The story of nationwide restaurant chain Torchy’s Tacos is a classic entrepreneurial success story, rooted in humble beginnings. The culinary giant started out with a single food trailer in Austin, Texas around 20 years ago, and has since grown into a taco chain with 130 locations across 16 states – molding the craft-casual landscape of Texas and country forever.
COO Jay Wald and CEO Mike Rypka are the master chefs behind this burgeoning business operation. Describing the entrepreneurial spirit of its origins, Wald tells The CEO Magazine that the pair were business partners long before Torchy’s Tacos was born.
They met in 2008 while working at a local restaurant. Wald, who had a passion for operations, efficiency and team building, quickly hit it off with Rypka. Despite their lack of capital at the time, the two shared a vision of creating something unique.
“It was all about the food, being edgy and creative, being passionate about the fusion of tacos, what we could do with different cuisines and being pretty brash about it.”
The opportunity came when Rypka was given an old barbecue trailer by his original business partner, and together the duo transformed it into a taco truck offering innovative dishes, which helped the business carve a niche and become a local favorite.
“It was all about the food, being edgy and creative, being passionate about the fusion of tacos, what we could do with different cuisines and being pretty brash about it,” Wald says.
“We didn’t have any money; we had to earn every nickel that came into the register and just continued that momentum. But it was really the fans, the culture, the cult-like following that helped us. The city embraced us at a great time when food trucks were becoming popular and really were a springboard to what we are today.”
Evolving to success
As their ambitions and vision grew, the business partners soon recognized the limits of its food truck operations and began searching for opportunities to expand into brick-and-mortar restaurants.
In 2008, they opened their first location on El Paso Street in Austin, Texas, and went on to open their doors at multiple other spots in the city while still maintaining the original food trailer operation.
In collaboration with
Land O’Lakes
Despite the challenges that come with scaling a business, Torchy’s Tacos quickly found its rhythm, and the company’s commitment to freshness, hospitality and an innovative menu has fueled its popularity, not only in Austin but the wider Texas region, ever since.
Quality, excellence and being ‘Damn Good’ – the phrase coined by customers early on – became the company’s official tagline and the secret recipe to its success.
“Our customers came up with that tagline from the early days when Mike was serving tacos out of the trailer window, and you’d see people enjoying and smiling and say, ‘Man, that’s damn good. That’s damn good,’” Wald says.
“That wasn’t a tagline that we created. It was something that came from our customers, and we have a big responsibility to live up to that.”
A bigger slice
Despite its strong presence across the country today, Wald explains the company is still hungry for further expansion, with plans to continue opening restaurants in new and existing markets.
“That’s a very comfortable growth for us right now where we feel we’re not outpacing our talent or our people. We’re going to continue to backfill in the communities that we’re already in,” he says.
“We’re always looking for ways to reduce complexity in the restaurants so it’s an easier model for our team members to run.”
This future growth and managing more locations will not come without its challenges, which Wald recognizes all too well.
“We’re always looking for ways to reduce complexity in the restaurants so it’s an easier model for our team members to run,” he says. “We’re a made-from-scratch kitchen. We do extensive prep for our dishes every day because freshness matters. There’s a high level of touch, which we believe is the key to our success, but it also comes with its challenges.”
Wald is looking to streamline operations to deliver a faster service with improved kitchen layouts and equipment.
Pushing boundaries
In addition to improving operational efficiency, Torchy’s Tacos is embracing technology to enhance the customer experience. It is testing kiosks as a way to give guests more ordering options, as well as investing in software to predict ordering and prep needs.
Wald highlights the importance of meeting customers wherever they want to engage with the brand, whether that’s in-store, through delivery or via takeout.
“I feel like we’re all on the same page of pushing boundaries and not being afraid to do that. We’ve had some misses, but we don’t let that deter us from trying to make the next one a home run. I think that’s the important thing,” he says.
“It was really the fans, the culture, the cult-like following that helped us.”
Torchy’s Taco of the Month program and its Taco Vault are a key part of its innovative strategy. Each month, a new, creative taco is introduced, allowing the brand to stay fresh and engage its customers with unique dishes.
Furthermore, its Taco Vault has a collection of over 50 different tacos that have been offered over the years and some that haven’t hit the menu yet. These tacos are kept in reserve and pulled out for special occasions or limited-time offers, ensuring that the menu never becomes stagnant.
Wald and his team have also spent over a year refining the menu to ensure that it’s easy for guests to navigate, particularly in new markets where the brand is still building recognition.
People first
One of the key factors that sets Torchy’s Tacos apart has been its people, Wald says. With over 5,000 employees, the company places a high emphasis on team building and creating a supportive, family-like environment.
“I feel like we’re all on the same page of pushing boundaries and not being afraid to do that.”
“I’m only one person; I can’t do this without the hard work and dedication of all the team members that we have,” he says. “It’s one thing to go hire somebody. It’s another thing to really build a strong connection and relationship with them and get them to believe in the same values that you have.
“We tell our team, ‘Don’t hesitate to ever reach out if you need us.’ My phone and email are always on, and I want to try to make sure that we still embrace that family-like culture with a high level of accountability and access to us.”
In collaboration with
Land O’Lakes
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