Tag: vending business

Choosing the Right Vending Machine for Your Business
Posted on | by Phil Masters | Leave a Comment on Choosing the Right Vending Machine for Your Business

Choosing the Right Vending Machine for Your Business

Choosing the Right Vending Machine for Your Business: What You Need to Know Before You Buy

Are you looking for a profitable business venture that requires little maintenance and can generate income around the clock? Has the idea of starting a vending machine business crossed your mind yet? With the increasing demand for quick access to snacks and drinks, vending machines have become a popular choice for busy individuals on the go. 

In 2019, the worldwide vending machine market had a worth of $18.28 billion. Reports reveal that it is projected to grow to $25.25 billion by 2027, indicating a compound annual growth rate (CAGR) of 6.7% between 2021 and 2027. 

Additionally, vending machines require minimal maintenance and overhead costs, making them a low-risk investment with a high potential for profit. With the right strategy and location, a successful vending machine can generate income 24/7, allowing you to earn money while you sleep, go on vacation, or even work a different job. But where do you start? 

In this blog, we talk about some key tenets to consider while starting a vending business. So, grab a can of soda pop and read on:

What to Consider 

Starting a vending machine business can be an exciting and profitable venture, but it’s critical to carefully consider various factors before jumping in. Some important factors include the type of vending machine, the location of the machines, the target market, and the initial investment required. Other considerations may include ongoing maintenance and stocking of the machines, legal requirements, and competition in the market. A well-thought-out business plan can help to address these and other factors and can be essential to the success of a vending machine business. 

Here’s a closer look at some of the key factors you need to keep in mind:

Planning – fail to plan, plan to fail
Having a clear game plan and forecast is pivotal before diving into any business. A solid understanding of the required investment and anticipated sales can provide a significant advantage when managing the business. This is where Vending.com’s profit calculator application cand help a great deal. By utilizing this tool, you can better understand the potential revenue and expenses involved in running a vending machine business. With this information, they can make informed decisions, create a realistic business plan, anticipate challenges, and prepare course corrections. 

Location – trawling in the right territory

Location is a crucial factor when it comes to a vending machine business. It’s like fishing – if you cast your line in a dead zone, you’re not going to catch any fish. Similarly, if you place your vending machine in a location with little foot traffic or demand for your products, you won’t make many sales. On the other hand, if you find a high-traffic area that is likely to draw a lot of hungry customers, it’s like fishing in a stocked pond – you’re likely to reel in a lot of sales and profits. 

Here are some of the ideal hotspots to set up your vending machine:

  1. Apartment Complexes 
  2. Offices 
  3. Traffic Chokepoints 
  4. Hospitals 
  5. Car Dealerships 
  6. Hotel lobbies 
  7. Gyms 
  8. School and College Cafeterias 

Type of Machine – don’t take a knife to a gunfight 

The type of vending machine you choose for your business is critical, like selecting the right tool for the job. Getting it wrong would be like using a hammer to drive a screw – it might work, but it wouldn’t be the most efficient or practical option. Choosing a vending machine that doesn’t match the needs of your target market can result in poor sales and wasted investment. However, selecting the right type of vending machine that meets the demands and preferences of your customers is like using a power drill to drive screws – it’s faster, easier, and more efficient, leading to greater success and profits for your business.

Here are some questions you need to ask yourself before picking a vending machine:

  1. What is the budget for the vending machine? 
  2. Who is the target market for the business?
  3. Will the vending machine be located indoors or outdoors?
  4. How much space is available for the vending machine?
  5. Will the vending machine require electricity or other utilities?
  6. What is the budget for the maintenance and upkeep of the vending machine?
  7. What is the level of foot traffic in the vending machine’s location?

Once you have answers to these questions, you’ll have a reasonable idea about what type of vending machine to pick.

For example, a vending machine that sells healthy snacks and drinks can appeal to health-conscious customers in gyms, schools, and workplaces. On the other hand, a vending machine that dispenses hot food items can attract busy commuters in train stations or airports. Similarly, a vending machine that sells luxury items like jewelry or electronics can cater to affluent shoppers in high-end retail locations.

If you’re starting out on a tight budget, there are plenty of options available to explore! You can opt for a used vending machine or select financing options tailored to your unique needs. And, if you didn’t know already, Vending.com has some seriously flexible payment options that’ll make it feel like your vending machine is paying for itself! 

By choosing a suitable vending machine for the target market, you can increase your chances of success by providing the products that customers want and need in the locations where they are most likely to buy them.

Vending.com offers a wide variety of vending machines to suit any business’s needs. They also provide consultation services to help you identify the best vending machine for your business. By utilizing their services, you can ensure that you invest in the right machine to maximize your profits. 

Technology – the ever evolving environment

In today’s swiftly evolving technology climate and the speed at which the world is moving, technology consideration can play a pivotal role in the success of your business. For instance, you may be trying to decide whether or not to implement cashless payment options, such as card readers or mobile payment platforms like Apple Pay or Gpay. By accepting these types of payments, vending machine businesses can increase customer convenience and capture sales that may have been lost due to a lack of cash. 

