beejaykc aka Munch A Bunch Posted March 23, 2013 Share Posted March 23, 2013 So since I've only got 2 40-select snack machines, and they are my only snack machines, I've been buying the bigger bags in variety packs from Sam's. Of course, 1 or 2 flavors don't sell, thus you're stuck with em'. So.....until I grow.....I think I'll go back to the smaller sizes and buy them in the 50 count boxes. 1 location sells a lot of chips, so those quantities don't scare me. I can get the specific flavors I need that way, and I can sell them for 75 cents, which actually brings nearly the same amount of profit per bag (give or take 5-7 cents). Did you guys do this when you were small? I like getting 90 cents for the big bags, but it sucks having some that don't sell. Is my strategy a bad one? I know this discussion is an old one. I'll continue to research your experiences here on the forum as well. Thanks all. You've been a great help. Link to comment Share on other sites More sharing options...
andyinchville Posted March 24, 2013 Share Posted March 24, 2013 Hi, I've heard that many vendors like to go with the larger bags because of the higher profit margins associated with them.... I however have stuck with the smaller single serving size chip bags . I think you are correct in your idea that you should probably buy single boxes of chips and only purchase the types of chips that you know will sell… On occasion I will buy the baked chip variety pack from Sam's Club, only to find that most my locations will not be the baked Cheetos… Thus leaving me with a lot of unsold Cheetos. Hope this helps you. Andrew Link to comment Share on other sites More sharing options...
moondog Posted March 24, 2013 Share Posted March 24, 2013 So since I've only got 2 40-select snack machines, and they are my only snack machines, I've been buying the bigger bags in variety packs from Sam's. Of course, 1 or 2 flavors don't sell, thus you're stuck with em'. So.....until I grow.....I think I'll go back to the smaller sizes and buy them in the 50 count boxes. 1 location sells a lot of chips, so those quantities don't scare me. I can get the specific flavors I need that way, and I can sell them for 75 cents, which actually brings nearly the same amount of profit per bag (give or take 5-7 cents). Did you guys do this when you were small? I like getting 90 cents for the big bags, but it sucks having some that don't sell. Is my strategy a bad one? I know this discussion is an old one. I'll continue to research your experiences here on the forum as well. Thanks all. You've been a great help. Yep, That's the problem with those combo packs - for some reason, nobody wants those sour cream and dill pickle Funyans or the ketchup and onions Fritos (can't imagine why ). Around here we've got at least a couple of independent wholesalers that sell the LSS size bags, 64 to a case, at 38 cents each. KC is a good sized city so you should be able to find one of these places - they cater to mom and pop stores so that might be a good place to start asking. My customers hate those 1 oz. bags - all bag and no chips Link to comment Share on other sites More sharing options...
beejaykc aka Munch A Bunch Posted March 24, 2013 Author Share Posted March 24, 2013 Yep, That's the problem with those combo packs - for some reason, nobody wants those sour cream and dill pickle Funyans or the ketchup and onions Fritos (can't imagine why ). Around here we've got at least a couple of independent wholesalers that sell the LSS size bags, 64 to a case, at 38 cents each. KC is a good sized city so you should be able to find one of these places - they cater to mom and pop stores so that might be a good place to start asking. My customers hate those 1 oz. bags - all bag and no chips I can do Vistar now. Just got that set up this week. So I will probably start buying my chips there. It's much less convenient than running into Sam's.....but if it helps keep the right selections on hand that helps.My 1 killer location is already driving me crazy having to vend out of my pickup truck. So I will probably buy a trailer soon. Then I can load up on product and have it stored easily too. Man, I'm complaining a lot for a guy just getting started. I gotta stop that. ha ha Link to comment Share on other sites More sharing options...
