How to Choose a Profitable Vending Machine Location
Before starting a vending machine business model, you need to be well prepared not only about the product category, the machine type but also the business location. A vending machine being placed in an area where no one can see will not be able to generate any revenue. If it is placed in a potential location, it will help you generate good income even while you sleep.
1. Factors for you to choose a vending machine business location
As can be seen, with the compact size of the vending machine, you will easily place it in any location. However, you cannot legally place the machine on someone else's property without permission. At the same time, you need to choose an ideal location, where there is a lot of traffic and your target customers. You can base on the following criteria to choose the appropriate position to place the machine.
High traffic areas
A potential business location is a place that has a lot of traffic and a large target customer file. At that time, the purchase rate will be higher and bring you more profit.
Vending machine shoppers typically belong to one of these two groups: Habitual buying or buying because they need it immediately. Therefore, it is essential for you to understand customer psychology in order to place the machine at a suitable location.
For example, if you trade in soft drinks, you can place the machine in the park, gym,....If you trade in food, you can put it in apartment buildings, schools, the workplace…
Competition
If you are the first business to place a vending machine in an ideal location, it is great for you to develop your business model. But if the location you choose already has a vending machine installed then you definitely need the right strategies to start an active competition. Make a difference by: providing customers with a new and practical utility, with eye-catching design, always updating new products early, allowing payment with diverse options.
Rights to place machine
You have chosen a suitable business location, but you need the permission of the owner and have a contract to place the machine. It is up to the negotiation between you and the owner to have reasonable policies.
Schools
Schools are a good place to install vending machines - it could be primary, secondary school, or university. Students - college students often enjoy snacking. Therefore, placing a vending machine in the schoolyard will help students regain energy after stressful study hours without having to go far.
Hospitals
Hospital is a crowded place with a lot of people passing by, not only patients, medical staff - doctors, but also people who visit, care for patients, and people who come for medical examinations. Vending machines will provide them food and drinks immediately, ensuring hygiene and avoiding price squeezing, counterfeit goods that are not healthy. This is a suitable location to place the machine and bring high efficiency to your business model.
Hotels - Restaurants
Placing vending machines in restaurants - hotels helps to serve customers quickly 24/24 and bring in revenue for you.
At the hotel, you can provide items such as foods, beverages, convenient personal care products for tourists, souvenirs,.... Customers can buy things quickly right in the hotel without having to search for convenience stores far away.
At the restaurant, diners can serve their own drinks quickly without waiting for orders. Moreover, you can sell some regional specialties to serve tourists to buy as gifts.
Apartments
Apartments are one of the ideal locations to place vending machines. In apartments with many floors and complexes, moving takes a long time, customers are often afraid to go far when they need to buy goods. Therefore, installing a vending machine in places like laundry rooms, communal areas, parks, gyms is essential. You can sell foods, beverages, personal items,...in here
Office
An office is an option that you should consider. In businesses with 50 or more employees, you can sell packaged foods, snacks, lunches, or stationery. Vending machines will help recharge employees after tiring working hours.
Factory - workshop
Factory - workshop is the next ideal location that you can choose. Usually, factories - workshops are located far from residential areas, so it is difficult to find a convenience store and meet the food needs of workers between working shifts. Therefore, placing vending machines here will help workers - employees more convenience in buying, they can recharge quickly to work more efficiently. For this reason, this is a suitable place that helps bring in revenue for you.
Clubs - Gym
You can place vending machines in clubs or fitness centers and gyms. After studying or training hours, a vending machine that provides snacks and soft drinks is extremely necessary for members.
Commercial Centers - Shopping mall
In shopping malls - commercial centers, you can also easily find vending machines. After walking and shopping, customers tend to recharge by buying at vending machines instead of going to the food court. Machines are usually placed at the entrances or central points where customers can easily buy.
Train, airport, bus station
Locations such as train stations, airports, and bus stations are extremely effective places to place vending machines. In these areas, there are often crowds of people passing by or waiting for the trip. Customers often do not like to buy goods at the canteen or on the sidewalk, because they often have to face price squeezing and poor quality products. Therefore, installing a vending machine in these locations will attract many customers.
Cinema
Most people who go to the cinema have a need to buy drinks and snacks to watch movies while enjoying it. Therefore, the installation of a vending machine at the cinema is also reasonable that helps bring in revenue for you.
2. Top 10 ideal vending machine locations
Above are a few tips to help you choose a vending machine business location. Hopefully, through this information, you will find the optimal solution for your business model.