Steps before Taking up Vending Business

There is no single business model that ensures success or promises guaranteed returns without any hard work. Vending is no exception to this fact. How does a vending machine work? Customer just needs to pop in few coins into the machine to enjoy a cup of coffee or sandwich of his choice. With vending technology taking a whole new turn, this million dollar industry is offering excellent employment opportunities to several new and upcoming entrepreneurs.

Few steps have to be followed before starting this business.

• Setting goals is the first and foremost step before starting any business. Goals determine the purpose with which you have set up the business. Why are you into this business? Your goal answers this question.

• Once goals are set, you need to plan your activities so that you can achieve the goals. For instance: your goal is to become top most soda supplier. So what equipment would you need? Where should you place it to maximize your sales? Who would you supplier be? How much investment is needed? All this and many more things need to be considered.

• After deciding on the activities that are to be taken up. Your next important step would include a small basic research work. You need to find out how many operators exist? How far are they located from your proposed location? On an average what are the number of hits on their machine? Is there any untapped segment? How frequent stocks have to be changed? What would be their maintenance costs? And so on.

• After getting a fair idea from your research work, proper analysis needs to be done. Make a SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis. Analyze your prospects and at the same time consider the bottle necks that may come up in your way. This would help you to be prepared for the worst.

• Develop a USP (Unique selling proposition) for your product. USP is that which differentiates your product to the existing ones.

• After all the ground work is completed, its time for implementing your thoughts and ideas. Make sure there is flexibility for making some corrections in them if required.

Thus careful planning and right approach can bring you huge success.