Vending.com - blog - vending machine

Winning the right location for your vending machine (the sales approach, not selecting the location)

Factors influencing the success of a vending machine business

9 out of 10 vending business owners would agree that location is the most crucial factor in determining success. Important factors, such as selecting the right vending equipment and choosing the most profitable and saleable merchandise, depend on the location.

For example, in a location where a hip demography loosens their purse strings, having an intuitive interface and reliable operations results in more transactions. Whereas, in transit centers, salty snacks and bottled water are often the most profitable. The only factor that does not depend on location is your vending machine and the service partner – Vending.com.

This blog lets us dive deep into the location factor to see how a vending business owner can win suitable locations to maximize revenue and profits.

Finding a good location

There are several parameters to consider while selecting the right location for your vending machine. These include: 

Volume of traffic: The location you select must have high foot traffic. After all, vending is a numbers game. The higher the traffic, the higher the number of transactions.

Type of traffic: Vending is about convenience and the experience depending on the consumer. It is the simple magic of the mechanics for a young kid when you push currency into the machine to get what you want. It might simply be about waiting with a beverage at the Airport for the next flight for an adult. The kind of traffic will define what you sell and how it is priced. The visitors to your location shall define the suitable machine and the right merchandise.

Demographics: The demographic of your location is going to have an impact on profitability. For example, if your machine is at a gym, customers will more than likely be looking for bottled water and not for soda. A themepark, on the other hand, may require more chocolate bars or chips. Ignoring the demographics of your location can be detrimental to your business.

Competition: The presence of other vending machines is a good sign. While the location might need more effort to win, it is a proven location for a vending business. Remember, the vending machines do not compete for the consumer’s attention. They only compete for real estate. It is the products within the machine, the quality of the interaction, and the ease of the transaction that attract consumers. The right product mix is always attainable by studying the competition and by selecting complementary products. For optimizing the customer experience, the right technology and the right aesthetics go a long way. Picture this, a fully contactless vending machine with guaranteed vending technology accepting cashless payments, with attractive designs on them – with bestselling products. This is just an example of how Vending.com’s range of machines delivers the optimal customer experience.

 Building the proposition

A vending machine owner or operator is not just doing himself a favor by placing the machine at a location. There is definitely value for the location owner, too. Winning the location is dependent on articulating the value for all stakeholders, including the location owner.

The location owner might have different types of benefits. Some might give more weight to the rental income or the commissions they will get from your vending machines on their premises. This is the most common benefit, but not always the largest.

In other cases, businesses might be keen on improving customers’ convenience. Location owners may also want to use the vending machine as a channel to promote products aligned to their business. A good example would be protein shakes and protein bars in the vending machines at a gym. This increases revenue and reduces the need for additional sales bandwidth. Some might consider your machines a good branding opportunity by sticking their brand on your machines. Features like UVend Technology on vending machines and contactless transactions can enhance the sense of safety at some locations.

While the fee for placing the vending machine is a given, its size can depend on how well the other benefits are articulated to the location’s owner.

Our 90 years in the vending industry have given us experiences that can empower your vending business with the proper guidance and insights to be successful. To know more, talk to us at 1-855-929-1042 or visit this link to get help from professionals.

Vending.com - Blog

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.

Tax-Deduction-Blog

The 2021 Section 179 Tax Deduction

Did you know that with the Section 179 Tax Deduction, you can deduct the full price of new vending equipment? This incentive for business owners expires at the end of 2021, so take full advantage today! Find out more about the benefits of this incentive and how it can help your vending business by watching the video below.

For more information about Section 179, give us a call at 1-800-548-1982 or contact your sales representative today!

Prepare for Winter with UVend Technology

Are You Prepared for Winter?

The cold, winter months are going to be here before we know it. Not only does this mean colder weather, but it means that we will see an uptick in illness, whether it be a cold, the flu or COVID-19. Believe it or not, there is a lot that can be done with your vending equipment in winter to ensure your customers are satisfied. 

