Today I was taking a leisurely walk because once in a while I like to “feel the pulse of my neighborhood”. At some point, I counted 3 of these water vending joints along a single street, a stretch of about 150m. They only sell water. These outlets didn’t exist two months back. Now, I’ve interacted with people who sell bottled water, and apparently the business has healthy profit margins. But are those margins enough to support one’s rent, other expenses, and still earn a profit? Milk vending has been largely successful, and I see some cooking oil vending machines as well.
Will water achieve success as well? Does it make sense to have three similar businesses that are yet to be fully embraced by Wanjiku along a 150-meter stretch? I don’t know about you mofos, but I don’t feel comfortable going to re-fill my water bottle at any water vending station. At least with milk, you need to boil it before you consume it. Water is to be consumed directly, so I’ll be more careful about where I buy it. Anyway, the vending business seems to be taking off in a big way.
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You are asking the wrong questions, give us little data to respond and lastly every person business is largely unique.
Before putting your money get all information in full, specifically to of your business and location. There are firms that conduct feasibility studies for business ventures and then also develop a business plan to guide that investment decision
Anything else is simply speculation and just talk. We don’t know which street that is, so we can’t estimate how many residents in the area and incomes levels. We don’t know how many vending machines they have, capacity, bills, expenses and investment put in the venture. Remember some of us can even open a shop for wife to keep her busy and make a little. Others who are wiser have 10 ventures in one shop. Milk ATM, water vendor, oil vendor, mpesa, fruits, shop, gas etc.
The best thing is get a proper feasibility study done and business plan issued to you. Then you can know the way forward.