Vending Profit: Use the Power of the Gumball for Its Great Profit Margin

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Vending profit should be the goal of every vending operator. Many people have considered buying gumball machines and placing them in local businesses for extra money, and it’s a great idea because of the profit margin of the gumball product. Gumball machines are considered “bulk vending” machines because of the ability to sell a product (gumballs or candy) in quantity or “bulk.” The machines are an easy way to create cash flow quickly.

Consider Vending Profit Margin As You Operate and Grow Your Bulk Vending Business

Gumballs are usually the highest profit margin product you can sell with the cost being around 2 cents per gumball for product costs. There are many other expenses besides product to consider too, but product cost is an important first consideration. Selling high profit margin products will help you achieve financial goals faster. Not everyone likes gum; so many vendors buy vending machines with candy wheels to allow the dispensing of candy as well as gum.

Candy vending profit is much smaller than gum. The cost to dispense candy can be from 4-7 cents per vend (per sale or per quarter). As you can see, this can be double or triple what gumballs cost to vend depending on what you pay for your candy and how much you set the machine to dispense per sale. Some vendors have found a happy medium by selling candy with gum to make a little more vending profit at each location.

Building Vending Profit by Adding More Machines

Many vendors will start out with a few machines and concentrate on selling gumballs. Then they reinvest their profits to buy more machines. Later, many will begin selling candy and toys to increase their ability to put more machines in businesses. Vendors will often go into businesses with “double” or “triple” machines – a selection of 2 or 3 machines grouped together on a single stand offering different product choices. This can help them secure the location and fend off other competition.

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