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Vendors Profit From Quigley MD

Jul 1, 2008

In setting up a kiosk or cart program, it pays to get advice from experts. Among those to gather information from are other kiosk vendors and suppliers of multiple kiosk programs that have a history of successful operation.

Quigley MD is not a doctor, but the company has several tried and true prescriptions for success. The MD originally stood for marketing and distribution, but owner Edward Quigley shortened it for fun, and the abbreviation also speaks to his own marketing savvy.

The company supplies three substantially different programs, along with some variations among the three. One is focused on MP4s, which can be surrounded by a variety of electronics accessories. The other relies on a brand new product, Magic Draw, that is not available in chains. And the third is centered on remote control vehicles. The trio of choices gives potential vendors an opportunity to distinguish themselves from any other kiosk or cart operators in the mall, or any nearby location.

In the electronics arena, the company now offers 15 different types of MP3 and MP4 players, and each comes in a choice of several colors. They do not carry a name or logo, but have the same packaging and capabilities as the major brands.

The models range from an MP3 player that wholesales for about $15, to a touch screen MP4 that wholesales for around $60. Quigley says the latter is the most popular now.

The appeal to vendors is not just in the popularity of these products, but in the exemplary profit margins they provide. The least costly MP3 player, for example, typically retails for between $79.99 and $89.99, while the top of the line touch screen unit generally sells for about $299, Quigley reports.

He also strongly recommends that accessories, which are compatible with the MP3/MP4 line and with iPods and similar products, be merchandised in the same kiosk. "These sell to consumers that already have the music and video units, and they are natural add-ons to the MP3 and MP4 sales. Equally important, there's even more money for the vendor in accessory sales," he notes. His company offers about 40 accessory options, including all kinds and colors of cases. A simple silicone case, for example, wholesales for $1.99 and retails for $14.99 to $19.99. "The smartest way to get into a kiosk program," Quigley says, "based on the experiences of our kiosk customers, is to start with 150 pieces." He suggests taking an opening inventory of 50 MP4s and about 100 accessories. The kiosk will sell accessories every day," he notes.

"We don't just sell product, we supply telephone training for free, in which we walk through each product and discuss its market value, appeal to different demographics and its selling techniques," he says. Following such a session, the vendor can choose the opening mix. In general, Quigley says, they go with a large selection of third generation MP4 units, which wholesale in a range of $28 to $35 and retail at about $119 to $129. By carrying accessories, he also notes that a vendor can offer some promotions, such as a free accessory to a consumer that upgrades to a more expensive MP4.

Remote control toys attract attention and are a very popular category. "They're not just for kids," Quigley says. "They're addictive." His company routinely carries approximately 20 different designs, and has access, he says, to about 100 different ones.

Despite the breadth of available R/C products, however, he recommends that kiosk and cart operators specialize within the category. "Our kiosk vendors do best when they settle on a single theme, or possibly two themes, one on each side of a two sided kiosk."

The mini helicopter, so small it can fit in the palm of a hand, is the most popular now, he reports, and predicts, "It will have another stellar year." He recommends a kiosk, "do helicopters, big and small." When a kiosk carries a wide variety of R/C products, customers are overwhelmed and can't come to a buying decision.

"Where there's a wide range of cars, stunt cars and helicopters, the customer gets confused. When the inventory is limited to a theme, it not only makes it easier for a customer to make a choice, but it also spawns collectors of that theme, who will buy more than one unit or come back to continue filling out a collection," he contends.

There are kiosks that do well with a choice of R/C vehicles, he acknowledges. "But that is generally when they are not mixed up in a single presentation. Keep helicopters on one side and cars or stunt cars on the other," he advises.

"Always demonstrate," he adds. Demonstration is what gathers a crowd and builds excitement. The mini helicopter is, "the fastest charging R/C out there," Quigley says, "and it makes an ideal demonstration item."

Like Quigley MD's electronics and accessories, its R/C vehicles offer great profit margins. The mini helicopter, for example, typically wholesales in the range of $14 to $15, depending on volume of the order, and suggested retail is $49.99. There is no minimum order, and the specific choice of vehicles is always up to the vendor.

Already popular product categories, such as MP4 players, electronics and remote control vehicles, are one way to attract customers to a cart or kiosk and get good sell-through. A brand new product, which is not available elsewhere, offers another winning strategy. Magic Draw is such a product, and Quigley MD is a source. "You won't find it in chain stores," Quigley says, "and it instantly attracts attention."

Magic Draw is a bendable, flexible board that comes with a pen light and three sheets of stencils. The pen light can be used to make free form drawings, follow the stencil images or outline any other item, such as a leaf or key, on the board. Turn out the lights, and the drawing glows. Turn the lights back on, and the images disappear.

The board can be used over and over again, and it can be used indoors and out. The opposite end of the pen light is a magic pen that can be used to make a mark or drawing on a person's hand, and the image will glow in the dark.

"This definitely lends itself to demonstrations at the kiosk," Quigley says. He also recommends that the vendor allow kids to use the demonstration Magic Draw, which will literally magically draw attention. His company will either provide a box set up, so the unit can be placed in the dark, or instruct vendors on how to create a dark box of their own. "Let kids play with it," he repeats.

He suggests that vendors not include Magic Draw with any other products or toys. "It gets the most attention when it is featured by itself," he says. The company has just begun supplying Magic Draw to kiosk vendors, and Quigley says the vendors themselves have recommended that the beginning order range from 250 to 500 units.

"We're told these are selling all day long," he notes. Quigley MD maintains warehousing in New Jersey and California, "So we can re-supply vendors instantly." The wholesale cost is in the $13 range, depending on volume, and suggested retail is $34.99.

Quigley is also a source of information on configuring kiosks and carts for maximum sell through. Because the company has been supplying kiosks and carts for many years, its representatives will share tips and information on obtaining locations, marketing and promoting. For more information, contact:

Edward Quigley, owner
Quigley MD
2511 Fire Road
Egg Harbor Township, NJ 08234
Toll Free: 877-773-6350
Tel.: 609-839-3043

Topic: Kiosk Korner

Related Articles: kiosk 

Article ID: 677

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