The Master Key Posted March 14, 2008 Share Posted March 14, 2008 Do you guys feel that this is enough of a portion? I understand that our customers are only paying a quarter. Here are some numbers I broke down: Bulk size 56oz bag of M+M's at Sam's costs $8.43 per bag ($7.88 +7% sales tax) Costing about $.08 per 1/2 oz. Individual size 1.69oz bag of M+M's at Home Depot costs $.95 per bag ($.89 + 7% sales tax) Costing about $.28 per 1/2 oz.. So, a customer using a vending machine set a 1/2oz portions would actually be saving about $.03 per vend by using a machine instead of buying a packet at this Home Depot. This makes me feel like the 1/2 oz portion is about right for $.25. Vending at 1/2 oz portions would put the cost of goods at just about 30%. I know we are all in this business to make money, it's not like these machines are for charity or something. At one location where I recently opened the portions all the way the income on a 2 month cycle went from $46.25 to $75.60. However, since I just about doubled the portion that would double the cost of goods, which from the math I did, would actually end up making less net profit by about $2. I've been thinking about this since the 1-800 Vending portions thread. Any input would be appreciated, especially from some of the veterans. Thanks. Brian Link to comment Share on other sites More sharing options...
T BIRD Posted March 14, 2008 Share Posted March 14, 2008 I like the way you explained and broke that down Brian. I am certainly NOT the veteran to ask....... Link to comment Share on other sites More sharing options...
caserri Posted March 14, 2008 Share Posted March 14, 2008 Brian, You are right on. Vending 1/2 oz portion of PMM is roughly 30% COGS. It also gives the customer a value that is in line, if not better than, buying packages from a C-store. I have found that 7 PMM equals 1/2oz on my scale. My local stores sell single serv PMM in 1.69oz packages for $1.00. They contain approx 24-25 PMM. That same dollar would get the customer about 28 PMM from my machine. On another note, I regularly check the prices of these PMM packages in snack machines in my area as well. They go for $1.50 a pack. :shock: Steve Link to comment Share on other sites More sharing options...
lurker Posted March 14, 2008 Share Posted March 14, 2008 Hi Brian, We shoot for a 1/2 oz. vend too. 7-8 PMMs per vend. At one of my locations, where I have a bulk machine in the break room, the manager told me they didn't think they were getting enough PMMs for their quarter, so they bought a package out of the snack machine, (which is not mine), and compared it to what they were getting from me. They buy all their PMMs from me now, and the guy that owns the snack machine had to replace his row of PMMs with something else, because they stopped selling for some reason. Lesson learned. People do compare, when possible, and will go with the best value. It is my intention to give them just that. Best value = best quality, best service, best price. Dave Link to comment Share on other sites More sharing options...
pusherman Posted March 14, 2008 Share Posted March 14, 2008 brian it is really up to you on the portion size. i would keep it at about 1/2oz unless..... you have competition in the location(snack or bulk) or if it keeps them happy and keeps them coming back to your machine because they know of the big handful they will get. atleast if you are bringing them to your machine with the pmms, maybe they will buy everything from your machine. the added volume should help with the product cost. Link to comment Share on other sites More sharing options...
T BIRD Posted March 14, 2008 Share Posted March 14, 2008 Right on Brotha Dave!! Thats the way to do it! Link to comment Share on other sites More sharing options...
philo Posted March 15, 2008 Share Posted March 15, 2008 I have a triple in a break room where the full sized vendor is selling a package of PMM for 0.60. I don't think he's being subsidized by the company, and the cost per bag at Sam's runs 0.39 each, so he's not making much. Needless to say my wheel is wide open there. Regards, Philo Link to comment Share on other sites More sharing options...
Tiffeney Posted March 15, 2008 Share Posted March 15, 2008 I really do not think I can afford to open my Pmm wheels up. Jezz I go threw at least 4-5 bags every six weeks during my route that consist of 32 machines on location ! Tiffeney Link to comment Share on other sites More sharing options...
Faith Vending Posted March 15, 2008 Share Posted March 15, 2008 Hi Everyone; I'm Jim, Eve's husband . This is good stuff but I vend max 6MMP and have the wheel wide open. I have not tried every machine but the ones I tested I cannot get more than 6. Maybe I have fat MMP's? Link to comment Share on other sites More sharing options...
Tiffeney Posted March 15, 2008 Share Posted March 15, 2008 mmmmmmmmmmmmmmmm.................mmmmmmmmm....... I like fat Pmm ! I get 7-8 out w/ my vendstars ! Link to comment Share on other sites More sharing options...
lurker Posted March 15, 2008 Share Posted March 15, 2008 Hi Jim! I don't think we've "talked" before. My name is Dave. There is another thread on here about 1-800 machines not vending enough PMMs. I think it's titled "1-800 machines not vending enough". They have the same problem. I guess the wheels are just slightly smaller, or something. Look at it this way... The next price increase at Sam's and we'll all be vending just 6 or 7 PMMs at a time. You're already ready already! BTW, I like those 1-800's. I have Vendstars and have to be alot more careful where they go, than you do. Dave Link to comment Share on other sites More sharing options...
