Vending Faces Unique Challenges

The environment for raising prices may have improved, but vending operators still face some unique challenges in this area. Historically, operators have based the decision to change prices on their overall profitability. This includes other factors such a; taxes, commissions, cost of goods sold, equipment depreciation, shrinkage, spoilage, service costs and overhead. Vending operators use these to determine account profitability.

As an Antares vending operator, you should look at all the factors when raising your prices. This is because the decision to raise prices continues to be in relation to a number of factors. Several operators that were interviewed recently acknowledged that account decision makers are more agreeable to accepting to price increases than they have been in the past. When they are presented with the factors they are bound to be in agreement with you. You will not lack support when raising prices for your Antares vending business, due to the current climate.

Operators should monitor the profitability of all locations on a regular basis. While doing this they can also consider all profit saving options before deciding to raise prices. Customers might be resistant to accept the price changes in your Antares vending machine. It has been observed that customers in most situations have come to accept the new prices in the long run. What will always certainly happen is that customers will be in demand for a product in the vending machines and will have no option but to purchase from it. Other profit saving options include; reducing commission, removing a piece of equipment, reducing the level of service and lengthening service intervals.

To decide which option to pursue, it will be necessary for the vending operator to have accurate accounting information of the location’s sales and expenses. If removing the Antares vending machine will make the account more profitable, this might be an easier change then seeking a price or commission concession. You can then place the Antares machine in a different location which night just work better.

State of the art software packages make it easier then ever to keep track of account financials; however they require accurate accounting at the route and supervisory levels. These are just some of the challenges that operators are facing today.