TKK Posted October 24, 2013 Share Posted October 24, 2013 Nice then you can really get accounts lol. So you had a 500k a year location and ud service all by urself? Ud go to sams everyday and go fill up? Do u think adding 5 machines might have let you service every 2 days? Link to comment Share on other sites More sharing options...
moondog Posted October 24, 2013 Share Posted October 24, 2013 I guess you missed it, I mentioned a few months back that I merged/sold my business to some friends that I helped get started over 10 years ago and am staying on to run it. With 4 full-time guys I now get more time off than I have had in years. Enough time to seriously look at a run for city council next year. You're obviously a glutton for punishment Link to comment Share on other sites More sharing options...
Golfdogs Posted October 25, 2013 Share Posted October 25, 2013 Mission for President! Mission for Mayor sounds better!!! Link to comment Share on other sites More sharing options...
moondog Posted October 25, 2013 Share Posted October 25, 2013 Mission for Mayor sounds better!!! I don't know Mike. it's going to get a little sticky when the city council has to figure out who's been dumping all the vending machines in the lake Link to comment Share on other sites More sharing options...
mission vending Posted October 25, 2013 Share Posted October 25, 2013 Nice then you can really get accounts lol. So you had a 500k a year location and ud service all by urself? Ud go to sams everyday and go fill up? Do u think adding 5 machines might have let you service every 2 days? Adding more machines is not a option, no place to put them. I had one full time and a couple of part time guys helping me out. You're obviously a glutton for punishment If you are going to lead you've got to be willing to take some fire. Mission for Mayor sounds better!!! If I actually go through with this, If I get elected, If I'm successful in my position then at some point in the future it might be a possibility I don't know Mike. it's going to get a little sticky when the city council has to figure out who's been dumping all the vending machines in the lake That's in another city and county, they can't prove anything Link to comment Share on other sites More sharing options...
mojorhino Posted October 26, 2013 Share Posted October 26, 2013 How to pretty much end the topic of commission when someone from a location asks. Here is what I say: So let me get this straight. You want me to . . . . .? Pay $1,000+ for a soda machine Pay $75 for a state tax sticker + $35 for a city tax sticker for the soda machine Pay $1,000+ for a snack machine Pay $75 for a state tax sticker + $35 for a city tax sticker for the snack machine Pay for the soda & snacks up front Put gas in my vehicle & drive to your location Stock the machines on a regular basis Order, keep inventory & keep track of what everyone likes + keep it in stock Deal with out of date product Perform maintenance on the machines on a regular basis Charge less than the local convenience store Whatever else I can think of at the time Do all the above up front + pay you a commission & hope I make enough after several years to make a profit? Then I pause for several seconds l & say something like - Do you actually realize how much time & work it takes before I make anything by having my machines at your business . . . . . . . . Shouldn't I be charging extra for rental of the equipment? Whomever I am speaking with has always said something like "I see your point" or "I never thought of it like that" at which point they drop the subject & then never ask me about it again. This has never not worked for me. Link to comment Share on other sites More sharing options...
AngryChris Posted October 26, 2013 Share Posted October 26, 2013 How to pretty much end the topic of commission when someone from a location asks. Here is what I say: So let me get this straight. You want me to . . . . .? Pay $1,000+ for a soda machine Pay $75 for a state tax sticker + $35 for a city tax sticker for the soda machine Pay $1,000+ for a snack machine Pay $75 for a state tax sticker + $35 for a city tax sticker for the snack machine Pay for the soda & snacks up front Put gas in my vehicle & drive to your location Stock the machines on a regular basis Order, keep inventory & keep track of what everyone likes + keep it in stock Deal with out of date product Perform maintenance on the machines on a regular basis Charge less than the local convenience store Whatever else I can think of at the time Do all the above up front + pay you a commission & hope I make enough after several years to make a profit? Then I pause for several seconds l & say something like - Do you actually realize how much time & work it takes before I make anything by having my machines at your business . . . . . . . . Shouldn't I be charging extra for rental of the equipment? Whomever I am speaking with has always said something like "I see your point" or "I never thought of it like that" at which point they drop the subject & then never ask me about it again. This has never not worked for me. The problem here is that you are preaching to the choir . I think we could all agree that our jobs would be BETTER if we NEVER had to pay commissions. Unfortunately, some accounts demand it and I am NOT going to pass up a VERY PROFITABLE location just because they want commission. Like Mission brought up. If you had to pay 20k/year for an account that generated lets say (hypothetically) 80k in net profits, and it would pay for itself in just over a year, I think it would make perfect sense to do so. Just to make sure we are on the same page though... if a location is only going to make $50/week at BEST and they want a commission... I will just turn that location down because it's not worth the time or hassle. Link to comment Share on other sites More sharing options...
andyinchville Posted November 2, 2013 Share Posted November 2, 2013 HI All, It would be nice if vendors can organize like an OPEC so we could do away w/ Commissions, low prices, cut throat tactics etc.... Of course we would need some "enforcers" to keep people honest. I have spoken with most of the local vendors I know of to reach some agreements unfortunately, there are probably others out there lurking around waiting to pounce on our stops if we raised prices and cut off commissions....Hmmm back to paragraph #2 above! I know the above doesn't seem very free market but then again many things in life you THINK are free market really is NOT. Andrew Link to comment Share on other sites More sharing options...
