Small Biz

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Smallbiz//dt1st/mark2nd

By NOLA L. SARKISIAN

Staff Reporter

King Taco does not have a talking Chihuahua pitchdog and its menu includes delicacies unlikely to whet the taste buds of mainstream diners such as burritos bursting with lengua (tongue) or tripa y molleja (intestines).

But it does have a large core of fiercely loyal customers. And that has helped make it one of L.A.’s biggest homegrown fast-food chains, with 21 locations and $25 million in sales last year.

“We build business by word of mouth it’s invaluable,” said company Vice President Raul D. Martinez Jr., son of founder and President Raul O. Martinez.

The company’s growth has been quiet but steady, fueled by an unswerving dedication to the Latino consumer. About 80 percent of its patrons are Latino.

“They have a high standard of quality of service, and people not only see them as a successful business, but as a good community partner,” said Hector Barreto, chairman of the Latin Business Association in Los Angeles. “That leaves a favorable impression in the minds of their customers, many of whom have been visiting them since high school.”

Daisy Cortez is one of those loyal customers. As a young girl, she feasted at King Taco with her dad once a week. A decade later, she comes with her boyfriend around three times a month.

“The tacos have a good flavor and we love the hot sauce,” said the 19-year-old, who lives in East Los Angeles. “There are cheaper places nearby, but the price here is worth it.”

What makes competitors’ tacos less real?

“Ground beef,” sniffs Martinez, adding that King Taco’s meats are chopped and sliced. “Also, there are no hard-shell tacos in Mexico. We use two round soft shells. There is no lettuce, no guacamole to mask the flavor. You want the taco’s true essence.”

He points to his plate. He’s eating chopped al poster, barbecued pork that is marinated for a few hours on a rotisserie amid layers of onions and cilantro, sitting on a bed of two, saucer-sized corn tortillas.

Produce is bought daily and his family has a strict rule about freezers: none are allowed in the stores. As to the recipes for King Taco’s sauces and meals, Martinez said his customers will never know.

“Only about five of us know the secret recipe, and it hasn’t changed over the years,” Martinez said with a smile.

But King Taco is changing in other ways. Raul Martinez Jr., 28, who came on as vice president of administration in 1992, and his brother Luis, 27, who is vice president of operations, have created marketing sponsorships with both the Rose Bowl and the Toyota Long Beach Grand Prix. They opened a location in Old Pasadena, the first store outside of the traditional Latino target market. They upgraded the computer system to better accommodate inventory needs. And next year, they will launch an informational Web site.

“We’re trying to further accommodate our customers’ growing and changing needs,” said Raul Martinez Jr.

All of which is quite a contrast to King Taco’s early days. Raul O. Martinez Sr., who emigrated to the United States with his wife Maria in 1969, got the idea for his business during an afternoon picnic of tacos, burritos and arroz con pollo at a local park. Soon after he lit the barbecue, a group of young soccer players ran over to see what smelled so good. Martinez, who had worked as a Los Angeles dishwasher and meat packer, ended up selling all the food that day, and the family never looked back.

Outfitted with a converted ice cream truck that cost $3,000, Martinez, his wife and father parked the truck next to an East Los Angeles bar on a summer night in 1974 and sold $70 worth of tacos. The next night he doubled his take, and six months later he opened the first King Taco restaurant.

As the business grew, so did his chain. He opened King Taco No. 2 on East Third Street in Boyle Heights, which at 4,000 square feet is the flagship restaurant. Other locations soon followed, opening every other year in Commerce, Baldwin Park, El Monte and other East Los Angeles sites.

The d & #233;cor at most of the locations is no-frills, with linoleum floors and gray-and-orange seats attached to pink Formica tables. Colorful murals depicting Mexican heritage adorn the walls. Jukeboxes play a hodgepodge of tunes, from Selena’s “Tu Solo Tu” to the Troggs’ “Wild Thing.”

That at least describes 20 of the 21 locations. When the family opened a store in Old Pasadena, it decided to change the format.

“We thought that location required something different, so we put in ceramic-tile floors, whitewashed floors and glass-top tables,” said Luis Martinez. “We put in lots of colors like yellow, orange, blue. It’s very ’90s, very Pasadena.”

King Taco Restaurants Inc.

Founded: 1974

Core Business: Traditional Mexican food

Employees in 1993: 300

Employees in 1998: 420

Revenue in 1993: $18 million

Revenue in 1998: $25 million

Goal: To help people appreciate authentic Mexican food

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