ART - Thirsty For Funds (Vending) 2011

This document is an article from the April/May 2011 issue of GO pro, the official publication of the National Institute of Government Purchasing (NIGP). The article, written by Darral Paradis, discusses the decline in revenue for schools from beverage vending contracts due to strict healthy choice legislation. Paradis shares strategies that his school district has implemented to offset this revenue decline. These strategies include eliminating sales volume guarantees, requesting annual lump-sum sponsorship or incentive revenues, implementing a uniform vend price, allowing sales of carbonated beverages to adults, incorporating concession sales and asking for rebates, and having the vending company pay for electrical and security upgrades. Paradis emphasizes the need for procurement professionals to adapt to changing rules and find new ways to serve their customers, in this case, the students.