Full Line Locating compared to bulk

[Poplady1]

After reading some of the issues regarding another locator giving full line leads to the vendors and some vendors being upset that the location is not sold.  When you are installing a bulk machine the nature of the business is just dropping off this small charity machine.  Quick set up.  In and out. Normally the employees are not involved in the product selection, the placement of the machine, electric outlets, questions of placement, etc.

When you are locating soft drink, snack, coffee or food vendors it is a totally different world.  The locating company makes on average 3 to 4 hours of calls to find a small account willing to accept a machine or change vendors.  In either case the vendor must visit the site for several reasons.  Do you want to place the machine at the site, that's the number one question.  A locator is working at a distance taking the information from the company.  They don't know if the place is in a bad area or in many cases the business owner wants the machine up two flights of steps or down a couple flights.  They may not have electric where they want the machine placed.  If you don't go there and show them a photo of the equipment you are going to install it is likely they might not accept delivery. 

When you are working full line you are forming a partnership between you, your locator and the business.  When you are trying to set up a plant with hundreds of employees, a union steward, several lines of approval, multiple questions about product, equipment type, equipment placement, condiment stands, bulk changers, liability insurance, letters of reference and much much more and the endless follow up calls between management and the locating company concerning how to change over big banks of equipment.  How to do it without shutting down the employee lunchroom or how to provide food on the day the machines are changed out.  How to work with the other company trying to stay on professional terms with them while you are working along side them while they pull out.  If you are uncomfortable being a part of the process then you are going to be setting up awhole bunch of bread and butter accounts.  Those are accounts known in the business as limited value accounts. 

Just setting up a Jiffy Lube requires a visit by the vendor to speak with the owner to be sure they are both on the same page.  Do you really want to show up with a 79 inch drink machine and find out they don't want such a big machine in their location.  And many times with chains the chain management says yes they want a vending machine, they order it,  then they find out from upper management it has to be approved.  Sometimes chains do not want machines that advertise Coke or Pepsi on the front.  Even on a small account it is a 3 part process (if your lucky).  The locator sets up the visit.  The vendor makes the visit and comes back to the locator to say yes or no.  The locator works with both the vendor and the account to agree on a delivery date, confirm product selection and product pricing or commission amounts.

The 3 part process is a minimum amount of activity when working with large machines.

Blue Moose

[soco]

Blue Moose- so you are advising any full line operators who are looking to use professional locators that they should make sure the locator will commit to a 3 way relationship before the vending operator forks over payment? 

[Poplady1]

On full line, most payments are not required until a contract is signed but payment is always sent before machines are installed with an option of a refund.  The refund is offered if the machines are not installed through no reason on the vendors part.  If the company backed out of the deal for any reason then a full refund is sent.

Also a contract should not be signed by a locating company and the account receiving the equipment.  It will not be binding.  The vending operator must sign the contract and be a party to the development of the contract.  Most locators have an agreement with the account that machines cannot be installed until the locating fee is paid. Normally the contact person is informed when the payment is received.

Now I am talking about larger locations.  Not Lube companies, garages, small offices or quick set ups.  These can be handled with a handshake.  But the vendor still needs to meet with any party accepting their equipment before dropping it off.  Way to many times they are not accepted unless the owner knows what to expect, avoid the hassel and just stop by to check out the account.

Blue

[soco]

Yes, I can see there would be a real difference between large location locating and bread-n-butter locating.  Ideally a good locator would ask first if a vending operator had the capacity to finance a large location, or could only afford B-n-B accounts.