However, with increased digital transactions comes the need for increased security measures, such as encryption and monitoring for fraudulent activity. Additionally, the technology used for cashless payments must be updated to ensure compatibility with the latest payment methods and security standards. By carefully considering these technical factors, your vending machine business can stay ahead of the competition and provide customers with a seamless and secure purchasing experience.

Customer Base – fish where the fish are biting

Understanding the customer base is crucial when starting a vending machine business. Identifying your target market and catering to their preferences and needs is important. For example, if the vending machine is located in a school, the products sold should appeal to students and be priced affordably. Additionally, the hours of operation for the vending machine should align with the school schedule. Similarly, if the vending machine is located in a busy transportation hub, it’s essential to offer quick and convenient food options for commuters on the go. Knowing the customer base, you can tailor their vending machine offerings and location to maximize sales and customer satisfaction. 

Research and feedback can help to identify customer preferences and inform business decisions.

If you’re looking for high-quality vending machines that are easy to operate and maintain, consider checking out Vending.com. They offer a wide range of vending machines that are designed to meet the needs of various industries and businesses. As experts who have been in the industry for almost a century now, they can also help you set up your business and get it up and running in no time.

Takeaway

In closing, starting a vending machine business can be lucrative and rewarding, but it requires careful planning and consideration of several factors. From choosing the right location to selecting the appropriate vending machine, and from stocking the machine with the right products to selecting the right payment options, each aspect is significant to your business’ success. 

The outcome of some of these critical decisions can either make or break your business, and that is why it’s essential to partner with a reputable vending machine supplier who can guide you through the whole process based on your business needs.

Vending.com offers a range of high-quality vending machines and payment solutions that can help your business thrive. With their expertise and support, you can easily set up your vending machine business, knowing you have a trusted partner.

How Your Business Can Benefit From Adding a Vending Machine
Posted on | by Phil Masters | Leave a Comment on How Your Business Can Benefit From Adding a Vending Machine

How Your Business Can Benefit From Adding a Vending Machine

Are you looking for a new and innovative way to bring in extra revenue for your business? Consider adding a vending machine. The addition of a vending machine can benefit your business in numerous ways, from boosting employee morale to attracting more customers. This blog post will explore how vending machines can improve your bottom line.

Customer Benefits – a Quick Glance 

Here are just a few of the many benefits a vending machine would bring to your customers:

  • Convenience – Vending machines are convenient for customers who want to grab a quick snack or drink without waiting in line.
  • 24/7 Access – Customers can access your vending machine anytime. They do not have to wait for an operator to assist them. 
  • Variety – Vending machines offer a variety of products, so customers can find what they are looking for while having a range of options to choose from. 
  • Payments – Customers can access secure and easy payment options like credit /debit cards or mobile wallets.
  • Healthy Options – Customers can find healthy snacks and drinks in vending machines, including fresh fruit and salads.

Diverse Revenue Stream

Incorporating a vending machine into your business can provide a new and convenient revenue stream. Vending machines can be placed in various locations, such as office lobbies, break rooms, and near high-traffic areas. Offering snacks, drinks, or additional items for purchase can generate extra income for your business.

Vending machines are relatively low-maintenance and can be operated with minimal staff supervision. They can be stocked with various items to appeal to a wide range of customers. Proper placement and marketing can make a vending machine a valuable asset to your business.

Employees on Site

If your business has employees on-site, adding a vending machine is a great way to improve morale and increase productivity. Vending machines provide a convenient way for employees to refill their energy at work with snacks and drinks. A vending machine on site can also save employees time by eliminating the need to leave work to purchase food. 

What Type of Products Should You Stock?

There are several things to consider when deciding what products to stock, including the type of business you have, your target market, and the location of your vending machine.

Generally speaking, the most popular items in vending machines are snacks and beverages. If you have an office building or retail store, snacks such as chips, candy bars, and granola bars can fly off the racks. Healthy food options are usually best-sellers for businesses that see a lot of foot traffic, such as gyms.

Items priced too high may not sell well, while items priced too low may not generate enough profit.  Finding the right balance is the key.

What Type of Vending Machine is Right for Your Business?

These decisions, again, should be based on similar factors – the type of business you have, the products you sell, the location of your business, etc. 

To sell both food and drink items, choose a vending machine that stores and dispenses them together. If your business is located in a high-traffic area, consider a machine that can dispense multiple items at once to reduce customer wait times. Coffee and frozen food vending machines are also options to consider when deciding the type of vending machine that is right for your business. 

Vending machines can provide more than food and drinks. You can sell non-food items like books, magazines, small electronics, and more. In addition, vending machines offer a range of sized shelves or compartments to accommodate product sizes. Select a machine that caters to your customer’s interests if your business has a specific customer base. For example, if you wish to vend children’s books, you can select a machine with bright colors and graphics that appeal to kids.

Final Words – Vending Machines for Increased Revenue and Customer Satisfaction

Vending machines can add convenience and value to your business. All you need is a minimum initial investment. You can experience increased revenues and improved customer satisfaction. At vending.com, we directly supply many different types of quality vending machines. With over 90 years of experience, we can help you find the perfect vending machine. Visit here or call us at 1-855-929-1042 to get in touch with one of our experts today!

