Precious Roy Posted July 30, 2012 Share Posted July 30, 2012 What do you guys do when people at a location complain about pricing? One location complained that they couldn't eat some of the stuff in the machine(harder snacks like some cookies and cheetos) due to their teeth or lack thereof. So some of the harder things were replaced with soft pastries. Now they are complaining that we "raised the price of everything" which is not true, its only the new items. The chips and other stuff that were in there were .75. They have been replaced with muffins (2 in a pack) for 1.25, sugar donuts at .85 and nutra grain bars at .85. There are still some chips in at .75, small candy & granola at .50, full size candy at 1.00 and 16.9oz water and 12oz cans at .85 There were also some pastries for 1.00 that had been selling but have slowed down some lately. They recently complained about not having enough to drink or wanting different drinks. So the machine has been stocked with 20oz gatorade in their requested flavor for 1.45. The same drink out of the cooler is 1.49+tax at nearby convenience stores and 1.59+tax at Kroger. He complained that he can get a 32oz at the store for 1.00. That is true, but I believe the selection is limited(maybe one of the flavors he requested but not the other) and I think those are off the shelf, not cold and he would have to burn the gas to go get them. Even if I found 32s at a decent price, they won't fit in the machine. One of the people their said something like, if we were going to raise the prices he wasn't going to buy anything out of the machine, he would just go to the store. Since we took over the account and made changes to the products, sales have increased, but they fluctuate and are still hovering near average for a combo machine. When we got the account they were consistently below average. Are the prices too high? Are they just playing games? Any advice, questions or comments are welcome. Thank you. Link to comment Share on other sites More sharing options...
loach33 Posted July 30, 2012 Share Posted July 30, 2012 Sounds like a bunch of complainers. They can go buy a 2 liter of Pepsi for $1 as well. They can go buy a 24 can case for $6 at Walmart, put it in their fridge and carry a cooler to work every day. It's convenience! If this is just one or two people out of a 20+ employee business then I wouldn't take too much stock in it. I'll get the occasional grump, but not too often. Those people won't buy from you anyway, since there's always something wrong. I'd keep it a light hearted conversation with them and try one or two of their ideas for a week or two. When they don't buy, take it out and tell em, "I tried, but they didn't sell". They'll say something to complain about again and you shrug your shoulders and move on. Price things so that you make money. If that location doesn't work, then look for another one and move them and be happy about it. Link to comment Share on other sites More sharing options...
dogcow Posted July 30, 2012 Share Posted July 30, 2012 what kind of acct is it, some people complain about everything just be clear the price includes sales tax and you have expenses too Link to comment Share on other sites More sharing options...
vendman0729 Posted July 31, 2012 Share Posted July 31, 2012 I do think your prices are kind of high though. Cans and water really should not cost you more then .30 so even if you sell them at .75 which is the U.S standard normal price, you would still make good profit as well as increase your volume. Also I hope your serving the 2oz bag of chips for .75 and not the 1oz because .75 for 1oz chips is high. They are normally sold for .60 for the 1oz. Your candy bars too are high. I never sold bars for more then .85. Honestly in my opinion I think $1 is rediculous. If I was one of your customers, I probably wouldn't buy either. On the other hand, I have learned the hard way not to neccessarily listen to customers. I have tried things for customers like diet mountain dew when only to find out that my drinks became expired. Yes it was my fault for letting them expire but it tells you that the customer doesn't know what sells. Your in this business for your self and not for them. Not to say you dont wanna make them happy either. Sticking with the main products and longer expiration dates is what will eventually wins you in this business. More particularly for smaller accounts that do under $300/month. Link to comment Share on other sites More sharing options...
