Beverage Vending Machines Key Terms

Understand the meaning of important beverage vending machines key terms

The beverage vending machine business can be a lucrative and rewarding career. Vending machines are one option for people who want to run their own business. Before anyone can start the building up of a successful vending route, an understanding of terms specific to the vending industry is essential. There are turn-key vending businesses, vending service contracts and vending security systems to understand. With an overview of the basic terms, you can confidently venture into a new vending business.

 

Vending machine route or turn-key routes

A vending machine route is the route you determine will create the most profits. The route can be local, only covering a few miles from your business location, or you can have a larger route that covers an entire county or city. Turn-key routes are technically the same thing, except the route is already established. All you have to do is purchase the machines from the previous business owner and take over the route.
Try: VendingConnection.com has a huge list of vending routes for sale. The descriptions give an idea of how current route owners set up their routes, along with approximate earnings from vending machine routes.

Planogram

A planogram is the general blueprint of the machine. A vendor creates the planogram to hand out to drivers or post on the machines so customers see exactly what products the machine offers. These work out well should the labels on beverage vending machines fade or get removed from the machine.
Try: Elliot's Vending Company has an example of its snack planogram on its website.

Product markup

This term refers to calculations that help determine an appropriate markup on the original sale price. Although most vending beverages only need a markup of between 25 and 50 cents to see a profit, you can use a simple calculation to determine the markup cost. This calculation also gives you a tangible process to show a company utilizing your vending services.
Try: TheMainPage.com offers vending information, as well as a glossary of terms that relate to the vending industry, including a definition of product markup.

Vending security systems

Vending security systems are grates or cages that fit over the vending machine to prevent theft of the product, money or both. These systems are useful when vending machines are in high crime areas, middle or high schools or rest stops. Vending security systems can mount off the floor or the wall, and many companies will custom make a security grate for vendors.
Try: You can see examples of vending security systems at DC Weld.

Vending service contract

The vending service contract is the legal document that governs the business relationship between you and the business willing to host your vending services. It includes all agreements made between you and the vending host, such as location, duration of vending services and type of product.
Try: Vendline offers a sample vending service contract that you can actually print for your business use.

Route service cards or reports

Route service cards are an integral part of the vending business. These index-type cards are where you record all pertinent information about each vending machine. Sales, refunds, wasted product and the amount of each product sold is information included on route service cards.
Try: Vending Rules has an extensive glossary of vending related terminology.

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