Blog Postings

It's that time of year again, when people far and wide are making resolutions -- resolutions to lose weight, spend more time with family, eat better...

And so it begins.

I just spotted the first (at least that I have seen) of what is bound to be a flurry of articles on eating better from a vending machine when no other alternatives exist. And, just like every other year, it is chock full of the usual suspects. The good choices? Granola. Nuts. Tuna. The bad? Candy and chips.

Surprised? Probably not. The annual list of "healthy snacks" combined with a good dose of common sense dictates that nuts are healthier than a sugar-laden nougat and chocolate bar. I am duped every time by these articles. Every. Time. And all I can think is that I will never, ever get that two minutes of my life back.

That being said, I'm going to try and eat healthier this year.

christine.papesch@veii.com

There’s a new kid in town (and she’s looking good…Alice?  Anyone?), and it’s a vendor that gives away product for free.

Fear not, this won’t be taking away business from everyone else, rather it is a new concept from Kraft to distribute samples of their products.  They have named the machine the iSample Experience (wonder if there’s any issue with Apple on that one).  It’s a smart piece of equipment, using facial recognition to determine age and gender, then requesting the user to text a code or use their smartphone to scan a code, which then allows the customer to obtain a sample and provides feedback to the company. Not too shabby.

The portion of the report on the machine that cracked me up?  When it recognizes a child trying to get a sample, it tells the kid to go away. (Right now, Jell-o Temptations, marketed as an indulgence for adults, are being sampled.) I’m betting the adults get a kick out of it, but I don’t  know how that will pay off when little Billy remembers crying in the Jell-o machine when he gets older.

Still, I like it.

christine.papesch@veii.com

Today, I came across a link to view the new Mini vending machine. I immediately thought of just a really tiny machine. I was wrong.

The reference was to the MINI, which has a really unique billboard in Toronto. At least I think it would still be called a billboard. Sides of buildings have been donned with what seems to be about a four-story virtual vending machine, loaded with images of different variations of the vehicle. Different enough to catch attention, but they took it even a step further to (successfully) involve passers-by. Each image of the car had a code below it, which, when texted to a given number, would “vend” the car on the billboard. And the animation to vend it was pretty attention-grabbing, too…appearing to crash through the glass, parachuting to the bin below, appearing to be bobbled around like in a pinball machine…all sorts of creative and, more importantly, interactive visuals.

What a great idea Engage people who are walking by to the point that their attention then grabs the attention of others. And the results? Apparently sales lifted 75% at the local MINI dealership. Not too shabby.

This is just the type of reaction we hope our customers get once we release the VE Connect -- a REVISION door with an full interactive touch-screen panel.  How great would it be to get a lift in sales like the MINI that can be directly attributed to making the purchase more engaging for customers?

Can’t wait to see an interactive billboard come to my neck of the woods (despite the fact that I disabled my texting and would have to rely on the interest of others).

christine.papesch@veii.com

This week, my husband's company changed out its vending contract to a new company.  He sent the company-wide e-mails to me that were going around, preparing employees for the change.  As if preparing for Armageddon.

First, it was just a notice of what grand changes were occurring re: food service, in his office building.  Then, a message on the when-and-where of coffee tasting and ballot drop boxes to select the new blends that will be offered, followed by [yet another message including] a detailed itinerary of sorts stating at what time changes were going to occur, and how to prepare.  "Make arrangements to get your snacks before x-time." The existing machines were to leave late Friday afternoon, and the brand-spanking new ones are expected to be ready to go bright and early Monday morning.  A nice change on the customer side, but sending out a mass apology for the machines being taken about an hour early? I'm picturing an office full of employees withering away, unable to proceed without their 3:30 bag-o-Fritos. 

The point of all this? Good news!  Vending is alive and well and garners enough attention inside the walls of a company with a fairly active health initiative that it draws attention. My husband and his private coffee pot club comrades are even eagerly anticipating the arrival of new, better coffee, enabling them to ditch the monthly buy-in, and giving me one less thing that I have to purchase at the store (usually a 2 lb. bag of whole bean 8 O'Clock Hazelnut, the "club's" most popular selection.) The bad news?  The disruption...but only for the workplace. (And that that all the coffee machines except the Keurig models will be replaced.  Can't they sacrifice those, too, and add in a few Colibris? They are pretty slick machines. I'm just saying...)

I can't wait to hear the reviews come Monday.

christine.papesch@veii.com

Ever wish your neighborhood butcher was, well…in your neighborhood?  It’s not quite the same, but in Alabama, you can take your pick of the meat case from a vending machine.

It seems that a man in Alabama came up with the idea of a refrigerated vending machine specifically to sell cuts of meat, similar to the local butcher.  The venture is lucky to be supported by suppliers of quality meats, making it likely to prove successful.. I know I would use one if it were around, especially since the prices seem reasonable.

Years ago, my parents would take me to the local butcher, located in a small family grocery store the next town over.  Now, I live a little more than a mile from that store, and, while it still goes by the same name, it is a catering place that offers daily (delicious) lunches.  The butcher portion of the business has been gone for at least ten, maybe fifteen years.  Now the only place where locals can purchase meat is at the big chain grocery stores, where the prices are sky-high, and the butcher is underutilized, and, often, not available.  If I can’t receive the personal service and have to pay high prices, I would certainly be more than willing to give the machine option a go.  I’m sure a lot of others would once they knew more about it, too.

christine.papesch@veii.com

Imagine if you could do your grocery shopping during some otherwise boring downtime. Thanks to Korean supermarket giant Tesco, it's reality.

The supermarket chain has virtual grocery stores installed in various locations, including the subway in Seoul, which basically show billboards of the actual store displays. Users can scan codes for needed items with their smart phone, place their order, and have groceries delivered right to their door. How awesome is that? As someone who desperately needs to make a stop at the supermarket, the ultimate convenience of home delivery would not be lost on this gal. (What ever happened to the milk man? He should make a triumphant return. We've been out of milk for days!)

I don't see something like this taking off in the US, but we are all about convenience...maybe services like PeaPod will emerge triumphant at some point?

christine.papesch@veii.com

Earlier this week, a New Zealand teen found himself in a bit of a sticky situation.  In an attempt to [illegally] score a free Coke, he got stuck with something more -- the whole machine.

The boy's "entire arm" was wedged in the machine, drawing a lot of attention, according to a local woman, who also confirmed that among the slew of vehicles that arrived on the scene was the Coke delivery truck.  Seems they heard that the machine needed a refill.

I'll admit, some of the news reports of vending machine theft make me chuckle -- at least the ones involving kids.  The seemingly frequent stories of a child who decided that it's easier to get the stuffed animal himself instead of using that pesky claw (though, I'm guessing not all of those kids know it is theft, or are brought up on charges), and the others, like this one, where the reader is left wondering, "how far did this young man have to shove his arm into that machine before he realized it wasn't coming back?"  I would think at some point, the thief would realize that s/he was in a bad situation, and shouldn't continue.

The lesson of the day is two-fold.  First, don't stick an arm in a machine hoping for pennies from Heaven.  Second, and perhaps more importantly, install a security camera on your machine.  Aside from deterring theft, it will provide the added bonus of entertainment should someone continue with their behavior.

christine.papesch@veii.com

It seems that the government is actually trying to reduce the deficit, and looking at all avenues to do so. You may remember that just a few weeks ago, a reader responded to the post on eliminating small change (pennies, nickels) because the cost outweighs the values of these coins. The wise responder pointed out that, with all of the budget cuts, the government may actually move forward with a proposal to use coins in lieu of paper. The time has come, my friend!

Seems like there is a lot of resistance to change regarding the currency used in the US, but we may be following suit to the rest of the world if and when COINS passes. I wonder if it will result in people stashing dollar bills for collections, much the way many parents adn grandparents did with the Kennedy 50-cent piece and the Susan B. Anthony dollar.

christine.papesch@veiii.com

Seems that there is a lot of talk on repurposing existing items these days, and vending is no different.  

There is a new vending machine, of sorts, that has been made available to the public in New York – the SHOPBOX.  Made from an existing shipping container, the SHOPBOX provides a variety of items, from pink flamingos to printers, available for purchase.  Much like a good old-fashioned storefront display, the machine is complete with a clear front, allowing shoppers to view the American-made wares available, plus the codes that can be texted to order each item and have it delivered to your door.  Not too shabby for novelty’s sake, and maybe visitors can even pick up something useful or unique.

I do like the creativity of the machine, and reusing something that is no longer of value otherwise is always a bonus.  I can see it catching enough traffic at its current location to keep it going, but I’m not as confident that it will go nation-wide.  At least, I’m not banking on it hitting Cleveland any time soon.

Word has spread about the Coca-Cola Freestyle, despite the fact that most of the country has not seen or used one.  Coke has responded with something to tempt the imaginative minds of their fans – a Facebook app that simulates the experience of the machine.

While not quite the real thing, Coke has, again, done its job of providing a consumer experience to develop a following.  I’ll admit that I “liked” their Facebook page to gain access (to a number of functions on the site, including the app and a Freestyle finder, among other things), a prerequisite that has garnered over 39,000 followers to date.  Not too shabby for a product with only around 1,000 machines in the market.  Pre-loaded with different brands, flavor combinations within those brands, and good old water as selections, you can create your own concoction by selecting a flavor and watching your virtual cup full, a little at a time, until you want to switch to a new flavor to arrive at one all your own.  Mine?  50% Peach Hi-C, 25% Orange Hi-C, topped with Seagram’s Lemon Lime.  Not too wacky, but I didn’t spend a lot of time looking through all of the possibilities.  

I can only imagine the time involved operating the real thing when it can potentially take some time to concoct one on-screen.  Maybe next up is an app for making selections before getting to the machine, having it read a smartphone code, and automatically dispensing your customized drink.  The way things are going, that may not be too far-fetched.

I came across yet another article on the debate of whether to rid the US of the penny.  Actually, it mentions the debate, but suggests some solutions for alternate materials to reduce the cost of minting, rather than eliminating the coin (and its equally costly five cent friend) outright.

While reading, one of the reasons mentioned for eliminating the coin was that it would cause mass commotion, in terms of trickle down and costs to various industries, namely vending.  All I could think of was that I have not seen a vending machine that took a penny since I was young and there was a candy machine at the Watchung [Flea] Market that dispersed some sweet stuff for one little cent.  While I realize that some people try to insert pennies in a regular vendor and know changing the size creates problems with foreign currency confusion, I didn’t realize that the material composition could affect machine jamming, so I learned something new. 

Apparently, ideas for using plastic, ceramic, and other less expensive materials, have been tossed around – and out – but the likelihood of eliminating the coin is slim to none, especially now that people are penny-pinching.  I cannot imagine the confusion that could be caused by having one piece of US coinage look and feel differently than the rest, although I also don’t know that there are many small coin counterfeit operations around.  For now, the coins are staying as they are, and thank goodness for that.  I’d have to start stockpiling to keep being able to play Tripoley and penny poker, otherwise, the costs would get pretty steep.

christine.papesch@veii.com

I have never heard of “guerilla gardening,” though I’m now fascinated by the movement. 

