Vending Industry's Struggle With Required Healthy Snacks Gets Public Attention

July 6, 2015

The New York Post recently ran an article highlighting the vending industry’s struggle to maintain profitability while being required to stock only certain, “healthy” items in vending machines. The article highlights the loss of revenue for both the operator and the location which often relies on a commission from vending sales.

It’s not just schools that are affected. In New York, hospitals and government buildings are also subject to strict nutritional guidelines, according to the source. For Butch Yamali, chief executive of the Dover Group in New York, healthy vending regulations have cut his sales in half. The company will lay off 10 percent of its staff in the fall.

Tom Murn, CEO of The Answer Group, told the news source that his machines saw a 50 percent drop in sales with the regulations; however, he has been able to keep good margins by adding non-vending items such as umbrellas and phone chargers