Zink Posted December 10, 2011 Share Posted December 10, 2011 After receiving some advice from Dogcow and a few others I finally got my honor box vending company up and running. A few details. Currently I have my boxes running at an average cost of 34 cents an item. (the candy bars really run this up) I am using 50 item boxes, in them I am placing 20 assorted bags of chips, 20 assorted candy bars, 6 Oreo packs and 4 Famous Amos cookies bags. I am running the company with my brother, neither of us plan on taking a pay check from the company for the first year. Our current goal is 20 new accounts per month, we plan on refilling the boxes once a month, but going to a twice a month cycle for faster selling locations. Our minimum employee requirement for the most part is 5 employees Our current projected estimates assume that on average 60 percent of our products in each box are purchased and the other 40 percent are either stolen/spoil each month. On our first day we were able to place 3 boxes in about 5 hours of time. It's amazing how rude some people are to you when they realize you are a "salesman". Regardless, we were able to get a box placed in one law firm, an advanced auto parts, and one merchants tire and auto shop. Today we mainly hit up any small business we came across. It was Friday so we avoided the banks due to how busy they were. I know some people have said that nail and hair salons are good placed to land an account, but the chance at getting one of the Chinese people who run the salons around here to take a box seemed dismal. Many of them were shaking their heads no at me before I had even got a word out. Auto shops seemed to be the most receiving locations. Perhaps I am going about my sales pitch incorrectly. Currently I am using the following pitch. Hello my name is (*****) , I am a retired United States Marine and just recently started my own vending company called Avid Vending, currently we are looking for locations in the local area who would be interested in our honor boxes. Basically, we place the boxes in a convenient location and once a month we will restock them for you. Do you have a location we could place a box? (then I wait for a response) I have the box in hand, I am well dressed and groomed, ect. Any tips on a way to up my success rate or any other tips? Link to comment Share on other sites More sharing options...
RJT Posted December 10, 2011 Share Posted December 10, 2011 After receiving some advice from Dogcow and a few others I finally got my honor box vending company up and running. A few details. Currently I have my boxes running at an average cost of 34 cents an item. (the candy bars really run this up) I am using 50 item boxes, in them I am placing 20 assorted bags of chips, 20 assorted candy bars, 6 Oreo packs and 4 Famous Amos cookies bags. I am running the company with my brother, neither of us plan on taking a pay check from the company for the first year. Our current goal is 20 new accounts per month, we plan on refilling the boxes once a month, but going to a twice a month cycle for faster selling locations. Our minimum employee requirement for the most part is 5 employees Our current projected estimates assume that on average 60 percent of our products in each box are purchased and the other 40 percent are either stolen/spoil each month. On our first day we were able to place 3 boxes in about 5 hours of time. It's amazing how rude some people are to you when they realize you are a "salesman". Regardless, we were able to get a box placed in one law firm, an advanced auto parts, and one merchants tire and auto shop. Today we mainly hit up any small business we came across. It was Friday so we avoided the banks due to how busy they were. I know some people have said that nail and hair salons are good placed to land an account, but the chance at getting one of the Chinese people who run the salons around here to take a box seemed dismal. Many of them were shaking their heads no at me before I had even got a word out. Auto shops seemed to be the most receiving locations. Perhaps I am going about my sales pitch incorrectly. Currently I am using the following pitch. Hello my name is (*****) , I am a retired United States Marine and just recently started my own vending company called Avid Vending, currently we are looking for locations in the local area who would be interested in our honor boxes. Basically, we place the boxes in a convenient location and once a month we will restock them for you. Do you have a location we could place a box? (then I wait for a response) I have the box in hand, I am well dressed and groomed, ect. Any tips on a way to up my success rate or any other tips? First off, Semper Fi!! Your pitch sounds fine. Sales is "numbers game" as people like to call it. Depending on the item, service you are selling it can take you 100 or more people to land a sale. It sounds like you had a great day. Stick with it and keep knocking on doors. At these places that say "no" make sure you have something that tells all the details about your business and how the honor box works. Some people see a sales person and tunes them out without even hearing a word you said. Leave something with them even if its just a simple piece of paper that explains everything.I would say to some one that says no the following. "I appreciate your time and I would like to leave you with a bit of information about our services that you can read when you have time. If you would like to schedule an appointment at a later time my contact information is at the bottom. Have a great day and thank you again for your time." This way they may read it and change their mind. Because while you were their they may have "tuned you out" and was not even listning. Here is a thought that you might want to consider. Have you thought about donating a small portion of your sales to the Wounded Warrior Project? You could advertise that a portion of all proceeds goes to this foundation. This may help you place a few boxes that you might not other wise. I am a little funny about "chairty vending" but as long as its legit and honest I am ok with it. The WWP is a well worthy cause. Just a idea you might want to consider..... I have a feeling you will do just fine, dont ask me how, I just have a hunch.... Semper Fi!! Link to comment Share on other sites More sharing options...