Sparta_Automation Posted March 24, 2013 Share Posted March 24, 2013 My customers prefer the larger bags, and as mentioned, look around for a distributor that will allow you to purchase individual bags. In our area, we have a chain called Cash and Carry. They cater to the smaller independent mini-marts and of course vendors. Minus this, having 30 bags of stale LSS size bags, is MUCH worse then just selling the smaller bags for a cheaper price! Travis Link to comment Share on other sites More sharing options...
CajunCandy Posted March 24, 2013 Share Posted March 24, 2013 Looking at the list I have it's hard to come up the amount of money they want me to spend with just chips, I'm afraid to buy a brand of chips that will not sell here and then I'm stuck with a large box of chips nobody wants! There is a bunch of chips on there list I never heard of or seen! mike Link to comment Share on other sites More sharing options...
moondog Posted March 24, 2013 Share Posted March 24, 2013 I can do Vistar now. Just got that set up this week. So I will probably start buying my chips there. It's much less convenient than running into Sam's.....but if it helps keep the right selections on hand that helps. My 1 killer location is already driving me crazy having to vend out of my pickup truck. So I will probably buy a trailer soon. Then I can load up on product and have it stored easily too. Man, I'm complaining a lot for a guy just getting started. I gotta stop that. ha ha There's got to be a distributor for the mom n' pop stores in Kansas City other than Vistar. Mike (Cajun) was good enough to send me his list but Vistar is about 10% high on everything. The other thing to remember when buying chips is to check the expiration on the case - you don't want anything with less than two months on them. The other thing you might consider is mixing in some Kettle style chips, they've got a 5 month shelf life - just make sure you stock something people will buy. Baked chips have a long shelf life too but I can't give those away. With chips, you're always going to have some stales. I get about 60 a month but I'm buying about 1,200. Combined with the other snack items that never have any stales, it averages about 2.5% which is considered good. Items that will offset the chip stales include Famous Amos, Knotts Rasberry, Keeblers Sugar Wafers and Grandmas Raisen Oatmeal cookies - I can't hardly keep these in stock. Link to comment Share on other sites More sharing options...
moondog Posted March 24, 2013 Share Posted March 24, 2013 Looking at the list I have it's hard to come up the amount of money they want me to spend with just chips, I'm afraid to buy a brand of chips that will not sell here and then I'm stuck with a large box of chips nobody wants! There is a bunch of chips on there list I never heard of or seen! mike Yeah Mike, That list is nuts - they've got a lot of stuff on there. I bet Vistar gives the big vendors a better deal - you should ask the guy who takes all your change who he's buying from, It might be worth a trip down to New Orleans once a month - you could make it a family outing. Link to comment Share on other sites More sharing options...
TKK Posted March 24, 2013 Share Posted March 24, 2013 Big bags all the way! .37 a piece sell for $1 Link to comment Share on other sites More sharing options...
CajunCandy Posted March 24, 2013 Share Posted March 24, 2013 Big bags all the way! .37 a piece sell for $1 TKK if I tried to sell a large bag of chips here for a $ they would just sit in machine, cost of living must be higher for you. mike Link to comment Share on other sites More sharing options...
beejaykc aka Munch A Bunch Posted March 24, 2013 Author Share Posted March 24, 2013 1 of my locations I just got had an old retired guy vending the small bags for 55 cents. I put in big bags at 90 and they've thrown a fit - but I've held my ground. I'm just waiting for the day I go in there and find my machine unplugged. I wouldn't even do small bags at anything less than 75 cents. My big location had a vendor vending big bags at 90 cents. I kept it at that, but have to go back 3 times a week to keep the flamin' hot chips in stock. good problem to have I suppose, but I'm contemplating going to $1. Their 40 select machine did 90 vends yesterday. Most of that was chips. Link to comment Share on other sites More sharing options...
