Gum ball account numbers SUCK! (just the time of year?)

[RikaKazak]

I placed 40 single head gum ball machines (eagles with rhino stands) and the numbers have been super disappointing.  I did my first collection, and while I did have a few rock star locations (corner market did $50+, oil change place $50+) the rest of the locations SUCKED!  (lots of auto repair places that did sub $5).

I'm running double bubble, which in my experience lasts 12ish months before going hard, should I keep the locations and switch to ford gum since it never goes hard?  Should I switch those accounts to candy accounts that never go bad (like runts/bonz)?  Should I just pull the accounts and find others?  Should I just wait as the winter is usually the worst time of year?  Is $3 normal for an auto repair gum ball account and I just need to spread my service dates WAY longer?

Thanks guys, just looking for some input/advice....any/all is appreciated and welcome!!!

[gumball guy]

2 hours ago, RikaKazak said:

I placed 40 single head gum ball machines (eagles with rhino stands) and the numbers have been super disappointing.  I did my first collection, and while I did have a few rock star locations (corner market did $50+, oil change place $50+) the rest of the locations SUCKED!  (lots of auto repair places that did sub $5).

I'm running double bubble, which in my experience lasts 12ish months before going hard, should I keep the locations and switch to ford gum since it never goes hard?  Should I switch those accounts to candy accounts that never go bad (like runts/bonz)?  Should I just pull the accounts and find others?  Should I just wait as the winter is usually the worst time of year?  Is $3 normal for an auto repair gum ball account and I just need to spread my service dates WAY longer?

Thanks guys, just looking for some input/advice....any/all is appreciated and welcome!!!

Car repair places are absolutely hit or miss for me with gumballs or any other product for that matter. I will generally leave it for at least 3 cycles (9 months) before changing to candy or pulling. Your biggest customers are the mechanics so the key is finding something that at least one of them like because many times it takes just one person to drive sales. I do have some singles with pressed candy (such as Bonz & Runts) but most of the time I use them in doubles or triples as a filler type of candy. They make a few bucks per cycle and never go bad while leader items like  PMM's, skittles, gumballs, M & I bring in most of the sales for the unit. Some people may say to pull it but these days locations are harder to come by so I like to try to make things work before I have to pull.

[Atlas99]

Yep I say use M&M. Either one will work but M&MP seems better. I would get a double ot triple bar and have more than a one head machine in each location. That will help you take in more cash for a very low cost. I o triple machines. Gumballs, m&mp and runts or skittles. Gum Ball's and M&MP are always 2 of my picks.

[jay22]

i only do single head gumballs too, and also noticed numbers drop  this month(though not to your extent), so i think weather is a factor for sure. as for locations, i was thinking oil change and auto repair shops were basically the same thing initially, but have definitely learned otherwise. while jiffy lubes(oil change priority) always do $15+ a month, meineke(auto repair a priority) did $7 in 3 months. i had another auto repair/tire shop that sucked as well, so i’m done with auto repairs. i’m still not quite sure which locations are  oil change priority shops though besides jiffy lube? you definitely want your gumball machines where kids/teenagers frequent, they are the main buyers from my experience, so i think you have to be more selective on where to put machines vending gumballs versus machines vending candy.  where else have you seen duds besides auto repair?

[gumball guy]

58 minutes ago, jay22 said:

i only do single head gumballs too, and also noticed numbers drop  this month(though not to your extent), so i think weather is a factor for sure. as for locations, i was thinking oil change and auto repair shops were basically the same thing initially, but have definitely learned otherwise. while jiffy lubes(oil change priority) always do $15+ a month, meineke(auto repair a priority) did $7 in 3 months. i had another auto repair/tire shop that sucked as well, so i’m done with auto repairs. i’m still not quite sure which locations are  oil change priority shops though besides jiffy lube? you definitely want your gumball machines where kids/teenagers frequent, they are the main buyers from my experience, so i think you have to be more selective on where to put machines vending gumballs versus machines vending candy.  where else have you seen duds besides auto repair?

     I really don't hesitate to try any location where I think my machine will be safe. I have had duds in every type of location over the years so excluding a whole category of locations based on the poor results of a handful of places is something I never do. It only takes one gumball/candy enthusiast who buys from the machine daily to make a location successful so I'm always in search of about anywhere that will let me in the door. If gumballs don't move I switch to candy and if that doesn't work I am usually out the door but I give it some time before that happens.

     The reason you are seeing better sales with your Jiffy Lube locations is because they have high foot traffic and the customers sit and wait for their vehicle to be serviced (half hour or less type of places). Full service repair shops may have a car for hours/days so alot of their customers just drop the car off and go. Your best customers in those locations are the mechanics so that is why I will talk to them or just try different things to increase sales. It still may not work but sometimes it does and before you know it a loser becomes a winner. Kids do love gumballs but it is not easy finding vending friendly locations where they congregate. Kids no longer "hang out" at places like they did when I was young so if you are able to find a silver bullet to that issue please share it with us lol.

