Vending Prices

[Whale of a Wash]

I visited alot of washes recently while on the east coast. Noticed a few are now $1.25 or $1.5 for Armorall. Air freshener $1 or $1.25.
I am at $1 for armorall and their prices , along with shipping have gone up and in my states of MN and ND, I pay sales tax on all vending items, and even the ss wash in MN. Is $1 the price point , or will my sales go flat at $1.25. Not much profit any more at a $1. I'm selling many $2-4 items , but is that too much for a little sponge. What are you guys doing as far as prices?

 

[Bubbles Galore]

Contemplating the same thing here in MI.

 

[bighead]

I'm in Oregon, so no sales tax. But if shipping and all the rest cut into my margins I will go to $1.50. Shoot, candy bars are selling for $1.15 in the convenience stores these days, I don't think the consumer would mind spending $1.50 to help clean their car more effectively. Its cheaper than a hot dog at the ball park, or bottled water for that matter.

 

[Reds]

I'm at $1.50 for AA sponge, $1 for little trees. NAPA down the street has little trees for $1.99.

 

[MEP001]

We order one chemical product from Kleen-Rite and either take advantage of their free shipping specials or order a pallet at a time and "top it off" with vending supplies, so we don't pay freight, and we don't pay sales tax. I don't sell any vending item above a 50% mark-up. I found a long time ago that if it's priced right, what you lose in profit per item is more than made up for in sales volume.

 

[mjwalsh]

People are looking for value. The convenience of being able to buy an item at the time & place it is most likely & most practical to be used is part of that value.

Keeping no tax or lesser tax is also potentially a way to give more value.

This post reminded me of the logistics involved in parsing out the ordered parts expense which we have to pay quartrly use tax on here in North Dakota & the vending items which we have to pay on the gross vend amount (also quarterly). We rarely order just vend supplies ---- usually it is mixed with needed parts.

 

[Whale of a Wash]

I did save money on shipping this month by putting 10cases on pallet, all we could get on it with the other vending supplies. Plus k-r sent an armorall vacuum for free. The only lower cost shipping method is to always buy enough vending, so they send it UPS freight on a pallet. I have been $1 on armorall for 10yrs or more when it cost about $8 less. Breaking out of the $1 barrier can be difficult.

 

[Waxman]

I sell everything at $1.

That will change once I get a bigger,better vending machine.

Not sure how they will sell, but many are looking for a nice wheel cleaner, quality, solvent-based tire dressing, or even some specialty cleaners like tar remover or quick spray wax. Why not make more $ by offering what Wal-Mart drops the ball on?

I don't know about you, but the possibilities of vending 51 selections and choosing them wisely excites me! Surely many of the items you could possibly vend are above $1 retail. Perhaps think about vending glass cleaner mini-aerosol w/micro fiber towel. You'd have some serious D.I.Y detailing goin on!!!