Increase the Profit Margin of Your Vending Business with These Quickfire Ways
Posted on | by Phil Masters | Leave a Comment on Increase the Profit Margin of Your Vending Business with These Quickfire Ways

Increase the Profit Margin of Your Vending Business with These Quickfire Ways

We understand every vending business owner’s drive toward increasing their profit margin. It is a competitive market, and margins are tight. But what is the way forward here? 

In this blog post, we’ll explore ways to increase your vending machine business profit margin and improve the performance of your business. From incorporating technology to understanding consumer trends, these tips will help you get ahead of the competition and make more money. Read on to learn more!

Trends do Matter 

It is essential to understand trends in the industry to make strategic decisions that will increase your profit margins. By staying on top of the latest trends, you can make decisions that will help you boost your bottom line.

Here are ways to stay on top of the latest trends:

Follow industry news outlets and trade publications: This will help you stay current on the latest news and developments in the vending industry. 

Attend trade shows and conferences: Trade shows and conferences are great places to learn about new trends and form networks that can prove vital to your business.

Keep an eye on your competition: Keep tabs on what your competition is doing so you can adapt and improve your offerings.

The Art of Subtle Promotions 

Quoting a famous old proverb, “all that glitters is not gold.” Not all your promotions need to be flying off that skyscraper. Subtle promotions are an effective way to gain prospects, alluring those making purchase decisions. 

One of the ways to apply this concept to a vending business is by making your products transparent through a glass-front vending machine. This way, customers can make easy purchase decisions, and the visibility of a product makes them eager to purchase. 

Another example of this concept is offering discounts on certain products when purchased together. This is a great way to encourage people to buy more. Posting special deals, contests, and other promotions can get the word out about your business without being too overt.

Subtle promotions can be used to increase your profit margin. By thinking outside the box, you can develop additional ways to promote your vending business subtly yet effectively.

Make it Attention Grabbing 

Vending businesses need to have an attention-grabbing edge. Here are a few key ways to ensure your vending machine business stands out for a better profit margin.

Customizing wraps or decals can make your vending machines eye-catching. You can add your company logo or other graphics to make your vending machines easily recognizable. You can also offer unique products such as healthy snacks or local specialties. Maintaining your vending machines well will make you a professional and reliable business.

Articulate Stocking of Products 

The more organized a display is, the more a value-centric customer base would be willing to splash their cash. Consider the following factors while stocking the products in your vending machine:

  • The type of product you are selling
  • The target audience for your product
  • The location of your vending machine

Common sense is that the more products you have, the more you can sell. The key is to use the shelf space efficiently and stock the products according to their shape and size. Purchase patterns also must be considered.

Consider Installing Another Machine

With another machine, you’ll be able to offer more products and services to customers. Before installing another machine, it’s important to consider space on the premise and installation and maintenance costs. Adding another vending machine can significantly increase your profits. 

Goodwill, That Priceless Trait

It goes without saying, but goodwill is one of the essential traits of any business. Goodwill is a business’s positive reputation with its customers, employees, and the public. This reputation that businesses hold makes customers come onto the pedestal and shake hands with you and for your employees to work with you.

There are many ways to build and maintain goodwill within your vending business. Here are a few:

  1. Excellent customer service – This means always being polite and helpful, promptly addressing customer concerns, and exceeding their expectations.
  2. Offer high-quality products and services – If you keep your vending machines stocked with fresh, healthy snacks and drinks, or if your laundry machines always provide clean, fresh clothes – customers will be more likely to use your services in the future. Customers are willing to pay as long as they receive the desired value. 
  3. Give back to the community – The community where you do your business deserves the best services. Customers appreciate a higher CSR (Corporate Social Responsibility) emphasis and reward those businesses with loyalty. 
  4. Be a good employer – When your employees are happy, they’ll be more likely to provide excellent customer service, enhancing your goodwill.

Automation is the Way Forward

Automation can help your vending machine profit margin by improving efficiency and the bottom line by reducing costs and increasing productivity.

You can automate your vending business in several ways, such as using vending machines that accept card payments or implementing an inventory management system. Card payment machines can save you time and money by eliminating the need to count coins and notes, while an inventory management system can help you keep track of your stock levels and ensure that you always have the right products in stock. 

Final Word

There are many ways to achieve a profitable vending business. However, a quality vending machine is critical in running a successful vending machine business. At Vending.com, we offer a wide range of factory-direct, high-quality vending machines Made in the USA. Contact us today!

The Top Vending Trends to Look Forward to in 2023
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The Top Vending Trends to Look Forward to in 2023

 The past decade saw massive changes in machinery and equipment technology. The rapid development of smart technology has played a significant key in not only vending machine innovation, but in vending machine market trends. The current vending machines for sale are welcoming diversity by supplying more than one beverage option.

These machines are operable through mobile applications and programmable solutions for effective services. The vending industry continues to offer new trends that manufacturers leverage to gain a competitive advantage. Trends like large-screen displays and cloud solutions are significant in vending product marketing. Check out the latest vending market trends so you can stay ahead!

Top Vending Market Trends for 2023

Here are the top vending trends that businesses can expect in 2023:

Cashless Payment Options

Most present-day vending machines focus on digital features to provide more convenience to customers. Today, people can enjoy their cup of tea or coffee by swiping a card or making a mobile payment, and the vending machine will process the order. Cashless payments also improve equipment hygiene, reducing exposure to bacteria and germs.

