22443360 Posted December 15, 2011 Share Posted December 15, 2011 Hi Everyone, I have read a lot of the posts on this forum(mild understatement) since i started in bulk vending almost 2 years ago. I now have +500 machines (Mostly Beavers RB16/18, Meridans, Toystations(like TOMY Gacha machines), NB26 and cheap chinese copies of RB16/NB26). And Gross +100.000 US$ a year. I don´t have 1 single rack, and 99 pct. is comission. What I have read is that most of your locations are serviced every month, I also did that in the beginning, everything was new and exiting and I could´t wait to go out and collect. I still feel the same way, BUT I do this to make a profit, not because its fun to drive around. I service my locations as needed, usually I set a limit at about 6 month, this is for Meridans/spiral, all gum locations etc. I clearly put my label with contact information on the machine, so the location can call me if the machine is empty, broken etc. (You might consider putting this information inside the globe so it dosent get scratched off. I answer the phone, or try always to call back ASAP, also very important. When people know they can just call you, it makes them much more at ease. Generally I would say I service my locations every 90 days or so (some every 14 days, others every 6 months it all depends on the sales), I keep track of sales, so normally I can pinpoint that I service the machines, when about 80 pct. of the product is sold. Before you get a heart attack. I know that with those service cycles, this would generally be considered an abondoned machine, on this board. That is just crazy. Some gum don´t go bad for 24 months, but you do need to buy Quality. If you have a Meridan/Spiral that holds 2.000 gumballs, last for 2 years and you service it every month, THEN why did you ever buy the Meridan/spiral in the first place?? You missed the whole point. PMM is god for 6-8 months in most cases, if you buy fresh. Bouncy Balls lasts for decades. I genereally dont have any problems with waste, but I also talk to the staff and explain that PMM and Sunlight is a very bad combination, it generally only result in chokolade milk, and that is very hard to sell. Also tell the staff/owner what your intentions are, Ill come back in 2-3 months, call me if there is any problems, I always try to answer to phone or call back. Let them know, that YOU know, what you are going. In very rare cases, they will ask if 2-3 months is not too long a period to leave it unservied. I explan that there is no need to service the machine before we have sold some product, that the whole idea of vending is not beeing there, and that candy last minimum 6-8 months but up to 24 months. + I am here to make a profit, and since I only do comission = So are they! Havent had any comments beyond that. I am not trying to sound arrogant, if I come off that way. I am trying to help you to rethink the way, that you currently do things. Could you double or triple your profitability with a few changes. If you average 30-40 US$ an hour right know, try to think 90-120 US$ pr. hour and put all that service tíme into extra locations... Vending has been very good to me, we have gone a long way. And this is properly the most valuable information that I have for you. Go get more locations! Start educating your locations, tell them, with the rasing gas prices and increasing cost of product, it has come to my attention, that I am servicing way to often, much more that needed, you can always call me. They understand, most of them are small business owners themself, and face the same problems. Have a great vending day.. Other hints: 1) I use mostly Double and Triples comprised of mainly Beaver RB16/18 or Chinese Copies. They hold up to 10 LBS(RB16)/14LBS(RB18), that is a lot of money pr. head. Also if you have a good location, upgrade your volume, change a RB16 to a RB18. Don´t but in more machines, 2-3 heads that´s all you need when we talk candy. Remember 3 RB18 is about 42 LBS of candy, even for high trafic locations, that shoul be enough. 2) No homemade labels, do some work and make everything look top professional, you can get away with much more, if put in a little work. I have attached a photo of a machine with label. Link to comment Share on other sites More sharing options...
JLM Vending Posted December 15, 2011 Share Posted December 15, 2011 Great info. I do agree with you. When i first started I went every month. I recommend you go every month at first so you can either get some money back or just so you know how it's progressing. But once you get it rolling, checking every month is a waste of time, unless it's a busy spot that needs the service. When you go less and only when you need to, your profit per hour becomes so much more. And by implementing that technique of maximizing your time, you can buy a lot more machines. Link to comment Share on other sites More sharing options...
mainor5251 Posted December 15, 2011 Share Posted December 15, 2011 already jumping on the extended service cycle bandwagon, switching out my 1800 triples with A&A pn95's for my high volume accounts. I only have a handful of locations that make candy worth while. I don't vend M&M's anymore just not enough money and I feel like they cannibalize the sales of other higher profit margin items. Next big focus will be upgrading about a dozen locs by adding a 3 or 4 col. sticker machine. Link to comment Share on other sites More sharing options...
dperry Posted December 15, 2011 Share Posted December 15, 2011 The 2-3 month service cycle is a given, especially with toys. I rarely service any location every month. As for candy, I cannot let PMM's go longer than one month before they turn to powder. What with the hot summer days, and locations will turn off their A/C at night, there's virtually no way that you can guarantee that the candy will hold up over 2 or 3 months. Personally, I *HATE* those round globe machines like the one you have posted. Especially when used to vend candy. All too often I have to dump out the powdered or melted candy, and the top lip of the globe just does not make for a simple way to do that. This also goes for NW60 (not the super 60, the regular kind) since they have that top ring. Personally, I think that most globes hold too much candy when you fill them up to the top. The most I ever put in a head is half a bag. That tiny amount of candy always looks pathetic next to a filled gumball head. Link to comment Share on other sites More sharing options...
