Cldas7777 Posted September 1, 2014 Share Posted September 1, 2014 How soon can I raise prices on a newly purchased existing route? I feel the prices are too low and I plan to provide better service. Do you think it is ok to raise prices now or how long should I wait? Link to comment Share on other sites More sharing options...
AZVendor Posted September 1, 2014 Share Posted September 1, 2014 It's okay to raise prices whenever you want to. Of course, your customers will feel differently about it. As long as you are professional in your approach, you give written notification and substantiate the need with valid reasons you should not have a problem. Chances are the locations know they've had low prices for a long time and won't be shocked when they go up. As a new vendor you can easily include among your valid reasons that the previous owner had to sell because he wasn't making a profit and that higher prices and your better service will ensure that you make a profit so that they can continue to enjoy the convenience of vending machines. Be aware that you might lose an account or two, but those will be the accounts that don't care whether you make a profit or not so they probably aren't worth keeping anyway. You need to be sure that you get paid first, so market pricing is a must. Another member here suggested to shop the convenience markets in your area so that you know what the alternatives for your customers are and you can then compare your new prices to theirs. Use that comparison as proof that you aren't gouging anyone. I'm not suggesting that your prices have to be under the convenience market prices, but hopefully their prices will be higher so this works in your favor. Link to comment Share on other sites More sharing options...
TKK Posted September 2, 2014 Share Posted September 2, 2014 Definately doable! Ive done it many times. Just do it, explain that the reason they sold it is that it wasnt profitable for the person before and afraid of slightly raising prices they rather sell. Tell them ull give better service and that everything has go up, it isnt worth doing if it isnt profitable. They understand. Also try to offer a couple of dif products when u do like pastrys or something expensive so u dont look like a greedy beast and it looks like u changed things around. I usually change some products and add leds and they shut up lol Link to comment Share on other sites More sharing options...
rmorris1953 Posted September 2, 2014 Share Posted September 2, 2014 Whats more convenient. A convenience store or a convenient snack vendor. I quit buying from convenience stores. Pastry and candy are to high. I have even quit buying soda when I go out and eat. 700 % mark up on soda is hard for me to swallow. Link to comment Share on other sites More sharing options...
Snickers Posted September 2, 2014 Share Posted September 2, 2014 Some people lose their minds over raising prices a nickel. From my experience some accounts it won't phase but some will boycott the machines. I know we lost a lot of volume when our cans went from .50 to .60. Link to comment Share on other sites More sharing options...
FrCorey Posted September 2, 2014 Share Posted September 2, 2014 yeah really. hope the machines arnt in a jewish owned store oy, another quarter? oy gevalt! Link to comment Share on other sites More sharing options...
AngryChris Posted September 2, 2014 Share Posted September 2, 2014 Really shouldn't say that FrCorey, but I know what you're getting at. Link to comment Share on other sites More sharing options...
orsd Posted September 2, 2014 Share Posted September 2, 2014 yeah really. hope the machines arnt in a jewish owned store oy, another quarter? oy gevalt! That was childish Link to comment Share on other sites More sharing options...
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