mission vending Posted July 31, 2012 Share Posted July 31, 2012 What do you guys do when people at a location complain about pricing? One location complained that they couldn't eat some of the stuff in the machine(harder snacks like some cookies and cheetos) due to their teeth or lack thereof. So some of the harder things were replaced with soft pastries. Now they are complaining that we "raised the price of everything" which is not true, its only the new items. The chips and other stuff that were in there were .75. They have been replaced with muffins (2 in a pack) for 1.25, sugar donuts at .85 and nutra grain bars at .85. There are still some chips in at .75, small candy & granola at .50, full size candy at 1.00 and 16.9oz water and 12oz cans at .85 There were also some pastries for 1.00 that had been selling but have slowed down some lately. They recently complained about not having enough to drink or wanting different drinks. So the machine has been stocked with 20oz gatorade in their requested flavor for 1.45. The same drink out of the cooler is 1.49+tax at nearby convenience stores and 1.59+tax at Kroger. He complained that he can get a 32oz at the store for 1.00. That is true, but I believe the selection is limited(maybe one of the flavors he requested but not the other) and I think those are off the shelf, not cold and he would have to burn the gas to go get them. Even if I found 32s at a decent price, they won't fit in the machine. One of the people their said something like, if we were going to raise the prices he wasn't going to buy anything out of the machine, he would just go to the store. Since we took over the account and made changes to the products, sales have increased, but they fluctuate and are still hovering near average for a combo machine. When we got the account they were consistently below average. Are the prices too high? Are they just playing games? Any advice, questions or comments are welcome. Thank you. It's the nature of the beast, you just gotta keep talking to the people that matter to make them understand why you have to raise prices. The 32oz is probably a fountain drink and a totally different animal to us, but not to him because to him a drink is a drink. Again make sure the decision makers are aware of the complaint and your response. Remember people are creatures of habit and habits can be very hard to break. If someone decides to boycott you because of a price increase the boycott will usually only last a few weeks before they revert to their old ways like buying that Snickers bar every day at 2:00. If the sales are up you must be doing something right, keep being friendly and professional. When someone complains, a simple explanation usually works, just pass it along to the decision makers so they don't get surprised and carpet bombed by the workers bees about a perceived problem at the next employee meeting. Link to comment Share on other sites More sharing options...
Precious Roy Posted August 1, 2012 Author Share Posted August 1, 2012 Thanks everyone. The prices on the chips, candy and drinks were set by the previous owner. They weren't complaining about those so I left them where they were. They have requested things before and then not bought them. Its a tire place and while the machine is in the "office" area, it does get plenty hot, hot enough to melt chocolate. I put one selection in there as a good will gesture because they asked for it. I knew it would melt in that heat and told them so. They did buy one though. Anyone know of any soft candy with long expiry dates that don't mind high temps and humidity? I will prepare a statement for the boss to let him have an explanation before his people start complaining. Later this week I will see whether or not they are actually buying the stuff they asked for last time. Link to comment Share on other sites More sharing options...
dogcow Posted August 1, 2012 Share Posted August 1, 2012 tire place? what kind of $ is the place making ,i am done bending over backwards for nickel and dime accts they never take it as a gesture of good will and it just enables them to act more entitled, if they kick me so be it. good luck to the next poor sap who has to deal with them Link to comment Share on other sites More sharing options...
Precious Roy Posted August 2, 2012 Author Share Posted August 2, 2012 The plot thickens. Its not making good enough money to run around like a chicken with no head trying to keep them happy when they aren't buying stuff and complain a lot. Today they said the previous owner was paying them commission. I contacted the previous owner to confirm that and she said she was, but the figure she gave me is 5% lower than what the guy at the location said. She said she mentioned that at the time of the sale, but I'm pretty sure she didn't. I would have remembered that. I doubt she would have wanted to say anything that potential buyer might see as a negative. She also said they did her the same way, always asking for new/different stuff and then wouldn't buy any of it. I would pull it just for that, but they said come and get it anyway so I'm almost done with them. Soooooo, any tips on how to locate a combo? Can I wait until I can find another location or should I get the machine out asap? There is a pool service place not too far that appears to have several employees. There's also a Shotokan dojo. I don't know if either of them already have machines or not. I want to get the locating done right since moving it is sure to be a pita. Any advice would be appreciated. Link to comment Share on other sites More sharing options...
dogcow Posted August 2, 2012 Share Posted August 2, 2012 i would locate it right on to craigs list what kind of combo is it anyway Link to comment Share on other sites More sharing options...
Precious Roy Posted August 2, 2012 Author Share Posted August 2, 2012 RS800/850 Link to comment Share on other sites More sharing options...
mission vending Posted August 3, 2012 Share Posted August 3, 2012 RS800/850 Best place for it is on CL. Link to comment Share on other sites More sharing options...
Precious Roy Posted August 3, 2012 Author Share Posted August 3, 2012 What's the most you think I could get for it? If I had known then what I know now, I probably wouldn't have done it at all, but since I did, I'm trying to make the most/best of it. Link to comment Share on other sites More sharing options...
dogcow Posted August 3, 2012 Share Posted August 3, 2012 what did you pay for it? Link to comment Share on other sites More sharing options...
Poplady1 Posted August 3, 2012 Share Posted August 3, 2012 Why not try to keep the location you have right now. Just price the machine according to the National standards and add in the commission cost. Show the owner your pricing before commission and the cost of the product after commission. Tell the owner most businesses want to keep the prices lower for their employees but if they want commission here is how it effects pricing. This sounds like a possible good account, just take control and settle it down a bit. Cans .75 plus commission .85 chips small .65 commission .75 Water 1.00 plus commission 1.25 Just develop your pricing guidelines and put in only National top selling snacks. Remember vending pricing is below the local convenient pricing because we don't have the overhead of the building cost. That is what the public thinks and expects. If you price your products at their level they feel you are rake them over the coals. If you have a locator place the combo it will probably cost $300. Hope this helps. Link to comment Share on other sites More sharing options...
