Pop Vending Machines

[2Biz]

For those of you that have soda vending machines, do you own your own machine, or does your pop supplier own the machine?

In my case, Pepsi furnishes the machine (20 oz bottles) and we have to buy the 20 oz bottles from them because you can't purchase them at the store. The price from Pepsi is about a buck a bottle. This doesn't leave much room for profit, especially when you factor how much electric it takes to run the machine every month. The flip side to this, is they do all the maintenence on the machine, no matter what happens to it.

My thinking (to help boost the bottom line) is to buy my own machine and sell 16 or 24 oz bottles and cans which I can buy from just about anywhere at a much cheaper price than buying the 20 oz bottles. The profit margin more than doubles. But whats holding me back is what it could cost if the machine ever malfunctioned? Where to get support/parts, etc... How do I learn how to work on this thing?

For those of you who own your own machine, how's it working for you? What are the pro's and con's? Are they hard to trouble shoot and repair when something goes wrong? They are a bit more complicated than changing a rotary switch or solenoid!

 

[MudMoney]

I 've done it both ways, had no maintence issues when I had them,pulled them due to the low return and having Mcdonalds next to me .Let them sell food ,I will sell carwashes.jmo

 

[2Biz]

Our wash is right in the middle of a busy neighborhood (lots of kids) and 3 blocks from the High School which has gone to all Coke Machines this year. Our 20 oz Pepsi machine is the only one within a mile from the school. Sometimes the wash looks more like a drive thru than a CW! Kids still need their Mountain Dew fix before going to school! We sell lots of pop, so it’s a no brainer as far as wanting to make as much as we can from selling it. We sell a minimum of 5 cases a week of 20 oz bottles and we only make .25 a bottle. That’s the going price in our area. With owning our own machine, we can make three times that. My only hangup is how to get a machine fixed if it breaks down?

For the first 6 months of owning this wash, the pop machine we had was broke down more than it was running. It was an older machine. Pepsi came out promptly every time to fix it. But after about a dozen or more calls in for service, they brought us a newer used one. It has worked fine since we got it. Maybe I’m worrying over something that is minor. Just curious how you get one fixed if you own it and costs associated with repairs? I have checked into the “Refurbished” ones online and some offer life time support. Maybe that would be the way to go other than buying from Craigs List/Ebay? Although I have seen some nice ones on Craigs List for $600 or less that is within driving distance.

 

[washme1]

I was in the vending business for 17 years. Talk to vending operators in the area. They probably have an older can vendor they would sell you for a reasonable price. I assume the vending companies are all migrating to bottles. If the machine cools properly and all of the flavor selections, coin mech and bill validator work properly, it should run for a long time. I would think you could get a good machine for around $700.

 

[bigleo48]

I did the pepsi thing too and made no money from it.

I got a used machine for $600 online. Had it now for 3 years and no issues. Set it up to sell pop cans for $1. Sell 10 different kinds we get at wal-mart next door. Got labels from ebay for a few bucks.

Now my 14 year old son has it, he buys the pop, fills it and makes the $. In the summer he makes about $100/wk (about 75 cents a pop profit)...or about $3k/yr. It's a good intro to business for him.

 

[Bubbles Galore]

What is the electrical cost of running a machine per day?

 

[2Biz]

The Royal Vendor I have says its rated at 12 amps. I'm sure thats with the compressor running, which is not all the time. At 50% load your looking at about a buck a day. My son works for Coke and he says they use about $30 a month average.

I've tried to get him to set me up with a machine, but Coke isn't in the business to sell them. The money is in the 20 oz bottles which they have sewed up and they want to keep it that way....

Bigleo....Good going on teaching your Son the art of making money. Most kids are never taught the concept and are way behind when they enter the workforce (if they even do). My hats off to you!

 

[Ghetto Wash]

What is the electrical cost of running a machine per day?

http://forum.autocareforum.com/showthread.php?t=2428

 

[bigleo48]

Vendo 511 machine I have is rated at 4.5 kWh per day when outdoor.

 

[Whale of a Wash]

I have 5 shurvends, and they are refrigerated, and can sell about 14 selections, and have been selling cans for $1 for two years now. Always seem to be buying sodas for the machine.the plus is that your carwash should be able to sell $6-9 hundred a month on vending. The cans are easier to stack at the wash also.
I have only had maintenance on one machine, and found a local refrigeration place that works on commercial refrigeration like at supermarkets. They came out and spent some time getting at the refrigeration unit-- But replaced a relay, and motor starting capacitor, and for $300 only lost a mornings sales of sodas. The shurvend has an inactivity timer, so can be put to sleep for the night to save electricity, but the money it makes easily pays for electricity. Also the security must be more than the coke machines, as no one has even tried to break it open. The guaranteed delivery is a nice feature, as it never rips anyone off.