Apparently, another innovative use of a regular gumball machine has found its way to the Twin Cities, in the form of a seed bomb dispenser. The machines support “guerilla gardening” – the practice of seeding areas (with or without permission) to make them more beautiful. Now, those who happen to be near a machine and feel like putting their green thumb to use, or at least toss some seeds in a barren patch, can do so. 

Apparently, the concept of guerilla gardening has been around since the ‘70s, but now the gumball machines filled with mixtures of clay, seed, and comport are a modern, convenient alternative. The machines are the brainwork of two people in LA, who installed the machines in the city in 2010.

From the pictures in the above links, it looks as if the seed bombs are going for $0.50 each, inexpensive enough to get some to purchase for the novelty of it. If I lived in a location where the machines were installed, I can’t deny that I would try one. How fun would it be to pass by a pile of dirt that you passed daily, tossed a seed bomb there, and checked on it enough that you could say, “I did that”?

christine.papesch@veii.com

I was running errands this past week and decided to purchase a drink at a local discount chain.  At $.50 a can, I was sold, so off I went. 

There is a bank of three soda machines in this particular place, the first unlit (still in operation?  Who knows…), so I made my selection from one of the remaining two – an orange soda.  Waiting, waiting…I hear it drop inside the machine, but nothing came out.  There was a number to call for repairs on the front, but had it ever been called?  To the customer service desk I go to get a refund and let them know that one of the machines seems to be malfunctioning.

I’m not saying that machines don’t go down from time to time, but I was a little surprised when the woman working at customer service knew which machine was down when I said I lost my money in one.  Apparently, it happens a LOT.  Logically, I would think either repair would be called and a sign placed on the front, or it would be switched out for a different unit.  At least, as an operator, that’s what I would hope a location would do.  But what do I know (other than I didn’t test either of the remaining machines and likely won’t from here on out)?

christine.papesch@veii.com

At the eBooks exhibition in Japan last week, a vending machine was featured distributing none other than – you guessed it – eBooks.

In short, the machine lets the user select a book, then dispenses a receipt with one of those nifty smartphone barcodes on it for download.  So, if you don’t have a smartphone, you’re out of luck (yours truly.  I use my cell phone to make phone calls.  That’s it.  I even disabled texting.  I must be one of the “older people” mentioned in the new Toyota commercial -- currently one of my favorites.  But I digress).  This seems like a good idea for travelers with the devices, who are boarding flights, making long commutes using public transportation, and the like, which seems like a much better fit for Japan that in the home of urban sprawl and suburban living.

Not owning a Nook, Kindle, or any other eReaders that are on the market, for that matter, I’m not 100% familiar with what is involved, but I know they are similar to downloading songs to an iPod, in that you have to connect to your computer to download the latest and greatest titles.  And my understanding is that at least some of the readers can also connect and download books wirelessly, so I don’t quite understand the point of dispensing codes for books that can only be read on a four or five-inch screen, especially when a tablet is available for that very purpose.  It seems like it would make more sense to find a way to download directly to the eReader (or, heck, even a smartphone) than to go through the extra process, not to mention paper waste, of getting a receipt for a separate download.  It can only be a matter of time until that technology becomes available.  At that point, I think eBook vending will really take off.  But this is a start.

Japan – the frontrunner in all things odd in the vending world – now has vending machines with a not-so-odd selection:  donations.

The Japanese Red Cross partnered with Coca-Cola to install the machines around the country, giving users the option of having the machine keep-the-change for tsunami relief.  Similar to the jar on the counter at the convenience store or the “give/take a penny” saucer, now donating is easy and leaves less jingle in the pocket of those who don’t like to carry small change, anyway.

What a great idea to increase donations!  I make my fair share of donations to charities, but unless something is in front of me and my checkbook isn’t nearby or there isn’t an online donation form, some of the causes that are not on my normal radar fly under or sit in my mail pile, waiting to be sifted through.  This is such an easy concept, I’m guessing it is bound to make it elsewhere.

What do you get when the largest social network is combined with vending?  Efficiency.

Recently, Facebook offices have installed vending machines at their HQ to dispense keyboards and other replacement computer accessories to employees.  No, they aren’t charging for the replacements -- although, at the speedy rate that some workers’ keys stick from cookie crumbs, maybe they should.  Employees are now part of a high-tech meets low-tech inventory system.  Swipe your ID card, select that computer mouse, and, as if by magic, the device drops, and Facebook can keeps tabs on who is using what.  

Previous attempts at keeping inventory without involving pesky IT paperwork and wait time included a supply closet with a card swiper, but it used the honor system for swiping cards.  Free access to the supplies, but please don’t forget to swipe.  As you can imagine, it didn’t work so well.  

I like this use of a vending machine.  Good old fashioned technology and modern ingenuity combined to streamline what could be a days long, or more, process (ever need to get a replacement keyboard?).  It’s a win-win.  Employees get what they need, when they need it; Facebook saves valuable resources, namely time and money, that would otherwise be tied up in the process of fulfilling those requests.  Similar uses have been implemented in factories for tools used on the job, but it’s nice to see it cross over to an office environment.

christine.papesch@veii.com

This week, the web has been a flutter with matters of the heart.  

There is a new vending machine that is as young and innocent as puppy love itself, the AutoWed speeds past conventional drive-through wedding venues and provides a simpler, easier way to wed.  Insert payment, and the machine asks what type of union the couple desires, ranging from traditional man and wife to BFFs.  After a few questions and “I do’s” are exchanged, plastic rings are dispensed, and the two are forever as one.  At least in the eyes of the machine. (View video of the AutoWed in action here.)

I don’t know how lasting, or legit, the marriages officiated by the AutoWed are, but I’m much more of a traditionalist.  Though this may be the next big thing in quick celebrity wedding choices. 

An article was all over the internet today, posted on numerous, mainly Asian, websites.  What could possibly garner so much attention there?  The Digital Signage and Display Show, of course!

Now that more and more operators are jumping on touch-screen machines, the next big thing has to be naked-eye 3D.  3D signs are on display, and an Australian company that goes by the same name, Naked Eye 3D, Intl., features screens up to 46” using 3D technology.  

Logically, it seems as if this will be the next move forward, technologically speaking, in the vending industry.  Most machines have high visibility, and that, combined with the existing power source and largefront to accomodate a large screen, make it seem like a very real possibility in the not-too-distant future.  No glasses, just big, bold, beautiful drinks and snacks delighting the eye in three dimensions.  I’m sure the combination would be met with open arms in a world where the vending machine is king.

It may not be right on the horizon, but I think it’s coming.  Perhaps sooner than we think.  (Beat the competition to the punch on this one.  Malls would eat it up.  Pun intended.)

We are excited to announce the release of our latest update to the Universal Control Board (UCB) Firmware.

The Vendors Exchange UCB was created to make maintaining and updating your vending machines easier and more efficient. We have been working on making the UCB even better. If you have already installed UCB on your machines, you can update to UCB Firmware Phase 2 for free.

Most of the updates we have made were the direct result of customer requests. Operators wanted an affordable option for retrieving DEX data from machines, so we added DEX to SD card functionality. We have also added functionality to expand your promotional opportunities, like the ability to program automatic discounting.

Check out our info page on UCB Firmware Phase 2 for a full list of new functionality and contact a sales representative for your free update.

Shortly before Easter, NOAH, the German equivalent of PETA, set up a vending machine full of chickens.

Why would an animal rights group do this?  To show the type of space confinements on commercially raised chickens.  The accompanying video shows the vending machine, loaded with the poultry, noting that, “16 chickens were demonstrating…”  I can see the creative thought behind showing the cramped conditions of those that aren’t free-range, but think it’s a bit ironic that more than a dozen previously free-range birds were shoved in a machine to prove the point. 

christine.papesch@veii.com

I came home this evening and my husband told me he happened to catch Jeopardy and DVR'd it.  The TV is never on at that time, so it was a complete coincidence that he was able to tell me one of the categories when I walked through the door:  Vending.  (Hence the recording.)

The questions included topics of San Francisco banning sugar-sweetened drinks, Redbox machines, cheese and peanut butter crackers, scoring free goods with a slug, and cigarette machines.  And all but one brought one of the contestants back in the black from being $1400 in the red.  

Nothing earth-shattering, but it's always cool to see your industry in the spotlight.  (And if I can find a link, you can bet it will be posted.)

Update 5/16/2011:  No video footage found, but view the catagories and questions from the episode here.

It’s no secret:  Hit the supermarket or gas station -- not to mention nearly anyplace else – and there’s little doubt that prices have risen noticeably over the past year.  Unfortunately, the same is true in our industry.

Why mention the obvious?  I know operators have been feeling the pinch of higher product pricing, and unfortunately, VE was forced to raise prices on our coffee products May 1.  We held off on riding the commodities fluctuations and absorbing the increases as long as possible, but now we’ve hit the point where we need to have an increase.  And, while we found ways to minimize the impact on our customers and absorb much of the increase ourselves, we still had to raise our prices by 3% on cappuccino topping, 10% on French Vanilla, and 20% on hot chocolate. 

We pride ourselves on trying to provide low-cost, high-quality products, and want to convey that we are hoping this is not a permanent change.  In a few months, before your busy hot beverage season begins, we will be reassessing our costs.  Hopefully, the market will cooperate and let us lower our prices back to where they started. If not, we will remain vigilant on addressing flux in the commodities market, and adjust downward as possible.

Remember the days when you went to school, picked your milk, drank it with your lunch and called it a day?  No more.  Chocolate milk, that is.

When I was in school, parents were given a form at the beginning of the year if they wanted to order milk for their children each day, including checkboxes for chocolate or white.  Mine was always white, with a bleak future lacking in chocolate milk for the year ahead.  Each and every year.  That being said, I dutifully took my half-pint, shook it (a practice I still use to make sure it’s liquid, even on gallons, resulting from a stretch of frozen milk cartons in the cafeteria, circa 1985), and finished every drop.  I recall the occasional bout of “why can’t I have chocolate milk,” but never protested too much.  Some kids were even signed up for two servings of the sweet stuff each day.  Two!

Not for long.  At least if some school districts have their way.  In the midst of the rash of schools-knowing-more-about-child-nutrition-than-parents, the latest casualty is chocolate milk.  An article published this week in the Wall Street Journal argues the point that some children will consume zero servings of dairy in a given day, were it not for the chocolate milk at school.  While I, personally, only let my children drink white milk or water, with the occasional (read: they might, might, get juice as often as once per month as a treat or at someone else’s house; chocolate milk maybe once or twice a year), there are a lot of kids where chocolate milk and juice are staples, and parents figure it’s better and easier to give the kids something that they’ll drink with some form of nutritional value than have no milk, fruits, or vegetables at all.  And if that’s what they select for their kids, then let it be.

