the
HUMAN
HANDBOOK 2015 2014
The Ultimate Insider's Guide to Owning A Healthier Foods Distribution Business
The 2015 Ultimate Insider’s GUIDE to Owning A Thriving Healthy Foods
Distribution Business Dear Friend, Have you ever dreamed of owning a business that earns you money even when you’re not working? What about a business that you can begin as a part-time, second-income activity and evolve into a flexible full-time profession that helps improve the health and happiness of people in your community? I ask because you’ve “raised your hand” showing me you’re serious about exploring how to make this happen for yourself. I’ve established this model in over 100 other markets in the United States and Canada and I’ve created productive, positive partnerships in all of them. Click to Watch Video
My business model is driven by one thing - profits. But my company has a greater vision… You see, I believe that for any company to be truly successful in the long term, there must be a strong “WHY” behind the “WHAT.” Our “WHY” is to improve the lives of others by making
healthy food more convenient than junk food. We accomplish this by providing easy access to healthy food, developing profitable partnerships with local entrepreneurs (you), and donating 10% of our profits (ours, not yours) to charities that fight the causes of childhood obesity. My company is called HUMAN – which stands for “Helping Unite Mankind And Nutrition.” We are the world’s first 100% healthy vending & healthy micro market company and our 2,000 state-of-the-art healthy food storefronts serve healthy items to thousands of people everyday in 45 states, Canada, and Puerto Rico. We were ranked as the #1 Vending & Automated Retail Company on the Inc. 500 “Fastest Growing Companies” list, the #1 Vending Franchise on the Entrepreneur Magazine “Franchise 500” list, and have been listed TWICE – in the past two consecutive years – on Forbes’ “America’s Most Promising Companies” list. Our partners are more than just business owners… they are “social entrepreneurs” who have gained personal freedom and fulfillment in addition to consistent, recurring incomes for
themselves. Human_Handbook_12_02_14
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This Guide Will Teach You: Today, I want you to read through this heavily-researched Handbook and learn… • A surefire simple way to instantly increase your monthly revenue. • How you can make a massively positive impact in your community, be a part of a national movement, AND be seen as a HERO in your community. • Exactly how to identify potentially profitable locations in your area.
• How to get immediate cash flow by leveraging the power of my proven healthy vending model. • A behind-the-scenes look at what it’s really like living a “day in the life” of a healthy vending entrepreneur. • The Top 10 Best-Selling Healthy Vending Products of all time… and how to profit from them. • The 10 Simple Steps To Effective Location Acquisition (over 10 years of healthy vending research applied here!).
• What Vending 2.0 is… and why adopting this mindset will SAVE you from the pitfalls of traditional vending and put you well “ahead of the pack.”
Plus, a behind-the-scenes look at what it’s really like living a “day in the life” of a healthy vending entrepreneur. So, make sure you devour this Handbook. One of my team members will call you soon to: 1. Show you how much money franchisees have made. 2. Give you more details on the specific opportunity in your area. 3. Answer your questions. My team and I are passionate about making this year our best and most impactful to date… and I want you to be a part of that success. I believe your area will be a shining star for you as a trusted partner. If this is a fit for both of us, I look forward to speaking with you personally. Best in Health,
Sean Kelly, Chief Humanist, HUMAN Healthy Vending
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4 Steps to Become HUMAN Read This Handbook Your Starting Point to Decide if a HUMAN Franchise is Right for You This HUMAN Healthy Franchise Handbook gives you the complete picture of what to expect when starting a Healthy Automated Retail Franchise. Find out the history of HUMAN, where we are today, and all the features of the HUMAN Healthy Franchise, like dedicated support, innovative technology, & more!
Watch The Webinar In-depth Explanation of the HUMAN Healthy Franchise Opportunity HUMAN CEO Sean Kelly gives you a personal look at the HUMAN Franchise. He delves into the HUMAN philosophy & the people that make the company great. With sneak peaks at new technology & the future of HUMAN, you don’t want to miss a minute of this webinar.
www.DiscoverHealthyVending.com
Click to Watch Now!
Application & Phone Call Fill out your private application & schedule your phone call for Q&A We want to make sure all your questions are answered, so once you’ve reviewed the Handbook and Webinar, the next step is your Application. Next is a phone call with our Franchise specialists to get all your questions answered and discuss the availability of franchises in your area. www.HealthyVendingTeam.com
“The Webinar told us everything we needed to know!” www.DiscoverHealthyVending.com
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Attend HB3 Training! Welcome to the HUMAN Family! Get your business started & have fun! At HUMAN, nothing is more important than the relationship between us and our franchisees. HB3 features plenty of machine training & business basics, but more importantly social time so that we can create a personal connection with you and start developing that long term business relationship.
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“Why in the heck, way back in 2003, did I decide to start a
healthy vending company out of all things?”
The Story Behind
A
passion for health and improving the lives of others is why this company was formed, but I soon learned that I needed a whole lot more than good intentions to reach the pinnacle of healthy vending success... It all started in New York City on a mild winter night in late January. I had just finished a grueling workout with my cousin Luke at New York Sports Club on Manhattan’s Upper West Side – the health club where I spent my time personal training while I wasn’t studying biomedical engineering at nearby Columbia University. It was 8:30pm on one of America’s busiest streets, but something seemed strange…Luke and I couldn’t find any convenient, healthy foods or drinks within a 10 block radius of the gym. Instead, our only quick “refueling” options were a white-flour-worshipping bagel shop downstairs and sugar-laden soda machines inside the health club. I was dumbfounded.
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If we, as serious health enthusiasts, could not find convenient healthy food & drink options in New York City after searching up and down the streets, how in the heck could we expect other people to do so? The answer was we couldn’t. The fact was that there was a serious void in the market and it was having a disastrous effect on peoples’ lives. Thoughts of obesity, diabetes, and malnutrition filled my head. It all started making sense – without convenient access to healthy dietary options, it was no wonder that preventable health problems were spreading like epidemics across the globe.
An idea was born. This woman had just shown us the answer: vending machines stocked with healthy foods and drinks instead of junk food and sugary beverages. “This idea will change the world,” I vividly remember thinking. Not long after this epiphany I made the tough decision to not attend medical school, and instead, decided to dedicate my life to public health… first, by way of operating a network of healthy vending machines. I was starting to understand that sometimes the largest problems have the simplest solutions...
Something had to be done. But what? The answer came to Luke and I when we returned to the gym. As we approached the soda machine next to the treadmills, a middleaged woman bought a coca-cola from the vending machine and then returned to her regular evening workout on an elliptical machine.
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Good Intentions... Fueled solely by our passion for health and improving the lives of others, we created the world’s first healthy vending machine company. With such true, respectable, & good-hearted intentions, what could possibly go wrong? I soon found out that the answer to this question is a WHOLE LOT…
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The Top 7 Healthy Vending Mistakes We Made & Learned From! Mistake #1: I placed healthy products next to unhealthy products inside of vending machines. What a failure this was! The unhealthy foods & drinks just cannibalized the healthy ones due to their lower pricing & more recognizable brands. Customers made the irrational, impulse-based purchasing decisions that has become typical when standing in front of a vending machine. Nothing influenced or motivated the average customer to choose the healthier goods. Talk about money down the drain!
“What were the mistakes that I made as an operator of my own healthy vending machines?
I’ll tell you… ONLY to prevent you from repeating these errors!”
Lesson #1: I refuse to allow HUMAN machines to be filled with ANY unhealthy products, thus maximizing sales and positive dietary influence. Mistake #2: I allowed my healthy vending machines to blend in with other traditional, junk-food machines. Much like my first mistake, this hindered the ability of my machines to positively impact the dietary decisions of vending customers. This hurt our brand value - our machines were just like others in the mix. Lesson #2: I only allow HUMAN machines to be placed in exclusive arrangements or locations large enough to provide significant volume for my partner operators. The one exception to this is if a location has a high percentage of its population that is very keen on healthy eating and our machine is able to stand out in a big way from the other machines present. Only in this latter case do I sometimes allow for placement next to junk food vendors.
“Nothing is more important at HUMAN than the people that make-up our company, most importantly, our partner vending operators. They’re the backbone of our brand & represent what HUMAN is all about – innovative entrepreneurship, dedication to a worthy purpose, and intense ambition to succeed at the highest level.”
Mistake #3: : I used the same “coil” vending machines as everyone else & added no attractive features. Bad idea! It’s one thing to sell junk food out of brown, inanimate machines that are clunky to use & unappealing to approach. But it’s an entirely different thing to use these same machines to sell premium healthy foods and beverages while also trying to make a positive, emotional connection with the customer. My machines shouted “Junk that makes you feel bad sold here” instead of “Better your life today!” and, therefore, it didn’t matter what products I was selling. Lesson #3: I make sure our state-of-the-art, proprietary vending machines include new technologies such as conveyor belts (NOT coils), digital video screens, robust remote monitoring that texts you inventory alerts, and touch-screen LCD displays in order to improve the customer experience, which directly boosts sales.
Co-Founder & CEO, HUMAN
Mistake #4: I didn’t think my machines’ graphics were THAT important. Most people treat vending machines as a “last resort” dietary option. My machines had the same unattractive appearance as standard machines, and therefore, people had the same negative psychological connection with my machines as they did with others. This hurt sales & brought me no new, high-end, health conscious customers.
Named one of the Top 30 Under 30 by Forbes Magazine in 2013 and Top 10 “Generation Next” Entrepreneurs by CNN Money in 2010
Lesson #4: I conducted numerous customer surveys, emotional connectivity tests, and research studies to produce the most appealing machine graphics, thereby creating a machine that shouts “You want to buy from me!”
Sean Kelly
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The Top 7 Healthy Vending Mistakes We Made & Learned From! Market Advantages
Mistake #5: My machines only offered cash & coin payment capabilities. This one still makes me cringe! In a world where credit & debit cards are often the only form of payment people keep on them at all times, I was preventing customers from being able to buy items from my machines. This was especially impactful since I was vending premium healthy foods and drinks, which are more expensive than junk food (usually higher than $1). Lesson #5: I place credit card readers in each and every one of our machines to give consumers the most purchasing power, allow for the sale of higher-priced items, and ensure that a sale at a HUMAN machine is never lost.
The HUMAN program offers franchisees a unique advantage by:
• • • •
Sourcing awesome and tasty healthy products that appeal to consumers Allowing for the generation of digital ad revenues via LCD screens on the front of the machines Increasing sales by providing machines that attract more customers & encourage larger purchases Including technologies such as remote monitoring systems & credit card readers to cutcosts and increase customer purchasing power
Mistake #6: I put products in my machines without adequately testing them for consumer acceptance. This one really hurt! I simply stocked my machines with all of the products I liked & knew, not understanding that different people have different tastes & needs, and thus, different product preferences. By not realizing the great importance of customizing product offerings per location, I ended-up throwing away tons of product that didn’t sell and paid a huge opportunity cost along the way because of it. Lesson #6: I require that all products are taste-tested, nutritionallyscreened, and sales-verified before gaining placement in our machines, and also make sure that every single product mix is customized per location with no exceptions. Mistake #7: I didn’t realize the significance of creating another revenue stream besides product sales. I just accepted that product sales were the only way I could make money and didn’t think about other ways to increase profits and revenues. I was a blind pessimist lacking an innovative mentality! Lesson #7: I integrated ad-revenue producing digital video screens on the front of HUMAN machines to provide our partners with extra revenue opportunities without extra work.
WHew!
mist After y a ears inva kes & impl of lear luab n e le l vend esso menting ing from ing n was busi my ness s into all of 1 0 0 t , I c succ h % o m e se y o e p busi ss. Mi timized uld fina healthy n n l a lon ess tha e was a and pr ly say i t t i m g was heal ed ven -shot! t s f h o e y ding r c I o ven prob had so nd to feeli lved non ding ng. lem e… ” and th it wa e “hea .by lt s an ama hy z ing But my
work wasn’t complete …
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How We Created an Innovative Healthy Vending Program for You I had created a healthy vending machine business that I could finally say was 100% optimized and primed for success. This feeling of accomplishment was so great that I realized I had a new job - to spread to others the healthy vending knowledge & expertise I had gained through years of in-the-field experience. By offering the world’s best healthy vending program to other passionate entrepreneurs, I would be able to positively influence more people and would allow others to operate an innovative business, creating better lifestyles for themselves and their families. I was more excited than
ever before.