Precious Roy Posted August 3, 2012 Author Share Posted August 3, 2012 dogcow: Just over 2k With the exception of the new 20oz drinks they asked for and new pastry items, everything else is at the same prices it has always been since the original owner put them in. The pastries are still cheaper than the convenience store by as much as 50 cents. When we took over they didn't mention anything about the prices. In fact this is the first time they've ever said anything. They may have been bluffing trying to get 5% more commission and lower prices, but when they said we could come get it we said ok. Too late to go back on it now even if it could have been turned around. They have requested specific items 3 or 4 times now and then not bought them. I'm trying to locate myself. If I paid $300 for a spot like that I'd be upset. Link to comment Share on other sites More sharing options...
BigRedvender Posted August 5, 2012 Share Posted August 5, 2012 Your the new kid on the Block so to speak. It sounds like the caboose is trying to be the engine. Leave Good riddance and move on to greener pastures. I am doing bulk now and just started but I will listen but if something dosen't sell I will move on to something else. The main thing is to do your best to make it look full and keep your shrinkage down to a minimum. I ran a sandwich route years ago and sometimes you would get guys ordering such oddball stuff that never really sold well. All that did was cost me money on my sales when I picked it up two weeks later. That is where a good route book with what you have in the machine and how much of each items sells. Most the Items I sold had a 2 week shelf life. You kept about enough to last two weeks to start and then just rotated and filled. We have a garage here I have been trying to place a bulk machine. They had one stolen now the have a full size one and don't fill it because the stuff goes out of date to fast for them. So even if this place gets there own it will probably fail because it is not there main point there bottom line. Just kiss it off as a good learning experience and move on to the next account. Link to comment Share on other sites More sharing options...
Precious Roy Posted August 10, 2012 Author Share Posted August 10, 2012 Yep bigred, moving on. They called today, say they are moving another one in and want that one out. Unloaded it all today and will be moving it this weekend. In your experience, and this is for everyone, how long do you wait to hear back from someone about a location? Or do you assume if they don't say yes on the spot that the answer is "no" and they just don't want to say so? I have a lead on a funeral home. Anyone here have one? RJT's book doesn't mention anything about funeral homes as good or bad locations. Other than that, I am still looking for blue collar locations with as many employees as I think that machine could handle. Link to comment Share on other sites More sharing options...
dogcow Posted August 10, 2012 Share Posted August 10, 2012 Yep bigred, moving on. They called today, say they are moving another one in and want that one out. Unloaded it all today and will be moving it this weekend. In your experience, and this is for everyone, how long do you wait to hear back from someone about a location? Or do you assume if they don't say yes on the spot that the answer is "no" and they just don't want to say so? I have a lead on a funeral home. Anyone here have one? RJT's book doesn't mention anything about funeral homes as good or bad locations. Other than that, I am still looking for blue collar locations with as many employees as I think that machine could handle. what do you mean hear back? its a longer sales cycle, i never expect to get a yes right away keep following up until you get a firm "no" Link to comment Share on other sites More sharing options...
Precious Roy Posted August 10, 2012 Author Share Posted August 10, 2012 That's good to know. It hasn't been but a few days. He said he would have to talk to someone else(I forget what the other person's title was) and he would get back to me. Link to comment Share on other sites More sharing options...
dogcow Posted August 10, 2012 Share Posted August 10, 2012 That's good to know. It hasn't been but a few days. He said he would have to talk to someone else(I forget what the other person's title was) and he would get back to me. who did you talk to? i always try to follow up with THE decision maker myself. if someone says "i have to talk to so and so" i will try to get their name/number so i can just talk to them, odds are either its a blow-off or they wont explain it properly. just try to set up a meeting with the DM (decision maker) if they have to check with someone they most likely are not the DM Link to comment Share on other sites More sharing options...
Precious Roy Posted August 10, 2012 Author Share Posted August 10, 2012 The guy I talked to is the funeral director and he's the one that wanted the machine. I thought he was the DM but apparently not. I'll get the person's name next time. In the meantime I will continue seeking out more locations. First one to say yes will get the machine. If the others say yes later, I'll get some more machines. Link to comment Share on other sites More sharing options...
mission vending Posted August 10, 2012 Share Posted August 10, 2012 what do you mean hear back? its a longer sales cycle, i never expect to get a yes right away keep following up until you get a firm "no" Yep, just keep checking in with them. Some accounts I've chased for over a year before getting a chance to give them a proposal. Link to comment Share on other sites More sharing options...
Precious Roy Posted August 13, 2012 Author Share Posted August 13, 2012 How long would you give them before the first check in? Two weeks? A month? Link to comment Share on other sites More sharing options...
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