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How Cooking Oil ATM Works (A detailed guide)

In Kenya, a cooking oil ATM machine is a common sight in many shops and marketplaces. This innovative machine, also known locally as a “salad ATM,” provides a convenient and efficient way to dispense liquid cooking oil. The term “salad” is a popular Kenyan term for cooking oil, highlighting the machine’s cultural relevance.

How a Cooking Oil ATM Works

The process of how cooking oil ATM works involves various stages from setting up the cooking oil ATM machine, setting pricing and dispensing, sales record keeping, and positioning/ mobility.

In summary, a cooking oil ATM works by having a cooking oil compartment (for placing mtungi) or tank, a keypad for entering the amount of oil to sell, a controller (for capturing the amount and calculating the respective quantity of oil to dispense), a pump to pump the oil from the container, and dispensing unit.

1. Setting Up the Cooking Oil ATM

The cooking oil ATM is designed in various sizes from 20 litres to 200 litres and the set up depends on the size of the machine. For a 20 litre ATM machine, which is for smaller needs,  one just places a 20-litre jerrycan inside the machine compartment and inserts the pipe int the oil.

How cooking oil ATM works
Inside a 20 litres cooking oil ATM showing compartment

For larger oil ATM machines above 50 litres, they come with a stainless steel equivalent to size of machine. This flexibility allows shop owners to choose the appropriate size based on their customer demand and storage capacity. The attendant pours the cooking oil into the stainless steel tank and places it inside the machine after which they insert a pipe.

2. Switching ON the Machine

To get started, the cooking oil ATM machine is equipped with a simple ON/OFF button that activates the controller, which is essentially a PLC (Programmable Logic Controller) or a mini computer. This controller is the brain of the operation, ensuring that all functions run smoothly. It indicates ‘Welcome Oil ATM’ on the screen display.

3. Pricing and Dispensing

Setting the price per litre of cooking oil is straightforward. The machine comes with a manual and shop owners can easily follow instructions provided by Peupe Technologies, the company behind these ATMs, to set a unit price that ensures profitability. This price can be adjusted at any time, giving owners the flexibility to respond to market changes.

4. Making a Sale on the Machine

If the shop attendant will be attending to customers, he just presses the keypad to enter the amount the customer wants to buy. For example, one can enter 50 shillings and the machine’s controller (PLC) will calculate the respective quantity (in litres) of cooking oil to be dispensed.

how cooking oil atm works
A cooking Oil ATM showing keypad and display at the Front

This means the shop attendant will never have to do any calculations as the machine is already calibrated. The other advantage of this is that one can sell cooking oil from as low as Ksh 10.

There are also self service oil ATM machines which normally have Lipa na Mpesa already integrated. When a customer approaches the ATM, they pay the amount to the machine’s MPesa Till number.

The controller captures this amount and instantly calculates the corresponding volume of cooking oil in litres to dispense, thanks to pre-programmed settings.

Once the calculation is complete, the controller signals the pump to begin dispensing the oil from the jerrycan or tank. A flow sensor monitors the oil as it flows, ensuring that the exact amount requested is dispensed. When the required volume is reached, the sensor signals the pump to stop, preventing any wastage or over-dispensing.

5. Sales Record-Keeping and Security

The cooking oil ATM comes with several security features. Owners can set or reset a password to access the machine’s important functions, such as viewing sales records. This ensures that only authorized individuals can manage the machine’s operations.

The ATM also keeps a detailed record of cumulative sales in Kenyan Shillings. This daily record-keeping allows owners to track their sales over various periods, be it daily, weekly, or monthly. This feature is particularly useful for shop owners who may not always be present, as it provides a reliable way to monitor business performance.

Additionally, the machine is equipped with a lock and key, securing the cooking oil stored in the jerrycan or tank from unauthorized access. This is an important feature for maintaining the safety and profitability of the business.

6.  Placement, Mobility, and Customer Attraction,

One of the standout features of the cooking oil ATM is its mobility. Fitted with caster wheels at the bottom, the machine can be easily moved within the shop or to different locations as needed. This mobility ensures that shop owners can adapt their setup to suit the flow of customers and optimize space.

The cooking oil ATM is also well-branded, making it visually appealing to customers. This attractive branding helps draw attention and can increase sales, making the machine not just a practical tool but also a smart business investment.

The above is the full process of how salad ATM machine works from capturing the input amount, calculating the volume of cooking oil to dispense, pumping, and dispensing, and stopping automatically.

One of the disadvantages of salad ATM is the slightly high initial cost of from Ksh 35000 but the return on investment is very high as one can recoup the amount in a short as 3 months.

Conclusion

The cooking oil ATM is a testament to how technology can simplify everyday transactions and improve business operations. By providing a reliable, secure, and efficient way to dispense cooking oil, these machines have become a popular addition to many Kenyan shops.

The cooking oil ATM machine basically captures the price input by the user (shop owner or customer) and dispenses cooking oil in litres equivalent to that amount and that is how cooking oil ATM works in Kenya. Salad ATM machines is an innovation that started in Kenya and you will rarely find it in any other countries.

Their ease of use, combined with good security features and good looking design, make them an invaluable asset for any business looking to improve their sales, service, and increase profitability.

If you are wondering what is the cooking oil ATM machine price in Kenya, the price ranges from Ksh 35,000 for a 20 litres machine to Ksh 130,000 for a 200 litres machine.

You can order a high quality cooking oil ATM from Peupe Technologies by calling or texting 0728 569 060.