shepherdsflock Posted January 10, 2013 Share Posted January 10, 2013 What vend price are you using for 2" capsule toys? I'm thinking about putting together a couple of racks for some of my locations and want to add 2" product; but I'm not sure what price to vend at. Looking at price lists for 2" toys, it looks like my COG percentage will be higher if I sell at 75 cents, but I'm not sure if $1 vend price would do well. What is working for those of you out there selling 2" toys? Link to comment Share on other sites More sharing options...
Action Vending Posted January 10, 2013 Share Posted January 10, 2013 .50 is as high as I can go on them. Just the way my area is. I would look around your area and try it at .75 if nothing else. There are soooooooo many factors in vending and what is right for one operator might be 180 degrees different for another. Link to comment Share on other sites More sharing options...
Rick Falcon Posted January 10, 2013 Share Posted January 10, 2013 I have to agree with action look around first. I have some racks with a 75 price point and have noticed a drop in sales Link to comment Share on other sites More sharing options...
timberframe50 Posted January 10, 2013 Share Posted January 10, 2013 I agree depends on the location, but I always start at 75. I have only lowered 1 location to 50. Being stubborn I had a 50 rack move in one location I'm still at 75, lost about 15% of sales but I'm sticking with it. Link to comment Share on other sites More sharing options...
musser Posted January 11, 2013 Share Posted January 11, 2013 75 on two inch, I would do $1 if it would fly but it just won't go for me. You would think that if 75 sells a better product at a buck would too, but sure hasn't worked for me. Link to comment Share on other sites More sharing options...
havending Posted January 11, 2013 Share Posted January 11, 2013 You have to be at .75 on two inch to make any money period. With freight charges and product cost rising there is just no way around it. A few weeks ago I was on the road and found out I was low on eggs so I ordered 4 boxes. I know its dumb to place a small order but wasn't sure what else I needed. Freight was 40.00 four years ago it would have been 15.00. I'm buying the stands on sale at AA pallet freight is only 130. I have heard people saying that in my area they won't pay .75 well you better get your customers trained now because cost will continue to rise and your profits will continue to decline. Sent from my Desire HD using Tapatalk 2 Link to comment Share on other sites More sharing options...
shepherdsflock Posted January 11, 2013 Author Share Posted January 11, 2013 There are actually very few 2" vendors in my area. The only 2" machines I've seen recently were at Walmart. They were selling at 75 cents. I think I saw one at a Chinese buffet a while back that was also at 75 cents. Link to comment Share on other sites More sharing options...
havending Posted January 11, 2013 Share Posted January 11, 2013 There are actually very few 2" vendors in my area. The only 2" machines I've seen recently were at Walmart. They were selling at 75 cents. I think I saw one at a Chinese buffet a while back that was also at 75 cents. Very few machines where are you I need to come set up lol Sent from my Desire HD using Tapatalk 2 Link to comment Share on other sites More sharing options...
shepherdsflock Posted January 11, 2013 Author Share Posted January 11, 2013 Sorry, I need to protect my market! It's the main reason I want to start putting out 2" heads. I see quite a few 1" heads, but for some reason nobody is doing 2" around here. Maybe people around here just don't buy anything at 75 cents, and therefore nobody puts out 2" heads. But, I'd like to test the waters and find out. If I'm selling 1" capsules at 50 cents, I'd have to think 2" would sell at 75 cents. Link to comment Share on other sites More sharing options...
rogersmith Posted January 13, 2013 Share Posted January 13, 2013 That's why I like all 1" heads. If someone comes in with 2", I can always price them out with cheap 25 cent products for a time, but otherwise, charge 50 cents for 1" products. Why charge 50 cents and pay for 2" when you can charge it and pay for 1" products? Also, the 2" heads take longer to service and cycle... Link to comment Share on other sites More sharing options...
havending Posted January 13, 2013 Share Posted January 13, 2013 That's why I like all 1" heads. If someone comes in with 2", I can always price them out with cheap 25 cent products for a time, but otherwise, charge 50 cents for 1" products. Why charge 50 cents and pay for 2" when you can charge it and pay for 1" products? Also, the 2" heads take longer to service and cycle... I make more money on one inch and they often out sell the two inch heads. Do you have any all one inch racks with 8 or 10 machines? I have been wanting to try that. Also freight is cheaper on one inch Sent from my Desire HD using Tapatalk 2 Link to comment Share on other sites More sharing options...