Since I had healthy vending “down pat,” creating a healthy vending franchise for other operators would be easy, right? So I thought! But I was humbled, once again…
What were the FOUR MAIN BLUNDERS that I made before creating the innovative healthy vending franchise that HUMAN is today? Let me see... Blunder #1: I didn’t REALLY know the ins & outs of the vending industry. I had no idea how opposed the industry is to progression, innovative technologies, and health promotion. In the beginning, I tried to work completely WITHIN the good ol’ boys club that is the traditional vending industry. This caused me to waste months of time & thousands of dollars in a stagnant industry that didn’t want to budge. Solution #1: I analyzed and improved upon our business from the progressive, innovative, and demanding perspective of a discerning, healthconscious customer, instead of a traditional vending operator. This means our machines attract customers, rather than being the last resort of a passer-by. Human_Handbook_12_02_14
Blunder #2: I tried to have us operate all of our own machines. To maintain complete control of our operations and maximize profit, I thought it would be a good idea for us to operate machines across the country by ourselves, or more specifically, via people that we hired on an hourly basis. This wreaked-havoc on our supply chain, slowed-down expansion, and created logistical nightmares. We weren’t opening-up our arms to others, and this minimized, not maximized, sales. Solution #2: I now share our expertise and innovation with open arms by empowering social entrepreneurs to operate their own HUMAN machines, while we continue to manage the marketing system, location acquisition, and long-term post-launch support.
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How We Created an Innovative Healthy Vending Program for You Blunder #3: I set-up 100% in-house product distribution. Another BIG time whammy! We stored and shippedout every product order ourselves, focusing a great deal of effort on the wholesale side of our business. Even though this generated a profit, it meant higher product prices, slower delivery times, and lessthan-optimal service for our vending operators. My focus was not where it should have been. Solution #3: I refined our business model so that we outsource most of our product distribution to 10+ warehouses across the country. This ensures that our partner vending operators receive the lowest possible product prices with the fastest delivery time.
Blunder #4: I allowed partner vending operators to start-off with fewer than five vending machines. Talk about a bad decision for everyone! Almost always, operating a route of only 1, 2, or 3 vending machines requires too much time for the reciprocal amount of profit that is produced. My partner vending operators could have been making more money in less time, but my planning was off-target. Solution #4: I place our partner vending operators’ profits as my top priority, and therefore, strongly encourage operators to start off with at least five healthy vending machines to maximize their “profit to time” ratio, and set themselves up for long-term success.
11 major mistakes, 11 big time lessons, 11 even bigger solutions. It’s why HUMAN is the innovative, optimized and highly scalable franchise that it is today!
So just ask yourself... Do you want to become your own boss and finally be able to determine your own future? Have you been yearning to do something you can truly feel good about, day in and day out?
“Before this I was working in the corporate world for 17 years and wanted to get a little freedom. I was able to achieve that through HUMAN.” Donnie H HUMAN Partner Vending Operator
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Would you like to sit back at night and feel lucky that you got involved in a business at just the right time?
Then JOIN US! Continue down your path to a new lifestyle by reading through the rest of this Healthy Vending Handbook where you’ll learn all you need to know about the HUMAN Healthy Vending Program.
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Focusing on innovation and ongoing training, the HUMAN franchise has grown at an unprecedented pace.
HUMAN Today:
The HUMAN Team celebrates another exciting year of growth! Today, HUMAN is a one-of-a-kind nutritional distribution platform that utilizes healthy vending machines, unattended self-checkout convenience stores, and direct delivery services to bring healthier, better-foryou foods and drinks to people in the most convenient manner possible. We have over 200 passionate, socially conscious franchisees & partners operating over 2000 machines in over 45 States, Canada, and Puerto Rico. Our mission is “Easy Nutrition Everywhere” and we’re out to make healthy food more convenient than junk food. We also donate 10% of our corporate proceeds (out of our pocket, not yours) to charities that fight childhood obesity.
Franchisees’ regional meet up in Nashville, TN Human_Handbook_12_02_14
Click to Watch: Franchisees review the HUMAN Team & Culture
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Leadership Team The HUMAN team is spearheaded by passionate professionals dedicated to the spread of the healthy lifestyle and the defeat of preventable disease.
Sean Kelly, CEO
Biomedical Engineer who earned his degree from The Johns Hopkins University & Columbia University. Named one of Forbes’ Top 30 Under 30 in 2013. Co-Founded America’s first Pure Play healthy vending company in 2003.
Andy Mackensen, CMO
HUMAN’s Co-Founders, Andy (left) & Sean (right)
Co-Founder of HUMAN, Social entrepreneur, and former Naval Officer who led a Special Forces fast-boat team in the Iraq War. Andy is passionate about helping entrepreneurs grow businesses that help make the world a better place. Andy earned a BS from Boston University and an MBA from Stanford University. He lives in Manhattan Beach, CA with his wife Carrie, son Brady, and dog Lucky.
Edward Kushell, Board of Advisors
Kushell is a former franchisor of over 400 very successful franchises, a franchisee of multiple units in the fast food business, a Past President of the International Franchise Association, a member of the Board of Directors of several known franchise companies and consultant to nearly 1,000 companies either engaged in or contemplating franchising. He has been retained as an Expert Witness in nearly 100 franchise or franchise related cases.
Mark Siegel, Board of Advisors
Mark Siegel is a dynamic business leader with twenty years of global experience and hands-on operational management across growth businesses, turnarounds, restructurings, and business model transitions. Mark has served in Executive and Management roles for Fortune 500 companies including Mattel, Petsmart, and Equity Marketing along with private equity and family-owned businesses such as Stravina Operating Company and Teleflora. Mark’s strength is his ability to marry strategic thinking, financial discipline, and personnel management with enthusiasm, energy, and innovation. He brings a wealth of knowledge and experience to HUMAN.
Brett Johnson, Board of Advisors
Brett Johnson is an accomplished business leader and connector. Brett has served as President of Targus, the leading global provider of mobile computing solutions with sales of $545 million. He has also served as CEO and President of Forward Industries (NASDAQ: FORD), which designs, sources, markets, and distributes consumer electronic products including smartphones and tablets. Currently, Brett is the CEO of Benevolent Capital Partners and Advisors, a private equity and consulting company. He is a member of the Board of Directors of Blyth Inc. (NYSE: BTH), a $1 billion direct to consumer sales company in the health & wellness space, and is a member of the Young President’s Organization (YPO).
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Jeremy Griffin invested in a franchise because he wanted better growth potential & control over his income
Calm Control “We
have always told ourselves that our kids wouldn’t be raised the way we were raised. You know, we’re not going to let them grow up on junk food and sitting in front of the TV and becoming overweight and unhealthy the way we did so, we kind of decided to make a life change and in doing so we’re also helping the community and educating kids on nutrition as well. Do you like being a Healthy Vending operator? Now that I’ve been doing it, I love it, just going and filling the machines every day and getting to talk to people and really it makes me
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responsible for what I eat too. You can’t really pull a Healthy Vending van into a fast food spot and get something to eat so it kind of helps me and I’ve lost quite a bit of weight over the last year and a half and still have a lot to go but, we’re getting there. What’s your ultimate goal with HUMAN Healthy Vending? Freedom, I don’t want to be tied down to a job, I don’t want somebody else controlling my destiny, I want to control that myself, I want to be able to determine how much money I make and how much time off I have and what I’m going to do every day. That’s what’s invaluable to my family is freedom.
Location: 38 Machines in Midland, Texas
“The potential is unlimited if you run your own company, that’s why I have such a strong desire to do it.”
Click to Watch! Go on a route ride-along and see how Jeremy runs his business.
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Start A Business That Makes You Feel Good! Help Others by Helping Yourself with HUMAN Passion + Purpose + Philanthropy = Success! Is it important to you to really feel like you’re making a difference with your work? Like you’re doing something that really helps people? Something you can reflect upon each and every day with a great feeling of happiness & self-worth? It is to the people at HUMAN & that’s why we do what we do! HUMAN was founded on 3 principles:
Principle #1
Principle #2
Principle #3
The largest problems often have the simplest solutions. Simply by making healthy products & information more accessible, we can stop today´s obesity & diabetes epidemics.
Focus on our partners’ wallets first, and our own wallets second. We only succeed in business if our programs and franchisees succeed first. Establishing a long, thriving partnership is important.
Philanthropy is a cornerstone of healthy business. True happiness is attained through fidelity to a worthy purpose. With a philanthropic mission at the core, each day running this business makes you feel great!
A company’s vision is its driving force. It’s what the company turns to every time a difficult decision needs to be made. We take our mission so seriously, that we decided to make it our name!
The HUMAN Vision:
“Make healthy food more convenient than junk food.”
How are we achieving our vision? i) Via the establishment of a global network of healthy & interactive vending machines that bring nutrition directly to people rather than making them go and find it themselves.
ii) By donating 10% of proceeds to charities that fight childhood obesity, effectively allowing people to help others (charitable giving) by helping themselves (improved health).
HUMAN is a certified B-Corp, to meet rigorous standards of social and environmental performance, accountability, and transparency.
HUMAN is featured by GOOD Magazine
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s s e r p r u Yo can use anchisee, you Fr N A M U H g a As local marketin r fo s e c ie p ss these pre
Ranked #1st in Vending and #281 of 500 in Entrepreneur’s Franchise 500 List http://www.entrepreneur.com/franchises/humanhealthyvending/334215-0.html
Ranked #168 of 500 in the Inc 500 “Fastest Growing Private Companies” http://www.inc.com/inc5000/list/2013
Ranked in Forbes Magazine as one of “America’s Most Promising Companies” http://www.forbes.com/most-promising-companies/list/
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ccolades Top Press & A
Ranked #1 in Category and #281 Overall in the “Franchise 500”
FRANCHISE 500
Ranked #168 in the “Inc 500”
INC 500
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ccolades Top Press & A
Ranked one of America’s Most Promising Companies by Forbes Magazine: #37 in 2011 and #44 in 2012
FORBES
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ccolades Top Press & A
Ranked in Entrepreneur Magazine’s
“100 Brilliant Companies” http://www.entrepreneur.com/article/219671
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ccolades Top Press & A
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ccolades Top Press & A
“Sean Kelly, chief executive officer of Human Healthy Vending, which designed the machine with the digital message screen, said that promotions like digital messages, free samples and contests helped to increase monthly sales to an average of about $1,500 per machine, up from $1,000 last year. ‘You cannot just take a standard vending machine, throw graphics on it, put some healthier options in there and expect everything to work out perfectly,’ he said.” ! !
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Natural Vending Machines Natural Vending Machines
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Not thrilled with the idea of Not thrilled with the idea of employees scarfing down chips and employees scarfing down chips and candy? These vending-machine candy? These vending-machine companies specialize in healthy companies specialize in healthy snacks and beverages, and deliver snacks and beverages, and deliver and stock machines for free, with no and stock machines for free, with no rental fees. rental fees.
H.U.M.A.N. H.U.M.A.N.
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This international supplier's highThis international supplier's hightech vending machines have LCD tech vending machines have LCD touchscreens and accept both credit touchscreens and accept both credit cards and cash. You can choose from cards and cash. You can choose from thousands of food and beverage thousands of food and beverage offerings, including Clif Bars and offerings, including Clif Bars and Sambazon smoothies. Real-time Sambazon smoothies. Real-time monitoring technology alerts the monitoring technology alerts the machine's operator when a product machine's operator when a product has run out, to streamline reordering. has run out, to streamline reordering. !
