Tips for Starting a Successful Cooking Oil ATM Business in Kenya
Have you ever considered opening a cooking oil ATM business in any region of Kenya but were unsure of how to proceed? We are writing this for you. We will share some great tips for starting a successful cooking oil ATM business in Kenya. We have some valuable ideas on how to successfully launch and operate a salad ATM business from scratch because we have been in the production of salad oil ATMs for many years and also because we’ve engaged with our clients and learnt a lot about this business. That’s why we’re providing these guidelines.
Tips for starting a successful cooking oil ATM business in Kenya- preparation
Market analysis
A market analysis is a crucial step in every business’ success. With the appropriate information, you can start your business and avoid many of the traps that cause many start-ups to fail within the first year of operation.
Why is a market analysis critical?
To ascertain whether your product’s target market is appropriate, occasionally you may enter a business believing that customers will clamour for your goods just to discover that isn’t the case. A product or idea may be introduced, yet very few individuals may choose to use it. However, a market analysis enables you to determine whether there is a sizeable market worth investing in. In certain locations, people may not find buying salad oil from an ATM to be very appealing because they prefer to shop at the grocery store. In homes of the upper class, this is very common.
Analyze the existing competition- It is uncommon to find a business idea that has no competition from other enterprises of a similar nature. However, this does not imply that you should abandon your business idea. You can find out about the competition’s size and current state with the aid of a market study. Even if there is competition, it is still feasible for you to start a business and be successful. The inability of the current enterprises to meet demand may be one of the causes.
Minimize risks- Every business faces associated risks that must be reduced. You can identify some of these risks, if not all of them, through market analysis, and you can use that information to develop mitigation strategies.
Analyze population density- The more densely populated the area is, the better, for determining whether there is a sufficient population in your chosen area and how scattered/dense it is. Having a large number of diverse target clients in a small area is beneficial. You may find out if and how densely inhabited the target area is by doing a market survey.
Explore current market gaps for exploiting- To identify the gaps that your competitors haven’t filled and that you can exploit, ask yourself if there is one that you might use for success that they aren’t currently leveraging. Finding untapped opportunities you can take advantage of can help you enter a market where, despite the competition, you can still flourish.
For instance, one of the openings you may take advantage of is by bringing a salad ATM and being able to sell at various prices, or by providing bottles for customers who don’t have their own. I’ve seen individuals gather abandoned plastic water bottles that are discarded at gatherings or churches and reuse them to sell liquid soap or salad oil. You can locate a source for them, wash them, and then put them to use. You could even add an extra 5 shillings to the price of the bottle to assist cover the cost of gathering and washing them.
Planning ahead- Another benefit of conducting a market study is that it facilitates future planning. You can understand what would be required, for instance, to scale up the firm or how to enhance your business.
Persuasive promise- To assist you in creating a compelling promise also known as brand promise is an attribute you want your clients to associate you with. For instance, you may guarantee them that you won’t sell low-quality oil or that you’ll provide free bottles to clients who return five times or more.
Create a business plan.
Making a business plan is the next stage. A business plan is a written document that outlines the steps necessary to launch, finance, and expand the company. It includes your company’s goals and strategies for achieving them.
Locate a suitable location.
The choice of a location is the other crucial phase. You may have made general observations during the market study, but in this case, you need to decide which site is the best. Population, the presence of social amenities, safety, accessibility, and other factors can all influence this decision.
Choose a good location.
Once you’ve determined the location, move on to choosing the ideal premises for your business. The venue must be appropriate for the business, as it is with all enterprises. It must not be hidden. Even if the building is in a prime location, don’t even consider it if the only room available is on the top floor. Such businesses require stores that face the front of the street, where there is a lot of foot traffic and where customers may easily access it.
Redesign the space.
It’s time to modify the space now that you’ve found the ideal location and facilities. You can either complete this task on your own or hire a plumber (fundi) to assist you. Consider the placement of the ATM, the available storage, and the process of adding more items if you decide to grow. This also pertains to future planning.
Tips for starting a successful cooking oil ATM business in Kenya- the requirements
Licences/permits
In Kenya, a business permit is necessary for any legitimate enterprise, and some even go beyond that. Find out what licences and permits are necessary, then obtain them from your regional county offices.
Cooking oil ATM
You should invest in a cooking oil ATM, often referred to as a salad oil ATM, as it is the most crucial and useful piece of equipment. Therefore, be sure to purchase the appropriate ATM from a reputable supplier. That is where Gditech Ltd excels. We are industry leaders in the production of products like milk and salad ATMs. Let us make one for you if you need a salad ATM that won’t let you down.
Stock supplier.
Your stock supplier is yet another crucial factor in the success of your enterprise (s). Who is going to supply you with the salad oil? There aren’t many options available to you here. For instance, if it is possible, you can obtain directly from the manufacturer, especially if they don’t require you to satisfy a specific MOQ (minimum order quantity). The best choice is this one because the prices are better. Distributors or wholesalers are examples of additional suppliers you can purchase from. Compare each of these choices to see which is best for you.
Tips for starting a successful cooking oil ATM business in Kenya- scaling up your business
Branch openings
You may start expanding your business by opening additional branches and using the experience gained to ensure that the additional branches are successful since you have been operating for some time and you have come to understand what it takes to succeed in it.
Include extra products
The addition of extra products is another strategy for expanding the business. If you previously just sold salad cooking oil, you can now sell both cooking fat and cereals, or even branded cooking oil that is packaged in bottles. You can expand it to a full store where customers can purchase any other item they would typically purchase from a retailer. Since you are well-known and have established yourself in the market, you shouldn’t be concerned about expanding your product line.
Last word
We trust the tips we provided above will help you launch and run a successful cooking oil ATM business in Kenya. Of course, there is more that could be said, but the majority of it is already covered here.
Buy a salad cooking oil ATM from us today.
The salad ATM is the most expensive piece of equipment you can buy, as was previously stated. Don’t take a chance on quality. We at Gditech are professionals with years of experience in creating high-quality cooking oil ATMs. You can place an order right away by calling, emailing, messaging us on WhatsApp, leaving a comment here, or submitting the contact form. We always answer questions promptly.
As an alternative, you can stop by our workshop/showroom in Kimbo Ruiru, which is located behind Shell- Kihunguro. You can perform a Google search for Gditech Kenya to locate us on Google Maps. We are eager to talk to you today.
