How many accounts to make $50k net money?

[RJT]

Small bags of chips 75 cents, cheezits cookies 85 cents, anything that looks big 1.00... granola bars 1.00 to 1.25 .. pastries 1.50

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Good pricing but I still don't see how you can net 50% after all associated cost. What is your dept service on assets, taxes, insurance, repairs, fuel, , etc, etc. Have you done a recent P&L? 

 

Also just wondering not that you have to disclose it but how many machines and how many accounts you are running. What type of accounts do you have these prices, Also are you running older equipment? Is that the going price from competitors?  Also the reason I ask how many machines and accounts their is a big difference in have 3 to 5 accounts with those prices and having 20 plus with it. You might can get away with it on limited bases but not as a general rule, but each market is different. 

 

Don't get me wrong I think your prices are where they need to be, IMO we should be getting what C stores get but that is very hard to do in most vending markets. The reason I ask is because many times if you have strong competition they can undercut your price, offer nicer equipment but match pricing, offer commissions, etc. 

 

Good pricing in my area is Small bags of chips 65 to 75 cents, cheezits cookies 85 cents, anything that looks big 1.00... granola bars .85 to $1.00 .. pastries 1.00 to $1.25. 

[Poplady1]

Your profit is based on how much you spend to bring the money in.  Then you can add in your time and gas etc.  People can look at income in more than one way, for example.  There is ledger money where as a business owner filling out the tax report, well everything is considered even the ink pens you use to write up your invoice...stamps, rubber bands.  On each sale those costs are too small to determine but using the law of large numbers if your volume of pens, stamps, become large enough it can impact your income.

 

Lets face it unless you have a large staff, it is easier for the smaller independent to pocket more of the income.  if you pay .13 for crackers then sell them for .50..it adds up.  

[TKK]

50k can easily be done with a few accounts. 3 accounts grossing 2500 to 3k each.

With 3 machines in each 2 drink 1 5 wide snack. Servicing once a week

[AngryChris]

50k can easily be done with a few accounts. 3 accounts grossing 2500 to 3k each.

With 3 machines in each 2 drink 1 5 wide snack. Servicing once a week

Collecting 2500-3000 out of three machines is pretty much impossible without servicing them 3 times each week at a MINIMUM.

And there are VERY few areas in the country where you can find three such local locations that will allow you to only install 2 drinks and 1 snack.

Around most of my region, any account grossing over $200/week will start requesting coffee or food machines. If you don't provide it, someone else will. At over $2,000/week, you'll need at least 4 drink machines, 2 snack machines, 1 food, and possibly a coffee machine. Otherwise, you aren't getting the account. And you'll be servicing it every day.

[Bvending]

Collecting 2500-3000 out of three machines is pretty much impossible without servicing them 3 times each week at a MINIMUM.

And there are VERY few areas in the country where you can find three such local locations that will allow you to only install 2 drinks and 1 snack.

Around most of my region, any account grossing over $200/week will start requesting coffee or food machines. If you don't provide it, someone else will. At over $2,000/week, you'll need at least 4 drink machines, 2 snack machines, 1 food, and possibly a coffee machine. Otherwise, you aren't getting the account. And you'll be servicing it every day.

Agreed!

[Boblib]

Collecting 2500-3000 out of three machines is pretty much impossible without servicing them 3 times each week at a MINIMUM.

And there are VERY few areas in the country where you can find three such local locations that will allow you to only install 2 drinks and 1 snack.

Around most of my region, any account grossing over $200/week will start requesting coffee or food machines. If you don't provide it, someone else will. At over $2,000/week, you'll need at least 4 drink machines, 2 snack machines, 1 food, and possibly a coffee machine. Otherwise, you aren't getting the account. And you'll be servicing it every day.

$2500-$3000/week with 3 machines is $800-$1000/week per machine.

They don't hold enough inventory to do that amount in one servicing.

 

Dixie Narco 501s vending 20oz bottles have a max capacity of 260 units.

Royal Vision Vendors vending 20oz has a max capacity of 280 units.

A Dixie BevMax vending 20oz has a max capacity of 360 units.

 

You would have to sell all of your inventory at $3-$3.50 a vend to get those kind of numbers from the drink machines alone. 

Impossible

[AngryChris]

Even at $2.00, you'd have to run the machines almost empty, twice, to make those numbers. You wouldn't keep that account if you ran them empty.

[TKK]

Ha sorry, meant 3 drink 1 snack or so. I have one location with a 6 wide and 2 drink machines, and a combo usi that makes about 3000 a month and go once a week. They are pretty empty too but I could get away with a day or two after. I personally don't do coffee or cold food. Just snack and drink right now.

[Feral Vending Mechanic]

Some excellent discussion here, as always.