Sustainable Solution

Each year, tons of waste products are generated worldwide. Unfortunately, only a tiny amount of these waste products get recycled. Manufacturers and enterprises must take steps to stop this situation. Vending organizations are making waste management more effective by preserving milk and water used to prepare beverages.

These preservation sensors can preserve the internal conditions to keep the milk fresh for a particular day. Smart inventory allows vending operators to include certain liquids to handle daily usage without waste. Some of these have recycling abilities to keep the users in good health and, at the same time, protect the planet.

Multi-function Interface

Vending machine manufacturers constantly look for ways to improve their products’ functionality. They are manufacturing vending machines that support multiple functions from a single interaction.

Additionally, these vending machines can check maintenance, manage payments, and display the number of cups dispensed. Artificial Intelligence assists coffee/tea vending machines in making intelligent inventory decisions, eliminating the requirement for standby operators in a company. This feature cuts down expenses while minimizing waste.

Customized Vending Machines

With custom vending machines, every customer is cared for as if they were the only person, following their way of thinking and satisfying their desires through personalized products that fit various requests. These vending machines are characterized by different models based on differing customer requests.

One of the main factors to consider is the customer’s budget: how much they can invest. Customized vending machines make customers feel treated special.

Smart Interactive Vending Machines

Smart interactive vending machines allow cashless payments and connectivity. As technology advances, manufacturers are trying to manufacture machines that create personalized experiences while developing their algorithms. Soon, establishments will be able to connect coffee/tea vending machines to cloud systems operating through mobile apps.

Users can use an app that processes orders and prepares their beverages as instructed. This process provides recommendations for the users the next time they log into the app, thus creating a customized user journey. Vending machines could also showcase notifications for new items and menus in the machine.

Vending Healthy Products

Vending machines have become advanced enough to instantly deliver hot coffee, tea, and chocolate in self-service cafeterias and offices. In addition, with multiple product options and changing customer preferences, vending manufacturers are now introducing healthy product options.

Final Words – The Bright Future of the Industry

Now is an exciting time to be a part of the vending industry. Thanks to advances in vending products and locations, payment, and technology, vending operators can offer more convenience and choice for customers while benefiting from cost-efficient and more streamlined maintenance.

At Vending.com, we are at the heart of these vending machine market trends. Vending.com offers factory direct vending machines with flexible in-house financing options, and much more. Click here to contact us and discover how we can meet the unique requirements of your vending business.

Section 179 - Tax
Posted on | by Phil Masters | Leave a Comment on Don’t miss out on year-end tax saving opportunities with the Section 179 tax deduction for your vending business

Don’t miss out on year-end tax saving opportunities with the Section 179 tax deduction for your vending business

If you are wondering why all small businesses around you are rushing to make purchases, then you are in the right place. For those who have woken up from a 15-year slumber, Section 179 allows all businesses to deduct the total value of qualified purchases within certain limits while computing taxes. This has been around since 2008. This year the government provides several additional benefits to businesses, including the ability to deduct up to $1,080,000. This is the highest-ever deduction allowed so far. This number has varied each year and might not even be applicable in future years. For vending machine businesses interested in this Section 179 tax deduction in 2022, you have about six weeks to make eligible purchases.

Section 179

Eligibility for Section 179 Deductions

Large businesses can enjoy the same deductions as small ones under Section 179. However, the deductions have been structured to specifically encourage small businesses and to boost their profitability. 

Certain governing conditions define eligibility for this deduction. The total qualified equipment purchase for these businesses should be at most $3.78 Million. The following list shows the type of equipment eligible for this deduction:

Equipment (machines, etc.) purchased for business use:

  • Tangible personal property used in business
  • Business vehicles with a gross vehicle weight above 6,000 lbs
  • Computers
  • Computer “Off-the-Shelf” software
  • Office furniture
  • Office equipment

Vending machines are included within eligible purchases for the Section 179 Tax Deduction. This allows small vending businesses to spend money on capital enhancement and enjoy tax savings.

Off-the-Shelf software purchases are also eligible to put toward this deduction. Bespoke or custom-developed software and software services are not eligible, however.

Another qualifier is that the equipment purchased in FY 22 must also have been implemented in FY 22. The business must also have made a taxable profit in the same year. If the business cuts a loss, it will only be eligible for bonus depreciation. [1]

Limits in Section 179 for FY 2022

The minimum spending on capital equipment or software for which the Section 179 deductions applies is $2,700,000. The maximum amount for which the deductions apply is $3,780,000. This means there can be a dollar-to-dollar deduction for a total of $1,080,000 ($3.78M – $2.7 M) in FY 22.

This limit makes it very attractive for small and medium businesses, as large businesses often spend more than $3.78 Mn on Section 179 qualified equipment in a year.

Section 179 and Financed Purchases

The relevance of Section 179 deductions for cash-down purchases in the current year is straightforward. However, the government allows businesses to deduct for financed purchases too. The point is that businesses are eligible to deduct the total value of the equipment bought, including what is financed in the current year. This can be explained by the following example:

Assume that the value of 10 Vending Machines = $ 100,000 **

The total value of installments in the current year as a part of the financing agreement = $ 20,000 **

The value eligible for Section 179 Deduction = $ 100,000 **

Tax Savings when the tax rate is 22% = $ 22,000 **

** All values are assumptions to demonstrate deductions in the case of a financed purchase.

Thus, there can be instances where the Section 179 deductions can save more in taxes than the money spent toward that purchase in the current year. This depends on the terms of financing, though.

