5 replies to this topic

[bobj]

I am new at this and would like to know how much should I pay location for gumball/candy machine sales?

[CoolHand]

Zero, nada, zilch, zip or nothing! Personally I go the charity route and get the locations for free. Of course YMMV (Your Mileage May Vary)

Regards

[horgonzo]

Commission is a funny issue I agree w/ coolhand if you can avoid it it is the best way to survive in this business although lately when I loose a location you know you go in for a service and they manager suddenly says "you can take that machine out of here, thanks" I can't help wondering if they were getting a commission all along if that would not have happened because it never happens ever in my commission locations I se the excitement in the eyes of the shop keeper as silly as it seems over their four or five bucks. To answer your qustion I think the common place is between 10% -25% unless it is a hundred dollar a month location.

[antonio]

my commisions vary from 15% to 40% on one good location.20% on average

[Eggman]

Howdy,

Here in NW Lousiana, restaraunt and business owners are less interested in charity and more interested in converting unused floor space into extra pocket change. Therefore I go the Commission route. I give away a scoop of gum to the pretty waitresses (Sure is nice being popular with 18-25 yr old women!), pay a 25% commish to the owner mgr and everybody is happy.

Eggman

PS: Many of my Hotel locations are commission-free, btw.

[Westcoast-vend.com]

On average you should go the charity route. Find a charity that you think will be the most excepted by the type accounts you are looking to get in. I have gone with Local Hunger, Ltd. With all the homeless, hungry people on the streets it just seems that everyone can relate to this charity in my area. It may be different in your area but I think you get the point.

I pay-out 10% - 20% for accounts that I feel will do the volume. If it's a low volume account, you will be sorry every time you have to hand them a couple of dollars. I have a chain of accounts that I was able to get in to so it was worth giving them a cut. I also have many accounts that do not get anything. They are just happy because the vending machine is a benefit to their customers and they are happy to help a local charity.

You have to figure out what you want to walk away with at the end of the day and that will help you decide how much commission you want to give them. It's better to walk away because there is always that next account, around the corner, that will be a better account and will not ask for anything in return.

Good Luck


Gary
Westcoast-vend.com