“At Santa Monica-based H.U.M.A.N. (Helping Unite Man and Nutrition) Healthy Vending, top sellers include Pirate’s Booty, Kashi granola bars and Stacy’s Pita Chips, says founder and ‘chief humanist’ Sean Kelly.” “...such fare is better than the top-selling items from mainstream vending machines, according to the State of the Vending Industry report: Snickers bars, followed by Peanut M&Ms, Twix bars, Ruffles Cheddar & Sour Cream potato chips, Doritos Nacho Cheesier Big Grab, Lay’s chips,
!
THE NEW YORK TIMES | LOS ANGELES TIMES
CNN • INC
H.U.M.A.N.
This international supplier's hightech vending machines have LCD touchscreens and accept both credit cards and cash. You can choose from thousands of food and beverage offerings, including Clif Bars and Sambazon smoothies. Real-time monitoring technology alerts the machine's operator when a product has run out, to streamline reordering. !
!
WOMEN’S HEALTH
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CNBC TV FEATURE: “Getting Back to Business”
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We Put The “Social” in “Social Entrepreneur!” Find out more and Connect with us! Like us on Facebook to see recent photos and get our updates! http://www.facebook.com/HealthyVending
Watch Franchisee “Day in the Life” Videos! http://www.youtube.com/HumanHealthyVending
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Why the HUMAN Healthy Vending Program Works The HUMAN Healthy Vending Program works because it was built on the foundation of three of today’s strongest trends: Health & Nutrition The Nutrition Business Journal reports that the U.S. nutrition industry grew 8.7% in 2008 to $101.8 Billion.
What does this mean? Health is gaining importance in consumers’ minds. People are increasingly realizing the benefits of living a healthy lifestyle and are proving it by spending more on healthy goods each year.
Don’t wait to join the health & nutrition industry! Get involved!
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Convenience
Fighting Obesity
In today’s hectic society, fewer meals are being consumed at home. People simply have less time to eat due to our increasingly fast-paced society. That’s why HUMAN’s motto is “Easy Nutrition Everywhere!”
Obesity is a major public health problem in the U.S. Even individuals who are highly motivated can have difficulty eating healthy and being active if their environments do not support or allow such behaviors (Institute of Medicine, 2009).
By bringing health & nutrition products directly to customers, we’re making it easier than ever before to eat more nutritiously & achieve a healthy lifestyle. To improve upon the already convenient nature of vending, we provide features such as credit card readers to make purchasing as easy as possible.
About 1 in 8 preschoolers is obese in the US. Obese children are more likely to become obese adults and suffer lifelong physical and mental health problems (CDC. gov). With the USDA’s “Smart Snacks in School” ruling we can help turn the epidemic around by providing access to healthier foods & education in schools.
Follow the trend of convenience and act fast! Now is the time for healthy vending.
You can make a positive change in your community. Be a hero;
Become HUMAN!
The HUMAN HANDBOOK - pg. 21 - HealthyVending.com
Minnesota File No.: F-6818
HOT News!
Junk Food Outlawed HUMAN takes the lead by releasing the nation’s only website & guide dedicated solely to helping schools meet the “Smart Snacks in School” Rules. One of the most significant reasons becoming a franchisee has benefits compared to one launching a business independently is the wealth of resources one gets when he/she’s part of a franchise family. For example, HUMAN has created an entire platform around the USDA’s new “Smart Snacks In School” rules, which allows franchisees to seamlessly communicate these changes to their school locations and acquire new school locations based on their expertise on the subject matter.
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HUMAN Healthy Vending is the only vending franchise to have an entire website dedicated to the policy and logistics behind Smart Snacks In School with actionable steps laid out based on years of experience and thousands of schools helped. See the following pages for the printed guide and visit SmartSnacksInSchool.com to learn more.
SmartSnacksInSchool.com
The HUMAN HANDBOOK - pg. 22 - HealthyVending.com
Minnesota File No.: F-6818
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The HUMAN HANDBOOK - pg. 23 - HealthyVending.com
Minnesota File No.: F-6818
“Item 19” Earnings Claim What It Is and Why It Matters
What It Is:
An “Item 19” is the 19th item in the Franchise Disclosure Document (FDD) that allows a franchisor to legally provide a historical overview of what revenue franchisees have generated in the past. We’ve provided an excerpt from our Item 19, below. Please be sure to review the complete Item 19 in our FDD.
Why It Matters:
Every franchisor has an opportunity to provide an Item 19 so you should always ask to see an Item 19. If a franchisor does not have an Item 19 in its FDD, it’s important to ask yourself why it would decide not to share such critical information.
2013 AVERAGE ANNUAL GROSS SALES FOR HUMAN VENDING MACHINES OPERATING 12 MONTHS OR MORE
The information on this page is an excerpt from HUMAN’s Item 19. Make sure you read the entire Item 19 when you read HUMAN’s FDD. THE GROSS SALES FIGURES USED IN THIS STATEMENT ARE REPORTED BY SPECIFIC FRANCHISEES AND SHOULD NOT BE CONSIDERED THE ACTUAL OR PROBABLE GROSS SALES THAT MAY BE REALIZED BY ANY FRANCHISEE. YOUR GROSS SALES MAY BE AFFECTED BY A NUMBER OF COMMERCIAL VARIABLES AND COMPETITIVE MARKET CONDITIONS. WE DO NOT REPRESENT THAT YOU OR ANY FRANCHISEE CAN EXPECT TO ATTAIN ANY PARTICULAR LEVEL OF GROSS SALES. WE DO NOT PROVIDE PROSPECTIVE FRANCHISEES WITH PROJECTIONS OR FORECASTS OF SALES, PROFITS OR EARNINGS. SUBSTANTIATION OF DATA USED IN PREPARING THE MATERIALS IN THIS ITEM 19 WILL BE MADE AVAILABLE TO YOU UPON REASONABLE REQUEST AT OUR HOME OFFICE.
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The HUMAN HANDBOOK - pg. 24 - HealthyVending.com
Minnesota File No.: F-6818
“Item 19” Earnings Claim What It Is and Why It Matters
2013 AVERAGE MONTHLY GROSS SALES FOR HUMAN VENDING MACHINES OPERATING 12 MONTHS OR MORE
There is no assurance that you will do as well as any of these franchisees. If you rely on these figures, you must accept the risk of not doing as well. We make no representation regarding the net earning of any franchisee or that the information shown is indicative of the success of any franchisee.These charts specifically do not include a franchisee’s operating expenses, general and administrative expenses, or other factors that may affect profitability. Sales, expenses, and income will vary from franchised business to franchise business and market to market, and we do not represent that Gross Sales for the franchisees shown herein for the periods indicated will accurately predict the future results for those franchisees or for any potential franchisee. Factors that may affect Gross Sales, and which you should consider carefully in evaluating this information and in making any decision to purchase a Franchise, include income and demographic characteristics of a particular Location; competition; expense variables in 2014MultistateFDDhuman(2-28).doc 41 a particular Location (e.g. insurance costs, transportation costs, and labor costs); your business skills; your motivation and effort in operating the Franchise; your financial wherewithal and financial capabilities; conditions generally prevailing in the local and national economy; the number of employees you hire; the size of your operating territory; and your general business acumen. Other than the preceding financial performance representation, We do not make any additional financial performance representations. We also do not authorize Our employees or representatives to make any such representation either orally or in writing. If You are purchasing an existing Business, however, We may provide You with the actual records of that Business. If You receive any other financial performance information or projections of Your future income, You should report it to the franchisor’s management by contacting Our Legal Department at 4641 Leahy Street, Culver City, CA 90232; (310) 845-7727, the Federal Trade Commission and the appropriate state regulatory agencies.
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The HUMAN HANDBOOK - pg. 25 - HealthyVending.com
Minnesota File No.: F-6818
Smart Snacks in School Rules... And What It Means For Your Healthy Automated Retail Business
eally (Hint: It’s Really, R
Good)
As part of the Healthy, Hunger-Free Kids Act of 2010, the USDA has finalized its national school nutrition standards for “competitive foods,” which are all foods and beverages sold to students on campus during the school day, typically through vending machines, a la carte lunch lines and in student stores, other than those meals reimbursable under federal meal programs.
Quick Facts on Competitive Foods: • About $2.3 billion worth of snack foods and beverages are sold annually in schools nationwide. (Source: The National Academy of Sciences)
• Children consume 19-50% of their daily food intake at school. (Source: The U.S. Department of Agriculture, Food and Nutrition Service) • Vending machines were available in 52% of all schools and 26% of elementary schools, 87% of middle schools and 98% of high schools.
(Source: Gordon, et al., 2007; SNDA-III, Volume 1, pp 102-114)
Summary of the New Standards: • Have no more than 200 calories for snacks and side dishes; and no more than 350 calories for entrees that are not part of the school-meal program. • Have no more than 35 percent sugar by weight. Some exclusions apply for fruit items.
• Have no more than 230mg sodium for snacks, though this will lower to 200mg after July 1, 2016 • Meet requirements for fat, i.e. 35 percent or less of total Watch the Video Summary at SmartSnacksInSchool. calories can come from fat per item as packaged or served; foods may contain no more than 10 percent of total calories from saturated fat per item as packaged or served; and they must have 0 g of trans fat per item as packaged or served. Some exceptions on the fat limits will be allowed for foods such as reduced-fat cheese and nuts. • Be either a fruit, a vegetable, a dairy product, a protein-rich food, a whole-grain-rich (at least 50% whole grains) product or a combination food that contains at least one quarter cup of fruit or vegetable. For the first two years after the standards go into effect, foods can qualify as a competitive food if they contain at least 10% of a nutrient that’s been designated as public health concern for children such as calcium, potassium, vitamin D or fiber. • All schools may sell water or carbonated water; unflavored low-fat milk; flavored or unflavored fat-free milk and soy alternatives; 100% fruit or vegetable juice. Portion sizes of juice and milk vary by the grade of students. There are additional beverage options for high school students including lower or calorie-free beverages, however, schools cannot sell regular-calorie sports drinks.
Schools must be in compliance with the new standards by July 1, 2014 Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 26 - HealthyVending.com
Minnesota File No.: F-6818
HUMAN Franchise
The
Platform
As a HUMAN Franchisee, our entire platform of Healthy Vending Machines, Healthy Micro Markets, and other innovative automated retail systems is at your disposal.
OP
tions. You want them. When the HUMAN LDA team is pursing the top locations in your area, it is vital to have a variety of machines and automated retail options to fit each location type. That’s why we don’t force you to purchase a specific type of machine upfront. Your equipment deposit means you are essentially placing a deposit toward whatever machines or technology that fit your locations. Continually innovating into new automated retail technologies,
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“Out with the Old” Click to Watch!
HUMAN guarantees access to the most options available for you to customize your healthy vending
business, giving you access to a wide range of location types and sales opportunities.