Savings for your vending business can be estimated by clicking on the link at the end of this article.

Electing to Deduct Under Section 179

Vending machine business tax deductions under Section 179 are not applicable by default. All businesses must elect for this deduction in form 4562 while filing the returns at the end of the year. This is a form a business must file when showing depreciation of assets or deductions under Section 179. Businesses can claim this deduction even when filing under an approved extension beyond the date for filing returns.

Investments eligible for the computation of deductions include the amount spent up to the date of filing returns. Expenses not considered in the years preceding the current year can be included in the current year. However, the investments made before 2007 cannot be considered. [2]

Next Steps for Your Vending Business

If you have not already purchased enough equipment to enjoy the benefits of deductions under Section 179, now is the time. The deduction does not only help you improve your P&L, but it can also help you save taxes and invest in your growth.

If you do not have disposable cash that you can use to purchase vending machines, that should not be a hurdle. You can finance your purchase using our attractive financing options and still claim deductions for the total value of the purchase as long as it is within the eligible limit for the current year.

Our vending specialists can help you estimate your savings and plan the purchase of your new or used vending machines. To know more, call us at 1-855-929-1042 or visit our website at www.vending.com.

Useful Links:

Part 1 of Form 4562: https://www.irs.gov/pub/irs-pdf/f4562.pdf

Information about Section 179: https://www.section179.org/

Tax Deduction Calculator: https://www.section179.org/section_179_calculator/

 

[1] – https://www.section179.org/section_179_deduction/

[2] – https://www.section179.org/electing_section_179_deductions/

Steps to Start Your Own Vending Business - vending.com
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Steps to Start Your Own Vending Business

The vending industry is profitable because it provides consumers with convenience. Statistics point out that the industry boasts an annual revenue of $23 billion in America alone. In this article, we’ll explore why vending machines are an attractive business option and discuss the steps to get started.

What’s in it for me? 

A vending business is a lucrative opportunity that offers a lot of profit potential. Through hard work, dedication and perseverance, vending can provide the income you’re looking for while giving you the chance to be your own boss.  Your vending business can start small and grow slowly as you gain more experience.

A guide to an efficient launch 

 Target market, business type, and other fundamentals 

An informed beginning brims with potential for a better future. It’s important to take some time to learn about the vending industry, before investing too much capital. Our vending specialists are happy to answer your questions about gaining locations, selecting products, setting prices and financing new equipment. We have helped more people get started in the vending industry than any other company.

Location is one of the prime factors to be considered while starting any business, and vending is no different. Gaining locations that have heavy foot traffic and customers interested in your machines is vital and very competitive. Providing locations with quality machines, dedicated customer service and delicious products can help secure valuable locations.

Choose your machines 

Once you have locations and you know what products you want to sell visit Vending.com to see our full line of equipment and choose which machines can service your customers best.

Tight finances?  

Your dreams are not busted if you don’t have all the cash to create a vending business or purchase new machines. Vending.com offers up to 100%  financing and other flexible financing options for qualified applicants. When financing, your vending machines can pay for themselves with just a few sales per day. See our latest promotions here.

Complete all the legal formalities 

A vending business may have fewer requirements to start with but follow the same state-wise provision as any legal business in America.

Vending regulations in America differ based on the types of vending machines and the state you are in. You may find information on this by contacting the local Chamber of Commerce or referring to the state’s business regulations online. 

Companies registering themselves as an LLC, S Corporation, or C Corporation must work with a registered agent of the state. This agent will be authorized to accept legal and government notices on behalf of the business. 

An LLC is required to file Articles of Organization, whereas a corporation must file Articles of Incorporation. Again, it is pertinent to conduct thorough research on the legal requirements or hire a legal advisor to assist you.

Great time to learn more

Our vending machine specialists are eager to take the steps to get started and help you thrive in the vending business. Give them a call today at 888- 929-1042 and see why Vending.com has helped more people get started in vending than any other company.

Vending.com - Factors To Consider Gaining Happy Customers
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Factors to Consider Gaining Happy Customers

Customers today have more information, needs, and power than ever before, and marketers must strive to live up to their expectations to provide a better customer experience. Customer happiness, like customer engagement, is a vital measure of success nowadays. While brand recognition has long been a marketing goal, implying one-way, business-to-consumer broadcasts, customer engagement suggests the growing importance of more intimate connections through two-way interaction. These connections result in satisfied consumers and simply making your customers happy.

Low levels of customer satisfaction imply that your retention rates will be low as well. According to Kolsky’s research, just one out of every 26 dissatisfied consumers reports. More significantly, 91% of unhappy consumers who do report a complaint vanish. You can afford to lose 91% of your unhappy customers with that in mind. Based on consumer insights, you may optimize the customer experience, boost customer happiness, and increase retention rates. Continue reading to discover low customers and obtain more happy customers.

