50% commission on beavers

[Shropvend]

Hi guys
Please enlighten me, does anyone on the forum pay 50% commission to the site on beavers where they are vending minstrels and skittles at 20p? I had a new install recently where he wanted 50% com on the towers. I also had another new install today and he wanted at least 30%. I said no chance. I would be working for you and for nothing if I did. They have both left it for now but was wondering if there is any truth in the matter, surely not. I realise there is a bigger mark up on the bulk vending but even after paying bulk for the sweets, vat and fuel, surely it would not be worth it overall. The first install I think the landlord was trying it on but todays landlord also confirmed the 50% com being paid to him each visit.

Regards
Lee.

[pjo]

50% of takings or profit?

Maybe they don't even know that they are paid 50% of profit, instead of gross takings?

[Shropvend]

I thought that it may have been profit, but I gave him 14 quid based on 70 sales of tubs for the month. He then said is that all!!!! He said he gets twice as much as that from the double header beaver which I did not believe personally. I told him I will take the minstrels and skittles out next time and pay him 25% comm on the basis that he accepts a pringles machine as well. See what he says next time. If he wants more commission I will just take it out, cant be arsed with greedy landlords who thinks he can get more. Thats what the poor operator of the beavers was prob told and has put up with it.

[Rossi fan]

I am not sure where you are buying tower stock, but on average I assume you are paying around .40 including vat. If you give him .50p, you only have 10p. My advice is to take it out and get another site. 20% is a good return for a landlord, who has no costs, or responsibility for the tower.

Paul

[glennborthwick]

hes talking bulks Paul for 50% , 14 quid on 70 quid tower is the 20%.

Landlord doesnt know what he's talking about.

Even massive sites like the big playcentres rarely get more than 30%

worth saying 50/50 on profit sometimes though.

[Snackmore]

Someone round my way is paying 25% on towers which I refuse to compete with. All landlords round my way seem to know, visit and talk to each other. If I did 25% to get one site I would upset some others who get 20%, you know how people like to boast.

I do pay 50% on a capsule machine that I bought with a load of free stock but site knows when its gone its back to 25%

[sadler2886]

Someone round my way is paying 25% on towers which I refuse to compete with. All landlords round my way seem to know, visit and talk to each other. If I did 25% to get one site I would upset some others who get 20%, you know how people like to boast.

I do pay 50% on a capsule machine that I bought with a load of free stock but site knows when its gone its back to 25%

steve,

i pay 25% on towers also but only on the basis that they have a minimum of 2 different mcs otherwise its 20% if they just want 1 mc. you can afford 25% commision on 2 mcs as you will collect double the money for the same fuel. never go above 25% commision else it wont be worth you servicing the mcs. when landlords say they have been offered or are getting 50% from somebody else they have been told by the operator 50% of the profits which is the same as 25% of the turnover.

regards
rich

[Rossi fan]

hes talking bulks Paul for 50% , 14 quid on 70 quid tower is the 20%.

Landlord doesnt know what he's talking about.

Even massive sites like the big playcentres rarely get more than 30%

worth saying 50/50 on profit sometimes though.

Hi Glen,

It does state in his original post that he has another site expecting 50% on towers.

Cheers,

Paul

[FlintVending]

Any site that wants 50% of gross is trying it on, you may get that on a machine where you dont get an end product for your money (ie a SWP or a crane or fruit machine) but lanlords often confuse the two and compare tower operator commission for amusement operatotr comm.
Just explain the difference and that your cost of product is 40p and offer to split the gross profit of 60p (on a tower) 50 / 50 which is 30p.
Would only do this for a TOP site with multiple machines though, if site is mediorce, walk away

[Rossi fan]

Any site that wants 50% of gross is trying it on, you may get that on a machine where you dont get an end product for your money (ie a SWP or a crane or fruit machine) but lanlords often confuse the two and compare tower operator commission for amusement operatotr comm.
Just explain the difference and that your cost of product is 40p and offer to split the gross profit of 60p (on a tower) 50 / 50 which is 30p.
Would only do this for a TOP site with multiple machines though, if site is mediorce, walk away

Excellent advice Nigel.