MarketOne Coffee Vending Machine

For many customers, the cold weather settling in means that they crave a hot beverage in order to keep them warm. Enter the new MarketOne Coffee Vending Machine. It features a European design and a state-of-the-art brewing system for customers to receive coffee shop-quality from a vending machine with the push of a button. Keep customers warm by giving them the option to choose from up to 34 hot beverage combination options of coffee, hot chocolate, tea, espresso and more.

UVend Technology

Give customers and employees the safer vending experience they have been craving with UVend Technology. UVend Technology, a patent-pending UVC light sanitization device, makes the high-touch surfaces of vending machines safer by quickly killing or inactivating up to 99.9% of some of the most common viruses and bacteria, including influenza and COVID-19. 

To provide an extra layer of protection, UVend Technology features an automated motion sensor and visible blue light. The motion sensor ensures no presence is detected in front of the machine before activating and the blue light indicates quick sanitization is in process, allowing the machine’s keypad and delivery door to be sanitized after almost every use.

Sani-Center Vending Machine

Vending.com’s Sani-Center PPE Vending Machine limits face-to-face interaction by safely dispensing cleaning supplies, medical masks, hand sanitizers, wipes and more to customers. It allows customers safe access to supplies they need while generating revenue for your business. One of the biggest Sani-Center benefits is the capability for customers to purchase items through a cashless card reader or mobile payment platform, further reducing direct contact with the vending machine.

Looking for more ways to give your customers an extra layer of protection during the winter months? Call 1-800-548-1982.

The Right Coach for Your Vending Business

When you work with Vending.com, you are working with a trusted manufacturer with over 90 years of vending experience. Whether you are a seasoned vending professional or you are brand new to the industry, Vending.com can match you with a vending coach to help you meet your vending goals.

For vending business owners, Vending.com has the right vending machine models and financing programs to maximize your vending profits and reach your full potential. Our financing plans are catered to each business owner. No business is the same, so why should financing be the same? With a quick credit approval process and plans up to 48 months, our flexible financing options are specialized to increase sales.

New to the vending business and are unsure of where to start? No problem! Once you have secured your vending location, Vending.com coaches will help educate you on the right model and machine for that location. If you are having problems finding the right location, we recommend starting with someone you know who has their own business, such as friends and family.

Whatever your vending goals may be, Vending.com is ready to work with you to reach them. In addition to our state-of-the-art machines and financing options, we offer factory-direct pricing and professional staff to coach you every step of the way. When you purchase a vending machine from us, you receive a factory warranty and a lifetime of technical support.

Whether you are new to vending or have been here for years, Vending.com can help you every step of the way. For additional questions, please call 1-800-548-1982.

Mobile Apps to Help Your Vending Business

Vending.com loves the following three apps for your vending machine business. They each offer a different service that will be valuable to you in your day-to-day life:

Mint:
Mint.com, which was name one of TIME Magazine’s “Top 50 iPhone Apps” in 2011, is the perfect free mobile app for business owners on the go. Since your vending business keeps you out and about for hours each day, this app will help make your life a lot easier. The app allows you to set a budget for your business and enter transactions while on the go. You also can get real-time fund availability. In addition, in case you lose your phone, the app has a password to keep any unauthorized persons from viewing your financial information.

Evernote:
This handy app gives you the ability to instantly take notes on your mobile device no matter where you are. You can then easily access this information later. This is ideal for making notes of inventory needs, writing yourself a daily to-do list or just jotting down your latest brainstorm for your business. Thanks to Evernote, you don’t have to worry about keeping a paper and pen handy at all times.

Dropbox:
This app is available on both mobile devices and tablets. It works by storing your business documents, photos or videos to access on the go. Imagine being able to pull up all your businesses marketing materials no matter where you are at the time. After all, potential clients are everywhere, so why shouldn’t your most impressive business information be as well.

Any of our recommended apps for vending machine businesses will help you take yours to the next level.

3 Ways to Find the Perfect Vending Location

Whether you are new to the vending business or a veteran, you are likely open to suggestions on how to make your business more profitable. Since a huge part of a vending businesses success is the result of the machine’s location, learning how to choose the perfect spot for your machine is crucial. Read below for three tips from Vending.com on how to do just that:

Go where the people are:
As a vending machine owner, you want to find locations for your machines that have a great deal of foot traffic. Examples of such places include airports, malls or busy offices. It only stands to reason that the more people who walk by your machines each day, the better your sales will be.

