Many business owners are intrigued by a vending machine business strategy because of its cost-effective nature. A vending machine business does not require sales people, the maintenance of stores and all the costs associated with employees and property management. However, it is important to consider the different costs that a vending machine business strategy must cover that are unique to this type of business.
Vending Machine Maintenance
Like all machines, vending machines require ongoing maintenance to ensure they are running well for customers at any time. Many vending machine business owners wait for a machine to break down, which can happen for a variety of reasons, before they consider the maintenance of their machine. Machine problems can come from power surges our outages, improper use of the machine by customers, ware and tare over time or technological glitches. The maintenance of the machines is imperative for a vending machine business to be successful, because a machine that is out of order is not bringing in any income. The business owner is responsible for these costs unless their machines are under warranty which is usually offered when a business owner purchases their machines.
Expenses to Consider
Aside from the cost of the vending machines up front and ongoing maintenance, monthly rental or commission is paid out to businesses who own the property where the vending machine is placed. This usually costs a business owner approximately 15 -20 percent of their vending machine sales. Another expense to consider is the cost of restocking and checking on machines, especially if there are multiple locations far away from each other. The cost of time and travel to ensure a machine is ready to be used is a cost that a vending machine business owner cannot avoid and varies depending on how often a machine needs to be restocked and how much travel time this job entails.
Although there are many costs associated with a vending machine business, it is still a very efficient and effective business solution that thrives in a society that is always on the go. Despite the costs of a vending machine business that often go over looked; with a great product in the right location, vending machine businesses can be very successful.
If you’re interested in becoming a part of the vending machine industry, don’t hesitate to contact Regional Vending.