While vending machines of the past used to dispense only water, soft drinks, or snacks, the modern day vending machines are more specialized and offer gourmet coffee, healthy snacks, candies, tickets, newspapers, etc. Read More!
6 Interesting Things about Vending Machine Service Companies
1. 6 Interesting Things about Vending Machine Service Companies
The demand for vending machines is rising rapidly. While vending machines of the past used to dispense
only water, soft drinks, or snacks, the modern day vending machines are more specialized and offer
gourmet coffee, healthy snacks, candies, tickets, newspapers, etc. These machines need to be placed at
proper locations where they are bound to attract customers to get the maximum profit.
Here are a few interesting things about vending machine service companies.
Range of Products: Many vending machine service companies offer a whole range of products from
snacks, beverages, and alchohol to cigarettes, candies, and lottery tickets. The first ever vending
machine was made in England and it dispensed postcards. Today, vending machines provide less
common products than traditional vending machines. Pepsi vending machines are still quite common
because of the huge demand for the beverage.
Scouting Locations: A lot reseach goes into selecting the right location for the vending machine. Subway
stations, airports, waiting rooms, etc. are considered favourable. After the location has been selected,
the owner is contacted to finalize and sign the deal. Most businesses start with a handful of locations
and gradually expand after strengthening their base. The same company can choose to offer different
products at different locations based on the customer demand.
Profitablility: The vending machine business is a profitable one provided the vending machine company
is willing to bear the initial costs related to setup, supply, installation of the machines, transporation
costs, etc. At first, returns may not be too high since the markup on various products may be low.
However, within a few months, the business will be able to retrieve the cost of initial installation with
their profits. The biggest demand in the market right now is for healthy snacks for vending machines.
Maintenance: The vending machine company can also train its employees to make basic repairs and
address immediate problems since these machines can malfunction periodically, especially when placed
in crowded areas where they are used round the clocl. The spare parts can also be ordered form
manufacturing company or from retailers that stock high-quality vending machine spare parts.
Specialised Vending Machines: Cigarette vending machines were a common sight in the US. But, with
growing concerns over underage smoking, the regulations regarding such machines have been
tightened. These days there are special cards that are used for buying cigarettes. These cards help in
verifying the age the consumer. There are also specialised ones such as coffee services for business,
ticket vending machines, newspaper vending machine, etc.
Sales Tax: The vending machine service companies have to notify the state authorities and apply for a
permit before they can install their vending machine. They need a license to sell a few types of products
through their vending machines. They also have to pay a sales tax on the items being sold. The sales
taxes vary from state to state as does the minimum price on which the sales tax is charged
ABOUT THE AUTHOR
Paul Jones is an expert in the vending service business who also likes to write many interesting articles
and blogs, outlining the comings and goings of this niche industry. When it comes to any assistance and
2. consultation with regards to vending machines, he recommends Sun Vending as a name that you can
trust.