WJT Posted March 21, 2008 Share Posted March 21, 2008 I have VendStar's and I have M&M,Reese pieces,Skittles and Runts all set at 3. I tested the Reese pieces on "3" and 20 pieces came out. I think that's a fair amount. Don't you? WJT Link to comment Share on other sites More sharing options...
T BIRD Posted March 21, 2008 Share Posted March 21, 2008 Welcome to our forum WJT. 20 pieces is a little more than average. Link to comment Share on other sites More sharing options...
Faith Vending Posted March 21, 2008 Share Posted March 21, 2008 Hi Dave: Nice to meet you. Yeah maybe we should charge 50 cents a turn. With the cost of living and doing business it sounds justified to me. But some of my locations have trouble with a Quarter. Go figure. Going to service machines today so gotta go before they close. Talk to you soon. Jim Link to comment Share on other sites More sharing options...
acvending Posted March 21, 2008 Share Posted March 21, 2008 mmmmmmmmmmmmmmmm.................mmmmmmmmm....... I like fat Pmm ! I get 7-8 out w/ my vendstars ! What is your wheel set for Tiff? And do you base your wheel position on where the little tab is actually set which of course is the way to do it or do you base it on which number is exposed along the edge of the adjuster? Just wanna be sure. Link to comment Share on other sites More sharing options...
AmuseStar Vending Co Posted March 21, 2008 Share Posted March 21, 2008 You guys amaze me. How the heck do you sell candy? I could never pull more than $4 with PMM. That was in restaurants! .75 was average with that stuff! With candy prices going threw the roof (Has gone up $5 in 3 months here) I don't see you being able to sell that stuff. By Oct. you all will be really hurting. I got OUT of candy as fast as I could, as I see this price pattern going, and you all will not be able to use PMM much longer. Go to sams and buy a box of Gone Fishing. Cost $49, but returns $299. And it sells! Kyle Link to comment Share on other sites More sharing options...
kcinnick Posted March 21, 2008 Share Posted March 21, 2008 Isn't Gone fishing Candy? Or am I missing something? Link to comment Share on other sites More sharing options...
AmuseStar Vending Co Posted March 21, 2008 Share Posted March 21, 2008 Yes, That is the only candy I offer. That is the only candy you can vend and make money. That and Bonz. Kyle Link to comment Share on other sites More sharing options...
grumpy Posted March 21, 2008 Share Posted March 21, 2008 Gee Kyle, Were you not the great supporter of opening your candy wheels wide open to give the customer the best deal? All vendors new and old could benefit from this excel spreadsheet, http://www.vendiscuss.com/forums/view_topic.php?id=298&forum_id=13 It figures your cost in percentage, like all businesses you have to calculate were you want to be. (my aim is 30%) You are right the times are changing but to be succesfull in any business you must adapt. If costs continue to increase then bulk must make the move from .25 to .50. As I have stated in another post I'm able to sell PMM's for $1.00 in my test location, so consumers are understanding that prices do change. By the way I have moved a ton of candy since I started tracking it with Vend-Trak in December. (really, it was a ton 2,000lbs plus) Grumpy Link to comment Share on other sites More sharing options...
Beer980 Posted March 21, 2008 Share Posted March 21, 2008 I will say that my Bonz do sell good but I have that machine in the Humane Society. I only have Peanut M&M's in one location and they requested it. I try to tell them they will only get about eight per vend due to their size. Most will take the Plain instead of Peanut. Link to comment Share on other sites More sharing options...
kcinnick Posted March 21, 2008 Share Posted March 21, 2008 Maybe Ill have to try bonz and gone fishing. I was really getting scared away from candy. I did not like the XYZ machines I ordered to test. I just ordered some Dentyne Ice Machines and Northwesterns and I might try some bonz or fish in one of the Northwesterns. Nick Link to comment Share on other sites More sharing options...
grumpy Posted March 21, 2008 Share Posted March 21, 2008 Nick, What is it about candy that was scaring you away? Grumpy Link to comment Share on other sites More sharing options...
kcinnick Posted March 21, 2008 Share Posted March 21, 2008 Moths, Cracks, Ants, Melting, Fading, low volume, same product as everyone else, etc. etc. I don't doubt people are succesful with candy, I just don't think that is the way I want to go for most of my products. I am going to try out Dentyne Ice and certs, and a Crane, and I will probably keep a hard "runt like" candy onhand for those locations where it makes sense. Nick Link to comment Share on other sites More sharing options...
grumpy Posted March 22, 2008 Share Posted March 22, 2008 Nick, Those are all valid concerns, and they all can be overcame simply. Inventory control, will help alleviate any problems with moths, cracking, fading(so will sunshades). Relocating will overcome slow moving product, and ant killer will take care of the ants. Your profile does not show were you are from, so I have no idea what kind of climate you are dealing with. As for selling the same thing as everyone else, there really is no need too. There is tons of products out there that you can vend, it's your choice. Grumpy Ps I don't think ants care what product is being vended, I think they may try your certs and DI too! Or any kind of food product for that matter, hard candy might be to there taste. Link to comment Share on other sites More sharing options...
kcinnick Posted March 22, 2008 Share Posted March 22, 2008 I am in Louisiana. Heat and Humidity are both concerns 10 months out of the year. Link to comment Share on other sites More sharing options...
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