5 replies to this topic

[Steve Fischer]

I'm getting ready to deploy my first automatic coffee machine as a value-added service to an existing location. This is my first Coffee and I need to find out how this is generally priced. I already do well with the snack and drink there so I'm not looking to make a killing with the coffee; Just cover costs and make a little to support the effort/pay the machine. If it helps, the machine will be a Wittern/USI 3156 and I'm not planning on any special blends.

Thanks in advance for any suggestions.

s

[H4UV]

I'd mark everything up at least 50% higher than what you pay for it. I am not familiar with USI coffee machines, but I would almost recomend going with an AP or National coffee instead. I've had a lot of difficulty with USI machines in general, their parts are expensive, and their tech support is not very helpful beyond turning the machine on. At least that is the case with the 3014-3025 series.

Also, with a coffee machine, you will need to clean the pans, hosing, canisters, etc on a regular basis, (once every 2-3 months depending on how much use the machine gets.) If you don't keep it very clean, then hoses will begin clogging, components will malfunction, and worst, the coffee will taste bad!

[Dennis-23]

Hi Steve,

Coffee machines don't do the dollars a soda machine will do. They take more service time than most any other machine also. Having said that there is very little product expense. We have found that good money can be made by offering a premium blend selection and by going to a larger cup.

Her is my suggestion. Go to a 16oz cup for the large cup. Then use a 12oz cup for the small cup. Charge .85 cent for the 16oz and .50 cents for the 12oz. cup. If your going to go to the expence of placing a coffee machine do your best to make money on it. Service cost money and your customers will remember the service long after they have forgotten the price.

I can't tell you how to set the machine up to do different sizes of cups my maintenance man handles that for me. There are people here that can help with that or you may already know how.

Just my thoughts hope it helps

Dennis

[RJT]

Have you considered talking them into a single cup brewer like a Keuring or Tassimo? You can sell the pods out of the snack machine and supply them with cream and sugar. This cuts down on start up cost, high maintenance, etc.

Either way I have seen coffee priced as low as .25 per cup to over a dollar in vending machines. If the machine is dual cup then you can charge .50 to .75. It really depends on what type of account it is as to what you can charge. If it is at a hospital, college, etc then you can charge a premium if it is at a small manuf like a print shop, or something similar you will be hard pressed to get much past .75 for a cup of coffee.

The single cup brewer like the Keuring cost much more per serving but is much more cost effective on the equipment side of things. Cost is around .40 per pod and can be sold for .75 to .90. I do these and people like them because it makes a great cup of coffee and they can bring coffee pods from home to save money which is a great selling tool. I try to steer my clients this way because it is much more cost effective on my end and I hate dealing with coffee machines unless it is at a huge account like a college or hospital. Like you said if you are just trying to sastify them with offering coffee and not looking at it as a money maker then they will appreciate the fact they have the option of bringing from home and making their coffee for free through your machine.

Good luck and let us know how it goes.....

[Dennis-23]

That is some solid advice RJT.

Dennis

[cvending]

Steve, I visited the website for Wittern machines. The largest cup that machine will accommodate is a 12 oz cup. I would suggest at least .75/cup for coffee and a premium for the other selections of chocolate and cappucinno. I do not know what your local laws are, but you very well might need to apply for a health license. This can be as low as $35/yr. up into the $100/yr. range. Each health district sets their own rates(at least in Ohio). Also as some others have mentioned, you need to plan on a regular service plan of at least once a week to sanitize the machine, empty waste pail, get rid od grounds, etc. Much more service involved than snack/soda machines. If you believe that this account will only be marginal you may want to reconsider your machine choice and purchase a refurbed Freeze-dried machine from one of the bigger used equipment dealers. I would think thet would be less than 1/2 the cost of the Wittern model.

Good luck