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20oz Pepsi margins


jwalton
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I was curious as to what people are paying per unit for Pepsi 20oz bottles and if anyone would be willing to share any price breaks they get for buying in higher volumes.  Right now I pay .78 cents a unit on 20oz Pepsi products and have a hard time staying competitive with pricing.  I buy about 35-40 cases a month, I know I need to buy more for price breaks but.   I am curious what other people are paying per unit.  Anyone willing to share I would greatly appreciate.  Thanks 

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Thank you. I understand not disclosing cost.  I am getting atleast 1.50 I was just curious because after sales tax and commission there isn't a lot left over.  I shoot for a 50% margin on most products and it seems tough to get it with  most products, but with 20oz bottles it's tough for me to get anywhere close to that if I want to stay competitive 

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As LA said, your cost is pretty good for your volume. We order about triple that amount for a week and your prices are pretty close to ours. But we get a pretty hefty rebate check every quarter so that's the difference. Just got our price increase for next year last week from Coke and Pepsi too

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For us from Pepsi, we have to order X % more total case count for the quarter over last year. Plus X amount of new product and I guess it would be "specialty" items and flavors ( life wtr, kickstart, pure leaf etc). Thier expectations so far haven't been out of line and the new rebate plan for next year is even better. I'm not sure at what level they start the rebates and I'm sure some regions probably don't do rebates. We deal with two different Coke distributors, one does rebates, one doesn't 

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Ok thanks for the info,  I'll have to talk with my regional Pepsi bottler and see what they say.  They have mentioned price breaks before to me but they have never told me what the criteria for it is or if it is in the form of a rebate.  Thank you for the information.  I appreciate it 

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In the end, i am lucky to make 30% on 20 oz soda after cogs and sales tax.  Take an additional 20 cents off for everything else and i am left with maybe 15-20 cents per unit.  I would probably do fine to stay with cans only but people want bottles.  I make about the same money per unit on both, but i have far less problems with dates and running out on cans.

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I have used those also,  16.9 can have great margins but I have been utilizing the bottlers equipment and they are pretty strict on people selling the 16.9oz out of there equipment, they want to push the 20oz and have made that clear to me.  Where I'm at they don't even sell them at the Pepsi warehouse, I have to go to Walmart for them if I need them 

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1 hour ago, nightsfire said:

24oz bottles are the way to go cheaper then 20oz meaning bigger profit margins 

https://m.samsclub.com/ip/pepsi-24-oz-bottles-24-pk/167554

Those aren't available everywhere.  Flavors are limited depending on your area.  501e's can only vend them 1-deep, cutting capacity in half.  Aside from those problems, 24 oz are great.  I carry Dew.

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I think most companies are around $1.75 bottles and $1 cans in our area so we're a bit higher than most. We don't get kicked out because of the service we provide. All our candy is at $1.50. Chips cookies snacks etc are $1.25 and pastries and large snacks are $1.75.

We don't notify our accounts about price changes just do them as necessary to keep our profit margins up.

We've lost accounts for pricing but the good profit margins elsewhere easily make up for the losses. Get what you're worth!

Edited by vendcobros
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We sell 130+ cases of 16.9 oz bottles a week. We stop by Wal-Mart 3 times per week after we run our routes. They cost .33-.40 cents a piece. When we started a couple years ago Pepsi wanted about $24 a case. But selling the 16.9 oz bottles for .75- 1.25 you make a decent margin and it gives the perception that your drinks are much cheaper then other venders. 

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