Don’t get me wrong.  I’m 110% behind introducing more nutritious, balanced foods to school-provided lunches, and making them a permanent change.  But, even with that, it is the responsibility of the parents to teach their children about what is or is not good for them.  And there are many things on those school lunch menus far worse than a half-pint of chocolate milk.  

How will this potential change in some schools affect vending?  Have any vendors been asked to replace their former drink machines with those selling only milk, both white and flavored, now only to be required to ditch the flavors?  Wait and see…then show them the article and the sales difference between white and the others in your machines.  I’m guessing the decrease in the school cut will make keeping the flavors a little more palatable.

News broke Thursday about a city in Louisiana that has passed an ordinance banning vending machines from outside convenience stores.  

Gretna, Louisiana is trying to clean up and de-clutter their city’s image, and some vending machines are the first target.  Under the argument that the machines take away business from the local retailers and are not provide tax revenues to the city, they’re out.  Don’t worry, hotels and supermarkets can apply for a permit at $50 per year, and ice, newspaper, and propane vending is still A-OK.  Additionally, no existing machines will be grandfathered.

I can understand a city council in any given neighborhood to want to beautify their city, but what if these convenience stores are not open 24/7?  What if they charge more for the snacks and sodas available outside?  What if they raise the prices since there is less competition?  As a consumer, I would find the change pretty annoying, especially if I’m just stopping to grab something fast and there is a line inside.  I’ve been known to exit stage left without any purchase if the line is too long and there’s no vending machine, so who knows if it will really help local business?

I can’t say that I’ve ever been to Gretna, so I don’t know how big of an impact getting rid of these machines will make.  Not only is the change seemingly aggravating at least some of the residents, but it seems to me to be illogical.  Keeping them outside hotels or motels, I can understand.  Still allowing them in front of supermarkets?  Last time I checked, supermarkets offered more variety and more checkouts – not to mention self-checkouts – than a typical one to two clerk convenience store.  And the single-serve snacks and drinks are right at the checkout, in the front of the store.  

Wonder if this will meet enough resistance to reverse it, or if it is one of those things that residents will end up being accustomed. 

christine.papesch@veii.com

In this case, the middleman is that pesky walk to the vending machine.  

A vendor in Virginia recently launched SnackAndMunch.com, a site ensuring that you’ll never take a trip to the vending machine hoping for Peanut M&Ms, and end up with Plain.  (Or worse…nothing.)  The concept was developed just a few weeks ago, and has since received much media attention, including from NBC.  But how do you avoid hitting the vending machine to get vending machine snacks?

The website offers a wide variety of products – divided by category – ranging from chips to international snacks.  Simply go online, pick your poison, and it will soon be delivered right to your door.  Or your office, if you prefer.  There is no shipping cost, but snacks are only sold through the online vending machine in lots of 24 selections for $24, though you can get $1 off by making it a monthly subscription.

Will it take off?  If it’s marketed properly, probably.  While I would be more inclined to hit the wholesale club and buy a case of something instead of purchasing from a machine, I could see how office-dwellers in major metropolitan areas wouldn’t want to lug a bunch of snacks into the office, or risk forgetting to stash a pack of something in their bag before they leave in the morning.  Not only that, but they could always market it as a care-package service aimed at parents of college kids.  What student wouldn’t want to open a box only to find  a goldmine of snacks?

A few weeks ago, my church announced that they are now accepting online payments and automatic debits from your bank account in lieu of (or in addition to) dropping an envelope in the basket each week.  Part of me wasn’t surprised since things are going this direction.  Heck, I keep a minimal amount of cash in my wallet, just in case, but I’ve had the same $20 in there pretty much all year.  I’m definitely a card-carrying member of the cashless world.  Regarding church donations, though, more of me was surprised that what has become part of the weekly ritual has been automated.  Boy, am I behind the times on that one.

In an article published this week, I saw that not only are some churches heading in the direction of cashless, but they are making things even easier than that pesky automatic-debit.  Introducing the ATM-style donation kiosk.

In all fairness, this isn’t really an introduction.  After performing a quick Google search, I found an article from way back in 2006 citing use of the giving kiosks by Southern churches.  2006!  Plus, these things aren’t only for donations…users can pay for registered programs through them, too.  

Clearly, I’ve never seen, nonetheless heard of, one of these things before now.  I’m not sure that I’d feel right swiping my card on the way in our out of Church.  Plus, they’ll still be passing the basket, and that good-old-fashioned guilt would have me donating there, too.  (What if my mother spotted me not dropping an envelope?)  Though, I guess that I could see this taking off in some of the larger churches out there.  And if, or when, it does gain momentum, can you imagine Discover offering “places of worship” as one of the 5% cashback bonus venues for a given month, or getting extra points on your Visa?  I think I’d have to donate my cashback, too.

christine.papesch@veii.com

It’s seemingly a slow week for vending news, though, in this instance, the term “news” is a little different.  Sure, the deadline for the calorie disclosure comments re: healthcare regulations fell this week, there were tidbits about milk vending in India, smile-activated vending machines winning awards, yadda, yadda, yadda… But what about what the people really want to see?  And there it was.

I was actually performing a search to see what this ATM-style milk machine in India looked like, and, in the process, came across this image.  And this one.  And another.  (As an aside, the “ATM”-style machine must have been lost in translation.  It is called an ATM, meaning Anytime Milk Machine.  Looks like a regular vendor. Mystery solved.)

Chip bag stacked on chip bag -- stacked on chip bag.  Have you ever seen a jam quite like this?  I can understand one or two getting caught and a customer thinking, “I can get two or three bags of chips.  Jackpot!”  But, by my count, it looks like six bags are dangling in that first pic, waiting to be freed by an open door.  So, who kept putting in money and selecting A4 instead of a safe option, like A2 (love them Hot Fries) or something nice and heavy that’s closer to the bottom?  Maybe a better strategy for the coin game addict would have been to pick the chips in B3, in the hopes of dislodging some of the mid-air product with a side-attack.  Maybe that worked, a little too well, in the last case.  How do all of the products fall to the bottom of the machine?  Any experience with a situation like that?

Coke has a new fountain vending machine that is becoming more widely available, called the Freestyle.  What’s so special?  If you’re in the mood for a cherry-lime-vanilla diet caffeine-free Fanta, I’m pretty sure you could get it.  (To be fair, I think Fanta may already be caffeine-free, so that’s an easy order.)

The Freestyle not only offers traditional Coca-Cola offerings, but with all of the flavor options available, 106 concoctions can currently be ordered up.  If it doesn’t have what you want, give it a few months.  They’re upping the selections to 125 varieties.  Overwhelming?  Perhaps.  Also pure genius.

I’m a life-long Coke girl, but cut back considerably on my soda consumption over the past 15 years.  That being said, there’s nothing quite like an ice-cold Coca-Cola, especially if it’s straight from a soda fountain.  I’m not big on the flavors, but I’m huge on trying new things, so if I saw one of these, I may actually opt to concoct my own beverage in lieu of my regular side of water.  In general, people love to push buttons, make their own concoctions, and tell others, “yeah, I’ve seen that.”  This is a brilliant move to get more people to try their hand at being a sort of new-fangled soda jerk. 

I wonder what will be next in the world of fountain soda?  Mix-your-own-flavor-slurpees?  I’d be on board for that one, too.

Once again, Japan is on the forefront of vending, now with plans to offer charging stations for electric vehicles.

A number of companies joined forces to install 10,000 vending charging stations in one year, making an on-the-go “fill-up” relatively easy.  In a country where drivers don’t have very far to go to get to the normal places, this is a great idea to further promote the sale and use of electric vehicles, but I’m not sure how practical it would be in – say – the United States.

The vending industry is taking the leap to electric, as seen recently in Vending Times.  With electric commercial vehicles reaching ranges around 100 miles-per-charge, it is a feasible option for most vending routes.  But how will it fare for longer distances?

Conversely, with the sprawl in the US, I’m not sure that an electric vehicle would ever take off for the average consumer, at least with the low mileage-per-charge that is currently on the market.  A lot of people couldn’t even make it to work one way without breaking into the gasoline use mode.  These babies drive a mere 35 miles on a full charge (in the case of the Chevy Volt), which is great for trolling around town, but, unfortunately, not practical in this country.  If the mileage-per-charge increases and charging stations are readily available, that’s a different story.  Count me in.

Added bonus (to savings some serious gas $$$):  Not having to wait in line to pump gas when the prices are forecasted to spike.  Just go home and plug her in.  How nice would that be?

There is discussion in Cleveland this week regarding a proposal to implement a “Healthy Cleveland” initiative, combining the efforts of city government and local healthcare institutions.  Areas of focus include smoking cessation programs, nutrition, exercise, and behavioral health.  

It’s no secret that this city needs a boost, especially with over half of the year dedicated to snow and/or bitter cold.  Not conducive to a healthy lifestyle, at least regarding the great outdoors (despite the fact that we were ranked as the 15^th fittest city in the union in 2010…how’d that happen?).  But one of the major sticking points, at least according to the feedback on a recent article covering “Healthy Cleveland,” many are dead-set against more regulations infringing on personal choices.  There seems to be a lot of flap regarding limiting the type of items available in vending machines in public buildings, banning trans-fats in restaurants, a la NYC (who also recently banned smoking in public outdoor locations), and the like.  Seems like there will be some vocalization on if, when, and how this initiative is launched.  

I’m all for making healthy options more accessible.  And I’m definitely all for finding more healthy activities in the area, especially during the cold stretch.  One of the proposed programs is to reintroduce gardens to city schools, something that is a great learning tool for the classroom, both scientifically and personally for the students.  And offering healthy options in vending machines on public property?  Great!  That being said, is it the place of the government to mandate what people do or do not eat?  It seems that ways to introduce “Healthy Cleveland,” if it does pass through, will need to be carried out delicately.  Perhaps offer healthy foods alongside regular snack machine fare?  

I’ll be interested to see how it plays out going forward, and hope there is some happy medium between encouraging healthy habits and mandating personal change.

My husband works for a company that is fully serviced by a vendor that provides regular snack and soda machines, as well as a number of cold food, ice cream, coffee, etc. machines, and their office coffee service.  He often works through lunch, gets out of meetings late, or just can’t manage getting out of the office to grab something on his lunch hour, so he makes trips, I’d say several times a month, to assemble a lunch solely from the machines.

I get to hear the ups-and-downs of his experiences with the food regularly, I suppose with good reason.  After all, I am with a company that likely supplies the parts and equipment this vendor uses.  He never much liked the machines, then full-out raved about the salads that started cropping up about a year ago.  Fresh, healthy, bigger than a side salad, but not overly huge, and reasonably priced.  Then, a few months ago, the switch was made to smaller salads, with less “stuff” for the same price.  Well, produce is going up, and maybe they’re trying to maintain the price, I told him.  A few weeks later he told me there were no more salads, and he had to choke down carrot and celery sticks with light dressing, since that’s the only garden-variety option available any more.

