Discover why Vending Machines are becoming so popular and how you can get your share of the $50 Billion industry
Vending machines are all over your city, but who cares about them? It seems that people don’t think about or notice them, but vending machines are insanely profitable.
A vending machine may not be a very good business choice for you.
Vending machines can be a good source of profits, but like any other business, there are risks and considerations you need to take into account. A vending machine may not be a very good business choice for you — or it may be an excellent one. Before you get too far into the planning stages, you need to do your homework. You don’t want to become another statistic. Only 50 percent of new businesses remain open after five years, and only a third survive past 10 years. The vending machine industry is no exception; even if your plan is solid and you are committed, you still have less than a 50 percent chance of succeeding in the long run.
What You Need to Start a Vending Machine Business
Vending machines can be a lucrative business opportunity, especially if you put them in places where people need food or beverages the most. However, they aren’t a passive business. You’re going to have to perform maintenance and restocking on a regular basis. You’ll also need to consider who will service your machines and collect the money.
If you’re thinking about starting a vending machine business, here are some considerations:
Types of vending machines. The type of vending machine you choose will depend on what you want to sell. There are candy and gumball machines, beverage machines, snack vending machines, frozen food vending machines and more. If you want to sell hot foods such as sandwiches or pizza, you’ll need to invest in a vending machine that has heating capabilities. You can even get combination vending machines that offer both cold and hot food options.
Location for your vending machine. Whether or not your vending machine is profitable will depend on where you place it. A good location is high traffic and easy access for restocking and maintenance. Some of the best locations include:
- Shopping malls
- Grocery stores
- Fitness centers
- Apartment complexes
A Successful Vending Machine Business is More Than Just the Machines
For most people, the vending machine business is a side venture to their primary occupation. These new owners are typically entrepreneurs who want to invest their money in a business that promises good returns without taking up too much of their time.
The vending machine business can be just such an opportunity, but only if you choose your machines wisely and cultivate a healthy relationship with your vendors (both property owners and product distributors).
It is important to remember that a successful vending machine business is more than just the machines. Even if you have high-quality machines, if you put them in the wrong places or don’t properly maintain them, you might as well toss your money and time into a hole in the ground.
What’s Your Vending Goal
One of the first decisions a vending machine business owner must make is the size of their business. If you have a single machine, you won’t have to worry about much beyond stocking and collecting money. But as your business grows, so will the amount of work involved.
Some vending machine owners are content with running a small-scale operation. Others want to build a full-time career out of their business. Here’s what you need to know about deciding how big you want your vending machine business to be:
What’s Your Goal?
Before you get too far into planning your vending machine business, think about what you want it to be when it grows up. Are you looking for supplemental income or something more significant? That will determine how much time, effort and investment you’re willing to put into your operation.
For example, if you’d like your vending machines to be a meaningful source of income for your family, you’ll probably need at least 10 machines — and likely more — to generate that kind of money. On the other hand, if you’re just looking for pocket change from your vending machines, one or two machines might be enough.
Vending machines have been around in the market for many years. With their popularity, there should be no question that they are here to stay. It is best to consider how the vending machine business works, so as to understand where the money comes from. There is no better way for you to be successful in your business than to understand it well first.
If you are interested in starting your own vending machine business, call 416-819-2163 for more info