If you’re in the business of gumball machines, placing them strategically in stores can be a win-win scenario.
You can offer customers a fun treat while generating revenue for both you and the store owner. However, gaining the agreement of business owners to host your gumball machines requires finesse and effective persuasion.
In this guide, I will share tips to help you successfully navigate the process of placing gumball machines in stores.
From crafting compelling pitches to addressing concerns, I’ll give you the knowledge you need to not only secure placements but also foster fruitful partnerships that benefit all parties involved!
How to Put a Gumball Machine in a Store
Let’s get right to it!
Here’s a list of tips to help you put your gumball machine in a store:
1. Research Locations
Location is the most vital factor in business, especially a gumball machine business. You would want to identify stores that align with your gumball machine business.
Look for establishments with high foot traffic and a demographic that would likely be interested in purchasing gumballs. If you need ideas, be sure to check out my post on the best locations for gumball machines.
Unfortunately, not every ideal store will allow you to put in your gumball machine. So, you need to clearly outline the benefits of the gumball machine for the store owner. Explain how the gumball machine can enhance customer experience, increase foot traffic, and potentially generate extra income.
Moreover, be sure to talk with the store managers or owners to identify the best location in their store for your gumball machine.
2. Be Professional
Present yourself professionally. Dress appropriately, have a well-prepared pitch, and carry any necessary materials like brochures, contracts, and examples of gumball machine designs.
You should also introduce yourself as the owner of the gumball machine business and explain why the store is a good match for your gumball machine. Moreover, explain the pros of having the gumball machine available for customers and employees in the store.
3. Highlight Profit Share
Create and present the compensation you will offer to the store owner. We recommend offering a profit-sharing arrangement instead of a flat monthly fee, as this means you will keep some of the profits generated if the gumball machine business isn’t successful.
For instance, show how the store owner can earn a percentage of the revenue generated (the net sales received) from the gumball machine sales. Highlight a low-to-mid-range profit share of what you can afford to pay and wait for the store owner’s response.
4. Offer Trial Periods
Although they may like your compensation proposal, the store owner may have reservations about whether having a gumball machine in their store can have long-term benefits. Besides, they may also think that the gumball machine can disrupt the daily business flow in their store.
Consider offering a temporary placement initially. This can lower the barrier to entry and allow the store owner to see the benefits firsthand before committing.
When it comes to offering gumball machine trial periods, the question of “what to put in a gumball machine” is essential. You might want to highlight how your machine will attract customers to the store that it is placed in.
For example, my gumball machines would often have little toys or dollar bills in them! You’d be surprised but people would often go out of their way to stop by for a gum and a chance to win a small prize.
5. Provide Visual Aids
Well-designed visual aids make complex concepts easily consumable and prevent information overload.
You might want to bring images of the gumball machine that you would like to put in the store in the store! This helps the owner visualize the setup and its potential impact on their space.
There is actually a wide variety of different gumball machine types. Some stores might prefer a smaller version that can sit on the counter near a register. Others might love the eye-catching nature of larger machines and their ability to fill up an awkward store corner.
Some machines even take Apple Pay these days! Store owners might be curious to see how modern machines look in comparison to those of their childhood.
6. Think of Customization Options
Offer customization options to match the store’s theme or colors. A gumball machine that blends seamlessly with the store’s ambiance might be more appealing.
Other customizations might include offering different styles of machines or providing machines that take both cash and cards.
You might even have machines with prizes, which can be a fun way for the owner to also form long-term relationships with the customers. For example, you could include discount coupons or store cash that can be redeemed on their next visit.
7. Be Prepared to Address Concerns
It is possible that the store may not have enough space to accommodate your gumball machine. Besides, the store owner can argue that having a gumball machine near the entrance and exit or by the cash registry can disrupt the business flow.
Therefore, be ready to address any concerns the store owner might have, such as maintenance, space constraints, or potential disruptions to their business flow.
8. Offer Marketing Benefits
Explain to the store owner how having a gumball machine can be a unique selling point for the store, potentially attracting more customers who enjoy the novelty of the gumball machine.
For example, you can explain how your gumball machine’s reward programs, marketing promotions, and brand loyalty will attract more customers to the store. When customers visit the store in large numbers to buy gumballs, the chances of them purchasing other products and services in the store are high.
9. Follow Up
One of Jim Rohn’s favorite quotes is, “The fortune is in the follow-up,” meaning making follow-ups is often a differentiating factor between striking a deal with the store owner or losing it to the next serious and committed person.
Therefore, after placement, regularly check in with the store owner. This demonstrates your commitment to the partnership and ensures the gumball machine performs as expected.
10: Form an LLC
Forming an LLC can also help protect you from potential issues and make the owners confident that you know what you are doing.
You will likely want to write a simple business agreement for the store owner to sign, and having your LLC be responsible for any issues is always the way to go. After all, if something unexpected happens, you want to make sure your personal finances are separate from your business!
For LLC formation, I have used ZenBusiness. This is an all-inclusive business formation platform. It took me around 60 minutes to file the paperwork, as the filing process was straightforward, fast, and painless. ZenBusiness is cheaper and has higher ratings and more positive reviews on BBB compared to alternative platforms like LegalZoom.
Final Thoughts on How to Effectively Put Gumball Machines in Stores
If you follow the steps discussed in this guide, you will have your gumball machine in the store up and running in no time!
You only need to remember that building relationships and showing the store owner how the gumball machine benefits them can significantly increase your chances of successfully placing gumball machines in their stores.
How many gumball machines do you have? What are your favorite types of stores to put machines in? I’d love to hear from you in the comments section below!