The HUMAN HANDBOOK - pg. 27 - HealthyVending.com
Minnesota File No.: F-6818
“HUMAN Touch”
Interactive Touch Screen Vendor Primary Features: • 46” 1080p interactive touchscreen display • variety of customizable user experiences as well as HD videos or still images played to promote content or to generate revenue via advertisements • Targeted advertising or vending apps, such as games, social media tie-ins, gifting, sampling and loyalty programs, that are based on anonymous demographics, idle time or purchases • Products displayed in 3D, sorted in custom categories, shown with product details / contents, and nutritional and ingredient information • Access to a database of thousands of products, images and nutritional information • 24/7 Internet connectivity • State-of-the-art vending hardware and software, including the VE UCB with MDB, DEX and guaranteed delivery • Cameras for anonymous demographics • QR barcode reader • Multiple payment capabilities, including mobile wallet, credit card, cash and near field communication (“NFC”), which enables payments via smartphones • Ability to remotely manage and monitor machines through a web-based content management system • Access to a complete system of analytics and diagnostics
Watch the Video
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The HUMAN HANDBOOK - pg. 28 - HealthyVending.com
Minnesota File No.: F-6818
“The Media Mogul”
Premium, Ad-Serving Health Store
Primary Features: 23” HD Video Screen: Displays Video Ads, Product Info, & Nutrition Advice. Attracts More Eyeballs. Ad-Serving System & Network: Generate an Extra Profit Stream Effortlessly with Your 23” HD Video Screen Internal PC Computer: The Brains Behind Your Advendtising Program. Keeps Your Machine on the Cutting Edge Credit Card Reader: Maximize Purchasing Power. Offer Cashless Payment. Remote Monitoring: Track Sales & Inventory Metrics. Generate Custom Reports. Run Your Biz More Efficiently Eco-Friendly Design: High-Grade Insulation and LED Lighting Reduce Energy Consumption Vend Sensor Technology: Strategically-Placed Infrared Sensors Refund Money If a Product Doesn’t Vend Self-Diagnosing System: Clears Vending Errors Automatically Increased Capacity: Over 40% More Capacity Than Prior Models. Less Trips to Your Machine Increased Versatility: Uses Conveyor Belt Dispensing Technology, NOT Coils, Which Greatly Increases Versatility Lifetime Unlimited Updates: Reap the Benefits of Continuous Software Enhancements
Technical Specifications: Electrical: 110-115 VAC / 8 Amps Dimensions: 88”H x 31.5”W x 37”D Weight: 750 lbs. Refrigeration: R134A - CFC Free Temperature: Ambient to 33 degrees F Tray Style: Highly-Versatile Conveyor Belt
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The HUMAN HANDBOOK - pg. 29 - HealthyVending.com
Minnesota File No.: F-6818
“The Apprentice”
Eco-Friendly, Versatile, and Video-Ready
Primary Features: Eco-Friendly Design: High-Grade Insulation and LED Lighting Reduce Energy Consumption Vend Sensor Technology: Strategically-Placed Infrared Sensors Virtually Eliminate Misvends Self-Diagnosing System: Clears Vending Errors Automatically Increased Capacity: Over 40% More Capacity Than Prior Models Increased Versatility: Uses Conveyor Belt Dispensing Technology, Not Coils, Which Greatly Increases Versatility & Capacity Video-Ready: Easily Upgrade Your “Apprentice” With a 23” HD Video Screen Whenever You’re Ready Cash/Coin Validator: Can Be Upgraded to Any Form of Cashless
Technical Specifications: Electrical: 110-115 VAC / 8 Amps Dimensions: 72”H x 31.5”W x 37”D Weight: 705 lbs. Refrigeration: R134A - CFC Free Temperature: Ambient to 33 degrees F Tray Style: Highly-Versatile Conveyor Belt
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The HUMAN HANDBOOK - pg. 30 - HealthyVending.com
Minnesota File No.: F-6818
“The Apprentice”
Without Elevator - Quick Vend Version
Primary Features: No Elevator: Removal of the elevator results in a faster vend time than other comparable models. Eco-Friendly Design: Uses up to 50% Less Energy Than Standard Vending Machines Vend Sensor Technology: Strategically-Placed Infrared Sensors Virtually Eliminate Misvends Increased Capacity: Over 40% More Capacity Than Prior Models Increased Versatility: Uses Conveyor Belt Dispensing Technology, Not Coils, Which Greatly Increases Versatility & Capacity Cash/Coin Validator, Credit Optional: Can Be Upgraded to USATech ePort Credit Card reader only
Technical Specifications: Electrical: 110-115 VAC / 8 Amps Dimensions: 72”H x 31.5”W x 37”D Weight: 705 lbs. Refrigeration: R134A - CFC Free Temperature: Ambient to 33 degrees F Tray Style: Highly-Versatile Conveyor Belt
Tray Configuration: Large Snacks: Medium Snacks: Bars: Small Drinks: Large Drinks:
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The HUMAN HANDBOOK - pg. 31 - HealthyVending.com
4 Selections 5 Selections 9 Selections 9 Selections 5 Selections
Minnesota File No.: F-6818
“The Rugged HUMAN”
Sturdy, Versatile Outdoor Machine
Primary Features: Rugged Design: Built for outdoor use Advanced Insulation: Keeps Your Products Cold While Reducing Energy Consumption Vend-Sensor Technology: StrategicallyPlaced Infrared Sensors Virtually Eliminate Misvends Self-Diagnosing System: Clears Vending Errors Automatically Increased Versatility: Uses Conveyor Belt Dispensing Technology, Not Coils, Which Greatly Increases Versatility and Capacity Cash/Coin Validator: Can Be Upgraded To Any Form of Cashless Payment (Credit/Debit) Credit Card Reader: Maximize Purchasing Power. Offer Cashless Payment. Remote Monitoring: Track Sales & Inventory Metrics. Generate Custom Reports. Run Your Biz More Efficiently Lifetime Unlimited Updates: Reap the Benefits of Continuous Software Enhancement
Technical Specifications: Electrical: 110 VAC / 7 Amps Dimensions: 72”H x 31.5”W x 37”D Weight: 850 lbs. Temperature: Ambient to 33 degrees F Tray Style: Highly-Versatile Conveyor Belt
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The HUMAN HANDBOOK - pg. 32 - HealthyVending.com
Minnesota File No.: F-6818
“Versatile HUMAN”
All-in-One Healthy Food & Drink Vendor Primary Features: Versatile: Simple, coil-based technology custom designed for healthy snacks and drinks with the ability to vend Small and Large Snacks, 12 oz. or 8.4 oz. cans, small and large bottles. Modular: Dismantles into 3 pieces for easy transport. Wave goodbye to moving companies. Multi-Faceted Payment Acceptance: Bill acceptance for $1s and $5s. Coin Acceptance of Nickels, Dimes, Quarters & Dollars. Credit/Debit Cards Accepted Loyalty Cards: Build brand loyalty at your locations through a built-in loyalty card system that uses inexpensive Smart Cards. Remote Monitoring: Efficiently service your route with web-based visibility into machine sales and inventory levels. Entree Add-On: Want to expand your product selection? The entree unit add-on allows you to provide soups and meals to hungry locations
K Cup Coffee Add-On The Coffee Station is designed to hold the K Cup Vendor add-on plus a commercial grade K Cup Brewer and all supplies for coffee service. The vendor is controlled by the keypad and allows you to provide coffee service and snack service to offices in one compact package. K-Cups keep your coffee service simple with minimal upkeep or machine maintenance.
Technical Specifications: Electrical: 110-115 VAC / 3 Amps Dimensions: 77”H x 37”W x 30”D Temperature: Snacks: Ambient Drinks: to 33 degrees F Tray Style: Coil System
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The HUMAN HANDBOOK - pg. 33 - HealthyVending.com
Minnesota File No.: F-6818
“Traditional HUMAN”
Industry-Leading Standard Coil Machine
Primary Features: Versatile: Simple, coil-based technology custom designed for healthy snacks and drinks with the ability to vend Small and Large Snacks, 12 oz. or 8.4 oz. cans, small and large bottles. Industry Leading: Uses technology & parts that are common for easy servicing
Dimensions: Width: 35 or 39 inches Height: 72 inches Depth: 35 inches Tray Style: Coil System
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Delivery Sensors: Sensit patented guaranteed delivery system Multi-Faceted Payment Acceptance: Bill acceptance for $1s and $5s. Coin Acceptance of Nickels, Dimes, Quarters & Dollars. Credit/Debit Cards Optional Advanced Insulation: Polyurethane foam improves energy efficiency
The HUMAN HANDBOOK - pg. 34 - HealthyVending.com
Minnesota File No.: F-6818
“Coffee TOUCH”
Premium Fresh Coffee & Espresso
Primary Features: Exceptional Taste: WAY Better Than Your Average Cup of Joe. Fresh Ground Whole Beans: Machine Grinds Whole Coffee Beans On-The-Spot For Every Cup. Wide Drink Selection: Serves Coffee, Cappuccinos, Lattes, Mochas, Espressos, & More Self Cleaning System: Self Cleaning Mixing Circuit, Product Delivery, and Grinding Assembly Saves You Time & Effort! Touch Screen: Large color touch screen display with customized product names and ability to load your own screensaver images. Online Portal: Manage your Touch screen content and drink selection with online software Premium Construction: Manufactured for reliable, easy operation & cleaning. Optional Accessories: Brewer is compact, counter sized unit with optional cabinet base stand and payment acceptance add-ons.
Touch Screen Interface
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The HUMAN HANDBOOK - pg. 35 - HealthyVending.com
Minnesota File No.: F-6818
“The Arctic HUMAN”
Heavy Duty Frozen Foods Vendor
Primary Features: Frozen Healthy Meals: Vends A Wide Variety Of Tasty And Nutritious Full Frozen Meals (In Multiple Shapes And Sizes) Rugged Design: Built for outdoor use Advanced Insulation: Keeps Your Products Cold While Reducing Energy Consumption Vend-Sensor Technology: StrategicallyPlaced Infrared Sensors Virtually Eliminate Misvends Self-Diagnosing System: Clears Vending Errors Automatically Increased Versatility: Uses Conveyor Belt Dispensing Technology, Not Coils, Which Greatly Increases Versatility and Capacity Cash/Coin Validator: Can Be Upgraded To Any Form of Cashless Payment (Credit/Debit)
Technical Specifications: Electrical: 110 VAC / 8 Amps Dimensions: 72”H x 40.8”W x 37.5”D Weight: 937 lbs. Refrigeration: R-404A - CFC Free Temperature: -11 degrees F Tray Style: Highly-Versatile Conveyor Belt
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The HUMAN HANDBOOK - pg. 36 - HealthyVending.com
Minnesota File No.: F-6818
“The Hot HUMAN”
All-in-One Healthy Vending Solution
Primary Features: All-In-One Vending: Vends Hot Food, Cold Drinks, & Healthy Snacks! Internal PC Computer: The Brains Behind Your Advendtising Program. Keeps Your Machine on the Cutting Edge Eco-Friendly Design: High-Grade Insulation and LED Lighting Reduce Energy Consumption Enhanced LED Lighting: Improves Product Presentation,Requires No Service for 5+ Years, & Reduces Lighting Energy Costs by 40% Production Selection: Wide Variety of Healthy Menu Selections Available. Vends Packages Of All Shapes & Sizes Credit Card Reader: Maximize Purchasing Power. Offer Cashless Payment (Credit/Debit) Remote Monitoring: Track Sales & Inventory Metrics. Generate Custom Reports. Run Your Biz More Efficiently Vend Sensor Technology: Strategically-Placed Infrared Sensors Refund Money If a Product Doesn’t Vend
Technical Specifications: Electrical: 110-115 VAC / 8 Amps Dimensions: 72”H x 39.5”W x 38”D Weight: 725 lbs. Temperature: Ambient to 33 degrees F Tray Style: Adjustable Coil System
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The HUMAN HANDBOOK - pg. 37 - HealthyVending.com
Minnesota File No.: F-6818
“The Autopod”
Secure Self-Serve Cooler System This Intelligent Cooler Technology is Exclusive to the HUMAN Franchise!
Primary Features: Convenient and Quick Access: Consumers use their mobile phone or NFC-enabled “Autopod” card to purchase refrigerated products. Credit Card reader optional. Redefined Customer Experience: “Just wave and go” changes the customer experience and redefines vending. Automated and Secure: Electronic locking mechanism only allows customers with a valid account to access the fridge. Smart Shelves: Weight sensing shelves know exact quantity and types of products in stock, what the customer removes and/or returns, and updates accounts instantly. Simple Payment Processing: Account creation, payment processing, and direct deposit are all included. Versatile Product Offering: Spacious shelving options open up consumers to the world of fresh healthy meals, drinks and snacks. Remote Monitoring: Track sales and inventory metrics remotely through the “Autopod” web-based remote monitoring system.
See it in Action!
