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Buzz Bites Vendors


ladybuzz

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Hi Kyle...Just wondering what's wrong with the other forum?  I would like to join your forum too when you get it up.  The more places to communicate the better!   Are you a Buzz Bites vendor?  If so, how long?  How's it going for you?  Did you join the other forum?

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Hi Beth!

How are things going? Welcome to Vendiscuss!

WOW! 105 machines! You really are busy!

I've been holding back replying to this thread to see how things would go.

I think you will find alot of people around here don't really like biz-ops.

That being said, there are a few people around here operating their businesses successfully using them.

I hope you will be one of them too!

I must admit, I am somewhat pessimistic about Vroom Foods and Buzz Bites.

I personally would not want to sink my hard earned money into such a proprietary type of business as this. High priced machines that only offer one thing, available from one source, that may or may not be in business in a few more years.

I have also read on more than one occasion the taste is less than desirable.

However, the few reviews I have read on the Internet lately have been favorable regarding the "boost" provided.

Some things I would like to know are:

What is your profit margin?

Did you buy all of your machines at the same time, or did you build over time?

Did you buy them all from Vroom Foods new, or were you able to pick some up used?

How does the product come when you reorder? I mean, what quantity, and at what cost? How long does it take to arrive once you have placed an order?

What is the expected shelf life of the product?

Did you get a "guaranteed territory" or can another Buzz Bites operator locate in your area?

How much help has Vroom Foods been? Did they provide, or offer to provide any training? Did they provide a locating script, or any type of forms such as location agreements, route management charts, or tools?

Did you use a locator for all, or part of your business? Was this a locator you found, or were they recommended by Vroom Foods?

What about parts? Are they in stock and readily available? At what cost? I mean do you think parts are fairly priced, high priced, or what?

I also read on your forum that a stand "runs around $50", is that true?

Sorry for the long post, and all the questions! :)

Good luck to you, and be sure to keep us posted on how things are going!

Dave

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Hi Dave,

Yes, we are busy and excited.  We are getting a great response to the product so far.  We've only been placing machines for two weeks so we won't see how it's going for probably another week or so.   So far, compared to my other business these machines are a breeze to place.  I'm being very conservative on where I put them too.  Only good locations.  The toughest obstacle so far is brand recognition but that will come in time.

I am a seasoned business owner.  My husband and I started and operated a business-to-business route type service in 1996 which we later sold in 2006 to get involved in real estate.  We have also owned a few other businesses including a retail hotel gift shop.  We did our due diligence before we jumped into this.  We did experience some "high pressure" sales with Independent Vending (one of the companies that is contracted to sell the vending machines).  But that was really just one guy and I don't think he's there anymore.  We took months to make a decision about this.  I must say that we were  happy with Independent Vending afterall.  As a business person, I understand that Independent Vending is all about selling vending machines...just like I am now all about selling Buzz Bites.  I get feeling from some posts that some folks out there on the forums are probably in business for a year now (probably still working at a job) and they think they know it all.  I have experience behind me and so far I feel very confident about this "biz op".  I find it very humorous the "biz op" talk. 

It was definately a risk with this venture...especially it being proprietary.  But, it's a great product and I believe in it.  I talked to a few BB vendors before making a decision and they were having good success.  Real business is all about risk! 

All I can say about the taste is that I think they are great and so does every other person I've given one to.  With one exception.  An eleven year old friend of my son.  Of course he didn't like it!!  It's not candy.  I don't sell it on the taste...that's just a side benefit.  It's the effect that makes it a great product!  I've had a super response to this product.  I would speculate that any review on the internet may have been from earlier when the product wasn't finished or from someone who never really tasted it themselves.  Who knows.  All I know is what I've experienced personally.

As for your questions, I offer these public answers.  I'm very happy with the profit margin.  Very low overhead with this business.  We purchased all of our machines in bulk at a discount.  The product is shipped on re-order and takes about a week to get.  For quantity and pricing you would need contact the company about that.  The shelf life is a year...way longer than necessary.  If you have product for a year, something is wrong.  There really isn't a territory.  I'm not worried about that.  We never had a territory with our other busines...hell we had to compete with Nestle and Crystal...#1 and #2 in the WORLD in the water business.  It was tough but we did it!  We had to focus on what made us better then them.

As for any training etc. from MadDog Energy (Vroom Foods is the manufacturer not the distributor of the vending product).  I know that MadDog is working on a training type program that's coming real soon.  Fortuanately, because of our experience, I know how to place accounts and manage the route.  I did just that for many, many years.

Parts are available but I don't remember the specifics.  I think stands are $50 but in time you will be able to find them cheaper.

Basically, I feel really good about the product, the manufacterer, the distributor and the opportunity (excuse me..."biz op") that has been made available.

Hope that answers your questions!  The best to you in your business.

If you know of someone that would benefit from my forum, please send them my way.  My forum is designed to support the success of Buzz Bites vendors and people that are considering the business.

