Vending machines: showroom in a box
Automation is an increasingly important part of the gases and welding industry. While much of the focus is on robotic welding and automating manufacturing processes—and all of that is great, because it means customers are buying equipment—automation is also growing in importance within on the distributor level. More and more distributors are turning to automated filling processes—enabling them to not only fill faster, but take on new gas lines (specialty gas, for example) and create more accurate mixes without introducing human error.
But what about automating the sales process? Recently I’ve been hearing about distributors using vending machines to sell common supplies. Larger customers can have a distributor’s vending machine on-site, allowing them to purchase supplies like welding wire or cutting tips on an as-needed basis.
One distributor I spoke with says, “Vending gives customers better control over dispensation of products, be it a pair of gloves, safety glasses, contact tips, a roll of wire or what have you. It gives the end-user a better idea of cost going into a project, and it can give them an avenue to bill specific products to a project they are working on.”
Vending offers convenience to customers without the need to keep large inventories in stock. As a “Tech Talk” article from General Air (Denver, CO) asks, “How often have orders been placed for product that was already in the tool crib? Or have you ever started a job thinking you had all the parts in place only to find out at the last minute that some of those parts were used in other jobs?”
But with automation, there’s always the question of human jobs. Will vending machines uproot the traditional distributor salesperson? Or at the least, will it change the nature of the sales relationship? What do you think?
Great question Devin. I see where distributors use vending machines simply as a tool to compliment the offering (gravy so-to-speak) which the salesperson is still integral, and also where they use VMI as the lead in and primary source of value. Certainly two different directions. Either way, if a distributor is looking to be active in Tier 1 accounts and compete with Industrial Suppliers, VMI and vending must be taken seriously. I appreciate the article Devin.
Dominic, it’s great to hear from you again. Thanks for the comment. Vending machines in this industry is a new concept to me…I’m kind of curious to see if it’s common among distributors, or if it’s as new to them as it is to me.