Click Here to Watch Technical Specifications: Worry-free performance: Automatic Defrost Cooling System Dynamic Condenser: Improves Energy Efficiency Health Timer Lock: NSF-Certified for food storage & safety Sleek Sturdy Construction: Vinyl-Coated Steel Interior Versatile: Adjustable Shelves & Easily Reversible Door High Capacity: 27 cubic foot capacity Dimensions: 78”H x 30”W x 32.35”D
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The HUMAN HANDBOOK - pg. 38 - HealthyVending.com
Minnesota File No.: F-6818
HEALTHYVENDING Be sure to watch these videos about HUMAN’s technologies!
VIDEOS
Video: Operators Review the HUMAN Machine
Video: HUMAN Platform Overview
Video: Service a Machine with Paul
Video: Service a Machine with Brad
and for Fun...
Video: Machine Features for Locations (LDA) Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 39 - HealthyVending.com
Minnesota File No.: F-6818
HUMAN Healthy Markets The Future of Office Food Service
Select from a ‘Menu’ of Market Components for Custom Buildout
Industry Leading Kiosk Technology
Click to see how it works! Or visit HealthyMarkets.com
• Limitless Product Possibilities: Customizable shelving and cooler system allows for endless variety of healthy snack, drink, and fresh healthy meal options. • Minimal Maintenance, Downtime or Repairs: No moving parts means minimal downtime. Keep your business open 24/7! • No Staff: Industry leading self service kiosk technology and security system provide an “automated convenience store” where the customer performs each transaction on their own. • Repeat Customers. Loyalty card system allows for Wellness Program partnerships and repeat customers. Human_Handbook_12_02_14
High-Tech BUT User-Friendly. Touch screen kiosk and UPC scanner make check-out simple. Our easy-to-navigate software and cashless payment system create a quick check-out process and encourage multiple transactions!
The HUMAN HANDBOOK - pg. 40 - HealthyVending.com
Minnesota File No.: F-6818
Micro Markets are going to be BIG! NAMA’s 2012 Micro Market Channel Census
Average Micro Market location:
Largest Micro Market location:
4-week sales = $4,113
4-week sales = $26,526
Annualized (50 week) sales = $51,416
Annualized (50 week) sales = $331,577
US Government Census data for 2011 indicates there are 99,200 B&I (Business and Industry) locations with more than 150 employees. With only 2,642 active Micromarket locations in the US, there is a huge potential for growth!
Source: Bachtelle and Associates; Micro Market Equipment Supplier Survey, February 2013. Presented at NAMA OneShow Super Session
Weare areat atthe the “tip “tipof ofthe theiceberg” iceberg”in inthe theMicro Micromarket marketchannel. channelWe Siting market installation growth projections and current Citing market installation growth projections and current average sales, sales, Bachtelle Bachtelle projected projected micro micro market sales to average exceed exceed $1.6 $1.6 billion within ten years (unadjusted for inflation).
Vending Operators Share Experiences And Offer Tips On Success In Emerging Micromarkets Sector by Tim Sanford and Emily Jed / Issue Date: Vol. 53, No. 1, January 2013
Vending operators who are taking a wait-and-see approach to micromarkets were encouraged to jump on the bandwagon by those who have made the move, and who now are affirming the role these self-checkout stores can play in pleasing locations and boosting sales. “Innovation is bringing customers back to shop from us. They’re focused on the quality and not the price point.” - Mike Coffey
Coffey reported that micromarkets are attracting customers by offering them fresh foods that are perceived as “healthier,” as well as premium offerings like new-age beverages. He attributed a sales lift as high as 150% in some locations to these new customers, attracted to the new products.
“My mantra is to be on the cutting edge. I saw micromarkets as the next phase in an industry where we want to be a leader.” Scott Halloran
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“Customers are asking for more ‘wellness’ selections to satisfy the demands of their insurance carriers, and it’s very easy to change products at the drop of a hat in order to accommodate them. There’s such a push on the obesity factor, and our ability to work with the client to offer so many fresh, healthy foods is a big plus.” - Zed Bradley
The HUMAN HANDBOOK - pg. 41 - HealthyVending.com
Minnesota File No.: F-6818
Additional Income Opportunity! See next page for Franchisee Commission Benefits
SnackNation is a monthly healthy snack delivery service for offices and homes. Franchisees collect a monthly commission for every office and home that they sign up and HUMAN handles all fulfillment. In short, SnackNation is a way to build a 100% passive ongoing revenue stream in your healthy foods distribution business.
! you’ll love this Cool Snack Display with Optional Collection Box The Snack Nation display is a custom designed “Honor Box” to keep the location’s healthy snacks & bars organized. To reduce or eliminate cost for the location, the optional Collection Box can be attached to have employees pay for their own snacks.
How It Works (For Your Location)
Choose Your Plan
Delivery Arrives
Select your subscription plan based on the number of employees you have in your workplace or the number of break rooms you want to stock.
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Your first shipment will contain the SN display and 1 refill box. Designate someone to restock the display as additional refill boxes will arrive.
Employees Enjoy Snacks You’ll hear a buzz around the office as employees try the tasty and healthy snacks. Their midafternoon energy crashes are instantly replaced with smiles!
The HUMAN HANDBOOK - pg. 42 - HealthyVending.com
Minnesota File No.: F-6818
Why is this a HUGE Opportunity? -There are approximately 863,000 offices in the US with 20-75 employees -Companies spend an average of $64.41 per employee on perks1 -These small offices are not prospects for Healthy Vending & Healthy Market services (which are designed for offices with 100+ employees)
1
http://www.huffingtonpost.com/bryce-maddock/5-employee-costs-founders_b_2977397.html
“100% Passive Income Opportunity”
YES!
You make the initial sale, Snack Nation handles the rest. You get paid commission on every monthly payment for as long as your customer keeps their Snack Nation subscription.
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The HUMAN HANDBOOK - pg. 43 - HealthyVending.com
Minnesota File No.: F-6818
One Small Change Suzanne McMillan wanted a business she could be proud of and impact her community
My
husband John and I operate this business and we felt strongly that we wanted to start a business that we could be proud of and that could impact our community and our society and certainly our kids by giving them healthier options.
“She’s giving so much more than just offering a vending service, she’s actually promoting a transition in healthy lifestyles for so many families that are in this community.” -David Fish, YMCA Director
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At one of Suzanne’s locations, David Fish, the YMCA activities director chimes in, “What I actually heard a mother saying the other day was “Hey, the last time that Suzanne was here doing a sampling event she was showing us a couple of products, we actually went over to the vending machine, I let my son pick something out and then we made a decision that day that Wow, there actually are snacks, there are things that exist that are healthy products” and so we went over to Sam’s Club where they have a membership and they actually purchased a lot of the very similar items that are actually in this vending machine so that they can start being
The HUMAN HANDBOOK - pg. 44 - HealthyVending.com
more consistent about taking that approach in their own home and so she’s giving so much more than just offering a vending opportunity, she’s actually promoting a transition in healthy lifestyles for so many families that are in this community. Liz McLaurin, a local mom, feels the same way. “Just that one small change in a school that so many kids are going to walk by and so many teachers are going to walk by, instead of it being Doritos, I probably shouldn’t say that but, instead of it being chips it’s going to be something healthy and so even if it’s a subliminal thing, it’s going to change the perception of snacking and I think it’s great.” News Spotlight!
Click to Watch Suzanne’s feature on ABC news Minnesota File No.: F-6818
The
HUMAN Healthy Franchise
Training & Support
Video: Training & Support Overview
As a Franchisor, HUMAN’s success relies on the success of its franchisees. Our belief is that success comes from constant focus on learning and improvement, so we built the HUMAN Entrepreneurial Development Program. From robust in person & web based training, to a dedicated account manager and tech support - this program is designed to develop HUMAN franchisees from vending newbies to automated retail rockstars! HUMAN’s Entrepreneurial Development Program Includes: • HUMAN’s Business Building Bootcamp: “HB3” is the healthy vending industry’s only full immersion experience where HUMAN Vending Operator Partners come to HUMAN Headquarters in Southern California and learn everything they need to know about their healthy vending businesses. This 4-day super-event combines in-depth machine training, location sales training, business optimization workshops, team activities, and most of all, FUN! • “H.O.O.P.” Group classes conducted online help guide you through the business setup process. • Ascension Mastermind: Take your business to the next level by working with HUMAN and elite, experienced franchisees to learn how to best optimize your business for YOU.
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The HUMAN HANDBOOK - pg. 45 - HealthyVending.com
Minnesota File No.: F-6818
Fun, Fast-Start Training HUMAN Business Building Bootcamp (HB3) Learn the Healthy Vending Business In a Unique, Fun Way
What is HB3?
Watch the Video!
HB3 is the healthy vending industry’s only full immersion experience where HUMAN Vending Operator Partners come to HUMAN Headquarters in Southern California and learn everything they need to know about their healthy vending businesses. This 3-day super-event combines indepth machine training, location sales training, business optimization workshops, team activities, and most of all, FUN!
HB3 Schedule
Operators talk about their HB3 Experience
DAY 1
8:00am 10:00 am 11:30 am 12:20 pm 1:15 pm 2:35 pm 3:45 pm 4:05 pm
HUMAN vs ALIEN Kick-Off Speech with Sean Kelly Location Discovery Acquisition with the LDA Team Catered Lunch Business Optimization with Alex Mical The LDA Mindset + Drop-Off Role Play with Kevin Dorsey RFPs, Strategic Partnerships + LDA Q&A with the LDA Team Franchisee Geo-Targeted Online Marketing with Amy Coplen Day 1 Ends… extra time to enjoy some beautiful Southern California sun!
DAY 2
8:00 am 9:40 am 10:10 am 10:30 am 11:30 am 12:00 pm 12:45 pm 1:30 pm 2:00 pm 2:20 pm 4:20 pm 6:30 pm
Machine Training Session #1 with Eric Gunter, Patrick Sanders & Emil Shour Machine Installation Overview with Emil Shour Products + Q/A with Mara Gillani Micromarket Technology and Operations with Patrick Sanders Core Story Workshop with Ray Marks Catered Lunch Franchisee Professional Photos & Videos with Travis Miller LIVE Franchisee Skype Interview Sampling Events and PR Outreach with Annabel Adams Machine Training Session #2 with Eric Gunter, Patrick Sanders & Emil Shour Intro to HOOP & Training with Alex Dinner with HUMAN’s Founders or Fun Social Event
DAY 3
8:35 am 10:30 am 11:40 am 12:25 pm 12:55 pm 1:25 pm 3:00 pm 3:30 pm
Machine Training Session #3 with Eric Gunter, Patrick Sanders & Emil Shour New Machine Technologies with Patrick Sanders Catered Lunch Finance with Tyler Honaker Team Awards The Big Picture: HUMAN’s Future with Sean Kelly Closing Ceremony Event Ends…. Enjoy the rest of your weekend in Los Angeles!
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Meet Your New Family HUMAN Business Building Bootcamp (HB3) Team Work. Passion. Inspiration. FUN!
Group Fitness Activities
Meet Captain HUMAN
Here’s What You Get: Inspiring Presentations
• Machine Training: Receive in-depth training & instruction on the HUMAN machines • Location Training: Become a HUMAN Location Discovery & Acquisition (LDA) All-Star • Entrepreneurship Training: Learn how to optimize your business now & in the future • Operator Network: Meet and hang-out with other HUMAN operators from all over the country (your new family) • HUMAN Team: Meet the HUMAN corporate team & check-out our California digs
Hands on Machine Training Sessions
• Fun: Everything we do at HUMAN has fun baked into it. Have a ton of fun & enjoy yourself in Southern CA! Talk to Active Franchisees Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 47 - HealthyVending.com
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Entrepreneurial Development Program Personal Coaching & Guidance Entrepreneurial Development Program: HUMAN’s Operational Optimization Program (H.O.O.P.) HUMAN’s Operational Optimization Program is designed to assist you in post HB3 business setup, optimization and learning. With an indepth curriculum & an online classroom, HOOP sessions are an easy way to build your business. Plus you’ll have a focus group of fellow business owners to bounce ideas off of, solve problems, and learn from.
