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Vending Machine Costs

Tips on how to make the right cost vs value decision.
Most people who are new to vending centre their attention on 'cup cost' or the machine contract length. Sure, these factors have to be considered, but best procurement practice offers some interesting clues on how to see the full cost picture...

1. Time... is money, as they say

a) Take the time lost by your people to wait for the kettle to boil and make the drink. Next, take the average cost per hour they represent – salary, employers' tax, benefits etc... from this you'll find the 'time' cost per cup.
b) Take the time spent by those tasked with buying-in ingredients (including those running up the road for milk/sugar when it runs out) how often does this happen a week/month? Divide this cost by the number of cups consumed over that period for an individual cup cost.
c) Calculate the cost of the time allocated by cleaning staff to cups/mugs/kitchens - divide by the number of cups consumed for an individual cup price.
d) Add up the time lost each week when people can’t get the drinks they want and leave the office to get them off-site. Take the hours lost, multiply by the average hourly rate divide by the number of drinks consumed each week for a per-cup cost.
e) Is any time spent cleaning up spills, any time lost due to accidents?

2. Ingredients...

a) Take the ingredients bought for all drinks every week and divide by the number of drinks these provide.

3. Equipment

a) Dishwashers, utensils, kettles, cups glasses - what is the annual expenditure? Divide by the number of drinks consumed.
 

Plus the non-tangible items

It is up to you how much or little you allocate to 'soft' issues, but here are some to consider;
a) The correlation between effectiveness and hydration - if vending improves the range and convenience of drinks you have a more hydrated and refreshed workforce
b) The impact on your employer brand - a quality vending option shows people that you value them.
Calculating the true cost per cup gives you a clear starting point from which to make a fair comparison against the vended option.
Because KLIX takes less than 30 seconds to serve a perfect hot or cold drink, and because ordering the drinks and refilling and cleaning the machine is so quick and efficient, we believe that our true cost per drink will come as a pleasant surprise.
Ready to find out the cost of KLIX?
Call our customer service team on 0800 0323 444.