A vending machine dispenses food, drinks, and cigarettes, among others. Increasing adaptation of interactive technologies, coupled with the rising demand for on-the-go snacks owing to the hectic lifestyle and increasing number of nuclear families, drive the market growth. Rising economic stability and globalization, especially in the Asia-Pacific region, bolster the market growth.
Increasing penetration of the self-serving technologies and the flexibility to operate these machines without any manual intervention provides an impetus to the market growth. In line with this, the market players are actively working to reduce the carbon footprint and develop innovative solutions. For instance, in 2018, Coca-Cola launched a smart vending machine,VenCycling, which features facial recognition and allows consumers to gain credit points by returning used packaging.
The surging number of thefts has compelled the manufacturers to focus on adopting and embedding new technologies that can ensure the security of these machines. This, leading to the incorporation of biometric technologies that allows the customers to access the machine through facial or fingerprint identification and enables the retail outlet owners to protect their products from theft.
Snacks and food are anticipated to be the fastest-growing segment during the forecast period on account of surging demand for such vending machines from the retail sectors as they deliver fresh offerings to the customers without waiting or standing in the queue. The hectic work lifestyle and busy schedules have compelled the customers to shift towards various alternatives, such as snacks and food ventilators. Easy access to energy-dense, nutrient-rich foods from these vending machines have surged their application in the commercial sectors.
Obesity is a leading health concern across the western countries, which has compelled the governments to improve access to healthy food and beverages. They are focusing on improving the standards of the vending machines set up on public properties, which is another factor likely to foster the segment growth.
The commercial segment dominated the vending machine market in 2019 and is anticipated to continue the same during the forecast period. The commercial segment includes corporate sectors, airports, hotels, hospitals, shopping malls, and theaters, among others. Rapid industrialization and urbanization across the globe have led to the robust structural development of the economies, resulting in the rising demand for vending machines.
The corporate sector is the frontrunner in the commercial segment on account of the rising number of corporate offices. Increasing workload and shorter lunchtimes have compelled the offices to adopt technologies that can offer fresh and healthy refreshments to their employees, further driving the demand for snacks and food vending machines. In addition, the low maintenance costs and user-friendly nature of these machines have encouraged various corporate sectors to adopt hot beverages vending machines.
The non-commercial segment is anticipated to hold a prominent share in the vending market. The non-commercial sector includes venues such as retail outlets and public places. The burgeoning installation of various vending machines in public transportation, such as trains and buses, by municipal, state, and the federal government of the developed countries to improve and enhance the travel experience drives the segment growth.
North America holds the largest market share in the vending machine market on account of changing lifestyles, rising demand for on-the-go food, technological advancement, and the development of smart vending machines. This trend in the market is further supported by the regional government, who is launching various policies in order to improve and increase access to healthier food choices at public places by installing vending machines that follow and mandate with the national, state, and local food and nutrition guidelines. Some of these state and local policies are depicted in the chart below.
Asia-Pacific is estimated to be the fastest-growing market for vending machines during the forecast period. Economic development, rapid industrialization, changing lifestyle, and surging influence of the western culture in the developing economies drives the regional market growth. Additionally, the rapid switch in the payment methods from cash to smartphones has further increased the inclination of individuals towards using vending machines, as they offer easy and convenient services which not only help them in avoiding the queue but also helps in decreasing the dependency of carrying change. Moreover, the rise in the demand for smart vending machines among the retailers, owing to the increase in the security concerns in the region is likely to be another factor that would have a positive influence in the market growth during the forthcoming years. Japan spearheads the regional market, trailed by China, India, and South Korea.
Central and South America and the Caribbean
The Middle East