H.O.O.P. Features: • Takes you from the fundamentals of successful entrepreneurship through the launch and continual growth of your franchise. • Group classes conducted online allow peers to interact, learn, practice, and role play with their fellow franchisees - all while being led by experienced entrepreneurial instructors. • One-on-one sessions to guarantee your questions are answered as you launch, grow, and optimize your franchise.
Ascension Mastermind Continue your training and take your business to the next level with this “Mastermind” group: Connect with Franchisees that are in similar stages of their business’ development into specific Development Clubs. Discuss specific case studies/business development projects that are unique to Franchisees at this stage of development. Discover solutions for typical business roadblocks using the advice of other Franchisees through open discussion and crowd-sourced brainstorming sessions. Plus... Have FUN! Develop long lasting relationships with our national network of forward thinking franchise owners. Human_Handbook_12_02_14
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Ongoing Training and Support Online Resources & Communication HUMAN University: Your Online Resource A complete library of resources with 24/7 access. Advanced Machine Training Videos, Marketing & PR resources, Meeting & Sales advice. A-Z Guides for every part of your HUMAN franchise.
HUMAN Yammer! Forum - A Social Network for Business: Get quick advice, stay connected with your peers & celebrate victories! The HUMAN Yammer forum is an active place for news, events and updates. Franchisees find this forum to be one of the most useful & fun aspects of their business!
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Ongoing Business Growth Support & Accountability for Success The Top 10 Accounts Program The Top 10 Accounts Program is designed for HUMAN Franchisees in the field that want to grow their business. The program provides a framework and accountability to help you discover, nurture, and acquire (DNA) high-quality, high-value locations in your area, so you can win better accounts and grow your business & profits. Participation in this Program offers a surefire opportunity for you to grow your Healthy Automated Retail Business in a systematic, laserfocused way. Your Top 10 Accounts List are quality accounts that you are continuously nurturing, and that are excluded from HUMAN’s continuing LDA campaigns for new franchisees in your area. The Top 10 Accounts Program makes it possible for current franchisees and new franchisees to coexist and grow in the same market.
Why should you participate in the Top 10 Accounts Program? There are three main reasons: 1) Protects key accounts that you want to pursue and prevents other HUMAN franchisees from pursuing your “dream list” of accounts 2) Helps you maintain laser-focus on nurturing and converting your highest priority accounts 3) Keeps you accountable to actively growing your business and increasing your success
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Technical Support Fast Response Support & Machine Training
Innovative Procedures that Make Sure You Get Support Fast: • • • • • •
Online Support Ticketing System Dedicated Phone Support In-the-Field Tech Support via live iPad video conference HUMAN U video recordings for common repairs Regional Trained Technician Network 1 Day Advanced Machine Training Course
Video: Operators Review HUMAN’s Support
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The
HUMAN Healthy Franchise
Location System
Location, Location, Location! It’s taken us 10 years to build from the ground up, the industry’s most robust & advanced system for finding high-quality, profitable locations for your healthy vending business. We call it our Location, Discovery, & Acquisition (LDA) system. Video: Location Placement Overview
Video: Locations Review HUMAN’s Program Human_Handbook_12_02_14
LDA Explained: “Human Intelligence” System (List Building + Social Engineering) “Shock & Awe” System (6 Week Marketing Blitz) Getting the Appointment Meeting with the Location Follow-Up Mastery Getting the Deal Done Contract Handoff & Machine Installation!
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The HUMAN “Shock & Awe” Location Discovery & Acquisition System “Shock & Awe” is: 6-Week Direct Mail Campaign + Phone Calling + Email Campaign + Fax + PPC + YOU (strategic drop-offs) that results in “warm” leads for the biggest locations and better, high quality meetings.
Step 1: Research This phase includes list-building, research compilation, geographical research, and social engineering to determine “target” locations.
Step 2: Location Analysis Locations are rated on foot traffic, demographics, and other factors. The pool is narrowed down to a smaller list of high-potential locations.
Step 3: Social Engineering HUMAN makes introductory calls to prospective locations to identify the decision-maker and start the conversation on healthy vending.
Step 4: Shock & Awe “Shock & Awe” is an 6-week marketing blitz with over 30 “touches” including direct mail, pay-per-click advertising, phone, email, fax and radio.
Step 5: Meetings The goal of “Shock & Awe” is to setup quality meetings with qualified locations. My expert team of consultants meets with each location, qualifies them across 27 different criteria, and scores them.
Step 6: Fly-In Meetings (if necessary) If we deem it necessary for a high value location, a HUMAN LDA specialist will fly to your area and take high level meetings in order to land the deal.
Step 7: Selection We collectively pick 5 to 10 locations to offer contracts to based on the qualification scores.
Step 8: Contracts We collectively secure signed contracts from the best locations that you approve .
Step 9: Site Surveys You go to the locations, meet the decision-maker and confirm your machine placements.
Step 10: Launch & Grow Place your machines in your locations, stock them and start making money! You have the full support of HUMAN and its friendly staff as you grow your business and create a positive impact on your community.
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Terence & Yolanda Carroll retired from the Military but still wanted to be leaders in their community
Passionate Leadership
Te
rence and Yolanda Carroll, new HUMAN Healthy Vending franchisees based in Grovetown, GA, Retiring from military service after 20 years in the Army, they were looking for a business opportunity or franchise that allowed them to make a difference. They recognized that friends and even family were suffering from health problems caused by poor nutrition, so they decided to once again stand up and be leaders in their community. Why did you choose to start a HUMAN Healthy Franchise? Terence: “HUMAN has a cause. Their passion for the business just really appealed to us. And
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just being here at HB3 really drove that home for us... all the machine training and the business optimization department. These guys really care about not only getting us on as a franchisee but they care about us after we’ve gotten into the field, so you have that continued education, continued training -we just really feel comfortable and excited!”
News Spotlight!
Click to Watch Yolanda’s feature on ABC news!
“I felt like the HUMAN family was here to help me succeed.”
What was something that surprised you about HUMAN? Yolanda: “The family orientation of this business - I really felt like I was going to be part of a family. I felt like the HUMAN family was here to help me succeed, to help me start my business and help me make a difference in my community.”
Click to Watch! Get a peak at the energy at HUMAN in this “Epic High Five” video!
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The
HUMAN Healthy Franchise
Product System
The HUMAN Product Portal We don’t call ourselves “Snack Masters” just for the fun of it; we’re serious about finding the most healthy, delicious and affordable foods and beverages possible and bringing them to our locations all over the world. We have a catalog with over 1000 HUMAN-approved foods and beverages. Allow us to take out the guesswork, and to put our experience to work for you. HUMAN Franchise owners have access to a proprietary web store for ordering their product at greatly reduced rates. By using the combined purchasing power of our Franchise network, HUMAN has negotiated competitive rates. Ask your Franchise specialist for more info on this exciting feature of the HUMAN Healthy Franchise.
Video: HUMAN at Natural Products Expo Human_Handbook_12_02_14
Video: Kids Review Healthy Snacks!
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HUMAN Healthy Products: A Healthy & Tasty Selection!
As a HUMAN partner you’ll AVOID THE #1 BIGGEST MISTAKE made by vending operators when starting a healthy vending business: selling the wrong products! We are the healthy vending product experts – we know what products sell & what don’t. We’ll assist you with product selection so that you can start-off on the right foot, eliminate guesswork, and save yourself the hassle.
The 5 Es that form the underlying principles of our overall product strategy: Expertise
Offer only the healthiest products
Education
Experience
Rely on sales-proven products
Create informed, loyal customers
PRODUCT STRATEGY
Enjoyment
Provide the tastiest foods and drinks
Economics
Offer competitive product pricing
Expertise
Experience Education
Economics Enjoyment
Our company was founded by a biomedical engineer & has a health advisory board full of medical doctors, certified nutritionists, registered dieticians, & public health specialists. We know health & nutrition – especially in regards to convenience REALLY well. We’re both a vending AND a health company.
Since 2003, we’ve tested over 1,000 different products in our vending machines. We put together customized product-mix offerings for each unique location based on this data. Why? Because we’ve learned that different people have different needs & different product preferences. Customization is key!
We help you find the lowest prices on over 1,000 food & beverage selections. This means lower prices for consumers & increased sales for you. How do we do this? By partnering with the best natural products wholesalers. We understand the importance of finding the best prices for highquality products.
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Each HUMAN program launch includes an educational component that is designed to develop loyal & valuable customers. Our onmachine digital LCD screens & our weekly online newsletters provide health info, product purchasing advice, & promotions encouraging use of machine(s).
The HUMAN HANDBOOK - pg. 56 - HealthyVending.com
Great nutrition does nothing without great taste. That’s why each of our products must pass a health test AND a taste test. Even the most discerning eater will find snacks & drinks that they enjoy inside of HUMAN healthy vending machines. After taste-testing, many customers don’t believe the products are actually healthy! Minnesota File No.: F-6818
Product Distribution: Quick Account Set-Up, Easy Ordering, & Fast Delivery We’ve removed the middle man to make product ordering a simple, efficient process. Set up an account, order your products, stock your machines, and you’re good to go!
STEP 1:
Determine Product Mixes • •
STEP 2:
Set-Up Wholesale Accounts • • • •
STEP 3:
• •
• •
Orders are delivered within 24-72 hours of order placement, again, with the only exception being some drink orders which require route delivery Receive deliveries, stock your machines, & store extra inventory properly In the rare event that it would be beneficial for you to carry perishable products, we’d speak with you before-hand to ensure proper storage
Re-Order As Needed • •
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Order the exact products on your unique Product Order List from your newly setup distributors – orders can be placed via phone, fax, or online To avoid surcharges and/or to receive free-shipping you typically need to meet order minimums of between $250-$500 depending on the distributor Orders are either shipped same or next day, the only exception being some beverage orders which require route deliveries (because of weight)
Accept Product Deliveries •
STEP 5:
HUMAN connects you with our product distribution partners in your specific geographic area – you fill-out basic wholesale applications and become set up as a HUMAN franchise in their system You’ll typically be set-up with 2-3 distribution warehouses from which to order the exact # depends on the product needs of your location(s) To avoid paying sales tax you’ll need a Reseller’s License which can be obtained rather easily with your state’s tax board/agency You only have to do Step 1 and 2 once, then you’ll be set up and ready to make $!
Place Product Orders •
STEP 4:
Your assigned healthy vending expert will assist you in determining your optimal product-mix offerings This process includes demographic information analysis, on-location customer surveying, and/or a focus on past-precedence
You receive on demand sale reports from your machines, so you’ll know in advance when you need to re-order from your distributors Most distributors require up-front or COD payments initially, but will give you a credit account (i.e. Net 30) after establishing good rapport
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HUMAN’s Proprietary Product Line:
SUPER HUMAN SNACKS
“We created our own product line to give our franchisees a massive competitive advantage & better margins.” -Sean Kelly, CEO • Developed to be best-selling products in the HUMAN system • Meet or exceed new Federal USDA Smart Snacks In School Rules (this is BIG for your school accounts) • Cost less than most snacks in category • Opportunity to build additional revenue stream through local distribution • “This Snack Gives Back.” For every snack purchased, one child nutrition pack is donated via our charitable partnership with GAIN, the Global Alliance for Improved Nutrition
• Increases HUMAN brand value which all franchisees share in
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Vending 2.0™ & What It Means for You (Hint: It’s on the cutting edge of the industry)
The traditional “junk food” vending industry is no longer the only player in the game and is scrambling to *figure out* how to compete with the increased popularity of healthy vending.
What’s HUMAN’s answer to the woes of the vending industry?
“Every vending operator MUST adopt a Vending 2.0™ mindset NOW.”
