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Candy/Snack Product Profit Analysis
What is True Profit?
The Research Findings
The Bottom Line on True Profit

Single vs. Dual

Single vs. Dual Small Spiral Shelf Machines
2 Is Better Than 1
The Research Findings
The Bottom Line on Dual vs. Single

Research Studies

Single vs. Dual Small Spiral Shelf MachinesThe Bottom 2 Is Better Than 1


A major issue facing vend operators is whether to configure their snack machines with one or two shelves of small spiral products.

Perception #1
"Larger spiral products sell faster and have a higher gross margin than small spiral products." THUS: Snack machines should be configured with more large spirals.

Perception #2
"Small spiral products are more profitable and sell better based on machine space due to the 2-for-1 product footprint."

THUS: Snack machines should be configured with more small spirals.
Reality: 2 is better than 1

Research analysis from a variety of approaches supports the superior performance of snack machines with two small spiral shelves:

  • Two small spiral products consistently outperform single large spiral products considering they utilize the same amount of space.

  • Machines configured with two small spiral shelves sell more at the same locations than machines with one small spiral shelf.

Why?
It comes down to machine space used and additional sales generated from product variety.

  • Two small spiral products fit in the same machine space as one larger spiral product.
  • Increased product variety creates more snack sales from the 2-for-1 small spiral footprint.

* Source: InfoVend 12 Months 12/98
** Source: InfoVend 12-98 Based on Dollar Share

Sources: Vend operator candy/snack Category Profit Analysis bachtelle and Associates, Spring, 1998 And Alternate Snack Machine Configuration Test, Bachtelle and Associates, Fall, 1998.



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