About Vending Accounts

To make money in your Antares vending business, you must consider an account’s contribution to overhead. This is a value that changes with fluctuating sales and costs. Vending is a very forgiving industry and this is what has made many seek a career in vending. If you take on a new location that proves to be unprofitable for your Antares business, you can simply pick up the equipment and move it to a new location that will provide a reasonable profit. To do this effectively, you must identify those customers that are not yielding a profit.

In full line vending, like that provided by Antares Corporation, we don’t have anything that remotely resembles a minimum order requirement. In fact, unlike most other businesses, in vending you have to make a capital investment in even the smallest of customers, and as such, you would have a responsibility to ensure that you earn a reasonable rate of return on investment (ROI) on each capital investment, regardless of the size of the customer.

Marginal accounts: why we have them

Every operator acquires some marginal customers over the years that simply do not earn appropriate returns on the investment the operator has made. At times an Antares operator can take on the customer because they are convinced the customer will grow. A good customer can face hard times and you will have to lay off a large percentage of the workforce. The customer will then no longer qualify as a profitable account. Sometimes Antares vending operators have taken on locations that have met their ROI guidelines when they took them on, after which, their business and overhead costs grew and they simply outgrew the customer. Regardless of where the problem came from, it is the operator’s responsibility to solve these problems.

The process of determining when a particular location becomes unprofitable is more complicated than it appears. Even Antares managers who are professional in every other aspect of vending operations have trouble with this concept. The confusion comes about because of the difficulty in determining which revenues and costs actually disappear if you withdraw from a particular location. You will need to be well informed about all this.