bghardin

Not a factor. I do watch each location; but, if my average is $20/location pickup, I don't have a great concern. I do pull locations that consistently demonstrate a great loss. My target is $11/location for it to remain on my list. This accounts for any loss issues. So far after about 10 years doing this, I have only pulled probably 3 locations. I am selective in choosing locations. Try to stick with restaurants and high traffic customer areas. I don't do the employee break area thing. More headache than it is worth in my book. There are too many other locations that are waiting.

My COG is targeted at 11 cents per item. Most items are 9 cents. I sell them at 50 cents. So, my overall COG is roughly 20%. Out of $80,000 annual gross, net is roughly $64,000. There is a cost in gas and vehicle usage that depends on your route set ups.

FlintFlash is correct. I look at the total collection not so much one location. Total collected should average at least $20/box. Some locations may be down one month; but, high the next month. Theft is part of the game. Average $20/box and you will be okay.

I used the Sheridan card board boxes initially. After business started moving upward, I had my acrylic boxes specially made in China. The cost is less than half the cost of the acrylic if bought in the U.S. Couple bucks higher than the card board. I have seen a dramatic increase in sales with the acrylic. They give a more professional appearance to the consumer. Look great.

You are complicating a simple business. With honor boxes, simple is better. Grow with quantity locations. Notice I did not say "quality" locations. You should average $20/box --- some boxes you schedule to pick up weekly (love those) and some may be two weeks or monthly. The idea is to schedule it so that you pick up at least $20/box. And, as your number of locations grow, then, you start grouping them by location and frequency of pickup. Even if you only did 2 boxes per hour for an 8 hour day for 20 days a month; then, you make roughly $80,000 annually. That's just doing 16 boxes a day. Timing the pickup is critical. Personally, I feel the higher the cost of the item for the consumer; the less likely to buy (and, of course, your cost of goods is higher). I think the success of the honor box, is the low cost, donation to a worthy cause, and spur of the moment buyer.