Not only will integrating Vending 2.0™ strategies SAVE you from the pitfalls of the traditional vending industry, it will also help you DISTINGUISH yourself from other vending operators.
So what the heck is Vending 2.0™? We’re glad you asked…
Vending 2.0™ in a Nutshell: 1) Reporting. Data tracking, data management, and data-driven decisions…basically, any
sort of “internal intelligence” you can gather to help you run your business more efficiently. Remote monitoring systems, standard on all HUMAN machines, are a great example of this first feature of Vending 2.0™.
2) Education. A more educated consumer is a more loyal & health-conscious consumer,
helping to increase sales. Digital LCD screens make it possible for this essential element of Vending 2.0™ to occur on every HUMAN machine.
By adding HD LCD screens & computing power to select machines, HUMAN is redefining vending because it adds another potential revenue stream to the operator’s business, allows for local targeted advertising and messaging, and makes the machine more eye catching and attractive.
3) Advertising.
HUMAN is leading the vending industry into its next major upgrade cycle, which we’ve coined Vending 2.0™, where it will be no coincidence that the leaders of the vending industry will also be those whole-heartedly employing the three main points listed above.
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A company’s mission is its driving force. We take our mission so seriously that we decided to make it our name!
Philanthropy AT
HUMAN, above all else, we focus on “the Why.” Rather than simply talking about what we’re doing (vending) or how we’re doing it (innovative machines), we talk about Why we’re doing what we do. We believe that when you start with “the Why” everything else falls into place. Our “Why” is that we feel there is nothing more important that we could be doing than increasing access to the healthful foods that people need in order to be healthy AND developing the social entrepreneurs who can make this happen, all the while creating a lifestyle that they enjoy and are proud of.
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In other words, we’re nutritional activists before we’re vending professionals and we’re social entrepreneurial developers before we’re a business selling franchises. Whereas other “healthy vending” businesses care more about selling machines than they do about the societal impact of their business, our company was co-founded by a biomedical engineer that decided to forego medical school in order to focus on the larger issues of improving nutrition and disease prevention, and vending just happened to be the perfect channel for us to create as large of an impact as possible. Social entrepreneurship is not just good for society, it’s good for the entrepreneur’s pocket book too!
Graduation! HUMAN’s YEP students celebrate a successful year
“We feel there is nothing more important than increasing access to the healthful foods that people need to be healthy.”
Click to Watch: Food Revolution day cooking classes hosted at HUMAN HQ
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HUMAN’s Young Entrepreneu r program teaches students how to run a busines s & take initiative
Young Entrepreneurs! “Entrepreneurship is one of the most empowering skills we can teach our youth today. Entrepreneurs can create their own job opportunity and destiny.” -Sean Kelly The flagship program of our non-profit arm, HUMAN Everywhere, The Young Entrepreneur’s Program teaches students in underserved areas how to be social entrepreneurs and nutrition activists. Our Young Entrepreneur’s Program participants have truly become social entrepreneurs by learning how to operate, market and maximize the healthy vending machine donated to them as part of the program.
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Entrepreneurship is one of the most empowering skills we can teach our youth today. Rather than having to wait for an opportunity to present itself or to be chosen amongst a sea of applicants, entrepreneurs can create their own job opportunity and destiny. Schools keep 100% of their healthy vending machine business’ profits, which can be used for nutrition and health programs or for underfunded extracurricular activities.
Video: See the Young Entrepreneurs in Action!
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The HUMAN Healthy Vending Program Compared to the Other Guys We want to make sure that you’re making the right decision when it comes to partnering with HUMAN healthy vending.
Features Included
H.U.M.A.N.
Machines
Traditional Vending Company X
Credit Card Reader
“Healthy Vending” Company Y
$575 Extra
$575 Extra
23” HD Video Display
NA
NA
Remote Monitoring System
NA
NA
Plain exterior
Old-School Graphics
Eco-Friendly Design
NA
NA
Vend Sensor Technology
NA
NA
Self-Diagnosing System
NA
NA
Sometimes
Sometimes
Conveyor Dispensing Technology
NA
NA
Lifetime Unlimited Updates
NA
NA
Allows for cashless payments & increases spending flexibility Streaming videos provide nutritional information, purchasing advice, & ads SMS Text Alerts, Real Inventory Tracking, Sales Tracking & Reports, Machine Speaks to Customer.
Professional Graphics
HUMAN graphics are the result of consumer surveys & professional design High-Grade Insulation and LED Lighting Reduce Energy Consumption Strategically-Placed Infrared Sensors Refund Money If a Product Doesn’t Vend Clears Vending Errors Automatically
Increased Capacity
Over 40% More Capacity Than Regular Machines Uses Conveyor Belt Dispensing Technology, NOT Coils, Which Greatly Increases Versatility Reap the Benefits of Continuous Software Enhancements
Products
Taste-Test Proven
Taste is just as important as health when it comes to healthy vending success
h.u.m.a.n. never places a product in a machine without taste-testing it first!
Planogram Customization
HUMAN designs a custom product mix for each location to ensure optimal fit
Product Selection
A larger product selection allows for more accurately tailored planograms
Wholesale Pricing
2000+ Health Items
Lower wholesale prices mean higher margins & sales for operators
Distribution
HUMAN utilizes more than 10 distribution warehouses
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LOW 10+ Distribution Warehouses
NA
NA
Traditional vending companies just buy brands they recognize
Other companies can’t compete when it comes to taste test research
NA
“One-size-fits-all” mentality
Primarily Junk Food
100-500 Items
MEDIUM
MEDIUM
Most traditional vending companies tell their customers to buy their products at retail!
Other “healthy vending” companies usually take a cut when wholesaling products
Local
Varies
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The HUMAN Healthy Vending Program Compared to the Other Guys We welcome comparisons of our program vs. others in the market, because we know that the HUMAN program looks the best when it’s subjected to the most critical eye! Traditional Vending Company X
“Healthy Vending” Company Y
NA
NA
NA
NA
NA
NA
Digital Video Screens
NA
NA
Charitable Giving
NA
NA
Ongoing Education
NA
NA
Premium Location Acquisition
NA
NA
Lifetime Coaching
NA
NA
Expert Health Advisory Board
NA
NA
Health Professional as Founder
NA
NA
Philanthropy as a Main Focus
NA
NA
Minimal
1-2 Years
Features Included
H.U.M.A.N.
The Program Proprietary Snack Line Designed to give franchisees a massive competitive advantage and better margins
Healthy Markets Self-service healthy convenience stores with touch screen kiosk and biometrics
SnackNation Delivery Opportunity Grow a passive revenue stream by signing up offices and individuals to the SnackNation healthy snack delivery service.
Attract attention with 46” touch screen machine or 23” HD video screens on top of HUMAN machines
HUMAN donates 10% of proceeds to charities fighting childhood obesity
Includes newsletters, recommendations, videos, and more for our operators!
Premium, High-Traffic locations plus full machine video demos and support via iPad2
90-Day Optimization Plan plus Lifetime Coaching and Assistance to Build Your Business
The Company
Health advisors ensure HUMAN is always at the forefront of health
HUMAN’s founder is a biomedical engineer with proven business success
Social responsibility & charitable giving make up HUMAN’s foundation
Healthy Vending Experience
HUMAN founded the industry of pure-play healthy vending in 2003
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+10 Years
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The HUMAN Franchise Helps You Reach Your Goals Less Work = More Freedom. Our #1 operational goal is to make your life as easy as possible. Our logistics and processes system ensures that you only spend time doing what makes you money - operating & optimizing your machine network. We handle the rest!
Click to Watch! HUMAN is RIGHT for You if: i) You want to work for yourself & determine your own hours ii) You believe that with hard work you can drastically improve your lifestyle iii) You want to feel that what you do really helps people & positively influences the world iv) You see the importance of investing your money in quality assets v) You believe in the HUMAN mission & vision vi) You embrace innovation, technology, & today’s long-term trends HUMAN is WRONG for You if: i) You’re seeking a get-rich quick scheme without the investment of work or effort ii) You’re 100% happy with your level of impact on the world iii) You fear new opportunities, innovation, & change iv) You’re completely satisfied with your current lifestyle & financial situation v) You’re ok with missing-out on the opportunity to join the health revolution by operating a HUMAN Healthy Vending Franchise
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Mom to the Rescue Patti Moore felt that if good nutrition made big changes for her family, why not school?
My
husband and I, are, I would say, very healthy; we try to eat right, we try to exercise. We will try to focus on spreading that message to our kids. Problem is, it isn’t reinforced when they go to school. We started looking at how we could eat better and realized we could do better for our family… and then it became a greater purpose - we could do better for Charlotte.
“We started looking at how we could eat better and realized we could do better for our family… and then it became a greater purpose - we could do better for Charlotte.” -Patti Moore, HUMAN Franchisee
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We looked for some other healthy vending ideas. Nothing we looked at really compared to Human, most of it was sort of a one-off, ‘here’s your machine’, good luck. For us, it was getting the information to really educate our accounts and tell them, ‘here are the steps we’re going to do to help you get your schools healthier.’ Whether it be coming in there and educating them, doing sampling events, all the other components that come with
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it, versus just having someone stock a machine; we’re going to be there, we’re going to be able to talk to them, spread that message ourselves. Do you have the resources you need to be successful? One of the greatest resources was Human University. Having all those different university segments, whether it be machine training, or sort of the inspirational stuff. I went through from beginning to end, and watched all the videos on entrepreneurship, nutrition, and not only was it informative, but also incredibly inspiring. News Spotlight!
Click to Watch Patti’s feature on NBC news Minnesota File No.: F-6818
Franchise Purchase
Becoming HUMAN So you’re ready to get a head start in the Healthy Vending industry? Great! We’re ready to get you there. The following pages lay out the typical investment required to open your own HUMAN Healthy Vending franchise.
$35K Franchise Fee Includes:
• Access to the Largest Selection of Equipment at the lowest possible prices
New Machine Pricing! as of 3/1/14
• Brand, Licensing & Intellectual Property • HB3 (4 Day Training Event + 4-Star Hotel) • LDA (5 Placements + Expert Training) • Shock & Awe Marketing System • Advanced Coaching Program
ricing Low Machine P ow! to Help You Gr
• Advanced Machine Training (Beyond HB3) • Location & Vehicle Marketing Kit • Ongoing HUMAN Support
Currently, HUMAN Healthy Vending franchises are only available in certain states. We do not offer any franchises in jurisdictions where we are not yet registered (or otherwise qualified) to make offers or sales. The information contained in this document, and any other item you may receive which is not expressly stated to be an “Offer for a HUMAN Franchise” is strictly for informational purposes and does not constitute an offer to buy a franchise.
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Franchise Purchase
Becoming HUMAN Part 1: Start Your Business with a BANG! Your HUMAN Franchise Fee Includes the Industry’s Best Training Program and Dedicated, In-House Location Placement Services.
HUMAN Franchise Fee of $35,000 Includes:
Value
HB3 is the healthy vending industry’s only full immersion & training experience. This 4-day super-event combines in-depth training, location sales training, business optimization workshops, team activities, and most of all, FUN! We also cover 4 nights in a 4-star California Landmark hotel plus meals.
$9,997
Location Discovery & Acquisition
HUMAN’s proven, premium LDA system sifts and sorts through your area’s best locations to deliver FIVE highperforming vending placements for your business.
$10,000
“Shock & Awe” Marketing System
The Ultimate LDA Booster: Shock & Awe is engineered with over 30 “touches” across multiple marketing mediums to help you get your machines placed in high-quality locations. It’s taken us over 10 years to develop this! You will tap directly into the system.
$4,997
HUMAN Business Building Bootcamp: (HB3) Includes Training for two people as described in this Handbook, additional training fee of $1,000 per person above two.