sherlock Posted December 15, 2011 Share Posted December 15, 2011 Great information 22443360. Thanks for sharing that. I am in the process of stretching out my service cycles. How do you guys going more than 8 wks between visits handle the dirty-machine issues? I like to keep my machines very clean. Even at locations I service every 4-6 weeks I find machines that IMO are in terrible need of cleaning. When I get there after a 4-6 service cycle, my machine lids are dusty, globes are covered in fingerprints, coin mechs and chute covers are getting dull. I can't imagine what they'd look like after 2-3 months. Having machines looking like that would not represent my company very well. I'm not denying the benefits of stretching out service cycles to 2-3 months when you can. Nor am I implying you folks that only service every 2-3 months have dirty machines. On the contrary, I am assuming you keep clean machines even when only servicing every 2-3 months......so I'm looking for advice. Link to comment Share on other sites More sharing options...
22443360 Posted December 15, 2011 Author Share Posted December 15, 2011 It dosent seem to be a problem, of course they are in need of cleaning, but with good labeling work you should do okay. High glosy labels on the outside of the globe helps, it draws the attention to the label, and somehow just makes them look okay. Eventho they are not clean. But some models also looks dirty faster, the Beaver RB16 looks good for months. But generally remember this is a business, even if you lose a couple of sales, is 1-3 lost sales of 0,25 US$ on the 3rd month, worth that extra servicing cycle? I mean really? Link to comment Share on other sites More sharing options...
JLM Vending Posted December 15, 2011 Share Posted December 15, 2011 The 2-3 month service cycle is a given, especially with toys. I rarely service any location every month. As for candy, I cannot let PMM's go longer than one month before they turn to powder. What with the hot summer days, and locations will turn off their A/C at night, there's virtually no way that you can guarantee that the candy will hold up over 2 or 3 months. Personally, I *HATE* those round globe machines like the one you have posted. Especially when used to vend candy. All too often I have to dump out the powdered or melted candy, and the top lip of the globe just does not make for a simple way to do that. This also goes for NW60 (not the super 60, the regular kind) since they have that top ring. Personally, I think that most globes hold too much candy when you fill them up to the top. The most I ever put in a head is half a bag. That tiny amount of candy always looks pathetic next to a filled gumball head. I have read this before. I don't see how that happens, you must live in a hot area. I have had candy that hasn't sold out in 8 months and it never turned to anything, still tasted fine. And you can't let PMM sit for even one month? It dosent seem to be a problem, of course they are in need of cleaning, but with good labeling work you should do okay. High glosy labels on the outside of the globe helps, it draws the attention to the label, and somehow just makes them look okay. Eventho they are not clean. But some models also looks dirty faster, the Beaver RB16 looks good for months. But generally remember this is a business, even if you lose a couple of sales, is 1-3 lost sales of 0,25 US$ on the 3rd month, worth that extra servicing cycle? I mean really? Yes. It does kinda suck when your machine is a little dirty. And lets assume over the course of a long period of time you lose a few accounts. Is it worth it to go on half the salary per hour just to save a couple accounts? Time is so important. Link to comment Share on other sites More sharing options...
Lake Cities Vending Posted December 15, 2011 Share Posted December 15, 2011 What is your average comission? Link to comment Share on other sites More sharing options...
bacho Posted December 15, 2011 Share Posted December 15, 2011 I have read this before. I don't see how that happens, you must live in a hot area. I have had candy that hasn't sold out in 8 months and it never turned to anything, still tasted fine. And you can't let PMM sit for even one month? Dperry is right, JLM. He lives in a climate just like me. Between the heat and humidity, it's a killer on chocolate. Although mine did last longer than a month. After three months, which was really stretching it, they would start to crack. If I was in a location that turned the air down real low overnight like he said, it spoils the candy real fast. I used to have problems with the Mike & Ike and even skittles clumping up. I'm so glad I'm not vending candy any longer. Don't get me wrong, there's nothing wrong with starting in this business with candy machines. In fact, I encourage it. I service most of my locations every two months. There's a couple that I need to service every month. Those are a bowling alley with 2, 9 way racks and a roller skating rink with the same. I just can't keep product in some of the heads. I don't have much of a problem with dirty machines. So, servicing every two months works fine for me. Link to comment Share on other sites More sharing options...
