Automatic Merchandiser

JAN-FEB 2014

Automatic Merchandiser serves the business management, marketing, technology and product information needs of its readers including vending operators, coffee service operators, product brokers, and product and equipment distributors in print.

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a technician at All Star before becom- ing the owner. In 2012, All Star cre- ated a "Green Initiative" where they began actively seeking to incorporate environmentally friendly practices by promoting green initiatives in the offce and on the routes. All machines are equipped with a VendingMiser to reduce power consumption by roughly 46 percent and the company began installing LED lighting into all machines to help cut power usage. They additionally ask for "green" sug- gestions from customers. In order to keep customers sat- isfed with their vending options, Liedman offers new and healthier items in addition to the products customers already expect. "Those companies that offer vending snack and pop machines for their employees request us to expand or replace exist- ing products with healthier snack and drink options," said Liedman. He does this by networking with sup- pliers and others in the industry, as well as following corporate advertis- ing. He tracks ads on television and social media in order to gauge popu- lar consumer products that he then places in his machines. The staff of All Star constantly looks for ways to please consumers by fnding "the next new thing." In 2005, that next new niche was inte- gration of offce coffee service. Offce coffee and micro markets All Star offers all the large-name brand coffees, but also has its own house blend created by US Roasterie out of Des Moines, Iowa. All Star car- ries thirteen of US Roasterie's blends. Of those thirteen, three blends are special blends made specifcally for All Star. "If a customer likes a certain brand coffee or a specialty favor, we will send the package down to them [US Roasterie] and they will tailor a blend specifcally for that taste pro- fle that we can then offer to our cus- tomer at a lower price," said Liedman. He also began offering eco-friendly and biodegradable OCS products to customers to keep with the trend. Single-cup brewer systems remain a growing segment of OCS for All Star. "You have more customers looking for systems that offer the fresh whole bean gourmet coffee experience," said Liedman. "Growing this segment of our OCS service is included in our 2014 initiatives." Another growth initiative for 2014 is to open its frst micro market through Lieberman Companies and Three Square Market. "As a small business, we've been watching the micro market segment and its growth for three years and feel we are now in a position to move forward," said Liedman. Adding micro markets will allow All Star to continue growth while simultaneously appealing to consumers' wants for convenience and broader offerings. Constantly fnding ways to grow his company and appeal to consumer preferences and trends is a challenge Liedman gladly accepts, but not one that he understood until he took the role of head honcho. Lessons learned Although he had experience working as a technician before taking over the company, Liedman was taken aback by suddenly being in the ownership and management role. "I didn't have accounting experience; my grandpar- ents showed me the basics, so that was quite an experience. It wasn't long and I had offce staff to handle that aspect of the business. Everything I do, I learn day by day from experience, from my grandfather or networking with others," said Liedman. Since 2011, All Star employees have reduced product waste, learned the most effcient ways to run routes and educated themselves on how to shop suppliers for the best price. "Shopping around wasn't something I was used to, but now it's part of our routine," said Liedman. "This industry is highly competitive and even though we are one of the little guys, my vision is to grow and be competitive in this market, to deliver innovative and effcient solutions to the customer." All Star Vending & Coffee Service has faced many changes in the last decade, but Liedman is determined that the changes will help his com- pany grow. "My goal is to be a good, big vendor. I want to grow with the bigger guys," Liedman said. All Star has embraced 21 st cen- tury technologies, sales and mar- keting techniques to compete with the bigger companies. Partnered with its original mission statement for honesty and integrity, All Star looks towards a future of monetary growth and company expansion. Liedman continued, "We are mak- ing the necessary improvements as we go, but we are still keeping the same customer service." Profle: All Star Vending & Coffee Service Location: Minneapolis/ St.Paul, Minn. Owner: Chad Liedman Equipment/Software Suppliers: USA Technology, Three Square Market Year Founded: 1987 Number of vending routes: 2 Number of OCS routes: 1 Number of employees: 5 February 2014 VendingMarketWatch.com Automatic Merchandiser 23 O P E R A T I O N P R O F I L E autm_20-25_0214AllStar.indd 23 2/4/14 11:22 AM

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