Intelligent Vending Machines Market Size, Share & Trends Analysis Report By Product (Beverages, Snacks, Food), By Application (Commercial Malls & Retail Stores, Offices, Educational Institutes), By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global intelligent vending machines market size was valued at USD 19.83 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 13.3% from 2022 to 2030. In 2020 and until mid-2021, the COVID-19 pandemic negatively impacted the overall market growth due to supply chain disruption and lowered demand from the end-users due to the work-from-home model. Nevertheless, as the severity of the virus subsided, several end-use industries were seen returning to the office and eventually increased the demand for the intelligent vending machine. Traditional vending machines have a dispensing unit and accept payment in only cash and coins.

Whereas, intelligent vending machines are enhanced traditional vending machines that are integrated with primary functionalities such as LCD/touchscreen, cashless systems, telemetry systems, voice recognition, digital signage, and enterprise resource planning (ERP) systems, among others. The increasing adoption of the Internet of Things (IoT) and connected device technologies is anticipated to support the growth of the intelligent vending machines market during the forecast period. Consumers’ increasing adoption of cashless and contactless payments to make food & beverages purchases is further driving the market growth.

Latest technologies including contactless mobile payments, face & voice recognition, Near-Field Communication (NFC), telemetry, and government mandates to display nutrition information & product warning are factors expected to impact the industry positively over the forecast period. Intelligent vending machines that are embedded with face and voice recognition sensors guide users in product selection by recommending products based on their age and historical buying pattern. Moreover, interactive touch screen display technology helps vendors to generate more profits by interacting with customers’ smartphones showcasing HD displays running interactive promotions, marketing advertisements, and other third-party information which can be monetized.

Furthermore, due to advancements in communication technology, machines can contact vending operators by broadcasting real-time notifications via cloud technology to reduce operational as well as maintenance costs. The IoT technology enables machines to communicate information such as product unavailability, dynamic route optimization, and increasing logistics efficiencies. However, the stringent government regulations related to the sale of junk food in public places such as schools and the restrictions on the sale of potentially hazardous products, such as cigarettes and tobacco, are estimated to impact the market growth negatively.

More, economic slowdown imposed due to the COVID-19 pandemic and high technology costs is some of the factors deterring operators, from upgrading traditional vending machines. The lockdown imposed due to COVID-19 impacted the global intelligent vending machines market significantly. Many organizations changed their operations, from contactless practices to distant working models. These changes in practices created many opportunities as well as restraints for the market growth of intelligent vending machines.

Furthermore, an increasing need to avoid a human interaction-based shopping experience gave a further boost to contactless transactions. However, raw material sourcing and unavailability of vending machine components across the globe was a major concern among the intelligent vending machine vendors, owing to the shutdown in business operations. The majority of component manufacturers are based in China and other APAC countries; the supply of machine components was halted due to irregularities in transportation during the lockdown period.

Product Insights

Based on product, the snacks category is estimated to emerge as the fastest-growing product sub-segment, registering a CAGR of 14.9% during the forecast period. This is attributed to the increasing focus on healthy products, longer working hours, and innovative new product launches, among others. The food sub-segment is expected to emerge as the largest segment over the forecast period. The segment mainly comprises food products such as food, candy, ice cream & frozen items that suit healthy lifestyles and needs. The availability of food products in easy-to-carry packaging and multi-layered aseptic cartons is escalating the adoption of food products.

The market demand for food was valued at USD 6.99 billion in 2021 and is predicted to expand at a CAGR of 13.1% during the forecast period. Stringent government regulation to maintain the quality and hygiene of food products is driving the demand from the end-use consumers. A significantly high preference among consumers for instant food items and innovative food products is propelling the demand for the food segment.

Application Insights

Based on application, the intelligent vending machine market is categorized into manufacturing, offices, commercial malls & retail stores, educational institutes, and others. Offices are the fastest-growing segment of the intelligent vending machine market in 2021 growing at a CAGR of 14.8% during the forecast period. The adoption of intelligent vending machines in avenues such as commercial offices and industrial sectors is gaining traction in recent times due to the growing preference for contactless transactions and ease of use in vending products. The manufacturing sub-segment is the largest sub-segment and is valued was valued at USD 5.65 billion in 2021 and is presumed to grow at a CAGR of 13.9%.

The adoption of these systems at manufacturing facilities offers several benefits, such as space conservation, cost-effectiveness, and cleanliness. The commercial malls and retail stores are estimated to hold a significant share in the intelligent vending market over the forecast period. The segment occupied 16.5% of the total market share in 2021. An increase in the daily footfalls and rising awareness of contactless ordering & payments due to the COVID-19 pandemic is expected to increase the demand for intelligent vending machines from commercial malls and retail stores sub-segment over the forecast period.

Regional Insights

The North American region dominated the market with more than 30% revenue share in 2021. The growth can be attributed to developments in communication technologies, higher usage of mobile payments, and faster internet connectivity, among others. Strict government regulation in countries such as the U.S. and Canada, promoting energy conservation, is accelerating the deployment of these systems in the region. Intelligent vending machines require a high initial investment and incur regular operations & maintenance costs. Organizations operating in the North American region have higher spending power and can afford to spend on intelligent vending machines further driving the demand in the region.

The Asia Pacific is expected to emerge as the fastest-growing region and is expected to expand at a CAGR of 14.9% during the forecast period. The region is rapidly becoming a major commercial hub center soon surpassing major European countries in the next five years. Increasing spending on infrastructural sectors, rising spending power, adoption of the latest communication technologies, and companies operating from offices post-pandemic are some of the factors driving the market growth.

Key Companies & Market Share Insights

Industry players are increasingly focusing on adopting inorganic growth strategies by acquiring relatively smaller industry participants and other ecosystem players. For instance, in January 2021, France-based Sodexo acquire U.S.-based Accent Food Services, a fast-growing regional convenience services operation. With this acquisition, Sodexo plans to strengthen its takeout, delivery, and convenience store concepts, multi-channel offerings, including click n' collect, self-service pantries, office refreshments, micro-markets, and smart vending machines. Market participants are further emphasizing collaborating with other players to expand and optimize their market share. Some of the key players operating in the global intelligent vending machines market include:

• Crane Co.

• Advantech Co. Ltd.

• Bianchi

• Vending Group S.p.A

• Azkoyen Group

• FAS International S.p.A.

• N&W Global Vending S.p.A.

• Rhea Vendors Group

• Westomatic Vending Services Ltd.

• Sanden Corp.

• Seaga, Jofemar

• Royal Vendors

Intelligent Vending Machines Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional & country levels and provides an analysis of the industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global intelligent vending machines market report based on product, application, and region:

• Product Outlook (Revenue, USD Million; Volume, Thousand Units; 2018 - 2030)

  • Beverages

  • Snacks

  • Food

  • Confections

  • Others

• Application Outlook (Revenue, USD Million; Volume, Thousand Units; 2018 - 2030)

  • Manufacturing

  • Commercial malls & retail stores

  • Offices

  • Educational Institutes

  • Others

• Regional Outlook (Revenue, USD Million; Volume, Thousand Units; 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • UK

    • Germany

    • France

    • Italy

    • Spain

    • Netherlands

    • Rest of Europe

  • Asia Pacific

    • China

    • Japan

    • India

    • Australia

    • Rest of Asia Pacific

  • Latin America

    • Brazil

    • Mexico

    • Rest of Latin America

  • Middle East & Africa (MEA)