Rick Falcon Posted June 19, 2012 Share Posted June 19, 2012 Do any of you guys pay to get into locations? Two days ago I lost a location to a competitor who ditched out five hundred dollars to place a five stand into a location. Link to comment Share on other sites More sharing options...
Action Vending Posted June 19, 2012 Share Posted June 19, 2012 I never have and i dont think that the it is a great idea it is more of a desperate last resort. Link to comment Share on other sites More sharing options...
mission vending Posted June 19, 2012 Share Posted June 19, 2012 Do any of you guys pay to get into locations? Two days ago I lost a location to a competitor who ditched out five hundred dollars to place a five stand into a location. A "Sign up" bonus is being used more and more frequently on the full line side. With vendors selling pretty much the same stuff, using very similar equipment it is a easy way to differentiate yourself from the competition. Not saying I agree with it but to get a chance at a big account I will, and have, used this for my business. Link to comment Share on other sites More sharing options...
will.vend Posted June 19, 2012 Share Posted June 19, 2012 Do any of you guys pay to get into locations? Two days ago I lost a location to a competitor who ditched out five hundred dollars to place a five stand into a location. I wouldnt pay 500 but I have paid 100 and would do it again. that 100 bought me a 300 a month location and now I am exclusive. Link to comment Share on other sites More sharing options...
PerformaVending Posted June 19, 2012 Share Posted June 19, 2012 I've tried this a whole bunch of times, mostly out of desperation. Never that kind of money, but $50 just to get in. It has yet to work for me, but that's a different thread. I assume one would only use this approach for commission vending, but I could be wrong on that. Link to comment Share on other sites More sharing options...
Rick Falcon Posted June 19, 2012 Author Share Posted June 19, 2012 The reason why I posted this topic is because I'm starting to see a trend with this aproach I would say their is about 3 major players around my locations not counting Parsal because they are strictly Chicken Machines,but these other vendors are throwing big bucks around to land locations.I think its ludacris to pay a location five hunred dollars without knowing how much the location will make you and how long will it take to make your money back. Link to comment Share on other sites More sharing options...
timberframe50 Posted June 19, 2012 Share Posted June 19, 2012 My biggest competitor pay 250 signing bonus for every 5 way he places. I have yet to do it, but I've been talk to a new buffet and maybe 100 would finally close it. Link to comment Share on other sites More sharing options...
The Mage Posted June 19, 2012 Share Posted June 19, 2012 I would be willing, but only with a signed agreement, minimum time frame, and exclusive location rights. Link to comment Share on other sites More sharing options...
Rick Posted June 19, 2012 Share Posted June 19, 2012 I would be willing, but only with a signed agreement, minimum time frame, and exclusive location rights. I'm guessing this is EXACTLY what they're getting by dishing out a signing bonus. Smart way to do business actually if (big IF) it's the right location. Small price to pay to lock out low-balling competitiors. Link to comment Share on other sites More sharing options...
dogcow Posted June 19, 2012 Share Posted June 19, 2012 do you guys ever customize colors or brand the racks to get an account? I would assume this could go a long way to getting into a lcoation if you could do this? I do this with my cranes. Heres a picture of one i did Link to comment Share on other sites More sharing options...
BigRedvender Posted June 19, 2012 Share Posted June 19, 2012 Branding it big thing now I know of even some High Schools will sell naming rights on gym floors to help to get them with the cost of the Refinish One of the small town School around here is doing it and Advertising it on the radio. I would do it if It was a long term thing So I know I was covering the expence of doing the Branding. Link to comment Share on other sites More sharing options...
PerformaVending Posted June 20, 2012 Share Posted June 20, 2012 One of the old vendors used to have a kiosk in the local mall- about 20 Beaver machines- all with the malls color scheme. That vendor is long gone- the kiosk has a bunch of those impulse games that I've never seen anyone use, no contact info on any of them. I can see the value though, as it locks you into the location, but it would have to be a great account to warrant the added expense in my opinion. I can see how it would be a great investment on cranes though. Link to comment Share on other sites More sharing options...
sherlock Posted June 20, 2012 Share Posted June 20, 2012 Do any of you guys pay to get into locations? Two days ago I lost a location to a competitor who ditched out five hundred dollars to place a five stand into a location. Given you have experience at that location, how long do you think it would take that vendor to get his $500 back? You have to consider the possibility of outside influences, too. What if the vendor had no storage room and figured he'd rather pay a business $500 and get that rack on location collecting quarters rather than pay a storage facility $500 over the next year or two to have that rack collecting dust. ALSO consider that the location may not have been shooting straight with you. The new vendor could have come in and offered $200. But, the location told you $500 in the hopes of upping the ante if you counter-offered. All in all, if vendors are willing to pay strangers (locators) $300 for commission rack locations, I really don't see how paying a location directly $500 to get in is a problem. The extra $200 over what some pay a locator gets you the location YOU want rather than relying on a locator. And the extra cash also avoids having to work with a middle-man (locator) who really may not give a rat's-tail about your business. Link to comment Share on other sites More sharing options...
havending Posted June 20, 2012 Share Posted June 20, 2012 I never have and i dont think that the it is a great idea it is more of a desperate last resort. Not at all. Infact I have done this for many years. Like Sherlock said a rack locator will cost 300.00 and you get what you get. 500.00 is on the high side for that I would have to operate the cranes and all bulk. I normally pay 100.00 to 300.00 depending on location and the volume that I expect. And after I have tried locating it with out a bonus. On the 3rd or 4th locating trip normally have the 100 dollar bills stapled to the location agreement. When I set that on the counter I have all of their attention. It works and is a good way to build solid locations. Link to comment Share on other sites More sharing options...
Rick Falcon Posted June 21, 2012 Author Share Posted June 21, 2012 Not at all. Infact I have done this for many years. Like Sherlock said a rack locator will cost 300.00 and you get what you get. 500.00 is on the high side for that I would have to operate the cranes and all bulk. I normally pay 100.00 to 300.00 depending on location and the volume that I expect. And after I have tried locating it with out a bonus. On the 3rd or 4th locating trip normally have the 100 dollar bills stapled to the location agreement. When I set that on the counter I have all of their attention. It works and is a good way to build solid locations. Good post Have I like your style Link to comment Share on other sites More sharing options...
mission vending Posted June 21, 2012 Share Posted June 21, 2012 I would be willing, but only with a signed agreement, minimum time frame, and exclusive location rights. You betcha, if I'm gonna lay 5-10K on the table I will absolutely make sure that I'm in there long enough to get that $$ back. Link to comment Share on other sites More sharing options...
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