beejaykc aka Munch A Bunch Posted March 24, 2013 Author Share Posted March 24, 2013 There's got to be a distributor for the mom n' pop stores in Kansas City other than Vistar. Mike (Cajun) was good enough to send me his list but Vistar is about 10% high on everything. The other thing to remember when buying chips is to check the expiration on the case - you don't want anything with less than two months on them. The other thing you might consider is mixing in some Kettle style chips, they've got a 5 month shelf life - just make sure you stock something people will buy. Baked chips have a long shelf life too but I can't give those away. With chips, you're always going to have some stales. I get about 60 a month but I'm buying about 1,200. Combined with the other snack items that never have any stales, it averages about 2.5% which is considered good. Items that will offset the chip stales include Famous Amos, Knotts Rasberry, Keeblers Sugar Wafers and Grandmas Raisen Oatmeal cookies - I can't hardly keep these in stock. We had Jones Vending, but they just closed their Kansas City warehouse. I'm not driving to St. Louis to use them. Vistar is about it, unfortunately. Link to comment Share on other sites More sharing options...
moondog Posted March 24, 2013 Share Posted March 24, 2013 1 of my locations I just got had an old retired guy vending the small bags for 55 cents. I put in big bags at 90 and they've thrown a fit - but I've held my ground. I'm just waiting for the day I go in there and find my machine unplugged. I wouldn't even do small bags at anything less than 75 cents. My big location had a vendor vending big bags at 90 cents. I kept it at that, but have to go back 3 times a week to keep the flamin' hot chips in stock. good problem to have I suppose, but I'm contemplating going to $1. Their 40 select machine did 90 vends yesterday. Most of that was chips. A very good problem to have! You might consider adding an extra three wide machine or doubling up on the flamin' hots once you figure out what's not moving. I hate doing this as it limits the selections, but hey, give them what they want. I've got one that goes through 2 cases of flamin hot cheetos a month and quite a few of the other hot chips as well. For me, it's a volume game so I only raise prices when my costs go up - you don't want to raise prices just to stifle demand. Link to comment Share on other sites More sharing options...
snack dude Posted March 24, 2013 Share Posted March 24, 2013 A very good problem to have! You might consider adding an extra three wide machine or doubling up on the flamin' hots once you figure out what's not moving. I hate doing this as it limits the selections, but hey, give them what they want. I've got one that goes through 2 cases of flamin hot cheetos a month and quite a few of the other hot chips as well. For me, it's a volume game so I only raise prices when my costs go up - you don't want to raise prices just to stifle demand. In my humble doesnt amount to much opinion, Variety is overrated. I have locations with three rows of a certain brand of chips because thats what they want and thats what sells out. I hated going back every other day to fill a empty row of BBQ chips. Thats lost sales. I have nothing against LSS and in some circumstances it maybe the way to go, but I use small bags for several reasons. 1) I think people mostly in offices are more alert about how much they are consuming and small bags seem to work better in that setting. 2) I can get them without having to deal with a Vendor supply company and the minimum order requirements and higher prices. 3) I believe most people look at price first and whats available second. ( Think about it, the first question most people ask when your filling the machine are " How much are the chips"?) 4) At a 50% markup I believe I can sell two small bags easier than one LSS bag and the gross profit on two bags is bigger than than the gross profit of one LSS Link to comment Share on other sites More sharing options...
TKK Posted March 24, 2013 Share Posted March 24, 2013 I think you should test. No one here can tell anyone what works best other than the numbers. I for example tried the small bags for .75 they sold in a lot longer time. My bigger bags outsold them like 3 to 1. For me personally its the flaming hot mix and now the fiesta mix. They don't buy the boring cheetoes and lays here. I think if they made a small size hot mix then I could do good with them and probably would just use those. But for now most of my good locations go through 1-1/2 cases of flaming hot and fiesta. Link to comment Share on other sites More sharing options...
dogcow Posted March 26, 2013 Share Posted March 26, 2013 Tkk, lays does in fact make a 1oz size hot mix,here i cant find the lss one Link to comment Share on other sites More sharing options...
TKK Posted March 26, 2013 Share Posted March 26, 2013 Really? The 1oz flaming hot mix? Here its only the 30 bag ones Link to comment Share on other sites More sharing options...
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