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Wednesday, September 27, 2006

Raising the Image of Vending

Meeting consumer demand and using branded products are all part of raising the image of vending. The average consumer is becoming more knowledgeable and educated when buying a product, and brands are now very important. If you can provide a branded product in your Antares business and educate the consumer on the value of it, the future will be very bright for vending.

Branding seen as key to growth

For your Antares vending business by Natural Choice it is important that you believe in the importance of branding. Manufacturers are starting to see the vending industry as a more credible marketing channel. This marketing can be done on a smaller scale, meaning that instead of doing a dedicated branded machine, you could do a dedicated branded shelf or a spiral within a machine. Anything that you can do as an Antares operator to leverage brand equity enhances the image of vending.

How the c-stores changed their image

The vend industry hasn’t done a good job at marketing themselves. At one time c-stores had to overcome a negative stereotype. There are similarities between vending and c-store evolution. The c-store eventually overcame a stereotype as an overpriced outlet to one that offers great convenience and away to save time.

The shopper no longer price shops between a supermarket and a c-store; they understand that c-stores are selling a convenience. In this way, the vending industry can change consumer perception as well. Your Antares operation should focus on marketing. Large vending operations should have an entire division dedicated to marketing. The customer needs to be educated about the service that the vending industry provides for them.

The vending industry needs to be promoted as a whole. You need some critical mass to cost effectively do that. If the vending industry can get the consumer to perceive the vending industry for what it is, margin pressures would basically go away. If the public is educated about the services that are being provided, they would be more willing to pay for it. If all vend operators continue to compete strictly based on vend price, then that means that the industry won’t move forward.

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