dogcow Posted December 10, 2011 Share Posted December 10, 2011 hey just a thought looking at ur products you could cut your costs by skipping the baked chips i use granola bar and nuts as my "healthy" items (the small sleeve of planters nuts not the big ones) also i dont use the flavor mix (bbq,etc..) because its more expensive and believe it or not try putting lance crackers in, they last forever and people WILL buy them for a buck! the margin is awesome. Also if you dont want to put pasteries use chocolate pop tarts. Pasteries sell very well for me though. i have a bigger issue with stale chips than stale pasteries i dont think ive ever had a honey bun come back Link to comment Share on other sites More sharing options...
Zink Posted December 11, 2011 Author Share Posted December 11, 2011 Here is a thought that you might want to consider. Have you thought about donating a small portion of your sales to the Wounded Warrior Project? You could advertise that a portion of all proceeds goes to this foundation. This may help you place a few boxes that you might not other wise. I am a little funny about "chairty vending" but as long as its legit and honest I am ok with it. The WWP is a well worthy cause. Just a idea you might want to consider..... Semper Fi!! Funny you mention that. I have actually already planned on donating 5 percent of our profits to the wounded warriors! However, when I contacted them they informed me they are no longer looking for official strategic partnerships due to the high volume of interest they have been receiving. I plan on contacting the Marine Corps Law Enforcement foundation on Monday to see if they were interested in an official sponsorship. I suppose if that doesn't work out I will go ahead and still endorse the wounded warrior project unofficially. ...skipping the baked chips... ... i dont think ive ever had a honey bun come back... The initial purchase of the baked chips was actually a mistake. The damn sign at Sam's club was in cost per units per ounce not per each. I overlooked this and bought a box of them (wont make that mistake again). My current box layout looks like this now. 10 TGIF Chips 10 Assorted Chips 15 Candy Bars 5 Honey Buns 6 Oreo Packs 4 Famous Amos Cookie Packs Average Cost of each item in the box is currently at 30 cents. (Is this pretty good?) Perhaps I will yank out 5 more Candy Bars and replace them with the crackers you speak of. On the topic of nail salons and hair places. How the heck do you sell to these locations when 95 percent of the time all of the employees are working while other people are waiting to be seen. Do you pick specific times to hit up these locations to ensure they are not busy? What do you do if you walk in to a barber shop and all 4 barbers are busy cutting hair? I feel rude pitching a sales pitch when everyone is busy working. Today, Saturday, I was able to get two more boxes placed, one at a Sports Clips (the manager wasnt busy when i walked in) and one at the front office of my apartment complex. Again any tips or suggestions are most appreciated! Likewise, Semper Fi RJT! ~ Nathan Link to comment Share on other sites More sharing options...
dogcow Posted December 11, 2011 Share Posted December 11, 2011 Go early before customers come in...9am Monday nobody is getting a cut Link to comment Share on other sites More sharing options...