Let us consider an example: When a consumer has a problem with the machine, where can they go to file a complaint? For a refund of their funds? For the item that became trapped in the machine? They sometimes direct their anger at the device, causing damage to the engine and the surrounding space, such as scratching the floor or destroying the walls. Vending machine sales may suffer as a result of this discontent. 

Here are some simple steps to enhance customer service and boost vending machine sales.

What can a vending business do to improve the customer experience and vending machine sales without consumers’ feedback? There are specific techniques to follow to enhance the customer experience. These are best practices followed by reliable vending business experts like Vending.com.

Make Sure To Address Complaints Immediately: There are various ways to achieve this, but the easiest is to maintain at least some contact information on the devices. Customers may contact suppliers and report any difficulties using a phone number or email address. Vendors can also employ call centers to manage complaints after hours. Customers would feel better, and vending machine profit would increase if suppliers responded quickly to complaints. At Vending.com we make our customers feel valued in realizing that their opinions matter and that their business is appreciated. 

Always keep your machines in perfect working condition: If consumers have frequent issues, such as the bill validator not accepting their money, resolving the issue is important to maintain customers returning to your vending machine and increase sales. People are not interested in buying products from vending machines if they have difficulties with them. Although supporting devices in perfect working order and keeping them clean takes effort, attracting consumers to visit the machine and purchase items is worthwhile. Even if it means completely replacing a vending machine, providing consumers with a comfortable experience goes a long way toward enhancing customer happiness and vending machine sales.

Maintain closer relationships with the contact person (POC): To cite an example, there will always be a point of contact for vendors and route drivers at office buildings, residences, and hospitals. This individual will collect consumer complaints, take down names of persons who require refunds and keep track of issues with the equipment. They are doing free services for the vendor. Maintaining a positive relationship with this person will improve their experience with the vendor. Suppose a vendor notices that a customer is unhappy since they have spent too much time receiving complaints about a machine. In that case, they should offer them a beverage or snack as appreciation. These are ways vendors may improve the customer experience, encourage customers to return to vending machines, and boost total vending machine revenue.

Final Thoughts: When improving your customer service and boosting brand satisfaction, there are various factors to consider. To simplify things, we recommend that you follow our suggestions, but don’t limit yourself. You can master your company’s customer service using various innovative methods – and you should never stop if you want to be the best-loved brand in the world.

Vending.com offers full service programs that help the first time owner-operator just getting started in the vending business or the seasoned vendor-operator looking to expand a growing business. Be a part of the rapidly growing vending industry with Vending.com. Our vending experts are standing by to help with your questions call us at 1-855-929-1042.

Vending.com - vending business
Posted on | by Phil Masters | Leave a Comment on Ways customer service influences your vending business

Ways customer service influences your vending business

“I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.” 

– Maya Angelou – Poet, memoirist, and civil rights activist

Certain sayings have a great deal of wisdom hidden in them that resonates with us. What makes them great is how they remain true across time. We all must have heard the above Maya Angelou quote in some variation or another, and this holds for customer satisfaction, which in turn drives sales success.

Customer Satisfaction = Customer Service + Customer Experience

A particular study by Oracle® found that 86% of the surveyed consumers were willing to pay more for better customer service. The link between customer satisfaction and sales success is well-documented.

Though there are multiple definitions based on context, we could safely take the following equation as the simplest canonical form: Customer Satisfaction = Customer Service + Customer Experience. 

Customer satisfaction is a combination of aspects that are in our control, 

  • Vending customer service, the tangible aspects such as a well maintained and stocked machine, ensures full marks
  • Customer experience, where the intangible elements, such as aesthetics or a contactless and cashless experience, come into the picture.

At Vending.com, our machines cover both aspects. 

Quality of Customer Service

Vending customer service is key to gaining repeat customers and growing your business.

Stock availability

More product selections translate to more sales. Our combo vending machines, for instance, vends multiple product types and has a flexible and high storage capacity.

Ease of Use 

The customer does not like coin jams, bills returned, glitchy interfaces, or faulty buttons. The customer depends on the vending equipment to save them time while servicing their needs.

Safety

Vending equipment is a substantial piece of machinery. As rugged and handsome as they are, they still need to be grounded, balanced, and suitably located to stave off any possibility of injury. In today’s environment, sanitization of high contact surfaces are also non-negotiable. Check out our UVend Technology that provides a safer vending experience for customers.

Quality of Customer Experience

Customers are the cornerstone of your success. Focusing on the below areas will help in maintaining and optimizing the quality of their interaction with your vending business.