rogersmith Posted January 13, 2013 Share Posted January 13, 2013 I make more money on one inch and they often out sell the two inch heads. Do you have any all one inch racks with 8 or 10 machines? I have been wanting to try that. Also freight is cheaper on one inch Sent from my Desire HD using Tapatalk 2 I really only use 1" 6-ways (sometimes in combinations with Tomys or pinball). I find 6-ways are easier to locate and if you get kicked, you have less space taken up in your warehouse and don't have the burden of finding another location with so much space and traffic (as needed to support an 8-10 way). I have thought about combining side by side two 6-ways at really large busy locations before, but have not yet tried it. Ordering all 1" heads in bulk may result in better pricing (than a 1" and 2" mix) depending on which source you use and lower machine costs too (the 1" heads being cheaper). I say if you have a location that merits 8-10 heads and a good mix of product and price points, go for it! Or you could get two 6-ways and put them side by side (so if you get kicked, you are not left with the pressure of finding a location that large and busy). As you already know, the average per head may be less, but you'll probably make more (as well as keep the competition out) and if you buy in bulk you may get cheaper prices per head. Link to comment Share on other sites More sharing options...
rogersmith Posted January 13, 2013 Share Posted January 13, 2013 The other thing is that I sometimes have an issue with the spring agitators in the 2" heads when filling them too full and find that I can safely put a lot more product in the 1" heads, make more money on them, and service them less frequently at busy locations. Link to comment Share on other sites More sharing options...
rogersmith Posted January 13, 2013 Share Posted January 13, 2013 I have never ever had a issue with adgitators on my NW 2"...NEVER! I don't bother with NW at their prices. Irrespective, the 1" make a lot more sense in markets where the customers are resistant to $0.75. Why be in at a higher machine price point for less return and a lower profit margin on 2" when you could be selling 1" for 50 cents? Link to comment Share on other sites More sharing options...
Rick Falcon Posted January 14, 2013 Share Posted January 14, 2013 I'm all for the 1" toys but they have their limits because I can't see consumers paying more than .50 for a 1" toy with the right 2" toy you could go as high as a dollar also with 2" toys you get a much larger variety Link to comment Share on other sites More sharing options...
Action Vending Posted January 14, 2013 Share Posted January 14, 2013 Any time someone doesnt have something. Either 1", 2", Flat or candy it is something that a competitor can do and is a good selling point for someone to say " hey can I put some machines next to those out in your lobby my stuff wont even compete with theirs because its all different items and you will make more money." like if they have 1" and flat on a rack you go in with 2" and 1" on a rack. Link to comment Share on other sites More sharing options...
rogersmith Posted January 14, 2013 Share Posted January 14, 2013 The problem I have is that the kids just aren't willing to pay a dollar for 2" in the areas where I have the machines and 75 cents is even a stretch that significantly, significantly decreases revenues. When I want to charge more than 50 cents, the only machine that seems to open the purse strings is a Tomy, but the toys are generally more expensive and Tomy's are a bigger hassle. With the 1", I can get the toys fairly cheaply and price another vendor out at 25 cents if I need to. I will go up against any vendor who is at 75 cents or a dollar in my territories because the kids generally just don't want to pay it and if the vendor is at 50 cents on 2" with rising costs, he is running a charity. Link to comment Share on other sites More sharing options...
adog Posted April 26, 2013 Share Posted April 26, 2013 I'm setting my 2 inch at a dollar but vending expensive toys. I got those build-able capsules from AA and it cost me 70 bucks! Luckily I picked em up in person along with other stuff and saved me probably 45 bucks in shipping but I did the math and even with the high cost of goods sold and 40 gross commission I will make close to 40 cents per vend. I then have my 1 inch items at 50c all of them. With the commission and cogs I will net about 24 cents a vend which I am easily happy with. Thats decent after paying commission and more than I make vending candy at a quarter. I think it will fly since my competitor has a tommy gotcha all set at a dollar so 50c one inch should fly. And to put the icing on the cake I put a 25c gum ball machine on my rack to. Net around 12 cents on that. There I can offer a variety of products at all price ranges! Link to comment Share on other sites More sharing options...
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