Vending Machines at car wash sites

[Randy]

Ahhhh, the People's Republic of Washington.

Isn't that the truth!

 

[soapy]

My vending is probably slower than most because I provide free microfiber drying towels at a towel station so I vend very few of the number 1 selling vending item.

 

[Carwashmafia]

I spent about $9,000 on a stainless steel case and refrigerated vending machine. My sales are about $5,000 a month.

 

[Keno]

I spent about $9,000 on a stainless steel case and refrigerated vending machine. My sales are about $5,000 a month.

How much profit does that represent? Vending hasn't been worth our time at our sites, more of a customer convenience

 

[Carwashmafia]

How much profit does that represent? Vending hasn't been worth our time at our sites, more of a customer convenience

About $4500 per month profit

 

[Earl Weiss]

The margin in vending is pretty small. We pay 10.1% sales tax on everything at the car wash.

I think your margins may be standard but perhaps we are outdated or the wholesale costs for relatively small quantities we buy are too high. I was talking to a 7/1 operator about pricing and he indicated most 7/11 operators price a 2x cost plus 10-15 cents per item and of course tax is added at the register. Plus a "Loss Leader" is supposed to drive customers to the store where you can profit on other stuff. I never considered Vending to do this.

 

[Earl Weiss]

About $4500 per month profit

Post #423 says sales are $5000 / mo. Your reply to how much profit says $4500?????

 

[Keno]

Pot #423 says sales are $5000 / mo. Your reply to how much profit says $4500?????

Ya, something not adding up here. 10% COGS??

 

[AnalyticWash]

Ya, something not adding up here. 10% COGS??

Bubblegum?

 

[Keno]

Bubblegum?

$5k worth of bubblegum per month would be something to see!

 

[Carwashmafia]

Post #423 says sales are $5000 / mo. Your reply to how much profit says $4500?????

I make $1,000 per month from selling soda, Gatorade, chips, and detailing products in my vending machine. That means I'm keeping $500 as profit. I also sell custom washcards for $5, $10, and $20, totaling about $4,000 per month. It's higher in the summer, less in the winter, but a monthly average of 4,000. All my bays, dog wash, and vacuums only take cards - no cash. It's a unique system, which is why my vending machine is so important to me. It lets people use cash to buy services and has completely stopped vandalism.

Edit: I buy 25k Wash Cards at a time so I pay about 25 cents per card so take that off COGS too

 

[Dan kamsickas]

I make $1,000 per month from selling soda, Gatorade, chips, and detailing products in my vending machine. That means I'm keeping $500 as profit. I also sell custom washcards for $5, $10, and $20, totaling about $4,000 per month. It's higher in the summer, less in the winter, but a monthly average of 4,000. All my bays, dog wash, and vacuums only take cards - no cash. It's a unique system, which is why my vending machine is so important to me. It lets people use cash to buy services and has completely stopped vandalism.

Edit: I buy 25k Wash Cards at a time so I pay about 25 cents per card so take that off COGS too

Your math is off. The $4000 for the cards is not pure profit. It's just an different way of getting paid for the use of your wash so you have to figure out those expenses plus the expense of purchasing, loading, and stocking the vendor with those cards. It's just like when you see someone on Youtube take a stack of bills out of their changer claim it's money they made. Unless the change given for those bills were used at the wash in some capacity, you've actually lost money on the exchange.

 

[New Washdog]

I spent about $9,000 on a stainless steel case and refrigerated vending machine. My sales are about $5,000 a month.

What are you selling?? EDIT: Just read the subsequent posts.

 

[Carwashmafia]

Your math is off. The $4000 for the cards is not pure profit. It's just an different way of getting paid for the use of your wash so you have to figure out those expenses plus the expense of purchasing, loading, and stocking the vendor with those cards. It's just like when you see someone on Youtube take a stack of bills out of their changer claim it's money they made. Unless the change given for those bills were used at the wash in some capacity, you've actually lost money on the exchange.

The washcards can only be used at my wash so any sale of washcards is different than bills and a bill changer
Profit Gross vs Net I was strictly speaking revenue generated I know Carwashes that operate at a 70% gross margin and others that lose money each month I don't know what my exact profit is I would have to figure all expenses and add that in a percentage of how long each piece of equipment is used

Insurance
Electricity
Water
Rent or Mortgage
Labor Costs
Marketing and Advertising
Supplies and Equipment
Waste Disposal
Taxes Includes income tax, property tax, etc.
Maintenance and Repairs Costs
Debt Service
Professional Services
Technology Costs
internet
Transportation Costs

My vending machine generates $5,000 a month in Revenue

 

[Dan kamsickas]

My vending machine generates $5,000 a month in Revenue

But your profit is is not $4500. Not even close.

 

[Carwashmafia]

But your profit is is not $4500. Not even close.

That's what I just said I don't know

 

[Dan kamsickas]

That's what I just said I don't know

About $4500 per month profit

I'm not trying to be rude but I've seen far too many operators lose their rear because they don't have a firm grasp on the nuts and bolts financials of a site.