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NinnJinn's Vending Adventure


NinnJinn

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Hi gang!  While following the forums closely, I have noticed new members asking about getting started in the Full line vending world.

While I have my section in the Revenue section, it can only be viewed by plus members, and some folks may never make it to plus status due to giving up or whatever the circumstances may be.  So I have decided to start a blog/journal for all to read. Plus I also like going through old posts reading about folks from the first day here to current date.

Since I have almost 3 months worth of experiences to catch up on,   I will divide them up into a couple of posts so it isn't really a long read at once. And folks that have read my posts will find some of it as a repeat. Since I am dating the journal based on my posting search.  I promise that once I get it current, that it will be more enjoyable. And not as boring.

Now I understand that some of you might be bored with this, or think it is stupid but remember, there is a “mark read” button that you can hit.

Whether you are new to vending or you are like me and this is more less your home away from your job, I hope you enjoy it and feel free to ask questions or to leave comments.

Thanks,

Mike

NinnJinn Vending

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June 22, 2010

I purchased a Dixie Narco 368 7 select for $150 from a local flea market and was able to leave it on site for free.

Everything works perfectly So I hope to have it setup soon!

June 24, 2010 

I was able to get some family members to help me move/scoot the machine from inside the flea market to outside next to the entrance of the flea market.

I stocked it with Coke, Diet Coke, Cherry Coke, Pepsi, Mt. Dew, Sierra Mist.  And after about 30mins of tinkering I was able to get the machine to vend 16.9oz Bottles of Dasani bottled water!

As of Thursday June 24th at 6pm est.  I was officially into Full line!

It doesn't have a Bill acceptor so I am on the search for one.  Thanks to Technivend for helping me out on what kind of bill acceptor I need to get.

June 28th  2010

As the days go by, the more I got more and more concerned about theft.  I had learned that locks usually come with two keys, and I was only given one key to the machine.  So I purchased a 10 lock set all keyed a like and installed a new lock.

June 30th 2010

I have been checking on the machine every single day like a little kid in a candy store.  After 6 days, I am averaging 11 vends per day.

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July 13th 2010

After waiting 17 days I finally get my bill acceptor only to find that I got stuck with a non working piece of junk!  Lesson learned, don't buy any expensive items unless they have a return policy!

July 15th 2010

I noticed that my condenser was icing up today.  Although I was spazzed out, Technivend came to the rescue.  Coming to find out, I wasn't tightening the T-handle enough.  Cooling deck is still in full operating order.

July 18th 2010

My first break down. My water column motor will turn but will not vend the column.  Coming to find out, the column was off track and sheared a pin...

July 20th 2010

After 4 weeks, I pull my diet coke.  I only sold 1 can in 4 weeks.  And I replaced it with Big Red.

My water column sheared another pin.  After much investigating, I still haven't figured out how to get the column out to inspect it, so I just left it empty.  I am now down to 6 selections instead of 7.

July 25th 2010

After a full 31 days and only 6 sales. (4 of them from my wife) I pulled the Sierra Mist and replaced it with Dr. Pepper.

So now I have Pepsi, Mt. Dew, Dr. Pepper, Coke, and Cherry coke and big red.

August 16th 2010

I get a call stating that as soon as you put your money in, Big Red automatically vends.  I check the machine and sure enough it does.  I disconnect the wires and reconnect them.  When I reconnect the last wire (power wire) to the motor, it just starts vending non stop.  So I unplugged the motor am currently waiting for a new one to come in.

I am now down to 5 selections.  Pepsi, Mt. Dew, Dr. Pepper, Coke, and Cherry coke.

Pepsi and Mt. Dew are running neck and neck to be my best seller.

August 29th 2010

Now that I have the hang of things, I am wanting to expand.  I still don't have a working bill acceptor in my one and only machine, So all I deal with is change.  I sell my quarters to the old man that runs the flea market.  And what quarters are left along with the nickles and dimes, I sell to my day job.

When the time comes to expand I will have bills along with more change so I need to find a bank that will suit my needs and expectations.

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September 1st 2010

NinnJinn Vending is now official!  I applied for my Federal EIN.  And got “NinnJinn Vending” name registered.

I have contacted Coca-Cola for 3rd party vending and my sales rep is more than happy to give me machines as long as I can commit to purchasing 100 cases a year of Coke products for each machine he gives me.

Now to get my Retail Merchant Certificate.

September 9th 2010

Finally got my Retail Merchant Certificate!  Forwarded all the info to my Coke sales rep.

