonal demand.
Various Types of Shipping Container Restaurants
Not all shipping container restaurants are created equal. Builders like Tradecorp have developed many types of shipping container restaurants so customers can find what they need:
Standalone Units
These are single-container restaurants that operate similarly to a food truck but with a stationary setup. They are perfect for small-scale operations like coffee shops, burger joints, or taco stands.
Since they have a small footprint, they work well in areas with limited space like urban centers or busy markets.
Multi-Container Complexes
You can combine multiple containers to create larger dining spaces with seating areas. This is ideal for restaurants that want to offer an expanded menu and accommodate dine-in customers.
These setups allow for more creativity in design, such as incorporating rooftop seating or open-air patios.
Pop-Up and Seasonal Restaurants
A great option for businesses that want to test the market before building a permanent joint. These restaurants can be moved and set up in different areas depending on demand.
For example, a seafood business might operate at the beach in the summer and transition to a city location in the winter.
Drive-Thru Container Restaurants
A growing trend where containers are used for fast food-style restaurants with a drive-thru setup.
They provide the convenience of a drive-thru without the high costs of a full-sized fast-food building.
Pros and Cons of Each Restaurant Type
Before establishing your restaurant business, it’s important to know the ups and downs of each restaurant type. Below, we’ll break them down.
Shipping Container Restaurants
Pros
- Lower startup costs
While not as cheap as food trucks, they are much more affordable than regular restaurants. Instead of spending hundreds of thousands of dollars on building a traditional restaurant, business owners can use pre-built containers to cut costs.
- Sustainable and eco-friendly
Reusing containers helps reduce waste and promotes sustainability. Considering the increased focus on sustainable eating, the eatery should also be just as sustainable.
- Customizable
You can design the space to fit your brand and operational needs. Feel free to add extra windows, a rooftop deck, or a fully equipped kitchen to allow easier business.
- Semi-portable
More mobile than traditional restaurants but more stable than food trucks. If needed, you can relocate the restaurant elsewhere so you can adapt faster to the latest business trends.
- Unique and trendy
They stand out and attract customers looking for something different. The industrial design creates a distinctive dining experience that many find appealing.
Cons
- Limited mobility
Once placed, relocating a container restaurant requires effort and costs. Unlike food trucks, you can’t simply drive to a new location because you need a chassis truck to move the restaurant.
- Zoning and permit challenges
Some cities have strict regulations for container buildings. Before setting up a shipping container restaurant, business owners must navigate local zoning laws, which can be time-consuming.
- Space constraints
While bigger than food trucks, they still offer less space than conventional restaurants. This means you can only offer a more limited menu and have reduced storage capacity.
- Weather concerns
Metal containers can become extremely hot or cold without proper insulation. Here, you must install HVAC systems to maintain a comfortable environment for both customers and staff.
Food Trucks
Pros
- Ultimate mobility
You can move to different locations based on each day or week’s business demands. This is perfect for areas with seasonal foot traffic or unpredictable customer patterns.
- Lower overhead costs
No rent or utilities like in a traditional restaurant. Since there’s no need for long-term leases, costs remain low and you can focus your budget on more pressing matters.
- Great for events and catering
Easy to take your business to festivals, parties, and corporate events. Food trucks thrive on their ability to cater to different audiences. As a result, customers can be fed properly during these hectic events.
- Minimal staffing required
Small teams can operate efficiently, reducing labor costs. Depending on your management, you can simply assign 2-3 staff to handle a food truck by themselves.
Cons
- Limited kitchen space
You can only prepare a certain amount of food at a time, which restricts menu variety. Unlike typical restaurants with around 30 or 40 menu items, food trucks can only serve fewer than those numbers.
- Permitting and regulations
Cities have different food truck laws that can be challenging to navigate. For example, your San Antonio-focused food truck business must learn the ropes of operating food trucks legally in New Orleans.
- Weather dependency
Bad weather can reduce foot traffic and sales. This is because your customers must struggle to brave the rain and snow just to get to your food truck.
- Mechanical issues
If the truck breaks down, your business will be in great danger. You must spend hundreds or thousands of dollars just to fix your truck depending on the problem.
Conventional Restaurants
Pros
- Stability
Customers always know where to find you. Because of your restaurant’s fixed location, your customers can just visit your restaurant without fear of missing your location.
- More space
The restaurant’s sizable space allows for a larger menu, full kitchen, and indoor seating. With such space, accommodating up to 100 customers or more is a piece of cake every day.
- Stronger brand presence
A well-established restaurant can become a local institution. For example, New York City’s Delmonico’s or Los Angeles’ Dan Tana’s only became institutions because of their well-established presence over the decades.
- Comfortable dining experience
Traditional restaurants often provide a better atmosphere for customers. Since they have a more stable presence, these restaurants emphasize comfort and convenience like standard restaurants.
Cons
- High startup and operating costs
Rent, utilities, and staff salaries add up quickly. This is especially true for high-end eateries that must spend a lot of capital just to cover that spending.
- Longer time to open
Finding a location, renovating, and getting approvals can take months or years. As such, you can’t start your business immediately when your competitors have started operating
- Less flexibility
If a location doesn’t perform well, moving isn’t an option. You must rack your brains to its limits trying to strategize the best steps to draw in customers.
- High competition
The restaurant industry is tough, and many often fail within the first few years. While container restaurants and food trucks face this risk too, it’s particularly dangerous to this restaurant type. When failure is imminent, it means millions of dollars you’ve spent on your restaurant’s establishment are all for nothing.
Suitable Containers for Shipping Container Restaurants
If you eventually settle for shipping container restaurants, you must use the best convertible shipping containers for long-term investment. By using the best containers, restaurant owners don’t have to always renovate now and then.
9’ or 10’ Containers
Containers of these sizes are the most common options people choose before starting a cafe or restaurant business. Space-friendly and quick to install, business owners can install them if they want to build a modestly sized business.
20’ or 40’ Containers
These containers provide more space and capability if you want to serve more customers than the 9′ or 10′ containers. With these containers, you can build a container restaurant with sizes similar to regular restaurant establishments.
Also Read: Cut Container Shipping Costs with the Best Practices
Conclusion
Since choosing any of these restaurant types for your business depends on your current conditions, you still must commit to building and managing them properly to reap profit. If you finally choose to have shipping container restaurants, contact Tradecorp to source the containers to set them up! With over 35 years of experience serving customers perfectly, Tradecorp can help customers find containers for freight or for building business establishments.