BouquetMat’s business potential – calculations
Premise for BouquetMat installation
The location under consideration is a new housing estate in a town of 40,000 inhabitants in Poland, in the car park next to the building of a small Carrefour supermarket (there was previously a parcel machine here, so the site was ready for installation), open every day except Sunday from 6:30 to 21:30, in the vicinity of a gym, café, restaurant, bar, automatic laundry, children’s playroom. In close proximity to the only cemetery in Boleslawiec. An analysis of the location showed that the site attracts around 1,000 potential customers per day, with the highest traffic on weekdays between 16:00 and 18:00 and on Saturdays around midday.
Flower vending machine in black, it can hold 6 bouquets.
BouquetMat with the option of 6 sales boxes.
Purchase, transportation and installation costs:
- The cost of the unit with roof, illuminated advertising coffer, vestibules, personalised veneer, payment terminal is €19,233.
- Transport and assembly is an additional cost of €1,000 in my case.
The total cost is €20 233.
Costs per month:
- The electricity required to operate a BouquetMat with 6 boxes costs around €50 per month, including cooling, heating and lighting. Of course this can fluctuate +/- 20% depending on location and weather.
- Ground rent varies and depends on the potential of the location, at this point I assume 90 euros.
- Lease terms – first deposit 20% – €4 046,60, buy-back 10% – €2 023,30, 60 instalments x €350,00.
- Annual insurance €102 / €8.5 per month.
- I am not including the cost of the florist’s labour, as the bouquets will be made in our studio or florist’s shop and will be delivered on the way by a florist employee.
Total monthly cost €498.50.
When will it pay off?
To answer the question “when will it pay off to buy and install a BouquetMat” I have prepared two analyses: return on investment of BouquetMat with 6 boxes and cash flow of BouquetMat with 6 boxes.
The first analysis shows the situation when an investor buys a BouquetMat, puts it on their premises and, with different levels of bouquet sales, automatically gets a return on investment over a certain period of time. Here I would like to point out that with sales of 3 bouquets per day BouquetMat will pay itself off after 12 months. Below in the table the exact calculations.
| Number of boxes | Daily bouquet sales | Average bouquet price | Average margin | Daily profit | Profit per month | Cost per month | BouquetMat cost | Reimbursement in months |
|---|---|---|---|---|---|---|---|---|
| 6 | 1 | 40 | 20 | 20 | 600 | 500 | 20233 | 37 |
| 6 | 2 | 40 | 20 | 40 | 1200 | 500 | 20233 | 18 |
| 6 | 3 | 40 | 20 | 60 | 1800 | 500 | 20233 | 12 |
| 6 | 4 | 40 | 20 | 80 | 2400 | 500 | 20233 | 9 |
| 6 | 5 | 40 | 20 | 100 | 3000 | 500 | 20233 | 7 |
| 6 | 6 | 40 | 20 | 120 | 3600 | 500 | 20233 | 6 |
The second analysis considers the option of leasing BouquetMat for a period of 60 months. We added to the cost of leasing to all other costs – the lease of the land, the cost of electricity consumption, insurance and spreading over the duration of the lease the first payment and the amount of redemption of the machine. The calculations show that by selling one bouquet a day we already cover the cost of using the BouquetMat. Selling 3 bouquets a day, we achieve a profit of almost €1275,00 per month.
| Number of boxes | Daily bouquet sales | Average bouquet price | Average margin | Daily profit | Profit per month | Cost per month | Profit/loss |
|---|---|---|---|---|---|---|---|
| 6 | 1 | 40 | 20 | 20 | 600 | 525 | 75 |
| 6 | 2 | 40 | 20 | 40 | 1200 | 525 | 675 |
| 6 | 3 | 40 | 20 | 60 | 1800 | 525 | 1275 |
| 6 | 4 | 40 | 20 | 80 | 2400 | 525 | 1875 |
| 6 | 5 | 40 | 20 | 100 | 3000 | 525 | 2475 |
| 6 | 6 | 40 | 20 | 120 | 3600 | 525 | 3075 |
And finally, it’s up to you to answer yourself what potential the location you choose for the installation of your BouquetMat could have. Consider whether it’s better to put it next to your flower shop or elsewhere in your city? By the flower shop it will work more often when the flower shop is closed, although there will probably be customers who prefer to quickly buy a bouquet from BouquetMat during the flower shop’s working hours as well. Installing the device in another location will certainly make better use of BouquetMat’s potential – 24 hours a day, 7 days a week.
Let it earn for itself and for you!
Click HERE for more information about BouquetMat. You can find there various options of BouquetMat configuration, current prices and the option to order.
You can always write to us or call us – +48 601 375 900.
We will be happy to talk and answer any question on the subject of BouquetMat.
