The most crucial factor in determining whether or not your firm will be lucrative and sustainable is its location. Following crucial recommendations provided below, you may undoubtedly improve your chances. The following factors will play the largest roles in determining the profitability of a particular vending machine location:
Identifying Prime Locations
- Accurate Identification of High-Revenue Locations: The most important ingredient of success in the vending machine business revolves around the accurate identification of high-volume areas where people spend a significant amount of time. Without customers, no vending machine business can survive beyond the short run.
- Optimal Places: Vending machines dispense goods or services in a variety of settings, such as public transportation hubs, workplaces, and retail establishments, dispensing items like snacks, drinks, lottery tickets, and cigarettes.
Best Vending Machine Locations
- Retail and Offices: Retail stores make great locations for vending machines due to high foot traffic. Placing a machine near checkout lines can encourage impulse buys. Office buildings with employee break rooms are ideal locations for vending machines as they provide convenient access to snacks and drinks during breaks.
- Public Areas: Areas with a lot of foot traffic like malls, schools, and airports are great places for vending machines.
Legal and Practical Considerations
- Some locations have limitations on vending machine placement, such as schools, government buildings, and private properties. You cannot legally place a machine on someone else’s property without permission or a contract. Consider factors like foot traffic, crime rates, accessibility, security restrictions, and customer demographics when choosing locations.
Factors to Consider in Vending Machine Placement
- Profitable Locations: Placing a vending machine in strategic locations, such as near a nurses’ desk, warehouses, offices, shopping malls, hospitals, and airports can lead to increased profits and sustainable revenue.
- Market Trends: The global vending machine market stood at $21.3 billion in 2020, with expected growth through 2027.
- Individual Profits: Most vendors note big differences in revenue across their own machines.
Vending Machine Revenue
The typical vending machine generates over $75 of revenue each week and over $300 per month. The more well-placed, well-stocked machines an owner operates, the greater their profits and revenue. A well-placed machine may earn $75–250 weekly and $300–$1,000 monthly. Ways to maximize profits include strategic placement, high demand products, and technology additions.