     I think when you are starting out it is important to be more selective about locations because you are trying to get your ROI as quickly as you can. When you have been in the game for several years and have accumulated alot of equipment it can afford you more opportunities to roll the dice on locations. Bottom line is you never really know how good a location will be until you try it.

[jay22]

i don’t know if this is a silver bullet,  but indoor kids playgrounds do well, and there are lots of independent ones so they’re not too hard to place(i have 4 so far but hoping to get more, definitely look into these if you haven’t already!). pizza shops are really good because kids aren’t going to hang out at a sit down restaurant but they’ll ride their bikes and hang out at different pizza shops. independent sporting good stores are great, i have one at a pro shop at a hockey rink that’s great too. then of course there’s laundromats/barber shops/ice cream shops/oil change... those are what i’ve been successful with so far and i know there’s a lot of kids going to al these places.  i remember you mentioning daycares, i tried a few of these but have been unsuccessful in placing any so far. 

Edited December 20, 2019 by jay22

[gumball guy]

We have several bounce places but most are franchised and have their own vending. Haven't seen any indoor playgrounds other than in malls so I'll have to keep my eyes open for them.

[Atlas99]

13 hours ago, jay22 said:

i only do single head gumballs too, and also noticed numbers drop  this month(though not to your extent), so i think weather is a factor for sure. as for locations, i was thinking oil change and auto repair shops were basically the same thing initially, but have definitely learned otherwise. while jiffy lubes(oil change priority) always do $15+ a month, meineke(auto repair a priority) did $7 in 3 months. i had another auto repair/tire shop that sucked as well, so i’m done with auto repairs. i’m still not quite sure which locations are  oil change priority shops though besides jiffy lube? you definitely want your gumball machines where kids/teenagers frequent, they are the main buyers from my experience, so i think you have to be more selective on where to put machines vending gumballs versus machines vending candy.  where else have you seen duds besides auto repair?

I did that for over a year. Only single head  machines.  Here is the deal. For less than you can get a new location. You can buy a double bar or triple bar and up your income at the same location. The reason why the cost is less is very simple. A double bar is far less than a new stand. The new machine cost is the same. No wasted gas and time trying to find a new location. You are there already might as well double or triple your income when you sop by. You will make more money and drive the same amount. There is no reason only to do single head  machines.

 

Just trying to help both of you out. I do a minimum of 3 machines per location. Sometimes I have a large rack with as many as 10 machines. An old guy taught me that early on in my vending biz. I'm so thankful he did. Do not do single head machines only. I made a lot more money and saved a lot of gas, time and energy. You guys can do as you wish, just trying to offer friendly and helpful advice.

[jay22]

10 hours ago, Atlas99 said:

I did that for over a year. Only single head  machines.  Here is the deal. For less than you can get a new location. You can buy a double bar or triple bar and up your income at the same location. The reason why the cost is less is very simple. A double bar is far less than a new stand. The new machine cost is the same. No wasted gas and time trying to find a new location. You are there already might as well double or triple your income when you sop by. You will make more money and drive the same amount. There is no reason only to do single head  machines.

 

Just trying to help both of you out. I do a minimum of 3 machines per location. Sometimes I have a large rack with as many as 10 machines. An old guy taught me that early on in my vending biz. I'm so thankful he did. Do not do single head machines only. I made a lot more money and saved a lot of gas, time and energy. You guys can do as you wish, just trying to offer friendly and helpful advice.

are you really doubling your income though with a double head ? i feel like people will buy one or the other anyway. if there is only one thing to buy, they’ll still get it. 

[Atlas99]

47 minutes ago, jay22 said:

are you really doubling your income though with a double head ? i feel like people will buy one or the other anyway. if there is only one thing to buy, they’ll still get it. 

I've been doing this for 22 years. You can do as you wish. I'm telling you that you want to get as much money from each location. I've tried it both ways. You can feel as you wish. I don't have any locations doing less than $40 or $50 per cycle. Issue one you have poor locations, issue two you have one machine per location. So you need better locations and you need to put as many machines per location as you can within reason. Read this forum you'll find what people like for the best locations. No need for me to post it all here again. I'm not trying to be rude. I'm trying to help you out. So if I sound rude that is not my intent. Good luck and good day.

Edited December 20, 2019 by Atlas99

[gumball guy]

15 hours ago, Atlas99 said:

I did that for over a year. Only single head  machines.  Here is the deal. For less than you can get a new location. You can buy a double bar or triple bar and up your income at the same location. The reason why the cost is less is very simple. A double bar is far less than a new stand. The new machine cost is the same. No wasted gas and time trying to find a new location. You are there already might as well double or triple your income when you sop by. You will make more money and drive the same amount. There is no reason only to do single head  machines.

 

Just trying to help both of you out. I do a minimum of 3 machines per location. Sometimes I have a large rack with as many as 10 machines. An old guy taught me that early on in my vending biz. I'm so thankful he did. Do not do single head machines only. I made a lot more money and saved a lot of gas, time and energy. You guys can do as you wish, just trying to offer friendly and helpful advice.

