The biggest Overhead You Could Cut Is Right Under Your Nose!

Yes, that's right, it's the cup of coffee that you're drinking from the vending machine. How much is it costing your business?

If you're not sure then have a look at your current vending suppliers last invoice. Make sure you're sitting down because after reading this you may be in for a shock!

We receive enquires from businesses large and small every day. I find it incredible the amount of money companies are wasting on their vending supplies. These days people and businesses switch suppliers to ones that offer the greatest value for money. Gas, Electricity and Telecoms are prime examples of these. The same applies to vending; you can obtain the same product for less. This is probably more important now in the current economic climate than at any other time in your business life.

Many businesses now operate their own vending machines. It's cost effective. You purchase or lease a vending machine, fill with products purchased from a vending company, set the vend price and either make a small profit or break even. Many companies choose to offer their employees free drinks for reasons discussed in a previous article.

We specialise in providing incup drinks. Where the dried ingredient is pre-packed in the cup. Hot water is added to make the drink. A recent enquiry we received revealed that the customer wished to purchase some incup Cappuccino. The brand was identical to the one we supply. His supplier was charging £112.00 per case, our price was £31.50! We saved that customer a little over £80.00 per case.

He still buys from us, usually amongst the monthly order for other products such as Tea and Coffee is 5 or 6 cases of incup cappuccino. Putting the other products to one side, which he is also saving huge amounts on, his business is better off by almost £5K per year just on cappuccino purchases! The point being that it was only because of the recession that he actually took the time to see how much he was paying.

There are numerous examples. The purchase of vending machines is a prime one. Essentially they are all doing the same job, which is to issue a hot drink. So why feel the need to buy one for £4k when you can get one with the same or better specification for less than half that price.

An important point that seems to escape most businesses is that almost all vending companies are supplying the exact same brands. If you have a vending machine in your business why not pull out a few invoices from your current supplier? Find the brand of coffee you use to fill your machine and compare the price with Pioneer Vending to see how much you could be saving. Make sure you're sitting down!

Posted on 14 April, 2010