Fast forward to recent history.  Just yesterday, he came home, again griping about the time-line of the healthy options.  Nice salads, small salads, carrot sticks, and now…nothing.  A wide array of burgers, chicken sandwiches, and other non-veggies were all his options, and he was none too thrilled.  Not that he couldn’t eat something that was available, just that he is trying to find something healthier to eat.  I told him he should contact the operator and ask that they try to provide more healthy options.  I don’t know that he’s going to do that since I’ve never seen a comment sheet there, but that would be a heck of an opportunity for the operator to make a lasting impression and increase sales.  Let customers tell you what they’d like, and they’ll be more likely to purchase it.

Keep your eyes and ears open to customers’ needs and wants.  Do you or any operators you know have a regular way to gather feedback from customers?

Those chanting, “I want candy,” may soon be changing their tune.  Cyclones and flooding in Australia, plus freezing and cold spells in the US and other parts of the globe have ruined much of the world’s sugar cane crops for the year, driving prices higher than ever before.  The result?  You guessed it.  Raising prices on finished goods.

Candies, cookies, and cakes, especially those created in small batches, will need to raise prices significantly, if they haven’t already.  The good news is that since the domestic price has been notoriously high for sugar, many farmers who have been struggling are getting a boost due to the internationally inflated prices.  (Click here to see a related article.)

The (other) bad news?  Chances are the candy and pastries in vending machines will see a hike in the not too distant future.  Personally, a price hike may keep my waistline trimmer.  Those Sno-Balls and Lemon Fruit Pies have been calling my name for months at the local grocery store, but even though they’re on sale for just $1, I am notorious for reading nutritional and ingredient information on everything I buy.  So the $1 combined with re-confirming my knowledge that those treats pack in about 500 calories, never mind fat and sugar content, high fructose corn syrup as an ingredient, etc. have been keeping me away.  Were they in a vending machine, especially if the price were slightly less, the lack of reading the label beforehand (for now), I would probably succumb to the tasty bits, no problemo.

Will the price increases be enough to keep customers from buying sweet treats in vending machines?  Probably not, especially since the prices will go up across all channels, but some may think twice about a candy bar if the price is higher and they have the nutritional panel staring them in the face.  Double whammy.

christine.papesch@veii.com

A woman in California has filed suit against Ferrero USA for misleading her and potentially harming her family’s, namely her young daughter’s, future health.  No, there was no near-miss on physical harm, but the mother was “shocked” when she found out that Nutella was not healthy.  What’s the best thing to do when you find out something is not healthy as you thought?  Sue, of course!

That’s right: Nutella. Is. Not. Healthy.

This article notes that the plaintiff recently discovered through friends that the product is full of fat and sugar, after some time of purchasing it because she was looking for healthy breakfast and snack alternatives for her daughter.  Though she claims to be reasonably educated about her food purchase decisions, the court documents state that she does not have the professional background to determine that fat and sugar are not healthy and could adversely affect health.  (My personal favorite quotes are on page 7, line 26, through page 8, line 3.)

I’ve been under the impression that the government steps in to make sure that propaganda surrounding food and drink in this country needs to be accurate, and, being someone who worked at an ad agency in college, have personally seen that there are ways to phrase things so that there are no legal liabilities or false statements. [As an aside, I wrote an ad for a hair removal treatment that “felt like a slight snap of a rubber band” (read: it hurts); “may leave red marks on some patients” (read: permanent scarring may occur); etc.  No lies, just a pleasant list of possible side-effects.  It had to be approved by a physicians’ board to make sure there were no false statements, and I’m sure the same is true for consumables.]  If this isn’t the case, should Ferrero, in turn, sue the ad agency that developed the campaign?  After all, not being scholars in acceptable advertising practice, how are they supposed to know what is or is not acceptable?

It is no secret that I am no fan of the craze of suing, especially when it should really be pinned on personal negligence or ignorance.  Although, if this moves forward and the plaintiff wins, does that mean that I can claim free Nutella for the past four years? Score!

Let’s be honest…how often do you get a chance to go to the library?  For many adults, it’s probably not as often as we’d like.  Finding the time to get there is one thing, but what if it’s too far away on top of that?

If you live in Polk County, Florida, it’s not so far after all.  

A couple of vending machines are now available in a tourism center, full stocked with books and DVD waiting for eager library patrons to bring them home.  Just like the library without as wide a selection, the vending machines only need a library card swipe and – voila! – the items are checked out for three weeks.  What could be easier than that?  Well, other than door-to-door delivery.   

This concept would be so easy to implement for libraries that it seems like it should take off.  It would be great if you could check what was available in the machine online, place a hold on a title in the machine, or make a special request that is loaded into the machine the next time it is stocked.

Now if only I could find the time to read…

How would you like to approach a vending machine, and have it suggest what you should be eating?  Let’s go one further and have it suggest what you should be doing to maintain your appearance.  Only in Taiwan.

Taking vending further than even any Japanese machine to date, the Taiwanese have vending machines that use facial recognition (similar to those used to sell cigarettes to those of age) to determine what a potential customer should purchase.  If you’re looking a little wrinkly, perhaps the suggestion will be for something high in antioxidants, or for some anti-wrinkle cream.  That’s right, this article stated that if you have a beard, it might suggest a razor.  Lack some hair?  Why don’t you invest in some Rogain?  If I could get some advice on looking better and/or younger, I’d visit this thing every day.  Though, I can see how I’d be annoyed with it if all I wanted was to buy some Sno-Balls, and instead I’m told I should instead opt for water, and lots of it.  Fear not, it records any purchases not made using the recommendations and tweaks future suggestions.

Would you use it?  Will it make way Stateside?  My guess is not any time soon, but I’d sure like to see one of these things.

christine.papesch@veii.com

I came across a blog post over the weekend that cited new research indicating that parents do not have as much influence over their children’s diets as one might think.  (Read the post here.)  Blaming outside influences, vending machines among them, on the rising rate of obese children, everything and everyone from advertising to friends may have a heftier pressure on what kids are eating.

As a parent myself, I find it more difficult to feed my children well when others are around.  Being out of the norm and not relying on a steady diet of chicken nuggets and fries, I try to stress how important it is to eat only a little of some things (chocolate or butter) and a lot of others (vegetables.  And more vegetables).   Even when we have to get a meal on the run, they are excited to get apple slices or a container of milk from a machine or drive through because getting it away from home is already a treat.

From experience, I’d have to agree that outsiders have huge influence on children’s developing habits.  My oldest had never been a picky eater, and since being more aware of what people say, both with and without words, has become less cooperative on the mealtime front.  Friends, family, strangers…they push soda, candy, chicken nuggets, fries, hot dogs…you name it, and I’ve had a near argument or had to respectfully decline things that I either don’t want them to have at all (giving a toddler soda isn’t really necessary) or things I don’t want them to have that often (do you know what’s in a regular hot dog?).  Not only have my kids seen this, but they also notice when special meals are made for the “picky eaters” at someone’s home, when we hold tight and say, “eat this or nothing.”  The rule is, take at least one bite of everything each time we have it.  So far, we have been asked why the other kids get something separate and don’t have to even try what everyone else has, but we also see that when offered something that should be a treat, it is treated that way, and they don’t gorge themselves until they are sick.

Despite these influences, the voices from home are the ones to whom they all eventually go back.  Not only that, but many “third parties” – vending machines, restaurants, TV shows – are actually offering or promoting healthier options for children.  Maybe the turn toward positive reinforcement will pay off.

Yesterday, news broke of yet another child who somehow climbed into one of those crane machines (http://www.newser.com/story/107406/tot-rescued-from-toy-vending-machine.html).  It seems that, at least for the past several years, an unsuspecting parent calls the fire department to rescue their little darling from one of these things at least a couple of times per year.  And those are just the ones that make headlines.

I don’t doubt that it’s possible for a child to get caught in one of these, though I’ve checked them out, and it seems like it would take more than a few seconds for a wee one to climb through the chute and into the holy grail of stuffed animals and sports balls.  As a mother of (very) active young ones, I know that small children can get into things that we adults would never think of, but a claw machine?  I have no idea how even the smallest independently mobile child could wrangle themselves into one of those -- barring the giant Dave & Buster’s big-enough-to-live-in crane machines – especially under the even half-watchful eye of a parent.  

So, which will come first…fines for parents who aren’t watching their kids, or a lawsuit and some “safety-measures” to ensure the little ones don’t get caught? 

Recently, Japan rolled out a new member to their extensive vending machine family – a machine that selects for you.

The machines are equipped with facial recognition software to determine your age, gender, and, of course, what you want to drink.  It will probably come as no surprise that I’m all for gimmicks, but this seems like an odd one.  Since I’m not a man, I’m likely destined to never get a coffee drink in the beverage machine lottery, since I’d prefer “something sweeter,” according to my demographic.  Keeping that in mind, I’d mosey on up to the machine at least once or twice to take a chance on subjecting my taste buds to one not-so-random selection from a bevy of beverages.  Okay, I’ll admit, while sometimes I could go for a Frappuccino, I could be swayed if I were not dispensed the same item every time I put in a buck.

When I first saw news break of this machine, I have to admit, it made me think of a friend of mine.  When I first started at VE, he asked if there was a gadget we could hook up to “one of those robo-arm machines” [read: BevMax] to randomly select a beverage, just so he could watch the arm go crazy before dropping a bottle.  He said he wouldn’t care what he got, just as long as his dollar entertained him and he wasn’t left empty-handed.  Maybe the Japanese are on to something. 

I don’t know that there is a person on earth who genuinely believes junk food is healthy. Even I, who can rationalize the health benefits of every food under the sun (Milk chocolate? Dairy! Cocoa beans? Protein! Fruit…or is it a vegetable…You get the idea), know, deep down, that the word junk isn’t haphazardly placed in the title of certain consumables. But can a strict diet of unhealthy fare actually be…healthy?

Yes, to a point, according to a recent experiment by a Kansas State University professor of nutrition. Over the course of two months, this guy dropped 27 lbs. and lowered his cholesterol by maintaining a steady 1800 calorie diet of snack cakes, chips, and candy bars, with the occasional carrot stick for color. No joke. You can read about it on NPR, and hear the story first hand here: http://www.npr.org/2010/11/12/131286626/professor-s-weight-loss-secret-junk-food?ps=cprs.

So, what is your take on this? I’m thinking those lingering Halloween goodies won’t go to waist (pun intended).

christine.papesch@veii.com

Hot on the heels of Halloween, I came across an article touting the release of the fourth generation of cotton candy vending machines, machines I never even knew existed.  Since 2003, Cotton Candy Vending (www.cottoncandyvending.com) has been sweetening the world, 70 calories at a time, with freshly spun cotton candy. 

I had never thought of a vending machine for fresh cotton candy, only the bagged shelf-stable stuff that I’m not even sure I’ve ever tried.  But in a world of fresh pizza from a vending machine, why not?  I have never seen one of these machines around Cleveland, but if there were, I’d probably mosey on over to shell out the $2 needed to watch the magic.  Cotton candy is one of those childhood fair memories where half of the fun was watching being made before getting the fluffy cloud of the stuff on a stick, never in a bag.  Could I be convinced to take my kids to a machine to get the treat?  Probably not, unless it was located at a summer carnival in lieu of a trailer, but I’d definitely give it a whirl myself.

