Paying Commissions on a "tiered percentage"

[bhfisher]

I was thinking of offering commissions on some locations for bulk candy placements.  I was trying to come up with a tiered percentage based on gross collected. 

 

Give me your feedback on this, if you agree with my schedule below or should be adjusted... or just a bad idea:

 

minimum collected VS Percent Paid: 

 

10.00 = 0%

20.00 = 10%

30.00 = 15%

40.00 = 20%

50.00 = 25%

60.00 = 30%

70.00 = 35%

 

Thanks, Bart

[mjacks]

If you can get the location to go for it and if you want to keep track of it, why not?

[havending]

Just keep it simple

[treadmill]

I think it's a bad idea. Not really worth the hassle unless you have other high grossing machines there. Just keep it simple and not complicated.

[adog]

I agree... Just keep it simple. Plus 35% with candy is going to kill you and literally your going to make no money lol. Candy Cost is high enough at a .25 vend . Less alone adding another 35% commission on top of that...

[hazenevenson]

I think this is a very effective percentage rate as for most location you have you will likely be paying 20% per head

[will.vend]

K.I.S.S.

[Square]

I have one location that only gets 10% commission if there is less then $20 per head, per month, over that is 20%.

This was so difficult to explain I have not done this again with other locations.

[adog]

K.I.S.S.

Does that mean Keep It Super Simple??? lol

[Jax Snacks]

Does that mean Keep It Super Simple??? lol

No!

 

This is KISS

 

http://www.google.com/imgres?imgurl=http://assets.rollingstone.com/assets/images/artists/304x304/kiss.jpg&imgrefurl=http://www.rollingstone.com/music/artists/kiss&h=225&w=225&sz=1&tbnid=7hQb8bTpr4rvhM:&tbnh=186&tbnw=186&prev=/search%3Fq%3Dkiss%26tbm%3Disch%26tbo%3Du&zoom=1&q=kiss&usg=__0qNt0oULkCiOVUBgVF2UuWecJ7c=&docid=dYLqbEunIIP1yM&itg=1&sa=X&ei=dbLHUYTKPIXO9gStjIGgCQ&ved=0CIkBEPwdMAw#imgdii=7hQb8bTpr4rvhM%3A%3BBwPcYhEkWjORdM%3B7hQb8bTpr4rvhM%3A

[adog]

Does that mean Keep It Super Simple??? lol

Ha I know the band lol. But I thought it was some acronym lol.

[Action Vending]

it means keep it simple stupid

[Arqangel13]

OK. So keep it simple seems to be the winning answer.  What exactly do you mean by simple?  Would a 10% commission be ok?  No commission?  I thought the tiered commission might work, but it doesn't seem to be popular.  Could you elaborate?  Thanks. Mario

[sweetstop]

Unless you are only vending gum it's very difficult to offer comm on bulk candy routes

I do it for a couple spots but only because they insisted

With candy costs there just Isn't enough room

[Arqangel13]

Unless you are only vending gum it's very difficult to offer comm on bulk candy routes

I do it for a couple spots but only because they insisted

With candy costs there just Isn't enough room

So how do you comp the location?

[dkochan]

Typical commission for candy & gum is 20 - 30%. Commission for racks ranges between 25 - 40%.

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[Nate9303]

OK. So keep it simple seems to be the winning answer. What exactly do you mean by simple? Would a 10% commission be ok? No commission? I thought the tiered commission might work, but it doesn't seem to be popular. Could you elaborate? Thanks. Mario

I try to never pay commission on candy machines. I do in some cases (mostly racks) and I always try to negotiate as low a commission as I can get away with.

[Arqangel13]

Typical commission for candy & gum is 20 - 30%. Commission for racks ranges between 25 - 40%.

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I assume this is net and not gross.  These percentages seem kind of high, considering I will be buying and servicing the machines, buying the product and doing pretty much all the work and all they do is allow me to place a machine in their place of business.  I thought more along the lines of 10 - 20%.  Thanks. Mario