:)

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Beth,

Sounds like you've got it under control. I hope everything goes smooth and you make a ton of money.

Thanks for answering my questions. (It clears up a few things.) :D

I still am wondering about a couple of things though.

I operate on around 25% COGS. I shoot for 20% but some products are as high as 28%.

Are your COGS similar?

Also, what was the final cost of the equipment? Buying that many machines at once, what kind of

discount did you get? I would hope it would be at least in the 50% range.

I'll be sure to point in your direction when someone asks about Buzz Bites. :cool:

Dave

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Hi Lady Buzz.......welcome to this forum!!  Its sounding very positive for you and thats great!!  Best of luck with Buzz Bites!!

One question........is there a minimum number of machines etc you have to buy in order to start in that business?  I have heard several stories about that.

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We are around 32% COGs.  Not bad...hardly any overhead with this business.

Machines were $250.  We look forward to finding a better deal when we are ready for more machines.

The minimum is 30 machines or $10,700 (including shipping I think).  Plus product and stands.

Thanks for all the best wishes! 

 

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     So.....you paid $250 a machine and you have 105?  So you spent $26,250 for you machines, is that fair to say? Not to mention cost of product and stands. 

     Please do not think I am bashing, but I'm just curious what "moved" you to buy such a pricey machine.  If you're operating at 32% COG, and lets say you bring in above the national average of a machine (average=$7, you bring in $8 a month gross), you'll be looking at a profit of $5.44 per machine per month.  So if you're running 105 machines, that's $571.20 profit a month (not including gas, spoilage, etc.).  So it will take you 46 months ( or 3.8 years) until you will have just recovered what you originally paid for the machines.  (correct me if I'm wrong, and I may be.  I'm not feeling to well this morning.) 

     Would you not rather buy a single head w/ a stand for $100, Have an 8% COG vending gumballs, and bring in $5 a month per machine?  105 X $100= $10,500.  @ 8% COG you'll be looking at $0.4 COG per machine if you bring in $5 a month ($2 BELOW the national average).  So a profit of $4.60 a month per machine.  $4.60 X 105=  thats a profit of $483 a month for all 105 machines (again, not including gas, spoilage, etc).  So it will take someone 22 months (or a little less than 2 years) to get back what they paid for the gumball machines.

     Again, there must have been something that swayed you to buy into buzz-bites, because the extra year and a half to get any sort of return is rather daunting.

 Have a nice day.

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Thanks for answering all my questions so openly and honestly Beth.

I hope everything runs smoothly for you, and you turn a profit quickly.

It will be interesting watching Buzz Bites from the side lines.

I'll have to continue plugging along with my candy machines. :cool:

Dave

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Hi G-man...that does sound kinda crazy!  I don't know about that national average or where it came from but if I'm only grossing $8 per month from a machine that's less then one vend per day.  I definately don't plan on that.  I'm looking at an average of more like 8 vends per day.  The numbers are much better that way!    That's what I'm shooting for.  If it doesn't do that...I'm moving on.

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I have no idea why I'm entertaining your comment except that I have a son your age.  I commend you for having your own business at your age!  You should be very proud of yourself.  I'm not quite sure what you mean't by great math.  It's beyond me.  You simply don't know all of the facts.  If my machines average 8 vends per day the net profit would be $8,568 per month.  Keep working hard and one day you will be in a position to take advantage of an opportunity like this.  It's quite suprising to me this defensive attitude towards Buzz Bites.  I don't understand it but whatever.  To each his own.

Now, go do your homework!  :P

 

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Hey Ladybuzz,

Sorry about the youth's comments. This forum is all about sharing info and helping each other, not slamming people. I was thinking about Buzz Bites this weekend and was wondering if coffee shops might be a prime location for your product or even restaurants that specialize in breakfast.

Well good luck, and keep posting.

Bryan

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Clearcut, take it easy there buddy!

The whole purpose of this forum is to help people.

Not tear them down and make them feel unwelcome.

You can certainly disagree, but there are better ways of saying it.

Beth, you handled that quite well. ("Now go do your homework!") :D

25cent_smile suggested one place I was thinking of, Breakfast Places.

I also think a good place would be Employee Breakrooms, especially in manfacturing

facilities, where the people can't really have cups of coffee sitting around.

Like where people assemble items on a manufacturing line, or large printing facilties, etc...

I also believe hospitals and medical facilities that are JCAHO regulated are not

supposed to have cups of liquid sitting around, not even at nurses stations.

If ever there was a group of people that could use an extra boost now and then, I

would think nurses would be close to the top of the list. Take advantage of that!

Hope that helps girl!

Dave

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I also think a good place would be Employee Breakrooms, especially in manfacturing

facilities, where the people can't really have cups of coffee sitting around.

Dave, that is probably the best place to have BB machines.  Usually people work long shifts, and need a boost.  I know we have a very large plant like that around here, and I'm thinking a BB machine would do great there............maybe I can find one on CL sometime.   LadyBuzz, that is where you need to locate!
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