  • Ease of accessing information: We are living in a mobile-first consumer environment. Your customers are used to responsive touchscreens with strategically located useful information. They expect no less from their food, snack, or drink vending machines.
  • Technology
  • Cashless: Again, the focus is on a seamless interaction. One where mobile and card-based payment systems increase convenience for the customer. Our offerings are equipped with the latest payment acceptance systems. Additionally, in some cases, these offerings can be retrofitted. We recommend contacting your sales representative for more information.
  • Contactless: Unattended retail is growing. With this, our machines are equipped to make the entire user-machine interaction contactless, from product selection to payment to delivery. We ensure a no-touch experience to the end-users. 
  • Aesthetics – The Where, How, and Wow of Product Placement
  • Planogram: Out of sight, out of mind. We do not want visibility to affect your sales. Our in-house experts help you plan the positioning of your best-sellers. This ensures customers do not turn to another machine just because they could not spot the snack they wanted.
  • Lighting: Visibility is one thing. Viewability is another. Vending.com machines have strategically placed LED bulbs that enhance merchandise viewability.
  • Design: The where and how of product placement is covered, and now we come to the ‘wow.’ Depending on the audience targeted, a good design helps you get extra sales. Vending.com helps you convert your branding goals or your marketing ideas into visual graphic wraps. 
  • Alignment with/cognisance of customer philosophy
  • Accessibility: Patrons will range from children or elderly or the differently-abled. As such, our machines are all ADA compliant or ADA ready.
  • Sustainability: Consumers are now more aware than ever of the environmental impact of their purchase decisions. Vending.com has always been at the forefront of creating or in the early adoption of energy-efficient practices. Our machines are ENERGY STAR® certified. We constantly innovate through engineering and sourcing to keep the toll on our environment to a bare minimum.

We have ensured client success throughout our decades (90 years) of experience in delivering automatic merchandising equipment by helping our clients provide great end-user service and constantly optimize the end-user experience. We deliver thanks to our consistent focus on innovation and dedicated and exhaustive service, maintenance, and repair.

Making Vending Machines Your Best Salesperson

With a vending machine, there is an opportunity to provide standardized vending customer service and a quality customer experience to ensure more repeat sales and increased customer loyalty.

At Vending.com, we focus on making our machines a delight to use. We incorporate customer feedback and industry trends into our R&D. Connect with us to know more about the features and machines that will drive more vending sales for your business at 1-855-929-1042.

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Posted on | by Phil Masters | Leave a Comment on Be Mindful of these Pitfalls When Purchasing A Used Vending Machine

Be Mindful of these Pitfalls When Purchasing A Used Vending Machine

The Vending Machine Business

Did you know that as of 2022, the US has roughly 5 million vending machines? According to the industry market research firm IBIS World, the vending machine industry generates close to $8.9 billion in annual revenue. About 67% of this market comprises small independent operators selling snacks and beverages and making small margins. For most vending machine owners, it is primarily a side hustle.

Vending is a booming business, and starting one is not very difficult. The vending business is a constantly changing and evolving industry. It provides an excellent opportunity for all kinds of entrepreneurs, whether you are a novice or a seasoned business owner. The range of products that can be offered to your customers is vast. The most common and popular items being sold are snacks, candy, and beverages like soda, water, and coffee.

Used vending machines generate profits quickly with a low initial cost

If you are new to the vending business and would like to try your hand at it, then an easy way to start your own vending business is to buy used vending machines. A used vending machine will typically cost a fraction of its brand-new unit. You may also chance upon a used vending machine that has barely been used.

While experimenting with new locations, a used vending machine can be a good choice. If you are operating with limited resources, used vending machines may be the way to go. Many such use cases get you started on a used machine and earn the capital required to invest in a brand-new device.

There are many kinds of used vending machines available in the market today. They sell a variety of merchandise, from sodas or general snacks in malls to travel electronics like headphones or phone chargers in airports. You can also buy COVID-19 essentials like masks and sanitizers from vending machines in hospitals and public spaces like malls or theaters. Picking the right product and pricing it right will help recover the capital invested in buying your used machine.

Important aspects to consider before purchase

A used vending machine might seem like a cost-effective choice to jumpstart or expand your vending business. There are a few important things, however,  to consider before buying one.

There are business pros and cons when investing in a used vending machine. The right price, the suitable model, long-term reliability, value over investment, etc., form the cons. Vending.com ensures that these cons are handled and converts them to advantages.

  • Warranty –
    • Con  – Used vending machines come with no warranty, unlike new ones. 
    • Pro – Vending.com “factory refurbished” and “certified used vending machines” do come with a great price and limited warranty
  • Financing- 
    • Con – purchasing a used machine most likely will be a cash-only transaction, or you may have to take out a loan. 
    • Pro -Vending.com has a few attractive financing options that have been designed for entrepreneurs and their cashflows in mind.
  • Number of Features
    • Con – Used vending machines are generally older models. Legacy units will not have the latest features and technology like contactless transactions. They may not be equipped to accept card payments, thus limiting the number of customer transactions. 
    • Pro -Vending.com has the expertise and parts catalog to address this.
  • Hidden expenses –
    • Con – Used machines may work perfectly fine initially, but as they near end-of-life, their mean time between failures becomes lesser and lesser. While the cost of repairs will be a factor considered, the more significant aspect would be the lost revenue from sales. 
    • Pro- Vending.com’s one-year factory warranty and Vendnet’s 90 years of vending experience ensure your machine operates with no problems. 

When purchasing a used vending machine, it’s always a good idea to inspect the vending machine in person. If Tinder taught us anything, it is that profile pictures are often overrated.

