Location analysis (vending)

Location analysis is the systematic examination of a potential site for a vending machine based on criteria such as footfall, target group structure, competition and technical feasibility.

Function and area of use

Before a vending machine is installed, it must be checked whether the location can be profitable. A well-founded analysis prevents bad investments. Factors such as customers’ walking routes, the visibility of the vending machine, the availability of power connections and the competitive situation (e.g. nearby discount stores) are assessed.

The basis is statistical data and experience from comparable locations. An ideal location is characterised by a long dwell time (e.g. waiting areas) or high daily footfall (e.g. the way to work). “Social control” on site also plays a role in the risk of vandalism.

Advantages

• Minimising business risk through well-founded forecasts
• Optimising the product range based on the local target group
• Planning certainty for logistics and restocking cycles
• A basis for arguments in negotiations with landlords

Technical details

Use of heat maps, footfall measurements and socio-demographic analyses. Assessment of technical infrastructure (mobile signal strength for telemetry, floor load capacity).

Frequently asked questions

How many passers-by does a location need per day?

That depends on the range. Footfall is higher at railway stations, while in companies a workforce of 50 or more is often enough.

Can I save a poor location through marketing?

Only to a limited extent. In vending, location (“location, location, location”) is the most important success factor.

Related terms

• Special use permit for vending machines
• Vending operator
• Vending machine costs
• Setting up vending machines

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