Dealing with cost such as product and comm.

[havending]

I have seen time and time again replies to post such as "i cant aford to sell that product" or "I cant pay that much"  The two bigest cost in our business is product cost and comm %.  This business is much like a retail store.  We but products and sell them at a mark up for profit.  This business is also about adv. cost.  Your right you Cant aford to to pay large % of comm to each and every location but as this is a business of a adv. so you may be paying 5 or 6 places more than you want just to get the location.  But if you are paying many locations a low % then yor Comm cost adv out to a good number.  Same with product if your selling the hell out of some of A&As lower cost products thn you can vend some higher cost items.  One again cost adv out.  this is a business that is not a perfect science so be flexable to change and open to new ideas and grow your business.

[sherlock]

Thanks.

As a newb, this is one way i need to broaden my thinking.

But, what is "adv"?

You use it several times in your post.

Do you mean that to represent "average"?

[mainor5251]

Havending, what's some of the higher commissions you pay and what do you sell there and at what price to try and off set that high commission.

[will.vend]

Havending is right I have a couple of locations as high as 50% but most are alot lower, last year when I did my year end  totals I paid an average of 28% The 50% locations were set up by my father who I bought out  a few years ago, I will only go as high as 40% now, but I would pay wal-mart 42% all day long. just sayin

[havending]

Havending, what's some of the higher commissions you pay and what do you sell there and at what price to try and off set that high commission.

The Highest one i have is 45% but that location sells about 300 a month in gumballs nd i have some two inch at .75.

[havending]

You are right about needing to be being open new and different ways to grow your business. I just have a problem with vending so many different products, I tip my hat to you guys that can do this and not lose your mind. I am slowly easing into capsule toys and bouncy balls to go along with my GB's. This business is not so easy if you really try to do it the right way and attempt stay on your toes.

You make a great point.  years ago whrn i selected my first toys i went crazy trying to figure out what to order and how much.  I also ordered and got stuck with some real junk so there is a learning curve.