What Is the Profit Margin on Vending Machines?
Vending machines in Ireland have shown generally positive performance in the last couple of years. Many of them have generated consistently high sales, and some have become very lucrative sources of extra passive income for business owners. But before you join the bandwagon, it is only natural that you would be asking yourself, what is the profit margin on vending machines? Is the potential income really worth the investment?
How Much Does a Vending Machine Earn in a Day?
On average, a vending machine typically makes over EUR 200 a month, which is about EUR 50 a week or roughly EUR 7 a day. It’s not too shabby, considering that you don’t actually have to do anything except restock the machine when your items are running low. But of course, this is just an average. The actual number can be much lower or much higher, depending on a myriad of factors.
If your products are not very much in demand and your machine is situated in a not so busy location, you might find yourself counting just a handful of changes from your machine at the end of the week. On the other hand, a vending machine that sells products with high market demand. And it is located in a high-traffic area can bring in as much as hundreds of euros a day!
What Profit Margin Can You Expect?
When it comes to the profit margin, there are also a lot of different possibilities. Obviously, you will need to make back quite a huge sum if you decide to purchase a vending machine outright. In this case, the average profit margin after 12 months of buying a new vending machine is at about -5.50%. This only takes into account the cost of purchase, and you still need to add the cost of purchasing stock. As is often the case, the profit margin will cross over to the positive side after 24 months, when you should have already recouped the initial expenses.
As for renting, there is no burden of having to make back any initial investment. But the rental fees will never stop. Each month, this goes into the computation of your expenses and takes away from your profit margin.
Here at Vending-Machines.ie, we offer a smart and lucrative vending solution called fully managed vending services. For absolutely no cost, we can give you a vending machine you can use for free. We will also take care of the maintenance, restocking, repairs, and so on, as well. So when it’s time to collect the daily, weekly or monthly profits, you don’t have any deductions to think of. What you get is your net profit, and there’s absolutely no loss on your part!
Maximize Your Vending Machine Profit Margin
On top of spending zero funds on a new vending machine, you can maximize your profit margin even further by picking the right location, selling the right products, and partnering with the right vending company. Vending-Machine.ie has been a leader in the vending industry in Ireland for decades. Call us anytime you are ready, and we will help you launch a successful vending machine business, and continue to provide support every step of the way!
