Why choose a vending machine franchise? Posted by Matthew

Vending franchises are notorious for failing, we have seen everything from pringle machines through to soft toy vending franchises come and go, and of course with them are taken the franchisees and their investment into the company.  So why would you want to invest into a franchise in such a fickle niche?  Well, in amongst the dross there is a glimmer of sunshine.  With new technology comes better machines and in with the new and out with the old as they say.  DVD vending machines, pizza vending machines, phone/pc/mp3 accessory vending machines; you name it and there is a vending machine that sells it and with the right placement they can be very profitable.

As when looking at any franchise, the right research goes a long way in making sure your investment is secure and the franchise is as it says in the tin.  Particular points to look for in a vending machine franchise are:

1.    Placement:

Do they have contracts with major supermarkets/shopping centre chains/high street retailers/train companies etc etc..?  If so they can guarantee your vending machine is in a high traffic area.  High footfall areas for vending machines are like gold!

2.    Call out charges and fixing times:

If the machine goes wrong who is going to fix it, how long is it going to take and who foots the bill?  Every day your machine is down you are losing money, it is like closing up shop for the day.  The franchisor should have procedures in place to get your machine up and running again as fast as possible. 

3.    Stock:

Do you have to order stock direct from head office?  It is likely that they can get it cheaper than locating it yourself (bulk buying) but possible you can find it cheaper yourself as with the invention of the interwebs we all have the ability to quickly locate and compare items.  The franchise agreement should let you know exactly what you are allowed to do with regard to refilling the machines and you need to pay heed to this as once signed you are stuck with it.


As with all franchises research should also be done into the company itself.  Finding out how other franchisees are fairing is a must and looking into the background of the company will let you know how long they have been operating and whether they are a new franchise testing the waters or not.  If they are a new franchise you can always angle for a discount!  However, do be careful with new franchises as many franchise companies come and go every year having only been in operation for 12-24 months.

All said though - if you are looking for an opportunity that involves little work then vending machine franchises can offer this, no experience necessary.