Guidelines to Starting and Succeeding in a Cooking Oil ATM Business in Kenya
Have you ever wanted to start a cooking oil ATM business but don’t really know how to go about it? This post is for you. We will be sharing the guidelines to starting and succeeding in a cooking oil ATM business in Kenya. Having been in the salad oil ATM manufacturing business for many years and interacted with our clients, we have gained some helpful insights on how to successfully start and run a salad ATM business from scratch. That is why we are sharing these tips.
Guidelines to starting and succeeding in a Cooking Oil ATM Business in Kenya- preparation stage
A market survey is a very important stage for the success of any business. It helps you get into the business with the right information that can help you avoid a lot of pitfalls that make many start-ups to fail within the first year after starting.
Why is a market survey important?
- To determine if the target market is suited for your product- sometimes you might get into business thinking that clients will scramble for your products only to realize that isn’t the case. It’s very possible to introduce a product or idea and very few people go for it. However a market survey helps you really know if there is sufficient market worth investing your money in. In some places, salad oil from an ATM might not be very attractive because they prefer to buy from the supermarket. This is very common in upper class residences.
- To determine existing competition by similar businesses- rarely will you find a business idea where there is no competition. But this doesn’t mean you just give up on starting the business. A market survey helps you determine the existing competition and how big is it. It’s possible that though there is competition, you still can be able to venture into the business and succeed. One of the reasons could be that the existing businesses are not able to fulfil the demand.
- To minimize risks– every business has its own unique risks. A market survey will help you identify some of these risks if not all of them and help you come up with mitigation measures.
- To determine if there is enough population in your target area and how scattered/dense it is- the more densely populated the area is the better. It helps you have a big pool of many target clients in a small area. A market survey will help you determine if the target area is well populated and how dense it is.
- To determine what gaps are there you can exploit that your competitors haven’t filled- is there is a gap that existing competition are not utilizing that you could utilize for your success? Finding untapped gaps you can utilize can help you venture into a business field that even though there is competition, you can still succeed.
For example one of the gaps you could utilize is bringing a salad ATM and be able to sell at different amounts or offering bottles for clients who don’t come with their own. I have seen people collect used plastic water bottles that get thrown away in events or churches and use them to sell salad oil or liquid soap in. You can find a place you could be sourcing them and wash them then use them. You can even charge 5bob extra for the bottle to help in catering for that expense of collecting and washing them.
- To help you plan ahead- another importance of doing a market survey is that it helps you plan ahead. You are able to see what would be needed in scaling up the business for example or how to improve your business.
- To help you come up with a persuasive promise– a persuasive promise is what you want your clients to know you for. For example you can promise them that you will not sell low quality oil or that you will be giving free bottles for those who become regular customers from 5 times and above.
Come up with a business plan-
The next step is coming up with a business plan. A business plan is a written document showing a roadmap of how to start, finance and grow the business. It contains the objectives of your business and how to achieve them.
The other very important step is identifying a location. During the market survey you night have done a general observation but here you need to identify which is the best location. This can be determined by population, availability of social amenities, safety, accessibility etc.
After identifying the location go further now and identify the right premises for your business. As with all businesses, the premises must be suitable for that business. It should not be hidden. Don’t even go for a premises but the only available room is on a top floor even if the building is strategically located. Such businesses require shops that are facing the road where there is much foot traffic and can be easily seen by passers-by.
After you have identified the suitable location and premises it’s now time to renovate it. You can do this on your own or find a plumber(fundi) to do it for you. Factor in the placement of the ATM, the storage space and if you intend to expand by adding other items how you will go about it. This is part of planning for the future too.
Guidelines to starting and succeeding in a Cooking Oil ATM Business in Kenya- the requirements
Any legal business in Kenya requires a business permit and some require more than a business permit. Identify all the required permits and licences and get them from your local county offices.
Cooking oil ATM
A cooking oil ATM also known as salad oil ATM is the most important and most valuable equipment you will be investing in. Therefore make sure you get the right ATM from a reliable manufacturer. At Saset Ltd that is where we excel in. We are experts in the manufacturing of salad ATMs, milk ATMs and other products. If you really need a salad ATM that will not disappoint you then let us make one for you.
Another very important aspect of your business success is your stock supplier(s). Who will be supplying you with the salad oil? You have few options here. For example you can source directly from the manufacturer if this is possible especially if they don’t ask you to meet a certain MOQ (minimum order quantity. This is the best option because you get better prices. Other sources would be a distributor or wholesaler. Compare all these options and see which one is best for you.
Guidelines to starting and succeeding in a Cooking Oil ATM Business in Kenya- how to scale up
After your business has been operational for some time and you have now understood what it takes to succeed in it, you can now start expanding by opening more branches and using the experience gained to see that the other branches succeed also.
Add other products
Another strategy for expanding the business is adding more products. If you have been selling only salad cooking oil you can start selling cereals or even branded cooking oil that is packed in bottles as well as cooking fat. You can escalate it to a full shop where clients can buy any other item they normally buy from a shop. Since you have established yourself and the business is known, adding other items should not worry you if people will buy.
We believe the above guidelines to starting and succeeding in a cooking oil ATM business have given you the insight you need. Of course there is more that can be added but this is mostly what you need to know.
Buy a salad cooking oil ATM from us today.
As said earlier, the salad ATM is the most valuable equipment you will be investing in here. Don’t gamble with quality. At Saset, we are experts and experienced in making top quality cooking oil ATMs. You can order one today by giving us a call, emailing us, sending WhatsApp chat, leaving a comment here or filling out the contact us form. We always respond promptly to inquiries.
Alternatively, you can visit our workshop/showroom in Kimbo Ruiru at the toll station stage next to Rubis petrol station. You can search Saset Ltd on Google or follow the Google map location at the footer of this page. We look forward to serving today.