RJT Posted December 11, 2011 Share Posted December 11, 2011 Zink, Are you interested in any other business venture? If so the hot dog cart business is very good. I have been running a cart for three months and will be adding one to three more carts to my line up. If you are interested let me know and I will be glad to guide you with it. IMO it compliments a vending operation very well and is a great business model in general. A hot fdog cart business called "Devil Dawgs" and have a bull dog with a hot dog in his mouth would be a great logo. Have different hot dogs named in honor of different things and people of the Marine Corp. Nothing would be cooler than a Chesty Puller Dog. Or one called the Gunny Hathcock or simply called "White Feather". How about The Smedley? ... Let me know.... Link to comment Share on other sites More sharing options...
antoniocinisi Posted December 11, 2011 Share Posted December 11, 2011 the hot dog cart isn`t a bad idea.it will take some start up money and you will have to take a food handlers course,usually 2 8 hour sessions with atest that follows on the second day. Link to comment Share on other sites More sharing options...
RJT Posted December 11, 2011 Share Posted December 11, 2011 the hot dog cart isn`t a bad idea.it will take some start up money and you will have to take a food handlers course,usually 2 8 hour sessions with atest that follows on the second day. I started the one cart for around $2400 including everything and no food handlers course required in NC. One of the best investments I have ever seen for the return. I had everything paid off and profitable in about 45 days or so and thats only working three nights a week...... Link to comment Share on other sites More sharing options...
antoniocinisi Posted December 11, 2011 Share Posted December 11, 2011 I started the one cart for around $2400 including everything and no food handlers course required in NC. One of the best investments I have ever seen for the return. I had everything paid off and profitable in about 45 days or so and thats only working three nights a week...... I guess different states have different laws,as far as having to be certified to handle food.I find it odd you get to handle food and had to take no course or anything. Link to comment Share on other sites More sharing options...
RJT Posted December 11, 2011 Share Posted December 11, 2011 I guess different states have different laws,as far as having to be certified to handle food.I find it odd you get to handle food and had to take no course or anything. May seem a little odd (to me also) but that is how it is. Matter of fact most states do not require it. Link to comment Share on other sites More sharing options...
nrpick44 Posted December 11, 2011 Share Posted December 11, 2011 May seem a little odd (to me also) but that is how it is. Matter of fact most states do not require it. If I may ask, where did you set-up at? I've always wondered if setting one up at weekend flea markets would be a good idea. Link to comment Share on other sites More sharing options...
mission vending Posted December 11, 2011 Share Posted December 11, 2011 If I may ask, where did you set-up at? Wondering the same thing? Link to comment Share on other sites More sharing options...
RJT Posted December 12, 2011 Share Posted December 12, 2011 If I may ask, where did you set-up at? I've always wondered if setting one up at weekend flea markets would be a good idea. I setup at a bar three nights a week. As far as the flea market goes, yes, they can be very profitable also. I set up on a Saturday at one to see if it was a viable spot for another cart I am buying and I was pleased with the one day revenue.I know others that setup on a regular basis and do GREAT money. NOW LETS GET BACK ON TOPIC. I didnt mean to get this thread so off track for the original poster. If anyone wants more answers about hot dog cart vending feel free to start a thread in the appropriate section and I will be glad to answer them..... Link to comment Share on other sites More sharing options...
Zink Posted December 12, 2011 Author Share Posted December 12, 2011 Landed 4 new accounts this morning. Precision Tune Auto Great Clips Wells Fargo Fonville Morisey Eating some lunch and then headed back out to finish my weekly quota of 5 boxes! Link to comment Share on other sites More sharing options...
cashman Posted December 13, 2011 Share Posted December 13, 2011 Great job!! Did you get #5 ? Link to comment Share on other sites More sharing options...
Zink Posted December 14, 2011 Author Share Posted December 14, 2011 Great job!! Did you get #5 ? Yep sure did! Currently have 12 boxes placed in my area. Link to comment Share on other sites More sharing options...
cashman Posted December 14, 2011 Share Posted December 14, 2011 Good job, please keep us updated, thinking about that myself. Link to comment Share on other sites More sharing options...
