March 22, 2025

Part 1: The Hidden Formula for Choosing Profitable Vending Machine Locations

When it comes to running a successful vending machine business, choosing the right location is everything. A prime location can mean steady passive income, while a bad spot can drain your time and resources. But how do you know which locations will bring in the most profit? After years of experience, I’ve learned that certain factors can make or break a vending machine’s success.

1. My Most Profitable Locations

Over the years, I’ve found that high-traffic areas with captive audiences perform the best. Some of my most profitable locations include:

  • Hotels – Guests are often looking for quick snacks and drinks, especially late at night when other options are closed.
  • Gyms – People want protein bars, energy drinks, and water after a workout.
  • Office Buildings – Employees appreciate the convenience of having snacks and drinks available without leaving work.
  • Car Dealerships – Customers waiting for service often look for something to munch on.

2. The Locations That Didn’t Work

Not every spot is a winner. One of the worst locations I ever placed a machine was a small retail store. The foot traffic just wasn’t there, and the store owner rarely encouraged customers to use the vending machine. Within a few months, I had to pull the machine out. Lesson learned: even if a location seems like a good idea, without strong daily foot traffic, it won’t generate much revenue.

3. Top Criteria for Selecting a Vending Location

Here’s what I look for when picking a new vending location:

  • High Foot Traffic – The more people walk past the machine, the more sales you’ll get.
  • Limited Competition – If there’s already a stocked break room or another vending machine, sales may be lower.
  • Targeted Demographic – Gym-goers love energy drinks, while office workers prefer coffee and snacks.
  • Business Hours and Accessibility – 24/7 locations like hotels and hospitals tend to perform better.

4. Finding New Locations

I use a mix of strategies to find new locations, including networking, cold calling, and even scouting high-traffic businesses in person. Another strategy that has worked well for me is offering a small commission to the business owner, which helps secure prime spots.

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