Here at Royal Vending we aim to arm you with all the information you can have before entering the vending industry as a business owner. Many potential business owners are curious to know how much a potential vending machine can make. The gross earnings of an average vending machine is around $715 AUD per month. You can make around $170+ per week in gross sales, which equates to approximately $8600 a year per sited vending machine.
Luckily, vending machine earnings are quite consistent which makes a vending business a very viable option accompanied with the low start-up costs.
What you can potentially earn from a vending business is based on a few different things. This makes it near impossible to predict exactly how much your machines will make during the early stages. It is important to know how to choose a profitable location for your vending machine.
Just like location matters when purchasing real estate, the same applies to when siting your vending machine. Demographics, customer accessibility, traffic flow, and how nearby other food/drink is, can all dramatically affect your sales and therefore profits. Things we recommend when choosing a location for your vending machine include but aren’t limited too:
- The total of people onsite daily. Minimum 30 people is recommended that can be a mix of staff, contractors or customers who are on premises daily. Sites that are popular for siting vending machines include factories, and warehouses. Where people are restricted by short breaks and normally after a quick “pick me up” snack or drink during there shifts.
- Another popular choice for the placement of a vending machine is office buildings, airports and City and high flow traffic areas.
- If the machine is placed in a building that has multiple main areaswhere most people are located, it is important to always consider placement carefully. Areas like lunchrooms tend to have the larger number of people congregating and are normally a safe bet when choosing placement.
Vending machines can be a great investment if sited correctly. It is fair to say many people make back their initial investment after 12-18 months.
There are many advantages to a vending machine business here at Royal Vending we believe there are many perks and to having a operating this as a business, As a vending machine business owner, you’ll enjoy many advantages such as: .
- Making extra income– Whether it be as a side hustle or a full time business. Vending machines offer the flexibility to cater to those looking for both fulltime and part time income. We have created a clearcut system for optimal success here at Royal Vending.
- Reach Profitability Fast– Compared to many other businesses out there, a vending machine business has a very high return of investment. There are not too many other businesses out there that offer the same perks of a vending business. Once your machine is paid off it’s all profit from then on.
- Time Flexibility–Having a Vending machine business means flexible hours and working your own time schedule. It can be as little as 1–2 days work a week which means more time to do the things you enjoy and have the work life balance that so many others desire.
What Payment methods can be used on a Vending machine?
Recent high quality Vending machines make money in 5 different payment methods. This includes, Credit Card, Tap and Go or also known as Pay Wave, Android Phone App, Notes and Coins. The more payment options you offer your clientele the more convenient for them it becomes and the higher the likelihood of them making purchases.
If you’re wondering if Vending machines can be highly profitable. The short answer is yes, they can. With an average annual earnings of $8000 per year for one machine.
Its Estimated after 12-18months with an estimated average annual turnover of $8000 your machine will be paid off and you will be receiving 100% return on investment.
With years of experience and expertise and not to mention one of the top Vending Companies Australia wide, Royal Vending offers support, training, and guidance to ensure you hit the ground running with your new Vending machine business.
Once you’ve considered the gross turnover per month for a vending machine is about $650 and $750 (AUD) . We would deduct the cost of your wholesale stock which would be all the products stocked in the vending machine. Once you deduct the wholesale costs, Net profit would essentially look something like $400-500 (AUD) per machine on average.
How to find the right placement for your vending machine/s? Choosing the best location for your machine is the most important thing that will determine your success or failure of your business.
Here at Royal Vending we take the stress out of siting your Vending machine. We work to find long term secure sites that have high traffic flow to place your Vending machines. We don’t just give you solid advice, we really go the extra mile to ensure your vending machines are sited in places which have the ability to be highly profitable and successful.
It is important to understand what products sell in a vending machine. Understanding this is key, to ensure when stocking your vending machines you make choices that best suit your clientele. At Royal Vending we assist you in understanding you’re customer base and assisting in asking the right questions to ensure you select the right product choices in your vending machines. Also keep in mind it is important to keep your vending machines fresh and exciting by adding new products regularly and switching up placement of products to keep the vending machine appealing to the eye of your customer.
What’s interesting to note is that during the customer acquisition stage, it’s fairly common to see the clientele or staff using the vending machines making requests for healthy snacks and drinks. We always aim to give the customers what they are requesting, so we have no issues with stocking healthy items. Here at Royal Vending we see it as important to track current trends. It has definitely been noted that health is a current trend with many clientele either having weight loss or health goals leading them to opt for healthy options. Items such as Sugar free drinks, fruit juices, coconut water, popcorn, tuna, chicken meals, and protein products continue offer consumers an extensive selection.
However, a quick look at current stats show that unhealthy items are vended out 90% more often than healthier choices.
- Soft Drinks
- Chocolates & Lollies
- Energy Drinks (Red Bull, V, Mother)
- Healthy Items
- Juices & Water
The most important things to remember to run a profitable and successful vending machine business is:
- Fill your vending machines regularly to ensure popular products and customer favourites are always on hand for purchase.
- Have cashless payment options available, this gives customers the options to purchase even when they don’t have cash on hand. It also means that you have back to base monitoring to have 24 reporting on what’s being sold and specific product movement. Meaning your customers will never run out of there favourite snacks.
- Respond to enquiries and leads promptly within 24 hours. Strike while the iron is hot and respond punctually to your clients needs which can lead to expanding your business with new and prosperous vending sites and clients or simply keeping your current customers content.
If you interested in finding out more about vending machine profits contact one of our friendly team today!