Now if I can just get Pepsi to give me a call.

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After 8 calls, 5 different voice mails left to a pepsi rep,  I finally got a call this afternoon from a different rep and gave her my basic information, why I wanted pepsi, why I wanted their machines etc.

Pepsi kinda concerns me,  Since I am new and I have never had an account with them before, They generally want 25 case/month minimum, EACH and EVERY MONTH for each machine I have.  Until I develop trust with them I am limited to 2 machines.  She said that she would send my information to a local sales rep and they would be able to answer my questions and go into greater detail on what the requirements are.

If their pricing is anything similar to Coke's,  It is going to be a while before I can get a machine from them.  Plus, what has me worried is, It isn't 300 cases per year minimum,  its actually 25 per month.  According to the lady that I spoke to, if I go one month without ordering a min. of 25 cases for that month, I could very possibly lose my machine/machines. Since I am doing outdoor vending for now, I realize that my sales are going to drop significantly during the colder months, but yet I still have to purchase the minimum.

Onto better news! I am meeting with my Coke rep tomorrow to get papers signed and to get my first machine placed!  Since I don't have $600 to put on the table up front, I will be ordering the minimum case order which is 10 cases which puts my cost at the highest tier therefore dropping my profit by almost 12cents a bottle.  And since I am new, they want Cash on delivery. 

I guess I could get a credit card, but it wouldn't get here in time to make my purchase, plus  I don't want to get into the habit of using a credit card.  Less bills I have to worry about, the better.

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Just a couple of tricks for getting started with the bottlers.  Coke and Pepsi can be alittle demanding when you are starting because of those min. orders.  Try contacting 7-Up.  I know 7-Up is the 3rd tier level of products but their products for the past 3 years have been the only beverages growing in market share. The 7-Up line leans towards the healthier tastes. At least the public perceives it as healthy. Country Time Lemonade is packed with sugar but people think that teaspoon of lemon is better for them.

Their product cost is lower and you can fill a lot of their min orders by purchasing water.  Then you can use it in all of you other machines (which for you right now is just 1 but you will grow).  The 7-Up rep will ask that every button on the machine should be 7-Up they won't give you a problem if the bottom two buttons is Pepsi or Coke selections. 

And remember the bottlers are very bad at keeping their machines full and working.  So if a Coke/Pepsi/7Up  account is unhappy with the service they are getting and they want you to replace the machine.  Call the rep and tell them the account wants the machine replaced and ask them to let you take it over...and they will give you the keys. Believe me they do not want to pick up that equipment.  And there will be no hard feelings because they always say they are not vendors they are bottlers.

I have a couple of vendors in California that love it when I have an account that wants the bottlers machine removed because of service.  Unless it is an old piece of junk which really needs to be replaced they will just call the rep and get the keys. 

Poplady

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And remember the bottlers are very bad at keeping their machines full and working.  So if a Coke/Pepsi/7Up  account is unhappy with the service they are getting and they want you to replace the machine.  Call the rep and tell them the account wants the machine replaced and ask them to let you take it over...and they will give you the keys. Believe me they do not want to pick up that equipment.  And there will be no hard feelings because they always say they are not vendors they are bottlers.. 

can you elaborate this further? when you are saying "take over the account" i assume you mean the bottler retains ownership of the equipment you arre just servicing it yourself?

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can you elaborate this further? when you are saying "take over the account" i assume you mean the bottler retains ownership of the equipment you arre just servicing it yourself?

Yes,  it would be as if you ordered a 3rd party machine for your own location.

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September 15th  2010

I drove 76miles one way to meet with my Coke rep only to find that he was out and about and wouldn't be in the office today.   LOVELY!!!  I had the Mrs. with me so we hit the mall.  Mrs. went shopping (of course)  and I went on the hunt for vending machines.  

I am not sure how many square feet this place is but it has 130 specialty stores, 3 popular department stores, and a Food Court with 10 eateries and a T.G.I. Friday's restaurant. That doesn't  include the 25 or so little cart type places that are in the open areas of the mall.

While walking and looking around,  I did find these Hospital sponsored flags...  Start, 1/4mile, 1/2mile, 1mile, 1 1/4 mile etc.  at the entrance where I saw the "start" flag, on the other side of it.  It had "finish 2miles"  So I guess if you walk along the walls where the entrances to the stores are you end up completing 2 miles worth of walking.

I found a grand total of 3 coke machines.  they were situated between the double doors you have to go through to get into the place.  And I found 7 different entrances to the place.