Training & Location Placement Service Value: $24,994 There’s More! Continue to Next Page Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 67 - HealthyVending.com
Minnesota File No.: F-6818
Franchise Purchase
Becoming HUMAN Part 2: Your Business has Launched, but you can’t stop there! Your HUMAN Franchise Fee Includes ongoing Entrepreneurial Training and Guidance, Advanced Machine Training with an optional Master Certification, and Marketing materials to expand your business!
HUMAN Franchise Fee of $35,000 Includes:
Value
Advanced Coaching Program (H.O.O.P.)
Unparalleled in the vending industry, HUMAN’s Advanced Coaching Program leads you through 4 months of ongoing group and one-on-one training focused on becoming a high-performing entrepreneur, building your business and placing your own machines.
$9,997
Advanced Machine Training
In addition to HB3 machine training, you get 1 full additional day of Advanced Machine Training at our facilities in either Los Angeles or Miami.
$997
Ascension Mastermind
Monthly “Mastermind” meetings with HUMAN’s top operators. Direct access to learn from the best.
$9,997
Marketing Kit
Includes a) Attractive “stand up” machine banner for sampling events and b) Vehicle signage.
$747
Total Coaching & Advanced Training Value: $21,736 There’s More! Continue to Next Page Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 68 - HealthyVending.com
Minnesota File No.: F-6818
Franchise Purchase
Becoming HUMAN Part 3: By choosing the HUMAN Franchise, your business benefits from years of experience in the industry. Your business is instantly an established health brand and carries the value of HUMAN’s national network.
HUMAN Franchise Fee of $35,000 Includes: Brand, Licensing, Intellectual Property, & Marketing Systems
Plug-in directly to HUMAN’s 10+ years of healthy vending and healthy automated retail experience and fast-track your business within a firmly established health brand. Leverage the power of HUMAN’s intellectual property and advanced marketing systems…all available to you as a HUMAN franchisee.
Start-up Value
$24,994 Turn-Key System Top Location Service
Human_Handbook_12_02_14
Value
Ongoing Training
+
$21,736 Business Optimization Advanced Tech Training
Total Franchise Value
Brand Value
+
$50,000+
$50,000+
=
Industry Leading Marketing & Tech
The HUMAN HANDBOOK - pg. 69 - HealthyVending.com
$96,732+ All For Your One-Time Franchise Fee of $35,000! Minnesota File No.: F-6818
Franchise Purchase
Becoming HUMAN Part 4: Ongoing Support - from personal technical guidance to ongoing webinars for development and training, HUMAN gives you the most robust support in the industry.
HUMAN Franchise Program Monthly Fees Monthly Marketing Fund Fee
1% of Gross Sales
Monthly Royalty Fee
5% of Gross Sales
Technology Service
$79/Month
Technology Service Includes: - Salesforce CRM (HUMAN pays over $30,000 per year for Salesforce. You get it included in your Technology Service Fee) - Marketo Automation System - Personalized SEO-Optimized Lead Generation Website & Email Hosting - 24/7 Online Access To HUMAN University & Yammer Private Forum - Echosign Digital Contract System Currently, HUMAN Healthy Vending franchises are only available in certain states. We do not offer any franchises in jurisdictions where we are not yet registered (or otherwise qualified) to make offers or sales. The information contained in this document, and any other item you may receive which is not expressly stated to be an “Offer for a HUMAN Franchise” is strictly for informational purposes and does not constitute an offer to buy a franchise.
Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 70 - HealthyVending.com
Minnesota File No.: F-6818
Franchise Purchase
Machines
Equipment Options Get access to the ultimate selection of Healthy Vending Machines and Automated Retail Systems. With your equipment deposit, our entire Platform is at your disposal. New Lower Pricing!
HUMAN is dedicated to providing the lowest machine & technology pricing in the industry, with the goal of creating the best ROI for franchisees and thus the fastest growth of their franchise business. Product
Media Mogul Apprentice + Video Marketing Screen
Apprentice Eco-Friendly, Conveyor-Belt Machine with Elevator
Apprentice Non-Elevator Apprentice without the Elevator (for faster vends)
Rugged HUMAN Apprentice + Outdoor Configuration
Arctic HUMAN Heavy Duty Frozen Foods Vendor
Hot HUMAN All-In-One Vending Solution with Hot Food Capability
Versatile HUMAN Modular Healthy Vending Solution for Smaller Locations
Traditional HUMAN Industry-Leading Standard Coil Machine
Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 71 - HealthyVending.com
as of 3/1/14
Price before 3/1/14
Your Price
$9,999
$7,999
$7,999
$6,499
$7,799
$6,299
$8,999
$6,499
$9,499
$7,999
$10,499
$8,999
$5,499
$3,999
$7,799
$6,499
Minnesota File No.: F-6818
Franchise Purchase
Machines
Equipment Options Get access to the ultimate selection of Healthy Vending Machines and Automated Retail Systems. With your equipment deposit, our entire Platform is at your disposal. Product
HUMAN Touch 46-inch Touch Screen Interactive Machine
Coffee Touch Premium Coffee Machine
Franchisee Price
$14,999
$5,499*
*Payment system not included
AutoPod
Self-Serve Locking Cooler System * HUMAN’s Exclusive Technology in Healthy Vending space 16 Weight Sensing Plates / SKU Options
$5,499
30 Weight Sensing Plates / SKU Options
$6,099
HUMAN Healthy Markets Proprietary Kiosk Technology, Custom Design & Installation
HUMAN Micro Kiosk Large Touch Screen Display & Biometric Scanner
HUMAN Tablet Kiosk Compact Touch Screen Display
$6,299
$2,499
HUMAN Healthy Market Buildout Consists of coolers, shelving, valences, surrounds, stands, etc. **Total cost varies by market size, chosen fixtures and shipping distance
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The HUMAN HANDBOOK - pg. 72 - HealthyVending.com
AVERAGE** $4K-12K
Minnesota File No.: F-6818
Franchise Purchase
Machines
Equipment Options It doesn’t stop with innovative machines. We are committed to providing HUMAN Franchisees with the best remote monitoring, product ordering & business management software in the industry. Monitoring: Access your daily machine sales via secure webpage!
Advanced Cashless Payment System Remote Monitoring & Route Optimization
01 Cashless Payment When the transaction is complete, the advanced payment system says “Thank You!” Kids love this!
02 Software The Advanced payment system offers a web portal with real-time sales & inventory reports, plus SMS text alerts.
Cashless Payment Systems Basic Cashless Payment System for all Vending machines
$500
Advanced Cashless Payment System
$750
Shipping & Indoor Delivery Vending Machine Shipping (varies based on number of machines & distance)
$500-$1,100
Micro Market Kiosk Shipping (varies based on distance)
$200-$350
Two stage shipping process: Freight shipment to central holding facility followed by local VIP delivery & installation. Rate/machine may increase for smaller shipments. Prices to Hawaii and Alaska may exceed these rates.
Currently, HUMAN Healthy Vending franchises are only available in certain states. We do not offer any franchises in jurisdictions where we are not yet registered (or otherwise qualified) to make offers or sales. The information contained in this document, and any other item you may receive which is not expressly stated to be an “Offer for a HUMAN Franchise” is strictly for informational purposes and does not constitute an offer to buy a franchise.
Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 73 - HealthyVending.com
Minnesota File No.: F-6818
With the help of the HUMAN team, Clint Capps landed the vending contract for the entire Austin independent school district
“the Sky is the Limit”
We
wanted to look into a franchise when we thought about starting our own business and we wanted that backing and that support since it is the first business we’ve tried to start on our own. So, there’s a lot of lessons to be learned and when you have someone like HUMAN behind you, it’s huge. They’re going to give me all the assistance and I know that and it really helps your confidence. What’s the community response like? I think you’d be surprised if you went into your own community, a lot or people really want to see the kinds of changes that these social entrepreneurs are making and it’s great. Not only in Austin, Human_Handbook_12_02_14
you see it all over the country, you hear it on the News all the time someone’s starting a new business that you say “Damn, why didn’t I think of that.” Not only is it a great business idea but, its impacting the community in a positive way. What do you think of the machine? The machines are awesome, the LCD screen, just the look of it, it’s just a good looking machine. Every time we go to the YMCA people are continuing to go “Hey, we just want to say thank you, we love the machines, they’re awesome.” That’s something that gives me goose bumpswhen people start giving you compliments on the machine; it makes you feel good about the investment you made.
“That’s something that gives me goose bumps- when people start giving you compliments on the machine; it makes you feel good about the investment you made.”
Click to Watch! Clint talks about his LDA experience and visits his YMCA location.
The HUMAN HANDBOOK - pg. 74 - HealthyVending.com
Minnesota File No.: F-6818
Your Next Steps with HUMAN: Step 1 Fill Out Your Expression of Interest Here: www.HealthyVendingTeam.com
Step 2 After you complete your Expression of Interest call HUMAN to schedule your Q&A Consulting Call.
310-845-7745. Complete Your Expression Of Interest Now: www.HealthyVendingTeam.com
HUMAN Headquarters 4641 Leahy Street Culver City, CA 90232 Contact Information: Phone: 310-845-7745
Email:
[email protected] Website: www.HealthyVending.com Currently, HUMAN Healthy Vending franchises are only available in certain states. We do not offer any franchises in jurisdictions where we are not yet registered (or otherwise qualified) to make offers or sales. The information contained in this document, and any other item you may receive which is not expressly stated to be an “Offer for a HUMAN Franchise” is strictly for informational purposes and does not constitute an offer to buy a franchise.
Human_Handbook_12_02_14
The HUMAN HANDBOOK - pg. 75 - HealthyVending.com
Minnesota File No.: F-6818
So, is the HUMAN Program Right for You? The Time is Now to Take Action & Change Your Life!
I’m looking for partners who want to be a part of something big – not only a financial revolution in their own lives, but also, and just as important, a health revolution that will improve the lives of people across the globe. HUMAN was founded to fight obesity, diabetes, and malnutrition. These public health initiatives make-up the strong foundation of our socially responsible company. As a HUMAN partner, we want you to believe in our mission of “Easy Nutrition Everywhere” and support it. You must have a passion for sharing the gift of health and recognize that with each and every minute you spend on your business, you’re making the healthy lifestyle easier for people to achieve. Imagine the respect, pride, and enjoyment you’ll feel from being a part of such an exciting and noble cause! HUMAN has created a one-of-a-kind nutritional distribution platform that uses healthy vending machines, unattended selfcheckout convenience stores, and direct delivery services to bring healthier, better-for-you foods and drinks to people in the most convenient manner possible. We need business partners who have an intense desire to be part of something big. When you join HUMAN you join an innovative team of highly passionate professionals. We’ll help you bring home profits never-before-seen in the automated retail industry, and a feeling of contentment each and every day. In order to achieve success operating a HUMAN healthy foods distribution business, you have to be ambitious, willing to work hard, and determined to reach success. Although I have streamlined the HUMAN program to ensure that you have the most efficient operations and the least hassle possible, it still requires that you put in a solid effort. It takes the dedication of a true entrepreneur to continually focus on optimizing and improving your business. You just have to want it.
And if you really want it, I want you on my team. I’m recruiting only those people who are determined to step up their lives to the next level. People who refuse to settle for the salary and financial situation handed down to them by everyday life. Stop working for money and let your money work for you. Today is the day to make a change! Sound good? Ready to take the plunge, inject some excitement into your life, along with a sizeable helping of financial independence?
There’s no better time to act than NOW. If you have what it takes to become HUMAN, let’s get started! Go to www.HealthyVendingTeam.com and fill out our partner application. I look forward to hearing from you!
Sean Kelly Chief Humanist, HUMAN Currently, HUMAN Healthy Vending franchises are only available in certain states. We do not offer any franchises in jurisdictions where we are not yet registered (or otherwise qualified) to make offers or sales. The information contained in this document, and any other item you may receive which is not expressly stated to be an “Offer for a HUMAN Franchise” is strictly for informational purposes and does not constitute an offer to buy a franchise.
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The HUMAN HANDBOOK - pg. 76 - HealthyVending.com
Minnesota File No.: F-6818