22443360 Posted December 16, 2011 Author Share Posted December 16, 2011 I gernerally pay 20 pct. comission sometimes a bit higher if the location is really good, but not neccecarely, my best account avg. 800 US$ a month, and I only pay them 20 pct. comission. And they are very happy about it, the manager always lights up in a big smile, when he sees me. Also 1 good thing about comission, is you wont lose locations as easy as the other kind of accounts (free acc./Charity). Eg. if the machine is a little dirty. Almost everything is forgotten when you hand them money and free candy. Link to comment Share on other sites More sharing options...
dperry Posted December 16, 2011 Share Posted December 16, 2011 I have read this before. I don't see how that happens, you must live in a hot area. I have had candy that hasn't sold out in 8 months and it never turned to anything, still tasted fine. And you can't let PMM sit for even one month? Here in Houston, we have had record high heat spells over the summer. If I leave candy in for longer than 2 months, it will extend into the hot summer months. Link to comment Share on other sites More sharing options...
sherlock Posted December 16, 2011 Share Posted December 16, 2011 Here in Houston, we have had record high heat spells over the summer. If I leave candy in for longer than 2 months, it will extend into the hot summer months. Same for me. I'm in Texas, too. Just one of the reasons I limit my candy locations. It's a pain dealing with the high heat and humidity we get 8 mos out of the year. Link to comment Share on other sites More sharing options...
lurtsman Posted December 16, 2011 Share Posted December 16, 2011 If HAV ever finds those accounts doing 800/month on 20% commission they'll be upgraded in an instant. Of course, the same goes for if I find one. Link to comment Share on other sites More sharing options...
havending Posted December 16, 2011 Share Posted December 16, 2011 If HAV ever finds those accounts doing 800/month on 20% commission they'll be upgraded in an instant. Of course, the same goes for if I find one. You know it. 500 cash up front and 30% Sent from my Desire HD using Tapatalk Link to comment Share on other sites More sharing options...
dogcow Posted December 16, 2011 Share Posted December 16, 2011 You know it. 500 cash up front and 30% Sent from my Desire HD using Tapatalk is the up front money like an advance (to you take it back out of the commission) or basically just some grease to get the location? Link to comment Share on other sites More sharing options...
Jax Snacks Posted December 16, 2011 Share Posted December 16, 2011 Been doing a 60 day service cycle for years and I am still happy with that. Too many bad things can happen after 60 days like empty heads, broken mechs, jammed machines, stale candy, bugs, vandals, closed down/locked up locations, etc. Many times I get only a 2 day notice to remove equipment or that a business is closing their doors - sometimes just one day! And some locations want to be paid every 60 days, not 120 days. Plus some locations just don't call when there is a problem, rather they wait for you to show up. So there may be a problem stewing for 3 months! I have the luxury of every location being in a 50 mile radius, so driving amd gas is not an issue for me. So I will keep my 60 day service cycle. By the way, I picked up a restaurant last spring. I had dinner there and noticed most of the heads were empty. So naturally I had to pitch the owner and he knew my face as a regular there, but not my name. But he wanted to give his long time vendor a chance to make things right. So he called to ask the other vendor, "what's up"? Well when I went back to follow up, the machine was in the kitchen! He told me to bring in my own equipment. The other vendor switched to a 4 month cycle and did not bother to tell the owner. The owner was pissed since this vendor had not paid him recently, had empty heads and would not be out to service for another month because "gas was too high" and "I don't want to make a special trip to drive 80 miles". Well the owner was furious and he told me "no vendor lectures me or talk's to me that way"! His loss was my gain, plus he opened another restaurant and wanted machines there too. The longer the cycle, the harder it would be to nail the inventory needed in each head. There are pros and cons to every model, but use caution with those extended 3 or 4 month service cycles. Link to comment Share on other sites More sharing options...
havending Posted December 16, 2011 Share Posted December 16, 2011 is the up front money like an advance (to you take it back out of the commission) or basically just some grease to get the location? Grease and charged out as advertising so its a tax write off Sent from my Desire HD using Tapatalk Link to comment Share on other sites More sharing options...
dogcow Posted January 14, 2012 Share Posted January 14, 2012 Grease and charged out as advertising so its a tax write off Sent from my Desire HD using Tapatalk Can you explain how you broach the subject? I have a place imtrying to put a coin pusher and the owner gave me some weird excuses there is sort of a language barrier But i have the feeling if i just straight up offered him 300 to let me install it he might go for it. Link to comment Share on other sites More sharing options...
timberframe50 Posted January 14, 2012 Share Posted January 14, 2012 I have never done this, but have considered it. I think I would have the equiptment in the vehicle, I would tell them we are running a placement special of $100 cash if we install the equiptment now. Or something along this line of thinking. Link to comment Share on other sites More sharing options...
havending Posted January 14, 2012 Share Posted January 14, 2012 If I was to get a locator to place racks its a min of 150. So when I need to help the owner let me in I offer cash. I'm paying the cash to a location that I already want. So its a win win. It better to do that then to pay a locator and get what he gives me. I like have the power to pick the ones I want. My father was a loan shark and owned a couple underground casinos with his cousin so I learned at a young age that cash talks and BS walks. Sent from my Desire HD using Tapatalk Link to comment Share on other sites More sharing options...
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