For you Bulk vendors, there were 4 different Bulk vending islands placed through out the mall.  They were owned by the same person/ company because they all had beaver machines, and the islands were all built the same and had the same signage.  Sorry I didn't get pics.  never crossed my mind until we were on our way home.

There were 36 machines total per island and they were all 25cent mechs with candy and different flavored gumballs.  there were 2 change machines on each island.  There were a few machines that were pretty much completely full, On each island the full ones were all the same color gumballs.  Some were about half, and there were at least 10 machines on each island that were dang near empty. It seemed like each island had the same amount of stock.  ex. all islands had full white gumballs,  all islands were almost out of tutti fruity gumballs.  The way these were set up, I would love to be there when they are stocked to see how they stock them.  each island was set up similar to a pyramid.

Mrs. talked me into going to Baskin Robins for the first time in my entire life. (35yrs if you must know lol)  They have some pretty good stuff!  Anyways there was a bulk vendor there trying to make a sale, but the owner/mgr said its against corporate rules to have anything inside the store except Baskin Robins items.  The guy wouldn't give up.  he offered a placement reward, etc.  after about 10mins. the owner/mgr started getting upset and asked the guy to leave otherwise he would call the police.

On our way home, each little small community we drove through on the main road I was on the look out for machines.

Came through a small town that had one gas station, (had to fill up)  their inside coolers had 20oz drinks for $1.79!  I paid for my gas and left telling the Mrs. about it she encouraged me to drive around the area. We found a busy flea market that she wanted to check out that was within eyesight of the gas station.  She goes in, I look around outside.  hmmm.  there is a park next to it,  with several parents and kids running around, a church across the street and houses all around!  OH!!! and there are electrical outlets on the side of the flea market building!  So I go inside on a mission!  I was going to get me a location!

I go in track down the owner.  

"Hi my name is Mike, I am the owner of NinnJinn Vending and I was wondering if you have any locations for rent outside that I could put vending machines at?"

She said yes I do!  What kind of vending machines are you wanting to put out there?

"They would be 20oz bottle machines."

Will you take care of the machines or do I have to?

" I would take care of everything, stocking, cleaning, repairs.  I guess the only thing you would have to do is provide me the space, and an electrical outlet." (with a chuckle)

Oh, ok well I would charge $10 a week would that be a problem?

"No ma'am it wouldn't.  So basically $20 a week to have a coke and pepsi machine out front of your store right?"

No, just $10 a week will do

"Would you be charging commission?"

Nope, since you take care of everything, as long as I get my $10 a week, and keep your area tighty, I will happy.

"Well, thank you very much ma'am.  I will be keeping in touch with you and will hopefully have the machines up and running within 2 weeks.  Do you want me to go ahead and pay you for the spot today?"

No hun, thats ok, when the machines come, you can pay me then.

"Ok, well thank you very much for your time and I will see you soon!"

Ok hun, see you later.

As calmly and as professionally as I could, I walked out and got into the car shut the door leaving the windows up.  Looked around, no one looking...   I started hooping and hollering like a little kid.  My wife comes out and sees me and starts wondering if I was having a seizure or something....

WOOO HOOOO!!!!  I PRESENTED MY FIRST  SALES PITCH AND GOT MY FIRST LOCATION!!!!!

Now, I am up to Two locations!

I will call my coke rep today to get the ball rolling, and hopefully Pepsi will call soon!

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September 15th  2010

Oh, ok well I would charge $10 a week would that be a problem?

i would have said yes.

$10 a week is a big commitment if you dont know anything about how well the locations are going to do. you would have been better off offering her commission imo because at least if you aren't making money you aren't committed to pay anything. this way if you have a few really bad weeks you could end up upside down on the space rental and still committed to coke and pepsi's minimums.

did you ask her if she would be interested in having a few soda machines for her staff and customers or did you offer money right away? she may never even thought of money if you didnt bring it up.

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calmly and as professionally as I could, I walked out and got into the car shut the door leaving the windows up.  Looked around, no one looking...   I started hooping and hollering like a little kid.  My wife comes out and sees me and starts wondering if I was having a seizure or something....

WOOO HOOOO!!!!  I PRESENTED MY FIRST  SALES PITCH AND GOT MY FIRST LOCATION!!!!!

Now, I am up to Two locations!

I will call my coke rep today to get the ball rolling, and hopefully Pepsi will call soon!

LOL, awsome!

