Automatic Merchandiser

OCT-NOV 2016

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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mployee benefits receive quite a bit of scrutiny. From how much the company is spend- ing on healthcare to heating bills. The hot, caffeinated beverage in the breakroom is no different. That's why operators need to be prepared when workplace coffee is in the crosshairs. OCS providers need to be ready with information and options that can change a conversa- tion from, "We're considering the elimination of free coffee" to "We want your services for the next year. Where do I sign?" Really hear the problem As with any solution, or selling pro- cess, there needs to be a clear under- standing of the problem — the real problem. A quite com- mon one is that a location is struggling financially and looking for ways to cut costs. Try to find out all you can about the situ- ation. Are they downsizing employees at that location? What other services do they currently have? Now think about what you currently offer them and what you could offer. There might be a way to achieve a win-win. Rarely are companies aware of all the solutions you can offer, so it's important to present the appropriate ones. If a location enjoyed a coffee cart on site, but is now looking for a more cost effective solution, offer single-cup brewers that can make individualized and specialty drinks. Consider bean- to-cup and pod brewers, as well as cartridge style brewers. Consider the before and after price per cup — could your sales department make a pitch? Can you bring in a lower cost coffee option, perhaps a traditional brewer or private label coffee? Make sure to discuss the value and flavor of private label, especially if a location perceives it as a low-quality option. Go beyond coffee, too. Discuss options such as a point-of-use water system to replace their 5 gallon water service. Could you offer bulk delivery of some of the office products they E How To Counter When Companies Challenge Benefits Of Office Coffee By Emily Refermat, Editor Listen to the problem, then come up with out of the box, money saving solutions to salvage your customer relationship. Look at all the services to see if you can save them money, yet provide more. Small locations who want bean-to-cup Another problem some operators face is dealing with a small office that wants a sophisticated brewer, such as a bean-to-cup brewer. Operators should first consider if the location would be profitable if they charged a rental fee or leased the machine for $100 to $150 a month, plus the cost of beans. If the small loca- tion still wouldn't be profitable, consider refurbishing an old bean- to-cup machine. There is an initial outlay of money, but not as much as buying a new machine. Plus, if the machine was already in the warehouse, not earning revenue, any profit would be positive cashflow. Consider assets and see if with the addition of a leasing fee, the numbers could work. Thinkstock 14 Automatic Merchandiser VendingMarketWatch.com October/November 2016 O C S U P D A T E

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