The vending machine business is often seen as simply selling snacks and drinks. But if you dig a little deeper, there are several creative ways to increase revenue, grow your business, and make a significant profit. In this post, we’ll explore strategies like scouting and selling locations, building and selling vending routes, and transporting machines for operators, all while keeping your business flexible and scalable.
Scouting and Selling Locations: The First Step to Profits
Most vending operators focus on placing machines in a few local spots. But one overlooked revenue stream is scouting profitable locations and selling them to other operators.
Visiting and Evaluating a Location
When scouting a location, it’s important to understand the unique needs of each facility. Not all spots require the same machines. Some offices or break rooms do well with a combo snack and drink machine, while others might only need a dedicated drink machine or a single snack machine.
Steps for visiting a location:
- Observe foot traffic – Who uses the facility and how often?
- Interview management – Ask questions about the number of employees, guests, and potential usage patterns.
- Determine machine type – Decide whether a combo or dedicated machine fits the needs of that location.
Each location has its own individual needs, and this attention to detail increases your chance of placing a machine that consistently sells.
Finding Operators to Buy Your Locations
Once you’ve scouted a location and know it’s profitable, the next step is finding a vending machine operator to purchase it from you.
Here’s how:
- Facebook vending machine groups – Post a detailed description of the location and its sales potential.
- Google search for local vending companies – Find operators in your area and reach out via email or phone.
- Keep track of contacts in a spreadsheet – Record names, numbers, location interest, and follow-up dates.
- Call and market your location – Ask operators if they’re looking to expand into your area of town.
By doing this, you’re essentially acting as a location broker, connecting profitable locations with operators ready to grow.
Building and Selling Vending Machine Routes
Another profitable strategy is building routes of machines and selling them as established operations.
Contracting with a Facility
The first step is to secure a contract with a facility. This could be an office, manufacturing plant, or apartment building. Once you have permission:
- Place machines (snack, drink, or combo) strategically in high-traffic areas.
- Equip machines with Nayax credit card readers or similar cashless payment systems for convenience.
Evaluating Locations for Route Building
Not every machine will perform the same. Here’s how to evaluate a location:
- Track monthly gross sales.
- Consider the employee/guest count and foot traffic.
- Monitor trends for a few months to understand consistent earnings.
The 24-Month Rule
I have a simple rule I call the 24-month rule for evaluating a location’s value:
Take the monthly gross and multiply it by 24 to estimate the value of the location.
Example:
- You place a snack and a drink machine equipped with Nayax readers.
- Together, they bring in $600 per month.
- $600 x 24 = $14,400.
If the machines are high-quality, you can add another $1,000 for the equipment and maintain the value of the credit card readers at $400 each.
Once the location is performing well, you can sell it under contract, transferring the machines and revenue stream to another operator. This strategy allows you to flip locations for consistent profits.
Transporting Machines: A Story of Creative Side Hustles
Transporting machines can be a challenge, but it’s also a profitable service. I want to share a story about a landscaping business owner who turned this into a vending side hustle:
He uses his enclosed trailer from his landscaping business, along with a couple of 2x4s and a slim dolly, to move machines safely. He charges $200 per machine plus $2 per mile, and I use him frequently when flipping locations.
This is a great example of leveraging existing resources to create an additional income stream. Operators often don’t have the equipment or time to transport machines themselves, so services like this are in demand.
Suggested image prompt:
“A man using an enclosed trailer and a slim dolly to transport a vending machine, detailed urban background, realistic style, 4k resolution, sunny day, dynamic angle showing movement.”
Tips for Finding the Right Machines for Each Location
- Snack-only machines – Good for offices or schools with minimal drink needs.
- Drink-only machines – Ideal for gyms or facilities where hydration is the focus.
- Combo machines – Best for break rooms or locations with high traffic and diverse needs.
The key is matching the machine type to the location, not forcing the same machine everywhere.
Building a Spreadsheet to Track Opportunities
Keeping organized is critical when flipping locations or scouting leads. A simple spreadsheet can include:
- Location name
- Contact info
- Foot traffic notes
- Estimated monthly gross
- Operator interested
- Follow-up dates
This allows you to systematically manage opportunities and ensures no leads fall through the cracks.
Selling Locations and Routes for Maximum Profit
When your location or route is ready to sell:
- Prepare a sales packet – Include monthly gross, machine type, and photos.
- Highlight key equipment – Mention credit card readers and any recent upgrades.
- Market to operators – Use Facebook groups, Google searches, and cold calls.
- Negotiate terms – Consider upfront payment or a percentage of first-year earnings.
By presenting clear, profitable data, operators are more likely to pay a premium for your hard work in building up the route.
Conclusion
Making money in the vending machine business goes far beyond selling chips and drinks. By scouting and selling locations, building and flipping routes, and offering transport services, you can create multiple streams of revenue. Each location has unique needs, and understanding those needs allows you to maximize profit for yourself or the operators you work with.
With organization, attention to detail, and the right equipment, the vending machine business can be highly profitable and scalable. Whether you’re placing a single machine or flipping multiple locations, using strategies like the 24-month rule ensures you’re making smart, data-driven decisions.
