Vending is a billion-dollar industry overall. On average a vending machine earns $35 a week and over $400 a month. How much a vending machine makes depends on its type and the location it is set up in. If placed in a busy street, gym, or hotel, it can bring in hundreds of dollars each day, but if placed in a dusty, empty Laundromat or an old apartment building it can only make up to a dollar each day. A vending machine is a very profitable business option giving a profit of $200 monthly to the owner
Types of Vending Machines Business
There are various types of vending machines based on the products they offer. Different machines generate different revenues for the owner as one product is more commonly used than the other one, giving a higher profit.
Beverages and food Vending
The potential growth for the vending machine food and beverages market is USD 1.84 bn. The increasing popularity of these vending machines is related to the increased demand for junk food by consumers. The rapid change in lifestyle and expanding population have caused a flourishing market growth for this business.
Specialty Vending
These vending machines are limited to special kinds of products such as beverages, retail, laundry products, cigarettes, etc. These are often placed in areas that may not have one of these products accessible nearby, hence, putting the spotlight on the vending machine. These machines may not generate the same revenue as food and beverages vending because they have limited and specific products to offer that may only be used in certain situations by a specific age group, restricting the number of customers.
Bulk vending
They are machines that stock gumballs, stickers, toys, etc. These machines are typically low maintenance as most of them do not require electricity or batteries to run. They are often used by shopkeepers as an attraction to their customers in the form of entertainment, for them and their children while simultaneously producing a profit of $30 a month for them.
Are Vending Machines a Viable Side Hustle?
Vending machines can be owned by anyone of any age and qualification. Vending machine industry is one of the best ways to start your journey as an entrepreneur. You can start with an investment of as little as $2000 and by selecting a perfect location for your machines, you can earn up to $ 400 a month. It can be a great weekend side hustle or an interesting new way to expand your portfolio, especially if you are a student and don’t have much time to give. Vending machines only require a visit once a week or two to stock products and get your money. Vending machines are an appreciable investment because they offer cash flow by which you get an immediate profit as the consumer uses the machines. It offers flexible working hours, so you can start it in your spare time and not worry about time management or fear of retirement.
Is the amount of profit related to the location of the vending machine?
The area in which a vending machine is kept is very significant to get maximum revenue. Location is one of the major factors that owners or shopkeepers pay attention to when starting a vending machine. Some owners have to make hundreds of calls to get the ideal place for their machine and still sometimes end up giving a commission of $10-$20 to the land owner to seal the deal. To make the maximum profit you may want to keep your machine in places with heavy foot traffic or a large work population, this will increase the probability of purchase.
For example, a food and beverages vending machine may fail in a mall full of high-end restaurants but if the same machine is placed in an office or park, it will most likely succeed. The following is a list of locations for vending machines that have shown great success:
SchoolsOfficesParksAirportsIndustrial areas
If you are still confused about where to place your machine you can always change its location if you don’t see a profit coming your way but you should keep the cost of transportation in mind as vending machines can be heavy. An average vending machine weighs 400-900lbs when it’s empty.
Conclusion
Conclusively, vending machines make an acceptable amount for their owners depending on how strategically the owner worked on them. Some are a bit more than the others. Vending machine business can be very successful, but just like any other business, you have to input work after the investment and be patient to see it flourish.