A vending machine franchise may not be the first thing that comes to mind when you think of big business, but the market is ripe for entrepreneurs to make their fortunes in. Today we consider the benefits of running a vending machine franchise and then take a look at five of the best opportunities out there at the moment.
British consumers spend around £1.5 billion on vending machine purchases each year at around 420,000 vending machines in the UK (The Automatic Vending Association).
Providing anything from confectionary, to sandwiches, to ice creams to hot and cold drinks, vending machines are attractive business opportunities for their convenience, versatility and ease to operate. The food is also stored in a hygienic and chilled environment and is usually reasonably priced.
Here are some reasons why entering the vending machine industry is a viable business opportunity, as well as a list of the top franchise opportunities to keep people snacking.
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Benefits of running a vending machine franchise
Run them with little effort
Vending machines are not only convenient in that they cater to our busy lifestyles, they are also very simple to run. Staring a vending machine business involves very little training, expertise or upkeep. With low start-up costs and low involvement required, vending machines can generate a lot of passive income.
Simply having to find time to stock and maintain your vending machine, as well as periodically collecting money, means the vending business is a very attractive one to go into. Making good choices when it comes to your targeted location means you’ll be conveniently cashing-in in no time.
£1.5 billion is how much is spent on vending machine purchases each year in the UK
Make the most of a location
The location of a vending machine is everything. Pitched in the perfect spot, it can attract anybody and everybody in need of convenient refreshments. You often find them in public places like leisure centres, hospitals, railway stations and any other locations which enjoy heavy footfall by potential customers. Positioning your machine for profitability is easily done – making sure it is in an area with high consumer traffic will guarantee business.
And even if you get it wrong the first time, vending machines are mobile! You can try out different locations for your machine until you find the perfect spot, so there is little start-up risk involved.
Stock almost anything
There’s so much choice when it comes to stocking a vending machine. Whether you want to serve the snack classics like crisps, chocolate bars and soft drinks, or cater to the growing health-conscious population, the options are endless.
Vending machines can provide almost any food and drink these days, with some larger units offering freshly made burgers and cakes from holes in city walls. It’s often wise to base your stock on the machine’s location, for instance, a gym vending machine is likely to get lots of customers selling sports drinks and protein bars.
The profitability potential of the business doesn’t have to stop at food & drink. Vending machines can also stock anything from toiletries to jewellery to technology - imagine the convenience of a vending machine stocking phone chargers and earphones at a transport station!
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Vending machine franchising opportunities
By choosing the franchise route to get into the UK vending machine business, you will benefit from operating under an established brand with a proven business model. If you’re keen to be part of this unique industry, then read on to find out more about vending machine businesses and franchise opportunities.
Tubz is a leader in the industry and is proud to be the number one snack tower vending franchise across the UK and Europe. The brand has a wealth of knowledge behind it which will ensure that franchisees feel confident running their business. There are over 300 franchisees making the most of its attractive franchise package.
It isn’t a requirement to have experience in the industry, as comprehensive training and ongoing support is provided as standard. There is also a two-year guarantee on equipment, a dedicated customer manager and 24/7 engineer support, to name a few of the perks.
If you are interested in this opportunity, you will need to make a total investment of only £3,295.
Charisnack is a unique franchise specialising in self-vending boxes that sell colourful sweets. Boxes can be placed in offices, workplaces and many other possible locations, all within your own exclusive territory. As well as sweets, you can also fill your box with healthy snacks and treats to suit all dietary requirements, which will widen your potential customer base.
If you wish to be part of this brand, you will be joining over 45 franchisees across the UK. In order to invest, you will need only £2,799, making it an affordable opportunity that you could do on the side of another full or part-time job.
3. The Coffee Cube Company
Or, if you’re more of a coffee fanatic, you could operate a vending franchise that sells 100 percent Arabica coffee with The Coffee Cube Company. One thing that sets this mobile coffee franchise apart from the competition is its dedication to serving tasty coffee that doesn’t compromise on quality - a common misconception of coffee from a vending machine.
You will keep all the profit generated from the machine. With the Coffee Cube Company there is room to grow into a multi-unit franchise with little associated risk and minimal running effort, with each machine paying for the next within the first year.
If you wish to be a franchisee, you will need to make an investment of £8,500 plus a management fee of £99 a month to cover advertising.
This vending franchise offers a range of different snack machines and franchisees will receive 225 self-service vending boxes, 15 slimline vending machines and one combination vending machine.
The brand runs a one-week franchisee training course, covering everything from sales training, software packages, stock ordering and much more. The package also includes a two-week, on-site business launch, sales support, marketing materials, stationary, software, van livery, operations manual and additional field training.
If you would like to run a snack-in-the-box business, the minimum investment is £20,000.
Vending machines can be a lifesaver when all other food and drink outlets are shut, and why shouldn’t the market grow to eventually deliver our every need in this digital era?
To start a profitable vending machine business, you should consider your target market, choose the location, find the right machine, and stock it with inventory that meets your market’s demands. There are many vending machine business opportunities available - click here to discover the opportunities we’ve got right here at Point Franchise.
The Editorial Team, Point Franchise ©