  • Seeing is believing. Check if there are any physical damages like scratches or dents. It is relatively easy to improve the external appearance of the machine. If there are heavy dents, it is better to take a closer look at the circuit boards and refrigeration systems before moving ahead with the purchase. You should ask for the machine’s original manual and schematics and whatever proof of service the seller has at hand
  • If you are buying a vending machine for dispensing cold beverages, check the compressor thoroughly. Insist on starting the machine a couple of hours before you arrive. If you have a gas leak detector, do not forget to take it along. Freon-based coolants like R232 are relatively easier to detect with their distinct smell. It is the propane-based ones that are difficult to spot without a detector. It is better to look for better options if the compressor does not inspire confidence.
  • Check the bill acceptor and coin validator. Test it to make sure it is not malfunctioning. No one wants to use a vending machine that simply eats up their money and dispenses wrong items or nothing at all. You could also retrofit a card reader or cashless payment system to the machine. If the bill acceptor or coin validator is glitchy, ask for a discount in the asking price that will help you retrofit one from Vending.com.

 

The kind of used vending machines you buy can influence the pros, cons, and ultimately the success of your vending business. Getting a quality machine will save you lots of money and time while maximizing revenue-generating transactions. Purchasing your vending machine from a reliable company can help eliminate uncertainties and risks. Vending.com has a wide range of factory-direct new and used vending machines that are manufactured in the USA. All machines have been factory inspected and remanufactured to look and operate just like new vending machines. 

When buying your vending machine from Vending.com, you can rest assured that you are in good hands. With over 90 years of experience in the vending industry, Vending.com offers a dependable business proposition to help you build your own vending business.

Vending.com offers affordable used vending machines that are factory refurbished and certified.  Call 1-855-929-1042 today for all your vending needs.

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Posted on | by Phil Masters | Leave a Comment on How does a ‘Made in USA’ vending machine help your vending business

How does a ‘Made in USA’ vending machine help your vending business

 

Made in the USA – The What and The Why?

Some suppliers sell truly American-made products, while others do not. Tthe government has ensured that Made in the USA is no longer an abstract concept. The high-level description of an “All or Virtually All” American-made product is that more than 50% of the product and its components by cost must be made in the country. Thanks to FTC guidelines [1] and federal regulations, every industry also has clear rules as to what is eligible for a Made in the USA tag and what is not.

A recent survey by a leading magazine [2] says about 69% of the respondents preferred buying American-made products. About 83% of them were also willing to pay a premium for the Made-in-America label if it is a genuine claim. This may not be surprising as we all want to reward the American spirit of entrepreneurship and innovation. The benefits of buying a product made in America, however, are not limited to patriotic fervor. There are sound business benefits to vending machine owners and operators while buying American machines or services.

What it means for your vending business

Local Customer Service: A vending machine is complex equipment that is built with a variety of electrical, mechanical, electronic, and communication equipment. Adequate customer support with cross-functional technical capabilities is essential to deliver the best user experience for the end-users of the machine. Local manufacturers understand the challenges of local customers. A good understanding of many variables like ambient weather, tastes and preferences, compliance to regulations, and other factors influence the quality of service. A business that designs and builds machines in the USA is more likely to understand the nuances of these variables and provide the best support.

International Supply Chain Woes: Manufacturers, relying on global suppliers for their components currently struggle with a severe supply chain bottleneck. This is not a temporary situation. If your machine’s card refrigerator unit fails and you must wait for a month to replace it, it means your machine is out of action. The cost of spoiled inventory in the machine is not even a scratch on the surface of what you will stand to lose as revenue. If you have purchased your machine through a financing option, you will also service the debt without revenue. On the other hand, a local manufacturer can quickly replace parts and keep the cash registers ringing.

Standards of Safety and Quality: The safety standards are a minimum benchmark for an American manufacturer who understands the consequences of a gap. However, for manufacturers in a developing nation, the standards are simply a matter of compliance to purchase specifications. Both might be working towards meeting the same safety standards, but the drive to meet such measures can be quite different. North American and Western European businesses are much more savvy than most other regions. This also gives an edge to American manufacturers compared to those who buy parts or machines from other countries to sell locally.

Faster Delivery Time: Mobilizing machines, equipment, and parts locally are faster than ordering and shipping from thousands of miles away. In a market where impulse purchases of products are short-lived fads, “time-in-transit” can be a killing. Also, the distances your machine or parts must move without any economic value can hurt the environment. A local manufacturer might still burn gas to haul your machine a few hundred miles. But it is way faster, cheaper, and environmentally responsible than shipping it on a diesel barge across the ocean.

Geopolitical Uncertainties: The last thing that a vending machine owner or operator must be worried about is the relationship between countries and world leaders. Today’s environment is so volatile that countries trade tariffs, embargos, restrictions, and retaliatory measures between each other at the drop of a hat. Suppliers who rely on foreign products or components are often impacted by the tectonics of international politics. Local manufacturers are relatively insulated from such uncertainties and become reliable partners to your vending business.

Made in the USA is not a tag. It is a proposition.

Buying American-made vending machines has a definite and positive impact on the success of your vending business. You can improve your revenues, reduce risks, ensure consumer convenience, and escape impact from extraneous factors. You can also contribute to empowering the country. You can give a boost to both your patriotism and profitability by doing business with an American manufacturer. Vending.com has been manufacturing vending machines in the USA for more than 90 years. You can talk to us to know more about the benefits of doing business with an American manufacturer like us. Call us now at 1-855-929-1042 or click here.