hanihotdog Posted August 9, 2014 Share Posted August 9, 2014 Disclaimer... I operate in bulk vending, but I am constantly asking myself.. Why bother? I am looking for inspiration from people who still have a passion for bulk vending. (not gum and bouncy balls. I still get excited over that business) How do you stand out in bulk rack/toy vending these days? There are a limited number of suppliers and all have similar products/pricing. You cannot differentiate on product. Maybe you are like me and you have tried paying an employee to capsule for you.. you will quickly learn that it is now worth the effort. AA and Cardinal have a great program where they use people with special needs to capsule product for next to nothing... Bulk equipment is not innovative. There are no barriers to entry. Product margins are very slim (and revenues are low). you cant afford to service regularly, so service is not a good answer. Also, mom and pop retailers and food establishments are disappearing rapidly! there is an over supply on the operators side, and therefore margins will continue to get squeezed. Why compete in an industry where you cannot achieve a distinct competitive advantage? in bulk vending, you are only as good as your dumbest competitor.. So with all of that said.. what makes one company better than another? What do you guys do to stand out? Link to comment Share on other sites More sharing options...
rodney69 Posted August 9, 2014 Share Posted August 9, 2014 It depends on the location. In my area it's quality service and quality equipment. Service meaning talking to the business owner and listening to what they really want or really are having trouble with. Most vendors promise the world and say how much money they'll make them or how much better they are than the competition. But is that what every business wants? I talk too them and listen to them, then figure out from there what to do. Ex. I went in to a grocery store and noticed they're was no racks, only a interactive bouncy ball machine. I found out that out was the owners and they couldn't believe how much bouncy balls were. In the end.... They by theirs from amazon, I asked her if she would like them cheaper and make some money. She said sure! How? I took her that I will sell her them for 10.00 less a thousand of she would let me put a track in and give her a cut. needless to say, I don't sell balls and last month I made an extra 80.00, she thinks I'm the world, and no one will ever take that spot from me. I don't see vending as just an opportunity to make money, I see it as an opportunity to meet people and help others. equipment is key ad well. I will use a Uturn rack to get a place if I have to. Even if it's over kill for the time being, just to make them feel like their different from others and so am I. Most of vending to me is the chase, not the actual work. It's locating, talking, new toys, stickers, the gamble of a product or even a location. It's about finding out how things operate. I know I'm rambling, you have to find what part of it intrigues you and expand on it! Link to comment Share on other sites More sharing options...
Hillbilly Posted August 9, 2014 Share Posted August 9, 2014 For me, it is a matter of pride. Nobody has any pride in there work anymore. I have been diligently moving forward for the last 5 years. Doing everything I possibly can to get locations and keep them. I see in my full time job that nobody cares what kind of job they do. Just feel that the company owes them a paycheck. I'm wired a little different. I believe you should have a little pride in everything you do. Do a great job just for the sake of doing a great job. And you know what? I don' want to be part of that any more. I am closer now to going full time vending than I ever have been. In fact it will happen sometime this year. One location at a time has gotten me where I am and I will continue to strive for that goal. There are so many areas of vending that can make you money that most companies dont take advantage of .I branched off into 3 smaller areas from straight bulk and now am reaping the benefits of doing so. If you're not striving for excellence and achievements, IMHO you may as well just get a regular job like everybody else. This is my dream. I am doing something I love and I believe people can see that. That makes all the difference in the world. Link to comment Share on other sites More sharing options...
caserri Posted August 9, 2014 Share Posted August 9, 2014 Great post Hillbilly! Your passion has certainly carried you a long way over the last 5 years. I remember when you first joined TVF as a vending greenhorn with 2 machines. Hanihotdog, if you need inspiration, check out hillbilly's first post from 2009... http://www.vendiscuss.net/index.php?/topic/5052-Hi-eveyone.--Just-starting-in-West-Virginia. Link to comment Share on other sites More sharing options...
rodney69 Posted August 9, 2014 Share Posted August 9, 2014 For me, it is a matter of pride. Nobody has any pride in there work anymore. I have been diligently moving forward for the last 5 years. Doing everything I possibly can to get locations and keep them. I see in my full time job that nobody cares what kind of job they do. Just feel that the company owes them a paycheck. I'm wired a little different. I believe you should have a little pride in everything you do. Do a great job just for the sake of doing a great job. And you know what? I don' want to be part of that any more. I am closer now to going full time vending than I ever have been. In fact it will happen sometime this year. One location at a time has gotten me where I am and I will continue to strive for that goal. There are so many areas of vending that can make you money that most companies dont take advantage of .I branched off into 3 smaller areas from straight bulk and now am reaping the benefits of doing so. If you're not striving for excellence and achievements, IMHO you may as well just get a regular job like everybody else. This is my dream. I am doing something I love and I believe people can see that. That makes all the difference in the world. Well said! I agree 100%! Link to comment Share on other sites More sharing options...