    I understand your point and it sounds like you are getting good results which is great to hear. For me, running a good-sized operation, the single head gumball machine has always been a cornerstone in a successful business model. I have a process that I have followed for years and it all starts with single head gumball machines. I'll place 15 - 18 gumball machines in one day going door to door and have found that people tend to be more accepting of a small single head machine than a double or a triple (we literately carry the machine into every business). Basically, the single head gets me in the door and honestly, I am good if it stays that way as I will explain in a moment. Sometimes people will ask for candy or a bigger machine when I initially place the gumball machine and we go from there. I'll make a note if I feel the new location may need a bigger set up in the future especially to ward off other vendors and I will make it happen if space allows.

     I completely understand the concept that more selection is better especially from a similar footprint. The old Fordway route guys swore by the two-machine set up for a reason…it increased profits. Nowadays things have changed for me and running candy is getting tougher and tougher as margins shrink. M & M’s or Reese's Pieces for 25 cents will soon become untenable and I have no interest in converting loads of coin mechs to 50 cents at this point in my career. Do I gross more from my candy locations? Generally, yes, but I am also paying a lot more for the product so selling candy doesn’t improve my net overall especially when I factor in a higher level of shrink/cost from stales (candy vs gumballs). There is definitely an argument to be made that pressed candies can help combat these challenges but they rarely sell as good as gum products or name brand candy for me. Nevertheless I have expanded my pressed candy selections in the past two years. I like simplicity and profitability. Single head gumball machines are a big part of that game plan for me and has been for years. Going forward I believe that the cost of gumballs will remain manageable for the next 8-10 years and I can’t say that about candy so that is why i don't push hard for all locations to expand to candy. Just my take.

     The great thing about vending is that there are multiple paths to success. You can tailor it to fit into your life and choose how much money you want to make if you are willing to work at it so there is really no wrong approach if you are making a profit.

[jay22]

19 hours ago, Atlas99 said:

I've been doing this for 22 years. You can do as you wish. I'm telling you that you want to get as much money from each location. I've tried it both ways. You can feel as you wish. I don't have any locations doing less than $40 or $50 per cycle. Issue one you have poor locations, issue two you have one machine per location. So you need better locations and you need to put as many machines per location as you can within reason. Read this forum you'll find what people like for the best locations. No need for me to post it all here again. I'm not trying to be rude. I'm trying to help you out. So if I sound rude that is not my intent. Good luck and good day.

i don’t think you’re being rude at all, man. i like seeing everyone share their thoughts and experiences.

[jay22]

15 hours ago, gumball guy said:

    I understand your point and it sounds like you are getting good results which is great to hear. For me, running a good-sized operation, the single head gumball machine has always been a cornerstone in a successful business model. I have a process that I have followed for years and it all starts with single head gumball machines. I'll place 15 - 18 gumball machines in one day going door to door and have found that people tend to be more accepting of a small single head machine than a double or a triple (we literately carry the machine into every business). Basically, the single head gets me in the door and honestly, I am good if it stays that way as I will explain in a moment. Sometimes people will ask for candy or a bigger machine when I initially place the gumball machine and we go from there. I'll make a note if I feel the new location may need a bigger set up in the future especially to ward off other vendors and I will make it happen if space allows.

 

     I completely understand the concept that more selection is better especially from a similar footprint. The old Fordway route guys swore by the two-machine set up for a reason…it increased profits. Nowadays things have changed for me and running candy is getting tougher and tougher as margins shrink. M & M’s or Reese's Pieces for 25 cents will soon become untenable and I have no interest in converting loads of coin mechs to 50 cents at this point in my career. Do I gross more from my candy locations? Generally, yes, but I am also paying a lot more for the product so selling candy doesn’t improve my net overall especially when I factor in a higher level of shrink/cost from stales (candy vs gumballs). There is definitely an argument to be made that pressed candies can help combat these challenges but they rarely sell as good as gum products or name brand candy for me. Nevertheless I have expanded my pressed candy selections in the past two years. I like simplicity and profitability. Single head gumball machines are a big part of that game plan for me and has been for years. Going forward I believe that the cost of gumballs will remain manageable for the next 8-10 years and I can’t say that about candy so that is why i don't push hard for all locations to expand to candy. Just my take.

 

     The great thing about vending is that there are multiple paths to success. You can tailor it to fit into your life and choose how much money you want to make if you are willing to work at it so there is really no wrong approach if you are making a profit.

 

the part where you talk about walking in with a machine, this is what i wrestle back and forth with every time i go to a location to make my pitch. part of me feels like that is being too intrusive, so i often don’t do it, but another part feels(and knows) it’s likely will lead to more success getting locations. it has worked for me before, but it has also gotten owners annoyed. a picture is worth a thousand words but seeing the machine in person is worth far more pictures.

[jay22]

especially because many owners use “lack of space” as their out but if they saw the size of machine i use in person(vs the photo i show on phone) it could go a lot different.