STOP THE LEAK IN
YOUR PROFITS!
A FEW TIPS TO THE O P E R A T O R O F M E R C H A N D IS E
V E N D IN G
EQ U IP M E N T O N
K EEPIN G THE PR O FIT S
By R. H. A D A IR
Operators will a g r e e that
from now on it will take careful
planning and serious work to
make the same basic profit today
from their route as it used to
produce for them.
It is not necessary to tell any
operator of merchandise ma
chines how prices have gone up
on bulk merchandise, p e n n y
candy bars, and nickel candies.
Not only has the operator been
faced with the increased costs of
his goods, but in addition his
servicing costs have also gone
up. It is true, of course, that
sales have turned up quite a bit
on candies because of increased
employment and more money be
ing in circulation. However, the
fact still remains that the in
crease is not offset by the ex
penses which are now hitting the
operators.
Right now, the operator can
not plan to expand his route
with additional vendors as fast
as he would like to, and in keep
ing with the increased sales
from all types of merchandise
vendors, because of the govern
ment curtailment upon new ma
chine production.
To look at the situation coldly;
your present route with your
present inventory of machines
will have to earn by themselves
the profits you want. Realizing
this situation, how can you make
more profit from that route of
yours? Here are some ideas for
you to consider which you may
have overlooked.
Systematic Purchasing of Candy
Cuts Down Costs
First, how do you purchase
your candy bars or bulk mer
chandise? Do you make sure to
order in 100 pound lots when
sending for goods from out of
town? Plan to lump your buy
ing in 100 pound lots wherever
possible, rather than have three
or four 25 or 30 pound ship
ments come in during the month.
After all, when you consider
that it costs you practically the
same am ount of money in
freight charges for 100 pounds
of goods as it does on 20 pounds
or so, you can easily see where
quite a bit of your profit can
leak away without your notic
ing it.
Select Best Selling Bars
Turning to 5c candy bars for
the moment. It should be pointed
out that some operators know
little or nothing about purchas
ing their candy. With them it is
largely a matter of guess work,
and it is no wonder they lose
much of their profits. It used to
be all right to gamble in buying
several cases of candy in the
hope that it might sell in the
candy machines. Take a little
care in your experimenting as
you cannot afford to dump cases
of unused candy away at a total
loss.
We quite agree that the oper
ator should always be on the
look out for new bars for his se
lective vendors. Just make sure
the bars sell before you purchase
in large quantities. It takes only
a few to test whether the candy
will sell or not in your particu
lar type of locations. A large
portion of wasted profit is to be
found in unwise purchases of
candy. This is one leak which
you can stop by common sense
buying.
Do you keep an accurate check
on your cash r e c e i p t s from
vendors? It is recommended
that a coin counter of some type
be used. It does not have to be
an expensive m o d e l b y a n y
means. The small hand counters
selling for about a dollar or so
can serve the operator’s purpose
just as well.
The use of a counter of some
type means that the chances of
mistakes are largely eliminated.
Over a month’s period quite a
bit of your profits can trickle
away by not counting receipts
accurately.
Adjustment of Penny Portions
Turning back to bulk mer
chandise most all operators are
quite familiar with the proper
adjustment of penny machines.
To the new man in the vending
merchandise business we believe
the best and clearest explanation
of this is to be found in the fol
lowing data supplied to oper-
DISTRIBUTOR ORGANIZATION CONVENES IN NEW ORLEANS
Prior to National Wurlitzer Days, Wurlitzer's coast to coast field organization gathered in
New Orleans to hear Wurlitzer officials speak on the plans and problems facing the industry in
1942. Pictured above at the Roosevelt Hotel, the group witnessed the unveiling of the Wur
litzer Victory Model 950 and the new Wurlitzer Remote Control Equipment designed for the
coming year. Wurlitzer president Rolfing, vice president Johnson, and general sales manager
Hammergren were among the speakers.
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© International Arcade Museum
AUTOMATIC AGE
February, 1942
http://www.arcade-museum.com/