Aaron

[AwVend]

Hello all, I am so glad to have found this forum. However I am new to the business, I have a giant plan with direction and it looks great on paper, but in really life I found this industry a little tuff to really break in. My questions for the pros, I have found that locating services for bulk is a rip off, or am I expecting to much. I am a internet marketer by trade, so my standards are high.  I also found that no one lists their vending company, the only way I found my competition was location shopping. I found that they have old unclean, machines that they don't manintain. I am looking for a tactful way to buy them out or get them evicted on the point that thoes machines look like they will make someone sick.

My next question is how do place snack machines and drink machines in apartments, hotels and schools, a locator said 3 grand to place 10 machines. I paid 300 to place 5 machines, extremely stupid of me as I have the feeling this will end in legal litigation. Well thank you guys for listening if you think you can save me a lot of headache on my 100 machine plan please send the tips my way.

[Poplady1]

Don't give any upfront money for locations.  Full Line locations are different than bulk or honor box.  Some of those you can do on the phone but most are best if done in person. There is a very scarce group of people willing to handle finding full line vending equipment.  Lots of doors to unlock in full line.  Blue Collar accounts with 50 employees on site and up is what you should look for or offices with 75 employees and up. Stay away from Healthy.  Apartments are okay with a drink near the pool (not next to the pool but by the pool or you will find your machine in the pool)  and you always have to pay commission (10 to 15%) You need to prepare a proposal. The property management company will need to approve it.  In full line, you will need a commercial liability to get into the best accounts at 1 Million Combined single limit.

Don't purchase machines before you have a location is the rule of thumb.  Since you are just starting my suggestion would be buddy up with a local vending company.  See if they need any part-time help for the summer. Working with a established company will give you the education a 4-year college couldn't do in this business. Expect to pay a fee of $330 per machine,  40 to 60 employees  $440 60 to 100 .  Hotels and motels normally go for $400 a machine.  If you use brokers like Blue Moose (we only work in Southern CA)  that should only be a part of your sales plan

If you can't do that then offer to work for free for a few months.  You will need to sign a bunch of paperwork saying you will not approach any of their accounts for 8 years.  When they mean approach they mean even if they call you or a friend sets you up.
 

If neither of those things works, then purchase a smaller local route (look on craigslist under vending).  Then someone will visit the accounts with you, teach you and be there if you have a problem. You can always post the route information on here and lots of experienced vendors will give you a yea or nay.

Also, check out NAMA (National Automatic Merchandizing Assoc) then subscribe to Automatic Merchandizing Magazine (its free).

If you have other questions I am at 888-802-1410  Blue Moose Vending Management

Bev