Have you seen one of these machines, or, even better, used one?  Let us know what you thought (and where you spotted it)!

christine.papesch@veii.com

As you may recall, Vendors Exchange recently held a 50^th Anniversary Open House, inviting customers to tour the facilities, learn more about our company and products, and gain insight into where technology is driving the industry as a whole.  From the time guests entered the door, our goal was to make everyone feel welcome and help our customers in any way possible.  Throughout the day, members of VE and customers shared knowledge, food, conversation, samples, and great discounts (if we may say so ourselves!) to make it worth the trip for those who took the time out of their busy schedules to share the day. 

Mike Kasavana, PhD, shared his knowledge with attendees on the how technology is driving the industry, and how to keep up.  If you missed him, or would just like more information on his insights, he has an article on Vending Market Watch that is a must-read for any operator (http://www.vendingmarketwatch.com/web/online/VendingMarketWatch-News/Vending-Technology-Experts-Mike-Kasavana-And-Glenn-Butler-Further-Examine-Value-Of-Open-Data-Standards/1$28293).  There are also podcasts from the day that may be heard through http://www.vendingmarketwatch.com/podcast/, that give an idea of attendees thoughts throughout the day.  

Thank you, again, to all of those who attended the Vendors Exchange 50^th Anniversary Open House.  It was a huge success, and we hope to make it an annual event!  (Hint, hint:  Keep an eye out next fall!)

A British company, Drench, in honour of its newest product, Juicy Drench, is, for a limited time, giving away free bottles of the water with 8% fruit juice drink from vending machines throughout the UK.  The catch?  You have to use your brain.

Armed with a flurry of clever copy on why staying hydrated is important (my personal favorites being alertness and concentration), Drench is challenging customers -- or potential customers -- with games played on their Smart Vending Machines, which will dispense the beverage once the “purchaser” successfully completes the brain games.  What kind of games?  Counting, sorting, matching and searching are all included.  If you aren’t planning on being in, say, Birmingham (UK, not AL) on September 5, you can play the games from the comfort of your own laptop. 

What a great idea to create a buzz around the product.  Free press, free product, free word-of-mouth.  And the busy settings where the machines are located will certainly draw a crowd. 

I would love to see one of these in action.  And not be the person who is really thirsty and can’t complete the game.  Perhaps players should being their own bottle or some change as a back-up.

A few short weeks ago, Vendors Exchange lost a dear friend and colleague.  Dave Nicolli, a member of the VE family for 16 years who specialized in prepping new equipment and bill changers, passed away suddenly on July 15^th.  All of us at Vendors Exchange are deeply saddened by his loss, and our condolences go out to his family as he was taken from all of us far too soon. 

Many at VE shared fond memories of Dave, his love of family, love of golf, and his kindness, including just a few of those by VE colleagues shared below:

Dave would peek through the parts racks and give me a wave from time to time.  It still feels strange that he is gone and I won’t see him.  He was so proud of his grandchildren and his family.  He came around with new pictures and would beam. I stood in line last night at the wake for Dave waiting to talk to his sons…[his son] said, “My dad didn’t always love the work, but he always loved the people at VE.”  I don’t think any statement summed up Dave more perfectly than that.

In a very close skins match with the bulk of the money on the line, Dave asked me, “Do You Inhale or Exhale when you swing the club,” as I was standing over the ball lining up my drive on the last hole! Dave won the money! Gotta love him!

Dave was such a very good person. He was always so good to me & helped me with whatever I needed. Every time I saw him it would put a smile on my face & I’d get a “Hi Hon”. I have a lot of good memories of Dave & am very fortunate to have known him. The world needs more class acts like Dave. It’d make the world a much better place. 

christine.papesch@veii.com

I saw a link to an article that I found very intriguing today.  A sandwich that can be vended from any old can soda machine.  

Conceived from the notion that anything can really be vended in a can, the Candwich, or sandwich-in-a-can, provides a quick, convenient, shelf-stable alternative to those on-the-go looking for a quick lunch or snack.  Some may think this is a bizarre idea, or even think it a bit…gross…to eat a sandwich out of a can.  Why?  I’m sure they are the same people who poo-poo spam, but who hasn’t popped open a canned ham, had some squeeze cheese, or had some other not-meant-for-a-can food, out of a can?  This is a great idea.  Novelty alone will get some sales, but imagine the possibilities for camping stores, quick back-up meals, non-dehydrated emergency food…not to mention a whole new way to use or expand the audience using your soda machines.

Four varieties are available so far.  Classic PB&J, both strawberry and grape, each with some assembly required; bbq chicken; and a pepperoni pizza pocket, with the meat baked right in.  I suppose the only thing that raises an eyebrow for me is the shelf life of the bread.  One year.  That’s a long time, and makes me wonder what preservatives are in it, but that’s not enough to keep me from trying one.  The product is going to be released out West, but hopefully is migrates East soon.  

Add this one to the list of things that gets me saying, “why didn’t I think of that?”

I am temporarily without a washer or dryer, so I find myself, at this moment, sitting in a Laundromat.  It has been several years since I last took advantage of one of the self-serve locations, favoring my own home washer instead.  My loads are in the machines, leaving me sitting at a table in the back, tucked away next to the vending machines.

Obviously, I cannot help but check out the selections – one soda machine, $0.65 per can for the regular options; and one snack machine, with items ranging in price from $0.25 all the way up to a full $0.75.  The snacks include chips, Snickers, Peanut M&Ms, pastries…it’s all there.  But I found something slightly interesting and downright brilliant.  Those not-packaged-for-individual-retail-sale packs of brownies and fruit snacks, not to mention a whole box of Nutty Buddies waiting to meet the coils once the last brownie drops. 

There is nothing particularly special about this machine, and, no doubt, my interest in it piqued mostly due to my employer.  That being said, offering items that are “healthy” (nuts, crackers) for so low that a soda and a snack can be purchased by the audience who is captive in front of it for at least an hour is simply brilliant.  I know it’s been done before, but it’s definitely something to consider for those with such fortunate location placement.  In the short time I’ve been sitting, one person has purchased, and admitted to buying another snack.  Once she sees what change is left after loading the dryer, of course.

I’m down to 45 minutes or so left, just enough time that I may just end up with a little snack myself before heading back home.  $0.30 for a bag of Jenny’s  Hot Cheese Popcorn?  I’d not only be supporting a product manufacturer from the town where I live, but a local vending operator to boot.  And for those prices, how could I pass it up?

A blog post was forwarded to me by a colleague on vending machine locator services.  (Read it here.)  Not surprisingly, the author was dead-set against them. 

Back when I first started at VE, I asked one of my colleagues about these services, and whether they were used a lot.  In not so many words (actually, not so few words), I was told to run, don’t walk, away from them.  In a nutshell, I was told that they take the customer’s money, find as many locations as agreed, and hit the road.  Fair enough, but I wondered what they offered that someone couldn’t do themselves, since this little thing called “added-value” is usually what drives people to hire someone else to do something they could easily do themselves.  Let’s say, saving time, as an example.

My understanding is that locators might cut down on the grunt work, but in the end, their clients do not make nearly the profit they should, or could, be making, had they done their own research and taken the time to bid on locations prone to success.

I can’t say that I’ve ever personally encountered anyone who has had a personal experience regarding their dealings with using a locator, but if you ever have, I’d love to hear about it – good, bad, or indifferent.

There has now been talk for some months about the effect of health care reform and calorie disclosure rules on vending.  In the grand scheme of things, vending operators have a relatively easy and uncomplicated set of rules.  The website lexology.com has provided a clear, concise explanation of what is required, from who the law covers to what exemptions exist.  How nice is that?  Of course, there are bound to be changes and adjustments in the rules before the disclosures are required to be implemented, but if you’re at a loss of what you may need to be prepared for, this can be a good starting point.

View the article here.  You do need to register for the site, but you’ll gain access to a plethora of legal information that you may be able to use now and down the line.  (Or you can just cancel when you’re done.)

A few months back, I mentioned a new use that had cropped up for cigarette vendors in the Art-O-Matic.  Now, another revival of the cigarette machine is being seen overseas. 

In Hamburg, Germany, tiny books are available for 4 Euro each at the university, all written by authors from the city.  A wide range of genres appeals to pretty much anyone who walks by, but it is definitely another novelty (no pun intended) machine.  How will the book vendor fare in a world that has paperbacks competing against the likes of Kindle and the iPad?  Will there be regular customers, or just those intrigued by the concept once?  I have to mention that, apparently, all of the titles available in the machine are also available online. 

Maybe it will be well received, and the concept will begin to pop up in the US in trendy neighborhoods and colleges where there may be a market for it.  What do you think?  It’s certainly has carved out a unique niche.

Have you heard about the latest vending machine?  Pepsi and Waste Management have introduced a machine to encourage recycling, “The Dream Machine.”  Old cans and bottles can be deposited into the machine, and the customer gets points in return to redeem for prizes.  The intent is to place the new machines in high traffic areas to garner a lot of attention (and participation). 

I’m all for recycling, especially since it is now so easy.  I remember when my town started recycling when I was young, and everything had to be separated:  one box for brown glass, one for clear, one for green; one for aluminum cans, one for steel…you get the idea.  It was pretty cumbersome.  Plus, you could save the aluminum and bring it to a center for (a very little) cash.  I’m guessing that a lot of my neighbors found it easier to just pitch the recyclables out with the trash, but did see the occasional bag get hoisted into the car for a trip to the Golden Goat. 

So, now that things have changed, will these reverse vendors be like a modern day Golden Goat machines?  I can’t imagine a kid nowadays going into the mall or another similar location (where these machines are planned to be), bag full of empty cans in hand, waiting in line for the person before to finish unloading their recyclables.  To be fair, this reverse vending machine seems to be targeting those who finish a soda and are looking for a trash can to dump it in, but once the list of prizes is released and these machines start getting widespread recognition, it will be interesting to see if some sort of point frenzy occurs.  Wait and see…

christine.papesch@veii.com

I heard about a new type of vending machine today, and had to find out more.  It doesn’t do anything fancy, offer a show to the user, or involve any high-tech features; it’s just a regular old glass-front machine.  But what is inside caught me off guard.  Spray paint. 

The thing that makes this machine so unusual is its intent:  Graffiti.  The Graffomat (www.graffomat.com) offers anything and everything, from paint and markers to gloves and ski masks, that a graffiti artist could want.  See a blank canvas on that highway overpass but lack the supplies in your car?  You may be in luck if a Graffomat is nearby. 