Makes Cents Posted August 9, 2014 Share Posted August 9, 2014 One way to distinguish yourself is to get the business to see you as an Irreplaceable asset. What does the business care about. They care about their business image, their customers and making money. If you feed all of those needs you will reap the benefits. - Add a nicely done logo from their business to the top of your machines. (business image) - Use stands and machine colors that compliment the decor of the business. (business image) - Find machines and products that other companies dont have. You want to reinforce what you offer is unique and in demand and available only through you because you take the time to find them. (their customers) (making money) Take the time to be their partner and they will laugh at the next vendor coming through the door offering a higher commission because you are an Irreplaceable asset Link to comment Share on other sites More sharing options...
hanihotdog Posted August 10, 2014 Author Share Posted August 10, 2014 Thanks for all of the posts. I appreciate your passion and your pride in what you do. I was curious to see what everyone on this forum would say, and you pretty much affirmed what I have been feeling all along. YOU and YOUR EMPLOYEES are what differentiates you from the next company in bulk vending these days. If you are passionate about bulk, it will shine through in your service and your interactions with customers. We are not passionate about bulk, but we are always very gracious for everything that we have, and we always go the extra mile to thank customers, managers, and owners for the opportunity to do business with them. Most of our "bulk only" accounts only get serviced once or twice a year, and for the most part they are ok with that. We come in with a smile, and hand out free samples to anyone that wants them. We try to develop enough of a relationship that they call us when "its time" and we always answer by saying "THATS AWESOME ! I CANT WAIT TO GET OVER THERE !". Just happened this week. had a bounce-a-roo 45 min south call and say "its time.. only 2 balls left!" went down there and pulled $500 and told the owner she was awesome for calling.. I gave her a few balls to give out to the kids and she though we were the best! I would never want to give up an account like that! Link to comment Share on other sites More sharing options...
havending Posted August 10, 2014 Share Posted August 10, 2014 Disclaimer... I operate in bulk vending, but I am constantly asking myself.. Why bother? I am looking for inspiration from people who still have a passion for bulk vending. (not gum and bouncy balls. I still get excited over that business) How do you stand out in bulk rack/toy vending these days? There are a limited number of suppliers and all have similar products/pricing. You cannot differentiate on product. Maybe you are like me and you have tried paying an employee to capsule for you.. you will quickly learn that it is now worth the effort. AA and Cardinal have a great program where they use people with special needs to capsule product for next to nothing... Bulk equipment is not innovative. There are no barriers to entry. Product margins are very slim (and revenues are low). you cant afford to service regularly, so service is not a good answer. Also, mom and pop retailers and food establishments are disappearing rapidly! there is an over supply on the operators side, and therefore margins will continue to get squeezed. Why compete in an industry where you cannot achieve a distinct competitive advantage? in bulk vending, you are only as good as your dumbest competitor.. So with all of that said.. what makes one company better than another? What do you guys do to stand out? Gross margin on product is still very good. True that it now takes many more machine to make the same money. Link to comment Share on other sites More sharing options...
havending Posted August 10, 2014 Share Posted August 10, 2014 It depends on the location. In my area it's quality service and quality equipment. Service meaning talking to the business owner and listening to what they really want or really are having trouble with. Most vendors promise the world and say how much money they'll make them or how much better they are than the competition. But is that what every business wants? I talk too them and listen to them, then figure out from there what to do. Ex. I went in to a grocery store and noticed they're was no racks, only a interactive bouncy ball machine. I found out that out was the owners and they couldn't believe how much bouncy balls were. In the end.... They by theirs from amazon, I asked her if she would like them cheaper and make some money. She said sure! How? I took her that I will sell her them for 10.00 less a thousand of she would let me put a track in and give her a cut. needless to say, I don't sell balls and last month I made an extra 80.00, she thinks I'm the world, and no one will ever take that spot from me. I don't see vending as just an opportunity to make money, I see it as an opportunity to meet people and help others. equipment is key ad well. I will use a Uturn rack to get a place if I have to. Even if it's over kill for the time being, just to make them feel like their different from others and so am I. Most of vending to me is the chase, not the actual work. It's locating, talking, new toys, stickers, the gamble of a product or even a location. It's about finding out how things operate. I know I'm rambling, you have to find what part of it intrigues you and expand on it! Some good will goes along way in this business. Some of our locations have their own candy or gum machines and I will fix it for them or replace a part at no charge. I have it all laying around any way and it makes them loyal to me. Few days ago I serviced an account we have a stacker and crane. The owner was asking about the 2 gig mp 3 we have in there. I said do you want one he said yes with excitement. Cost me 10 bucks stacker did 300 giving out 12 bucks in minor prizes why care about the mp 3. When I paid his comm he told me that he is telling the bulk guy to move out his stuff because he want me to bring another machine that people will like to play. We are very good to our locations and now a days many of the locations we get are from word of mouth. Link to comment Share on other sites More sharing options...
dkochan Posted August 10, 2014 Share Posted August 10, 2014 Longevity and professionalism are ways of differentiating your bulk vending business. I do bulk vending full time and started my business seven years ago. Being professional involves: Placing quality, clean machines Rotating product -- toys and stickers/tattoos Responding in a timely manner to service calls Putting contact information on your machines Handing out well-designed business cards to location owners and prospects Saying, "Hello!" "Goodbye" and making smalltalk when servicing machines Being passionate about your business Networking with other operators Joining and being involved in the NBVA Link to comment Share on other sites More sharing options...
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