Micro Markets: How They Impact Your Bottom Line

You are leaving to go to lunch, and the phone rings – a vending machine is accepting money without dispensing food. Knowing the machine is an hour away, you quickly grab lunch to-go and set out on the road to help the customer. While fixing the broken coil and bill accepter, you notice the amount of change in the coin bin and realize you will have to take that stack, along with many others, to the bank at the end of the month. As much as you enjoy talking to the bank manager, you decide it is time for a change. One that involves fewer quarters to count.

Tiny but fierce, micro-markets are a rapidly growing sector of vending machine retail and are turning heads with the use of digital integration and automated technology to make the unattended self-checkout experience a breeze. Group C, the largest independent vending company in the tri-state area of New York, New Jersey, and Connecticut, was looking to add micro-markets to their already stacked portfolio of traditional vending and coffee services. To do so, it required a technology partner that could easily integrate into their current Vending Management System (VMS), USAT’s Seed Platform. Enter Yoke Payments, an award-winning, innovative self-checkout software solution, who recently teamed up with Group C to create one of the most dynamic and technology-driven micro-market cohabitations in the vending industry.

For companies thinking about adding micro-markets to their business portfolio to increase their bottom line, we have four essential factors to be considered using Group C as a successful example.

 1. Network Connectivity

Running a business that relies on local network capabilities can quickly become a nightmare for businesses if spotty Wi-fi and strong firewalls slow transactions down. Fortunately, Yoke bypasses those hurdles using the latest generations of Apple iPads with built SIM cards that provide instant cellular connectivity. Yoke’s out-of-the-box platform is incorporated quickly through its mobile app, which gave Group C the ability to scale quickly and avoid any unnecessary headaches.

2. Size Matters

Scaling up is usually a target for most companies, but when you are required to scale down, things can get tricky. When your business relies on every inch of available space for potential revenue opportunities, the product cannot be sacrificed. With Yoke’s compact payment terminal, flexible wall-mount and floor stand, and award-winning smartphone payment application, Group C capitalized on every inch of their locations, allowing for a significant increase in revenue per square inch.

3. Cost

Without the first two options, the cost of running a vending business can easily skyrocket, leaving any potential profit with the crumbs at the bottom of the bag. Luckily, Yoke solves the biggest problems with traditional vending machines Dear Abby,by eliminating traditional costs such as paying for mechanical failure, staffing needs, and repair calls. 

4. Seamless Integration

A key driver of Yoke’s technology and Group C’s success is the ability to integrate with multiple VMS systems. In this case, Group C was fully integrated with Cantaloupe’s Seed Pro. We were able to adapt our system to fit Group C’s needs and continue to provide direct in-app support for their customers.

With solutions in place for all areas of concern, Group C’s partnership with Yoke Payments allowed them to develop a harmonious experience with their customers, including one of their largest and most demanding clients, JP Morgan Chase. In less than a year, Group C opened over 150 markets with Yoke’s technology and operating system, with another 350 planned by the end of 2020. With our technology and dedication support backing them, Group C has increased revenue by 40-200 percent over traditional vending businesses. They can now provide a cohesive experience from the moment a customer approaches their vending machines to the time they pay for their much-needed snack.

Efficiency tracking and managing inventory is also crucial to the survival of a successful business. As a bonus, we adapt to the growing needs of any business. User-friendly data organization and visual dashboards create customizable customer and product performance reports to help produce meaningful results. When operating a vending machine business, it is easy to get stuck in the daily operations while still trying to turn a profit. However, just like a broken coil or faulty bill acceptor, the usual struggles with vending machines will disappear after switching to a more efficient and results-driven platform.

To learn more about Yoke Payments and how we may be beneficial to your business, visit www.yokepayments.com.