I’d like to be a fly on the wall when a city makes the decision to allow one of these machines within its limits.  Are there places that encourage graffiti?  Also, I find it funny, if not a little improbable, that the vendors in the photos of the machine are in front of a graffiti covered wall, with not a mar, scratch, or sign of paint on it at all.  Not that I have any experience, but if I had to put money on what would be first in line to get decorated… 

Any thoughts on this one?  I’m curious if anyone has actually seen one out in the field!

christine.papesch@veii.com

This week, I’ve heard a lot of talk about the KFC Double-Down.  Personally, it doesn’t sound that bad to me, but I also like the occasional pork rind or liver and onions, so I’m not as easily put off by different food choices as much of the company I keep. 

In light of the new calorie-counting disclosures to be implemented in the not-too-distant future, I opted to look up how “bad” the Double-Down actually is.  Truth is, it was not as bad as I had expected.  The introduction of the Double-Down seems comparable to that of the Hardees Monster Thickburger:  widespread disgust, but evidently, it sells, since it’s still on the menu.  The new creation contains approximately one-third of the calories of the Monster Thickburger, though (around 500 versus 1300).   To give an idea, the calorie content for the new bacon cheese sandwich with a fried (or baked) chicken bun is comparable to that of a Big Mac or a Hostess Cherry Pie.  Not an everyday indulgence, but definitely something that someone may have a hankering for every now and then.

It will be interesting to see how displaying calorie-counts will change consumer behaviors.  No doubt consumers may think twice about getting those 500 calorie sandwiches, but those who really want them already know, or at least should know, that those selections are not the healthiest on the menu.

christine.papesch@veii.com 

A friend of mine brought up the possible “Snack Tax” today, looking for some thoughts on it.  My immediate reaction:  Use obesity as a scapegoat to tax items that are made to be cheap because of government subsidies, then offering a foggy definition of what constitutes junk food?  No thanks. 

I later did a quick search to see what information I could come up with relating to the possible tax.  Most of the information I found pegged soda and pizza.  Soda, I get, pizza, I don’t.  What if it’s whole-grain, unbleached flour, heart-healthy olive oil, fresh tomatoes, low-fat cheese, loaded with vegetables good-for-you fare?  Is it still junk?  And if factors such as high-fat are used to define what snacks make the cut, will nuts be taxed?  There are too many variables for lobbyists to even know where to begin.  

Even in our industry, vendors are seeking to provide healthier options for customers, but would they be healthy enough to make the grade, and will it be worth stocking a candy bar or soda if you have to add another $1 to the price.  Sounds like disaster to me.

I’m all for offering healthful alternatives to the over-processed foods on which this country has become heavily reliant.  Ever look at the ingredients on a loaf of bread?  The plain white bleached flour, high-fructose corn syrup breads can be purchased for under $1, but look for whole grain without any high-fructose anything, and you’re looking at darned near $4.  That being said, why not level the playing field, or skew it in a different direction, by subsidizing, say…oranges or lettuce?  Make it more affordable to eat well, instead of taxing the junk that is cheap now.

With the recent passage of health care reform legislation, there is talk of how this will change vending operations.  As with anything regarding a business, it is important to keep up with how different factors will affect your bottom line.  No doubt, it can be a daunting task, but there are several ways to lessen the burden, thanks to technology. 

AMOnline.com and VendingTimes.net both offer frequent e-mail updates including headlines covering everything from job changes to legislative news.  Combine this with the Google Alert service (also free), where you can set up specific search terms and have relevant items delivered to your inbox each day, and you can easily keep up with current events that may influence how you operate.  Also, NAMA has a link on their site dedicated to legislative alerts, which posts an average of one item every week or so, found by clicking http://vending.org/government/bulletins.php.

With all sorts of legislation that may affect your bottom line, it is more important than ever to keep abreast on current events, and easier than ever to do so.

There is no doubt that by now, a slew of traditional movie rental stores have fallen victim to the novelty, convenience, and low price of the RedBox.  Even though if a customer were to keep a RedBox video for the same amount of time as a store rental, the prices of each would probably end up about even.

We just discussed the RedBox less than a year ago, so why bring it up again?  Well, in today’s mail, I received an ad from Hollywood Video.  Sign up for a discount plan and get rentals for $1 each, with no late fees and no return date.  Intrigued, I checked their site for more information (http://hollywoodvideo.com/offers.aspx).  Much like a movies-by-mail subscription service, such as Netflix, customers pay a monthly fee, then receive “points” to redeem for rentals.  After reviewing the details, I found myself not completely convinced that it was a great deal, but then again, I don’t rent a lot of movies.  That being said, I have experienced a marked increase in the frequency that I rent movies since there is a vending machine in the front of my local supermarket.  And outside of the next closest supermarket.  And at the Wal-Mart.  And at…you get the idea.  This gal is stuck on the machines, at least for now.  

It is interesting to see each company’s efforts to combat the vending machine rental.  It’s certainly an increasingly competitive market.  There is no doubt that standard rental storefronts have a greater selection, but the 24-hour, no fuss machines are not only inexpensive (even free with promotional codes offered in anticipation of customers keeping the rentals for over one day), but incredibly convenient, being in high-traffic locations, with round-the-clock access.  The machines are definitely nipping away business from the storefronts, but I’d be interested to see how many RedBox fans would be making way to a Hollywood or Blockbuster if the machines did not exist.

christine.papesch@veii.com

This doesn’t simply involve the cost of complying with the regulations, but also the possibility of rethinking product offerings.  Research has found that, when armed with calorie content and other nutritional information, consumers eat less and make different choices.  This isn’t surprising…heck, I check the label of everything I buy (and things I don’t buy), to the point that I don’t need to read the label in a vending machine.  I already know what’s in the stuff.  That being said, if I want one of those 500 calorie fruit pies, and the label is plastered in front of me instead of tucked neatly on the reverse of the package, I’ll probably think twice and get something else.  That’s why I only buy those from a machine:  no label access.  Point being, I’m guessing I’m not alone in the comfort that the nutritional ignorance provides, and once this information is posted on machines for the world to see, product offerings may need to change.  It might be harder to get a buck for the chocolate that is posted next to the organic fruit-and-nut bar with carob coating.  

It will be interesting to see the impact on vending products in the year ahead.  

christine.papesch@veii.com

Ever wonder what happened to all of those old pull-knob cigarette machines?  Some of them are being refurbished to provide reasonably-priced art to the masses.  

For just $5, someone can purchase a unique, one-of-a-kind piece of art, ranging from jewelry and bookmarks to small metalwork and paintings.  Over 400 artists provide their work to these Art-O-Mat machines, each piece hand-crafted and unique.  The sky is the limit with the type of art offered, with one small limitation:  each item must fit within the confines of a cigarette box sized carton.  It seems like quite a feat to pull off, but the project’s website lists many of the participating artists, complete with a photo of a sample of their work.  It is really quite remarkable the creativity that can fit in a 2 1/8” x 3 ¼” x 7/8” package.

I love seeing old things get a new purpose, and this is no exception.  Something fun and funky that has appeal, if for nothing else than novelty.  Sometimes in a world of everything serious, that’s a nice change of pace.  Hopefully the trend will catch and we’ll see some more ways to teach an old dog new tricks, so to speak.

So, if you’re looking for a stocking stuffer or an inexpensive gift for that eccentric aunt (they always get a bum rap), this may be the ticket.  Heck, for $5, I would check it out.  When will they send one to Cleveland?  Check it out at http://www.artomat.org.

christine.papesch@veii.com

Some consider Sephora a mecca of sorts for anything and everything beauty-product related.  Not only does the store carry nearly every imaginable brand of cosmetic, but now the retailer is hocking some of the more popular items through – you guessed it – vending machines.

Now with locations inside many JC Penney stores nationwide, a test is being done vending products sold by the beauty giant in smaller locations unable to house a full Sephora shop.  It will be interesting to see how sales fare, especially since one of the perks of the full store is the ability to test a product or scent before purchasing.  But loyal followers may make, and keep, the machines popular, adding to the growing list of non-traditional vending items. 

Just another way the vending machine is becoming more and more mainstream for higher ticket items.

christine.papesch@veii.com

The push for healthy food in schools and access to affordable fresh food in this country has a new poster child – Rachael Ray. 

New York City public schools are now offering Ray’s meals to students as part of their initiative to provide more well-balanced diets to students during school hours, and beyond.  Some even offer breakfast and lunch year-round to students to ensure a healthy diet even when school is not in session.  Ray hopes the program helps reduce the childhood obesity rate, which lies at 40% in NYC schools alone. (http://www.abcnews.go.com/Nightline/rachael-ray-school-lunches-yum-upgrade/story?id=9163144)

Combine this initiative with vending and not only can schools deliver fresh meals to students, but they can reduce time waiting in line so these kids do not have to literally eat and run.  It seems that machines like the Star Food machine may logically be the next wave in healthy eating options for schools. (http://reimbursablemeals.com)  Load them up with school- (and kid-)approved meals, and empower the next generation to make healthy selections now and in the future.

These efforts cannot replace what kids learn in the home on nutrition, but providing nutritional options throughout the day is certainly a step in the right direction.

christine.papesch@veii.com

This week, a flurry of snippets regarding the most recent of the odd vending machine ideas has cropped up.  Japan now has a hamburger vending machine.  In theory, it’s a great idea – get a fresh, hot burger, right when you want it, without waiting for it to be made.  

What will they come up with next?  I’m all for new ideas, but this could quite possibly be the most inefficient use of a vending machine.  Just point me to the nearest drive-thru.

christine.papesch@veii.com

In recent weeks, there has been increased coverage on an initiative to fight childhood obesity, led by first lady Michelle Obama.  The Department of Health and Human Services has tagged nearly $500 million in stimulus funds to go towards promoting healthier habits, targeting the younger generation.  The White House has also included $1 billion in the Recovery Act for health-awareness related programs.  Earlier this week when addressing the department, the first lady said kids need to “just eat [their vegetables],” laying down the law for healthy habits.  Everything influencing a child’s nutrition, from cafeteria selections to – you guessed it – vending machine offering, is being targeted by the campaign.  It is great to be endorsing healthy habits, but she admitted that habits must be instilled by parents, and there is only so much the government can do without support of caregivers.  

Healthy habits begin at home, and, as has been noted in news stories, when kids do not have access to the candy bar they want at school, they will find a way to get it, whether it is supplied at school or not.  Make sure lunch options are nutritious and provide what the kids need?  Absolutely.  Revamp the vending machine to eliminate sodas or chocolate?  I’m not convinced this is how to change the thinking of the population.  How the funds will be used to increase health and decrease childhood obesity is yet to be seen, but am definitely interested to see the direction it heads.  Processed foods and those that are usually deemed unhealthy are often the less expensive options, and, especially in the recent economy, tend to be purchased more frequently, setting the taste for what the younger generation wants.  Maybe some of the stimulus can go toward making these healthy options more affordable for the average Joe.  

christine.papesch@veii.com

You may recall the post here form a few weeks back regarding Spanish company Lof’s prepared fresh food vending machines.  Now, a small farm in Germany is taking it one step further.  Imagine doing your grocery shopping from a vending machine.  Sounds crazy, right?  Peter-und-Paul-Hof, the farm bringing new life to vending machines, sells fresh eggs, cheese, butter, produce, sausage, etc. through a regular old vending machine.  Not only are they able to offer fresh foods to customers, but they cut out the middle-man, which is better business for everyone.  (Check out this article on the concept.)