Zink Posted December 16, 2011 Author Share Posted December 16, 2011 Going to a few networking events for local business owners that I was invited to today. Hopefully I can make some contacts and land some more accounts. Likewise, I am going to go do a quick check up on my boxes that have been on location for a week now in order to determine if they need to be on a 2 week or monthly cycle. Hopefully will have 15 boxes placed by the end of the day! Link to comment Share on other sites More sharing options...
dogcow Posted December 16, 2011 Share Posted December 16, 2011 Going to a few networking events for local business owners that I was invited to today. Hopefully I can make some contacts and land some more accounts. Likewise, I am going to go do a quick check up on my boxes that have been on location for a week now in order to determine if they need to be on a 2 week or monthly cycle. Hopefully will have 15 boxes placed by the end of the day! unless you have any places over 15 ppl 2wks is probably fine Link to comment Share on other sites More sharing options...
treadmill Posted December 27, 2011 Share Posted December 27, 2011 Going to a few networking events for local business owners that I was invited to today. Hopefully I can make some contacts and land some more accounts. Likewise, I am going to go do a quick check up on my boxes that have been on location for a week now in order to determine if they need to be on a 2 week or monthly cycle. Hopefully will have 15 boxes placed by the end of the day! Zink how about an update. Link to comment Share on other sites More sharing options...
BondoFox Posted December 27, 2011 Share Posted December 27, 2011 First, THANK YOU FOR YOUR SERVICE!! Now, I'm curious as to how you came up with 34c per item. It almost seems to me as if you're selling at cost. I also want to know how it works for you. I'm toying with the idea of setting up honor boxes and I'd love the input of someone who's working it. Link to comment Share on other sites More sharing options...
BondoFox Posted December 27, 2011 Share Posted December 27, 2011 Dang, I forgot! I like your pitch. My only thought is it seems you're using your veteran status for promotional purposes. No problems with that, as a salesman (and we all ARE salesmen!), you use whatever edge'll work! I also like how you end with an question that can't be answered "yes" or "no", that's good closing technique. Me, I associate all of my machines through The American Association for Lost Children (www.aaflc.org) and I tell them that when I go in, and ask if they ever heard of it. Usually it's "no", I thumbnail what they do and tell them that one way they raise money is through placing a small candy machine, and would they be willing to allow one in their place? If they ask, I tell them it's all name-brand candy, I take care of maintenance and refilling, and all they have to do is allow 1-2 square feet of space, I do everything. Being as it's associated with a charity, and a charity that benefits lost or stolen children to boot, I think I've been turned down once, and only because they didn't have the space. That might help you too, associate with this or another charity. In the case of AAFLC, they'll provide you with labels with your account number and phone number, and all you have to do in return is send them back a minimum of $1.00 per label every month. Trust me, it helps placement and they don't ask for a cut of your profits! Link to comment Share on other sites More sharing options...
dogcow Posted December 27, 2011 Share Posted December 27, 2011 First, THANK YOU FOR YOUR SERVICE!! Now, I'm curious as to how you came up with 34c per item. It almost seems to me as if you're selling at cost. I also want to know how it works for you. I'm toying with the idea of setting up honor boxes and I'd love the input of someone who's working it. hes not selling at 34c per item he is saying his cost is avg 34c per item Link to comment Share on other sites More sharing options...
BondoFox Posted December 27, 2011 Share Posted December 27, 2011 hes not selling at 34c per item he is saying his cost is avg 34c per item O-kay, that's what I thought! Thanks, I kinda had a feeling I'd misread that. Link to comment Share on other sites More sharing options...
Zink Posted February 20, 2012 Author Share Posted February 20, 2012 Hello all! Sorry for such a long delay in response, I have been quite busy! To give a quick overview of what I have been doing with my vending business... I will be launching my website tomorrow http://www.avidvending.com where people can get online and pay for their items,pay off their IOUs or pay in advance. I am now running both healthy and comfort food honor boxes. I have decided to shoot more torwards the healthy honor vending, concentrating more on white collar locations. Only have a few accounts running currently, 10 or so, once I get the business model perfected I plan on expanding. Link to comment Share on other sites More sharing options...
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