Be the focus:
Although it is wise to place your machine in an area with lots of foot traffic as listed above, you can also find success when placing your machine in a more subdued environment. Your machine will often times become a source of entertainment when people are bored. Great examples of these locations that are less busy yet highly profitable include doctors’ offices, nail salons, car repair centers or barber shops.

Don’t avoid competition:
Some vending machine owners do not want to place their machines near other peoples’ machines. However, that can be a mistake. If you place a well-stocked, attractive vending machine next to a machine that is poorly maintained or rarely stocked, you will end up doing well even with competition present.

By incorporating the three tips listed above and remembering to match the type of vending machine with your clientele, you can ensure you are placing your machine in the most profitable location possible. After all, just as in real estate, location, location, location is the means to success in the vending business.

Eco-Friendly Customers and Coffee

Coffee Vending MachineVending.com has learned that what makes a cup of coffee delicious might depend on more than just the beans used and the machine it’s made in. According to an article by the Los Angeles Times, a research team ran an experiment in which participants were presented two cups of coffee, one that was “eco-friendly” and one that was just a regular cup of coffee. What the participants did not know was that both cups of coffee were made from the same beans and in the same standard coffee maker.

While the phrase “eco-friendly vending machine” might not make all coffee consumers crave more environmentally conscious coffee, participants were also surveyed on various issues before the study and the results showed that the majority of participants that were concerned about the environment preferred the eco-friendly brew. Those same participants were also willing to pay about 25 percent more for a coffee they believed shared their views on the environment.

When it comes to coffee or drink vending machines, you might not need to change your product offering to continue to be successful, but this is a good example of how knowing your customers and what their preferences are can help your vending machines, eco-friendly or otherwise, become even more profitable.

Vending Machine Industry Confidence Index

Vending MarketWatch recently released a new study of the vending industry, the Vending Operator Confidence Index. The aim of this index is to measure the confidence vending operators have in the industry and assign it a positive or negative value. In their first ever index, Vending Market Watch rated the vending industry confidence level at 136.00. The average is 100 so a reading over that indicates various levels of positive outlooks. 136 puts it at a cautiously optimist outlook for the vending industry.

This index will be conducted monthly and give industry members a view of how the overall industry is doing on a more regular basis. The vending industry usually relies on annual reports or smaller studies and the monthly delivery of this survey will certainly give some unique insights into the industry. Having monthly indexes will most likely cause a few unduly high or low points based on industry trends or developments, but it will hopefully draw attention to those developments as well.

With new developments occurring more and more frequently and new vending machines for sale hitting the market, having a way to keep tab on these technological advances and the overall trend of the industry will be very helpful.

Luxury Gift Vending Machine

A vending machine in Berlin is offering a range of items that you might not find in your traditional vending machines. The vending machine was launched by German delicatessen Floris Feinkost and features gourmet selections including high-end, prepared food and gift packages.

This vending machine has gifts that anyone would want to receive including pint-sized bottles of champagne, pastries, pralines, flavored salts, chocolates and even bottles of wines. These are just a few of the more than 60 products customers can browse through.

The unit has ten levels of display cases that showcase the wares. Vending.com has seen vending operators benefit from improved displays of vending products through updated machines, captivating graphics on the machine, and well-lit and organized product displays. In this particular machine, the cases look like miniature storefront displays, with products perfectly packaged and displayed.

About Vending.com

Vending.com brings together a multitude of vending expertise through our circle of services. Everything you need to start, grow, or manage your vending business is provided through our easy online access. We provide vending services, financing, vending industry news, technical repair, parts and much more. Vending.com is one of the companies under the Wittern Group umbrella. Whether you are an entrepreneur starting your own vending machine business or expanding your current business, Vending.com offers you a full range of vending machines, financing, location assistance and other services to meet all of your vending needs. As a full-line vending sales company we provide customers nationwide with the right equipment for their client’s location. Our large selection of snack, soda machines, hot beverage, cold and frozen food and other quality vending machines can be configured and customized to fit any size location from small businesses to large factories. Let our network of vending machine companies go to work for you.