As unconventional as this seems, it is merely another non-traditional use for a familiar favorite.  I don’t know of anyone that does not think of vending machines as convenient alternative to the store for snacks and drinks, so how might this take off stateside?  I would initially be leery of the freshness of the products, but as long as I could see a “sell by” date and tried the items once or twice to be sure, I could see this as a quick alternative to a grocery trip.  Some common staples available outside your local gas station any time of day, with no waiting, no lines, no having to make a special trip?  Sign me up.

christine.papesch@veii.com

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 A Spanish company, Lof (short for Lofresco), is trying a new approach to healthy vending.  Rather than focusing on just organic foods and snacks, they are trying a more balanced approach with a focus on nutrition.  According to the website Springwise.com, "Their machines, which are supplied, installed and maintained for free, sell nuts, prepared fruit, ready meals and Spanish speciality, gazpacho soup." 

Based on my observations from the recent NAMA Show in Chicago, the trend toward healthy eating is not going to slow down.  Operators are looking for more and more inventive ways to maintain profits and satisy their customers' requests for healthy options.  As we hear of more opportunities, VEI will provide the information!

 rick.solomon@veii.com

Waiting for the new Gum and Mint Tray from VE?

We understand your frustration with the delay of the release of this product!  We can promise you that we wish that the product was out in the field as we anticipated a couple of months ago. 

Originally, the tray design was simple enough to go into most machines without a problem or product hang-up.  What we discovered as we tested on more and more machines is that used vending machines come in all sorts of conditions:  Cabinets are no longer square, doors sag and vend buckets take a beating.  We knew this would be an issue, but we had to design the tray for all of these situations.

We have now made all kinds of adjustments to account for the variety of conditions of the machines out in the field.  We can tell you that all of the testing that we put through on this product has made for a tray that will be easier to install and will work properly from the get go.  10,000 vends in 30 test machines and more than 100 trays out in the field gives us this confidence.

So, with our adjustments and design changes complete, production has begun.  Trays will be available this month to help you maximize the value of your snack machines in the field with the gum and mint products that your customers are currently purchasing at the local convenience or drug store.

Thank you again for your patience!

I read with interest a recent article on MSN Money about the success that Whole Foods Market was enjoying even in the recent recession.  Many expected the grocery store, nicknamed "Whole Paycheck", known for its high end produce and organic foods would struggle as people look to save money anywhere they can.  Yet, the company changed its apporach to the market and has been able to maintain its market share without slashing prices.

So how are they doing it?  The stores began offering "Value Tours" to customers to let them know that there are "deals" inside the high end market.  They never say that they have the lowest priced item, but the value is in getting a good product in exchange for the consumer's money. 

I thought that there are lessons for the vending operator in this model.  If the customer perceives they are getting a good buy out of the vending machine, then the operator does not have to switch to off brand products just to cut costs.  Good name brands do offer value and can be sold for more money.

If you are having success in maintaining your margins without cutting prices, let us know.

Rick.Solomon@veii.com

Shopping Cart Woes Improving . . .

When we first introduced our new website, the single largest issue about the site involved our shopping cart for on-line ordering. 

Finally a solution . . . The Quick Order Form:

For customers who know the part numbers that they are looking to order, we now have a "Quick Order Form" icon that you can choose.  It allows you to enter a part number and a quantity without going through the search process.  When you are done entering the order, click "CHECKOUT" and complete entering your shipping and payment information. 

Remember, we have also added a section in the replacement parts tab that provides lists of Most Common Replacement Parts for some of the most popular vending machines.  The lists give the OEM part numbers and then the corresponding part number in the VE system. 

Of course, if you ever have a problem or question about a part, we still have a complete staff to help you out at 1-800-321-2311. 

If you have suggestions for future changes, please forward them on to me at rick.solomon@veii.com

With all the bad news surrounding the economy in general and the vending industry in particular, a bit of good news continues to emerge.  More and more entrepeneurs are coming up with new ways to utilize the vending machine concept to reach consumers, particularly at odd hours for regular business.

In Englad, 2 companies are distributing women's flats from vending machines at night clubs (Click here for details).  These machines help take care of the age old problem for women who want to remove their shoes and have a great time on the dance floor.  Now, for about $10, you can grab a pair of comfy flats for the walk or ride home.  The purchase even includes a bag to put your other shoes into and carry them home.

Heard of any other great ideas for the vending industry, please share!

Rick.Solomon@veii.com

So, with all of the advances in efficiency thanks to the internet, we have to remember that there are economic costs as well.  The closure of nearly 10% of the post offices around the country certainly will not help the economy in those areas.  Let’s hope that the spirit of innovation will create a use for some or all of these facilities.Rick.Solomon@veii.com

Operators are always looking for locations that are "golden".  Well, Thomas Geissler, the chief executive of TG-Gold-Super-Markt, has taken this one step further.  His company is selling gold out of vending machines. 

His company's first location is the Frankfurt Airport and they plan on up to 500 locations in Germany, Austria and Switzerland.  Using today's technology, his company can update the sell price every 2 minutes besides producing a machine with security like a tank.  Currently, a 1 gram bar is selling for around $42, a 10 gram bar around $344.

Will this idea work?  I don't know but it certainly is indicative of the current economic climate.  While Geissler doesn't expect serious gold buyers to stock up out of a vending machine, the company does see the idea as a way to reach new markets and provide opportunities for people to make a spur of the moment purchase for gifts. 

Check out the article and let me know what you think . . . CLICK HERE

rick.solomon@veii.com

FOLLOW UP . . . MSN Money rates the purchasing gold out of a vending machine as one of the "top 10 idiotic investment ideas" so far this year.

It’s no secret that restaurants are hurting.  How much is attributed to the Suze Orman effect (going back to her suggestion to avoid eating in restaurants for a full month earlier this year), we may never know, but the economy has certainly made the industry take a hit.  There is no doubt that people are cutting back, and even those who still patronize restaurants may be adjusting their selections to something on the lower-cost end of the menu.  Restaurateurs, hopefuls, and others have taken to the street in an attempt to conjure up some business without the expense of a traditional restaurant by revamping none other than the good old lunch truck.  

A few months ago, Fresh Direct began offering vending machines with meals prepared by top restaurants for somewhere around $7 each, offering taste tests and vouchers for the first meal free to potential customers in the buildings where the machines are located.  So far, it seems that the idea has gone over fairly well, and the food receives rave reviews.  Now, others are going the route of the lunch truck, offering more reasonably-priced, freshly-prepared fare that sneezes in the face of the cold pizza and dry sandwiches most expect.  I will admit, the few times that I have ventured out to a lunch truck, I was disappointed both by the selection and the food I ultimately ended up purchasing.  But the convenience won me over on days when there just wasn’t time to go elsewhere or pack something in the morning.

Fresh vegetables, gourmet meals, freshly baked bread?  Sign me up – though it seems you are out of luck unless you are in a major metropolitan area, at least for now.  But there is a lesson to be learned…drastic times call for drastic measures, and this is one area where a little ingenuity is going a long way.  

christine.papesch@veii.com

There is no doubt that everyone is suffering in this economy, and those conditions combined with technology could quite possibly rid the country of the corner newspaper vending machine.  

CNN online had an article on this very situation over the holiday weekend.  The article cited a significant, and increasing, decrease in the number of newspaper vending machines across the country.  Some of the decline is attributed to offering home delivery on several of the national papers, but I can’t imagine that online availability isn’t cutting into those sales to some degree.  I never used to subscribe to the newspaper, but years ago did make a Sunday morning visit to the machine on the corner across from my old apartment building.  I will be the first to admit that I took the convenience for granted, and was always a little irritated when my venture ended up fruitless because the day’s supply had already been purchased.  I did, and still do, get a good portion of my news online or while driving, but there is something very relaxing about flipping through the newsprint.  Would something else take over, besides simply going to websites and downloading on Kindle?

I now enjoy delivery of the Sunday paper, and have a hard time believing rumors that my usual weekend morning ritual may be no more in the near future.  Then, I hear of established newspapers going paperless during my morning drive to the office.  Maybe it’s not as far off as I think?

christine.papesch@veii.com

Do some new security features make you nervous?  It seems that ingenuity plays a role in making sure everything is secure, although now it is not just your home or identity, but your vending machine purchases.

One trend that we may see booming in the not-too-distant future is biometric access to vending machines.  What is biometric access?  Basically, it uses physical features to identify the user, be it facial recognition, retinal scans, fingerprint scans...you name it.  More news is breaking on machines vending medicine, including those medicinal marijuana machines which use fingerprint scanning to dole out the goods.  Not only that, but your child’s school may even use one of the StarFood machines (see them at www.reimbursablemeals.com) which use a fingerprint scan to provide lunch in a few seconds in lieu of long cafeteria lines.  I haven’t seen these scanners on soda machines yet, but rest assured, they’re coming.  Perform a Google search for “biometric vending machine” and you’ll see a variety of options to add this type of payment system to your equipment.  The high-tech stuff that was once seen in the movies is now becoming mainstream.  As a matter of fact, according to a fellow Cleveland company, research firm The Freedonia Group, demand for biometric access equipment across the board, not just for vending, is expected to increase more than eightfold over the next decade, just in the US.  That’s quite a jump.  

Don’t believe it?  Check this out:  A group of graduate students at the University of California, San Diego, weren’t happy with their fingerprint recognition technology on their lounge soda machine…back in 2006.  What do you do when you don’t like the way the current system works?  Change it, naturally.  As a result, those students now obtain their sodas through facial recognition software.  The name of the project is SodaVision, and you can view the intricate details here .  What’s next?  Wait and see…

christine.papesch@veii.com

…Up to nearly $50 if you want that dog automatically cleaned.  

I received several links this morning in my inbox covering a revolutionary new vending machine spotted in France.  Bound to sweep the world by storm, I was shocked to see a photo of a small dog in what appears to be a large front-loading washing machine.  Due to be introduced in the UK within the coming year, these machines take man’s best friend from filthy to fluffy in about a half hour, most of which is spent in drying. 

Never having owned a dog myself and hearing stories of what can often be a frustrating task, a virtually effortless way to take care of dog washing seems like something that dog owners would love.  That being said, I would vote for a groomer to do this before putting a pooch in the washer.  View one of the web posts and see pictures of the Dog-o-Mat servicing one of its customers here .

Will it catch on?  I can’t imagine that I will ever see one of these while driving around in the US, at least not without protests, though I could be wrong.

christine.papesch@veii.com

Earlier this week, I saw an article on NPR’s site discussing a study of whether coins or paper money gets used faster (view the article here ).  According to the polling done, it seems that coins move.  The concept makes sense – coins are heavy, and no one wants a pocket full of jingly change, unless you use that sound as a warning sign of someone approaching.  Women are slightly different in this regard, in that change can, and is, dumped into the depths of a purse, far away from the light of day, only to be emptied into the change jar at home if and when the weight becomes too much.