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$10 a week is a big commitment if you dont know anything about how well the locations are going to do. you would have been better off offering her commission imo because at least if you aren't making money you aren't committed to pay anything. this way if you have a few really bad weeks you could end up upside down on the space rental and still committed to coke and pepsi's minimums.

did you ask her if she would be interested in having a few soda machines for her staff and customers or did you offer money right away? she may never even thought of money if you didnt bring it up.

I don't really know what % to offer.  Plus, at this point I will be in the highest pricing tier per case of bottles.  Once I build up my cash, I will be able to buy more product at one time there for I will be able to get into the lower price tier.

Just to get started, I am not going to be able to afford to fill both bottle machines full! I can pull a 10 each week out of my wallet no problem.  but explaining to the wife and getting her to understand why I need to pull over $600 out of our personal account for sodas is a different story.  So I much rather be able to keep all the money from the machines to myself.

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I don't really know what % to offer.  Plus, at this point I will be in the highest pricing tier per case of bottles.  Once I build up my cash, I will be able to buy more product at one time there for I will be able to get into the lower price tier.

Just to get started, I am not going to be able to afford to fill both bottle machines full! I can pull a 10 each week out of my wallet no problem.  but explaining to the wife and getting her to understand why I need to pull over $600 out of our personal account for sodas is a different story.  So I much rather be able to keep all the money from the machines to myself.

i dont really understand what you are saying here...with the $600 and all that...what that has to do with what you pay to the location, are you saying you dont have enough to keep the machines from running out of product?

my initial offer would be 0%, then work up from there

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When you talk to your reps ask them if they can have the puck hasps (hockey puck type high security lock) or other additional security hasps installed before delivery for the outdoor location.

Good idea Mission!  Thanks for the suggestion, I will ask them tomorrow.

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i dont really understand what you are saying here...with the $600 and all that...what that has to do with what you pay to the location, are you saying you dont have enough to keep the machines from running out of product?

my initial offer would be 0%, then work up from there

I have to order a min. of 10cases per order.  my cost is 23.75/case or 98.9cents per bottle.

If I order 30cases or more in one single order, my price goes down to 19.80/case or 82.5cents per bottle.

At the outdoor machines, I feel they are providing for me.  Not me providing for them.

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I have to order a min. of 10cases per order.  my cost is 23.75/case or 98.9cents per bottle.

If I order 30cases or more in one single order, my price goes down to 19.80/case or 82.5cents per bottle.

At the outdoor machines, I feel they are providing for me.  Not me providing for them.

assuming your vend price is 1.25 you will make 6.50 per case at that price, so you will have to sell 2 cases a week just to cover your rent thats why i am saying you can get upside down on it pretty fast if the locations have bad weeks, especially since youre going into fall/winter soon.

on the other hand could be a huge location and you struck a great deal because anything over 5 bucks a week profit per machine is gravy,so who knows

good luck

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why i am saying you can get upside down on it pretty fast if the locations have bad weeks, especially since youre going into fall/winter soon.

good luck

Oh do do!!!!  I totally forgot all about that!!!  My first location, is probably going to stay close to the same, but I have 6apts that I provide for.

this 2nd location is pretty much at the mercy of the surroundings.

Kinda picked a bad time to go 3rd party huh!

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I have storage room and was able to buy cokes min amount for the lower priceing tier.I got one of everything ,3-4 coke and the rest of it water.water has the longest experation date,and my wife likes to drink that kind anyways.I do have some money tied up in drinks but I am makeing max profit right away.a 20 oz bottle should sell for 1.50 not at 1.25 like was mentioned.you wont be able to raise the price for a while so start at 1.50.

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I have storage room and was able to buy cokes min amount for the lower priceing tier.I got one of everything ,3-4 coke and the rest of it water.water has the longest experation date,and my wife likes to drink that kind anyways.I do have some money tied up in drinks but I am makeing max profit right away.a 20 oz bottle should sell for 1.50 not at 1.25 like was mentioned.you wont be able to raise the price for a while so start at 1.50.

I was drinking a bottled water today and saw it had an expiration date of NOV 0111 so it got me thinking that if I am going to be running short on vends for a month, just order water.

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mike,

I am glad you got another location, your passion for vending is an asset to TVF. I wouldnt worry to much about what you did or didnt do right getting this location, $10.00 a month rent isnt going to break the bank, sure you will have slow months but you will also have good months...as you develop your business you will also gain valuble knowledge about what works and what doesnt work.

So I say "attaboy" enjoy your new location and let's all have a coke and a smile! ;D

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