AngryChris Posted November 2, 2013 Share Posted November 2, 2013 HI All, It would be nice if vendors can organize like an OPEC so we could do away w/ Commissions, low prices, cut throat tactics etc.... Of course we would need some "enforcers" to keep people honest. I have spoken with most of the local vendors I know of to reach some agreements unfortunately, there are probably others out there lurking around waiting to pounce on our stops if we raised prices and cut off commissions....Hmmm back to paragraph #2 above! I know the above doesn't seem very free market but then again many things in life you THINK are free market really is NOT. Andrew If it were even legal to do (collusion), it would lead to OTHER practices that we would all gripe about anyway. The next thing you know, someone is getting "free" snacks/soda for their holiday parties, or "free" coffee, or "free" other treats. To get even worse, some people could just start sliding money under the table. I think we are far better off just dealing with it. It is the nature of the beast in our market. This topic is no different than any other political talk we hear about every day. It's the "If we regulated this, everyone would be better off" talk. It is almost never true. The truth is that our free market allows for different companies to have different abilities. The big dogs have to fight each other to death to maintain high-yield/low-margin accounts that generate enough profits to keep them in business, the small dogs fight over low-yield/low-margin accounts that put enough money in our pockets to put food on the table, and the mid-sized dogs fight everyone. It's a dog-eat-dog business. You can try to eliminate commission, but you can't eliminate entrepreneurial ability. Link to comment Share on other sites More sharing options...
snack dude Posted November 2, 2013 Share Posted November 2, 2013 HELL YEAH, Nothing like a good bar fight to make you feel young and get the blood pumping. Link to comment Share on other sites More sharing options...
CajunCandy Posted November 2, 2013 Author Share Posted November 2, 2013 HELL YEAH, Nothing like a good bar fight to make you feel young and get the blood pumping. snack dude you must frequent the bars I do. lol! Link to comment Share on other sites More sharing options...
RJT Posted November 3, 2013 Share Posted November 3, 2013 Like most I try and avoid commission all together. However like others have said I just take the account and figure out what the best pricing I would give them without commission based on what projected performance should be and add whatever they want on top of that. I did a recent account and commission was mandatory to get it. They wanted 15% and my pricing looked like this when I was done. Small bag chips: .75 Cookies/long life $1.00 Crackers .75 Candy $1.25 Pastry $1.25 It does around $250 to $300 a week in two snack machines. (Pepsi has the national contract so I don’t do drinks) Link to comment Share on other sites More sharing options...
AngryChris Posted November 3, 2013 Share Posted November 3, 2013 Like most I try and avoid commission all together. However like others have said I just take the account and figure out what the best pricing I would give them without commission based on what projected performance should be and add whatever they want on top of that. I did a recent account and commission was mandatory to get it. They wanted 15% and my pricing looked like this when I was done. Small bag chips: .75 Cookies/long life $1.00 Crackers .75 Candy $1.25 Pastry $1.25 It does around $250 to $300 a week in two snack machines. (Pepsi has the national contract so I don’t do drinks) I would have taken it too! Link to comment Share on other sites More sharing options...
RJT Posted November 3, 2013 Share Posted November 3, 2013 @angrychris Yep, it is a good one. As long as the pricing is not hurting your sales numbers then commission really does not matter if your prices are adjusted other than the choir of keeping up with it and paying it. Link to comment Share on other sites More sharing options...
AngryChris Posted November 3, 2013 Share Posted November 3, 2013 @angrychris Yep, it is a good one. As long as the pricing is not hurting your sales numbers then commission really does not matter if your prices are adjusted other than the choir of keeping up with it and paying it. That is the only thing I REALLY get annoyed about. Some of my customers get a commission that is paid in full in a lump sum. It really bites when I have to pay all of my commissions simultaneously! Link to comment Share on other sites More sharing options...
Randy 805 Posted November 8, 2013 Share Posted November 8, 2013 Hey guys, great thread, is there anywhere I can get an example of a Commission Scale policy to present to my customers if it turns out they demand a commission from me? Something worded professionally like a location agreement or contract but that I can put on a seperate piece of paper so as not to clue them in on the possibility of recieving a commission when I present them with the Location Agreement? In other words, a seperate Commission Policy not integrated into the Location Agreement / Contract Link to comment Share on other sites More sharing options...
AngryChris Posted November 9, 2013 Share Posted November 9, 2013 Hey guys, great thread, is there anywhere I can get an example of a Commission Scale policy to present to my customers if it turns out they demand a commission from me? Something worded professionally like a location agreement or contract but that I can put on a seperate piece of paper so as not to clue them in on the possibility of recieving a commission when I present them with the Location Agreement? In other words, a seperate Commission Policy not integrated into the Location Agreement / Contract This is such a complicated thing to do. You really have to understand what you are dealing with before you offer any commissions at all. You need to know your numbers or you will be just talking completely out of your butt and make no sense to the location. I don't use a scale. I do not mention commission unless THEY bring it up and THEY demand it. At that point, if I am still interested in the account, I will simply add the commission to the sales price (a 10% commission on a 90 cent candy bar raises it to 99 cents which is rounded up to $1.00) I simply add this into the service agreement. I think you are better off talking to a lawyer about it or try to find one for your local region. I don't recommend asking for someone else's commission scale (if they have one). Like I said, you have to know your numbers first. Link to comment Share on other sites More sharing options...
mojorhino Posted November 9, 2013 Share Posted November 9, 2013 COMMISSION!.........Aint nobody got time fo dat! Link to comment Share on other sites More sharing options...
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