I continued to the comment section on the page, and perused some of the posts, some with valid points, others, debatable, at least in my mind.  But it spurred the thought of the ongoing debate on currency in the US.  Several times, the government has tried, unsuccessfully, to introduce the dollar coin into mainstream.  It always seems that there is a lot of resistance to this – too heavy, too collectable (though if everyone collects them, aren’t they still only worth $1?) – resulting in the ultimate failure of regular usage.  It seems like most other countries manage with paper money only for higher denominations of currency, so why is this one area where the US seemingly lags?  I’ll admit, if they rid us of the paper dollar in favor of a more durable coin, it would take some adjustment, but if I’m digging in my purse for change and come across one of those lovely golden Sacagawea or presidential dollars (I still check the edge of my George Washington and John Adams dollars for the inscription), I feel like I’ve hit the jackpot in a penny slot machine.  And I do use them, but only if I am aware that they are in my possession, or don’t have the paper money in my wallet.

I’m not sure that I agree with the “research” that was preformed, showing that the population is more likely to use change than bills.  I do agree that smaller bills are probably more likely to be used first, based on personal experience, though most of the coinage that I do keep on hand is in my car, for tolls, parking, and vending.  At the same time, I’m one who prefers to just use my credit or debit card instead of carrying cash, leaving me cash- and change-less on occasion, so maybe I am not a good test subject.

So, what’s your call on eliminating the dollar bill?  I’m still torn, although I’m not adamantly against it as are many I have spoken with or read about, including a number of the comments on the NPR site.  It is one of those things that may take some getting used to, but I think I could hack it.  I wonder if it would affect the economy for the better?  Please share your thoughts.

christine.papesch@veii.com

Over the past couple of years, there has been an ever-increasing focus on restricting traditional vending machine goodies in schools, or banning them altogether, in the name of promoting a healthy lifestyle.  Now the US Senate is getting in on the act, promoting a bill that places nutritional restrictions on what is available in school vending machines.  But is this really the key?  I’m all for promoting healthy habits (whether or not I opt for them is another thing), especially in youngsters.  And while I do agree that now it is nice to be able to read, and be influenced by, the nutritional information on my purchases, are those details likely to sway the choices of a teenager deciding between granola and a Snickers bar?  My guess is no.

There have been several reports of a “black market” of sorts for good-old candy bars and full-fat chips cropping up in high schools here and there.  Entrepreneurial young minds have turned to selling what used to be available in the vending machine out of backpacks and duffel bags, and have been turning a relatively hefty profit doing so.  If these kids really want their snacks, they’ll get them one way or another, so why not have the school benefit?  I’m not saying to ditch the options of healthier snacks, just make them available among the others.  

As a self-proclaimed skinny kid in high school, I will be the first to admit that my snack choices were not necessarily the best, but a healthy dose of activity, a generally healthy diet, and genetics may have played a role in overall well-being.  Plus, being taught what foods are healthy or not at home has a lot to do with eating habits.  My high school actually had an entire 10’ by 10’ cafeteria room dedicated to selling nothing but candy, chips, soda and ice cream during the lunch rush through which students needed to pass just to get to the standard cafeteria lunch line (which also offered some snack foods).  I’m not sure if it is still in place, but looking back on those that frequented the “candy line” (read: nearly everyone), none of us have any grave health concerns attributed to the Monday through Friday afternoon sugar rush.  The school profited from this, no doubt, and it made up for the fact that, at least at that time, the vending machines were off-limits during school hours. 

What do you think of the increasingly popular vending ban in schools?  Is it necessary?  Should restrictions apply only during school hours?  Are you being directly affected by this?

christine.papesch@veii.com

Getting tired of all the bad news surrounding the economy?  Check out the blog from The Wise Group called “Wise UP (Unleash the Positive)” (In the name of full disclosure, it’s from my sister-in-law’s communications firm).  Nonetheless, the blog is filled with stories of people, non-profits and companies making significant contributions to their local or global communities, both small and large. Particularly interesting is the “10 for Change” campaign where readers are challenged to come up with an idea of how you could make a positive change in your community if given $10 to spend in anyway imaginable.  

So . . . if you are tired of negativity on the news, in the newspapers or on the internet, check out the campaign to “Unleash the Positive” and add your own ideas or e-mail me at Rick.Solomon@veii.com.

Some co-workers were debating the success of the “Going Green” sustainability programs that have become the latest buzz for companies in all industries.  Many companies (our own included) say they want to show that they are making changes to bring environmentally friendly products to the marketplace:  Whether it is changing the packaging, changing the materials used to produce the product or creating an atmosphere for employees to act in a more socially aware manner.  



                         Operators check out some of
                         the latest energy saving
                         innovations like FRED and LED
                         lights at the recent NAMA
                         Show in Las Vegas. [Right]



Do you feel that progress is being made or is this all talk and no action?  We are debating this point as we are moving forward with one of our latest products called FRED, the Fluorescent Reducing Energy Dimmer.  Essentially, FRED turns off the lights on a vending machine when no one is around and turns them on if someone approaches the machine.  Statistics show that these types of energy saving devices cut the electrical usage on lighting by up to 75%.  The product debuted at the recent NAMA Show in Las Vegas. But are operators going to spend the $50 for their soda, snack and coffee machines voluntarily or only when the location demands it?  

Let me know what you think.   Rick.solomon@veii.com

Experts always say to try to view your business in the eyes of the consumer.  Unfortunately, in vending that may often mean through the eyes of someone trying to scam your machine. 

Take a look on YouTube.com.  Not too long ago, I was searching for videos on vending machines, just to see what was available.  I was expecting videos on fixing certain problems with machines, maybe an occasional advertisement, but was surprised to find that most of the vending-related videos available show step-by-step ways to hack vending machines for free product. 

If you take a look at popular searches for “vending” on the search engines, the most popular happen to be “way to cheat a vending machine,” ways to rob a vending machine,”  “ripping off a vending machine,” “vending machine hack codes…”  You get the idea. 

Of the top 100 search terms with the word “vending” in them, almost one-third are related to somehow stealing from a machine.  The good news?  It looks as if at least a few of the videos that have been cited elsewhere have now been removed from YouTube, at least, due to “terms of use violations.”  Score one for honesty.

I don’t intend to alarm anyone, but knowing the tricks that are out there may help better a business.  Added security features and knowing which machines or features can and cannot be easily hacked can certainly give an edge in protecting your business. 

It is always interesting to try to find whatever information is available and pertinent to your business, good, bad, or indifferent.  The only difference is that, in this case, the honest majority of vending machine users don’t need to perform a search on, “how to insert cash into a vending machine!” 

Do you have any first-hand experience being victimized by machine hackers, or know of any sources besides YouTube to easily find the latest-and-greatest hacking "tips?"  Please share with us so everyone can be up-to-date in protecting their business! 

Earlier this week, Redbox vending machines came under heightened criticism from Hollywood, under claims that the $1-per-night rentals are driving down DVD sales and hurting the studios.  This is probably true to an extent, but it seems that, in many if not most cases, consumers will watch a movie and decide whether or not they enjoy it before shelling out $10 to $15 or more to own it.  I will admit, that on occasion, I have purchased a movie sight-unseen, only because the cost was less than a rental.  Those days are long gone, especially with the convenience of On-Demand, pay-per-view, and now, Redbox machines.  

Movie rental stores like Blockbuster are also taking a hit, and taking notice.  I noticed just last week that a former store close to my house is no more.  There is a Redbox located in the same plaza, a mere two storefronts away.  Coincidence?  I know that I, for one, have not perused the aisles of a movie rental store since the DVD rental vendors came to town.  I also know that for just $1, I will usually find something to rent, instead of scanning hundreds of titles and deciding against paying the $5 rental fee.  While I have not seen them myself, word on the street is that Blockbuster is following suit, much like they did with rental-by-mail, with their own line of DVD vendors.  Could this be the new way to rent?

If you haven’t had the opportunity to see or use one of these gems in your local supermarket, Wal-Mart, or gas station, I recommend going to their site, redbox.com.  Not only do they have an up-to-date online inventory for each location, but each new e-mail contact receives a code good for a free night’s rental.  You can’t beat that.  The catch?  None, except the $1 charge for each additional day you keep the movie.  They even allow you to purchase the movie from the machine, so studios should be happy about that, right?  Probably not, but in the meantime, those of us who may not otherwise patronize the industry as much as movie producers would like have found our niche.  Or, at least, the niche has found us.

Have your own thoughts on the Redbox?  Let us know!

christine.papesch@veii.com

I never cease to be amazed at the ingenuity of the vending industry.  In the past year or so, I've seen dozens of new and innovative developments - not only to the machines themselves, but, perhaps more importantly, to what is being sold through those machines.  

There don't appear to be any limitations on what you can sell in a vending machine.  Electronics, movies, freshly-made food…a quick search even revealed that in London, shoe machines have been installed, giving purchasers options between a trendy pair of flats and matching bag or sneakers to get them home from a long day or night at a club.  And the prices for these items are competitive with items from a regular store-front. 

A human vending machine made the news a few weeks back (also in London), where customers were given their Kit-Kat by a person located inside the machine.  I had even seen an oversized vending machine for Maker's Mark Whiskey in San Francisco a few months back [see photo].  It did not actually vend the product, but it did draw a lot of attention.  Not only vending, but a heck of an advertising campaign!

christine.papesch@veii.com

Over the course of the past several months, we've been working diligently to redesign our entire website and reengineer the user experience for everyone who visits our site. So far, the feedback has been largely positive, with one notable exception: our shopping cart.

We know. We've heard. Our shopping cart doesn't deliver on the promise of the rest of our redesigned site.  

The Problem
We're burdened with a legacy system that runs our entire business. It tracks inventory, processes financials and handles all order processing. While its relatively simple to launch a newly designed website, it's expensive, time consuming and complicated to replace an entire company's operating software. So, we're looking at an assortment of compromises to improve the online ordering process.

Solutions
We are working on a Quick Entry Order Form that will allow you to enter part numbers directly without searching for each item.

We are also exploring adding some lists of commonly used parts for the most popular machines to make your search experience easier.

Also, in case you missed it on the sign-in screen, there are two other options besides the shopping cart:

1. You can download a pdf form to fill out and fax or e-mail it to us. 
2. You can fill out a web form that will be sent to us with your order. It will then need to be entered into our system here. It is not a direct order entry like using the shopping cart but it will get the information to us.

As we continue to make progress in these workarounds, we'll provide further updates.  If you are looking for other changes, let me know.

Our new site is up and running!  This is just the beginning.  Besides offering information on many of our innovative products, services, parts and equipment, we plan on much more for the future.  Video demos, highlights of new products, news, etc.  Please provide us feedback on what you like now and what you would like changed. 

Thanks . . . the VEI Marketing Team