8 replies to this topic

[ronnie]

Hi everyone,

I am new to vending machine bz(really enjoying it), and I got one machine. Its a 10 snack selection and 5 soda. It accepts coins and is operating pure mechanical except for the refrigerant. It is located on a pediatrician office, seeing patients of 50/day from 9am-6pm, Which Means, People visiting the office runs from 100-175 a day, because patients are accompanied by parents, family members, legal guardians, etc. The vending machine is running for a month.

I set my price for all 4 of my sodas for $1 having no idea at first. I have a 75cents drink, its a lipton brisk ice tea(thinking that they have an option if they want something for a less price). Gross sales per week on soda is $25-30. While on snacks is $25-35. Combined is 50-65 Gross per week.

Question: I am thinking about this lately, should I lower all my sodas to 75cents? I was trying to weigh if the sales will increase by lowering the price? Does any of you have an experience of more increase in sales by lowering the price? If I am getting 25 dollars a week on the soda machine, Lowering it on a 75 cents will just give me $18.75, a $6.25 difference.

About my snacks.

I tried lowering the price for my chocolates.
(note * means item is selling good.)

snacks
M&Ms peanuts * - from $1 to 75cents (bought at 43 cents)
Hersheys almonds* - From $1 to 75cents - after lowering the price for this product, it seems that I am still getting the same average for sold products.
Reese chocolate peanut butter *- 75cents
crunch - 75cents
snickers - 75cents
Goldfish crackers * -75cents
Planters peanuts * - 50 cents

soda
Coke/pepsi *- $1
Mountain Dew* - $1
Diet coke/pepsi - $1 not selling good.
A/W rootber - $1 selling on the average
Lipton ice tea - 75 cents selling on the average


Question
- Between coke and pepsi which do you think will/is selling the most?
- same with dr pepper / A&W rootber?
- sprite? any thoughts?
- Sierra mist? any thoughts?




Any suggestions guys on how you price yours? and what items sells good on you. Any tips on how can i increase my sales?

[Brassine Vending]

What size sodas are you selling? Also, if your machine doesn't have a bill acceptor, you must realize that anytime someone wants something to drink, they have to come up with $1 in change.

If you are vending 12oz cans, then you are making a killing off those. Although I don't have the type of machines you are talking about, I would be thrilled to avg, as much as you are per week.

Pretty much it all boils down to how much of a profit you are making. If you are not making at least or more than 50 cents profit per soda at $1 then it appears to me that you need to find a cheaper place to get your sodas.

[ronnie]

Hi brassine,

Thank you very much for your reply. Yes, its the regular 12oz can. The reason why I set those price at $1 is because I am new to this biz, and I believe it is easier to lower the price than raising it. The machine does not have a bill acceptor, I have a change for a $1 ready at the front desk given by the front desk person. When you say "I would be thrilled to avg, as much as you are per week. " What do you mean by this? Do you think that I am still getting a good sales of $25/week eventhough I have a price set high on $1?

I am getting the price of soda at a good price in my area, ranging from 0.19cents - 30 cents a piece.


With all the factors that was said above, getting 100-175 people a day of visit. Do you think I will be getting an increase in sales if I will be lowering my price to 75 cents? for 12oz soda? I do hope there will be an increase, if ever I will be lowering the price.

Thank you very much everyone. All inputs are greatly appreciated,


Godbless,
Ronnie.

[Agee Vending]

Hi everyone,

I am new to vending machine bz(really enjoying it), and I got one machine. Its a 10 snack selection and 5 soda. It accepts coins and is operating pure mechanical except for the refrigerant. It is located on a pediatrician office, seeing patients of 50/day from 9am-6pm, Which Means, People visiting the office runs from 100-175 a day, because patients are accompanied by parents, family members, legal guardians, etc. The vending machine is running for a month.

I set my price for all 4 of my sodas for $1 having no idea at first. I have a 75cents drink, its a lipton brisk ice tea(thinking that they have an option if they want something for a less price). Gross sales per week on soda is $25-30. While on snacks is $25-35. Combined is 50-65 Gross per week.

Question: I am thinking about this lately, should I lower all my sodas to 75cents? I was trying to weigh if the sales will increase by lowering the price? Does any of you have an experience of more increase in sales by lowering the price? If I am getting 25 dollars a week on the soda machine, Lowering it on a 75 cents will just give me $18.75, a $6.25 difference.

About my snacks.

I tried lowering the price for my chocolates.
(note * means item is selling good.)

snacks
M&Ms peanuts * - from $1 to 75cents (bought at 43 cents)
Hersheys almonds* - From $1 to 75cents - after lowering the price for this product, it seems that I am still getting the same average for sold products.
Reese chocolate peanut butter *- 75cents
crunch - 75cents
snickers - 75cents
Goldfish crackers * -75cents
Planters peanuts * - 50 cents

soda
Coke/pepsi *- $1
Mountain Dew* - $1
Diet coke/pepsi - $1 not selling good.
A/W rootber - $1 selling on the average
Lipton ice tea - 75 cents selling on the average


Question
- Between coke and pepsi which do you think will/is selling the most?
- same with dr pepper / A&W rootber?
- sprite? any thoughts?
- Sierra mist? any thoughts?




Any suggestions guys on how you price yours? and what items sells good on you. Any tips on how can i increase my sales?

Most of the us shoot for a 50% gross margin, which means if we are paying .30 for a can of soda (+RV and Tax) we would price that at .60 or more. My goal is 60% on can. so 65-75. I'm running a little less on snack since choco prices went up.

Can you put chips in your snack? Try doritos or cheetos.. kids love them and getting a 50% + margin is pretty easy.

I would also suggest getting a change machine on your machine. You'll see your sales shoot up. I actually have one of those change machines that attach to the side if you want it email me or post a note here.

sounds like your off to a good start..

[bcron]

I have seen the increase in the chocolates, although I have also noticed that they seem to fluctuate a little too. Is this a common thing that you guys that have been doing this a while have seen? I have avoided changing the prices yet because of the fluctuation.

[Agee Vending]

I have seen the increase in the chocolates, although I have also noticed that they seem to fluctuate a little too. Is this a common thing that you guys that have been doing this a while have seen? I have avoided changing the prices yet because of the fluctuation.

Changing prices is like working with people, you have to know how far you can push. You need to know your locations... If you raise prices and they revolt... you end up lowering them and having an upset client base. Know your clients, let them know in advance, make sure you tell your contact, and go slowly. I never increase more than .15 at a time.

Mike

[ronnie]

Hi everyone,

Thank you very much on your inputs, Greatly appreciate it. As far as people visiting the office, They usually come in the office 1-2 times or more a month. All in all patients is around 3,000 to 4,000. But they usually come by schedule. So, My customers usually just come and go by the office from 15minutes-1 hour waiting time.


Godbless,
Ronnie.

ps.
I was planning on putting up canned non carbonated like grape juice/ orange juice, so parents will have a healthy option for their kids. any comments? please do.

[danowolf]

I had my bill validator repaired for $40.00. Since then my soda sales are up about 25% even after I raised the price from .50 to .75 per 12oz can.
My explanation for price increase was I purchased this account with an old machine that is due for replacement next major failure and that I am willing to keep the machine running in top condition unlike the previous operator ie. bill validator now works.

[ronnie]

Thats great danowolf. May I ask, where/what is the location of your machine that you put a working bill changer? Do you get many change in $5?

Thanks,
ROnnie.