Smart vending machines are devices that automatically dispense small items like cigarettes, cold drinks, snacks, lottery tickets, etc., when a card or cash is inserted. These machines offer economical solutions to companies & various other buildings to eliminate the need to hire humans to sell different products in crowded place.
Market Insights & Analysis: Asia-Pacific Smart Vending Machine Market (2023-28)
The Asia-Pacific Smart Vending Machine Market is projected to grow at a CAGR of around 17.3% during the forecast period, i.e., 2023-28. The surge in organized retailing across malls & multiplexes, BPOs, and IT industries in the APAC has fueled the demand for this vending machine during the historical period. With these machines located in malls, multiplexes, and other commercial areas, customers can easily purchase products like snacks, beverages, and other essentials without having to leave the premises. This convenience has boosted the requirement for these machines in these areas. Similarly, employees in BPOs & IT industries often have busy schedules & may not have time to visit traditional stores to purchase snacks or other essentials. Therefore, the smart vending machines located in these workplaces can save time by providing quick & easy access to these products.
|Study Period||Historical Data: 2018-21|
|Base Year: 2022|
|Forecast Period: 2023-28|
|Country Covered||China, Japan, India, South, Korea, South, East Asia Oceania, Rest of Asia-Pacific|
|Key Companies Profiled||Fuji Electric Co., Ltd. Asahi Group Holdings, Ltd., Provending Machine CO., LTD Azkoyen SA Compass Group Plc Crane Co. EVOCA Spa Silkron Technology Sdn Bhd Glory VM Honeywell International, Inc. Aramark Corporation Daalchini Others|
|Unit Denominations||USD Million/Billion|
Moreover, in countries like Singapore, India, China, etc., shopping malls are expanding as many retailers & investors are seeking to capitalize on the growing consumer demand of the region. Hence, the expansion of malls in these countries presents an opportunity for the installation of these machines to meet the necessity & preferences of modern consumers, which would increase the installation & support market growth during the forecast period.
Furthermore, countries in Asia-Pacific, like India, China, Japan, Thailand, etc., are popular tourist destinations, as a result, the number of amusement parks, theme parks, and sports arenas are growing in the region to cater to the soaring demand. This would subsequently enhance the adoption of full-line smart vending machines during the forecast period.
Asia-Pacific Smart Vending Machine Market Key Driver:
Surge in Digital Payments to Enhance the Requirement for Smart Vending Machines - In Asia-Pacific, the adoption of digital payment methods is raising at a high pace, owing to which the consumers are getting inclined towards machines that dispense products & accepts cashless payments. As per Mastercard’s New Payments Index 2022, almost 88% of the consumers in the region have used digital payment methods, such as digital wallets, QR codes, etc., during 2021. In addition, in countries like Vietnam, the total transaction value of e-payments reached approximately USD15 million in 2021. This has created a large consumer base that is substantially relied on digital payments for day-to-day transactions, and owing to this market has proliferated during the historical period by the installation of these machines in high-traffic areas such as transport hubs, shopping complexes, corporate offices to cater the preferences of digitally savvy consumers. Moreover, the countries like Vietnam, Thailand, India, etc., are implementing various initiatives to digitalize the economy. For instance,
These initiatives promote the growth of digital payments in APAC & leveraging these digital payment prospects could offer seamless operational efficiency, attracting more consumers to buy products via these machines. Therefore, the regional market is predicted to showcase a considerable growth rate during the forthcoming period.
Asia-Pacific Smart Vending Machine Market Possible Restraint:
Threats Associated with Vending Machine Vandalism to Hamper the Market - The vending machines that are installed in isolated places are highly vulnerable to vandals & thieves tampering. Multiple cases of vandalism have been reported in countries like India, Thailand, Vietnam, etc., creating uncertainty among retailers regarding their installations, thus hampering the market growth. Moreover, vandalism causes physical damage to the machines, like damaged payment mechanisms, screens, and other components, making them inoperable & affecting their normal operation. In addition to this, these machines often require specific parts, such as sensors & automated dispensing mechanisms, that are not readily available in the market, due to which they have to be sourced from specialized dealers, which results in high costs owing to their limited availability, hence impeding the market growth.
Asia-Pacific Smart Vending Machine Market Growth Opportunity:
Expansion of Rail Services in Asia-Pacific to Open New Doors for Market Growth - The countries such as India, China, Japan, etc., are undergoing rapid economic growth & along with this, the region is home to the most crowded cities in the world, like Tokyo, Guangzhou?Foshan, New Delhi, etc. Owing to this, rail projects such as intercity rails, urban metro, and high-speed rails are expanding in the region. Don Mueang–Suvarnabhumi–U-Tapao High-Speed Railway in Thailand, Chennai Metro Rail Phase II in India, Honam High-Speed Railway in South Korea, etc., are some of the ongoing railway construction projects in the region.
Further, upon completion of these projects, the number of railways stations in countries such as India, Thailand, China, and South Korea would increase & this would create a significant demand for vending solutions to cater to the needs of the passenger. Thus, the increasing railway services in the region would create a new opportunity for the market players by providing a high-footfall area.
Asia-Pacific Smart Vending Machine Market Key Trend:
Adoption of AI-based Programs to Create New Tidings - The integration of AI-based programs in smart vending machines is emerging, as retailers are demanding new programs for examining consumer behavior & purchase patterns and forecasting future sales. Owing to this, Singapore-based manufacturers have announced to place 2,500 AI-empowered vending machines in Singapore by 2035. Facial recognition is one of the key AI technology currently being integrated to identify the user & their previous preference. Owing to this, custom software development companies such as ThinkPalm are coming up with cutting-edge facial recognition applications, owing to which the trend of adopting AI programs would further extend the market growth rate.
Asia-Pacific Smart Vending Machine Market (2023-28): Segmentation Analysis
The Asia-Pacific Smart Vending Machine Market study of MarkNtel Advisors evaluates & highlights the major trends & influencing factors in each segment & includes predictions for the period 2023–2028 at the global, regional, and national levels. Based on the Product Type, and Technology the market has been further classified as:
Based on Product Type:
Among them all, Beverages have registered substantial growth in Asia-Pacific due to the high demand for non-alcoholic beverages. The large young & urbanized population in the region has resulted in higher consumption of non-alcoholic drinks. This subsequently created a significant requirement for machines dispensing beverages during the historical period, as the machines provided a convenient way for consumers to purchase their preferred drinks, especially in urban areas with a fast-paced lifestyle. Moreover, demand for no-and-low-ABV (Alcohol by Volume) drinks is surging in the region due to the growing focus on health among consumers. Hence, the expanding demand for healthier beverage options in APAC can contribute to the market growth during the forecast period.
Based on Technology:
Of them all, with the potential market share the Cashless Systems have registered significant growth in the regional market due to the surging adoption of digital payments. Moreover, cashless smart vending machines that dispense products, including snacks, beverages, and travel accessories, are very installed in transportation hubs such as airports, train stations, and bus terminals in Asia-Pacific due to the convenience provided to travelers who are short on time. This high installation of vending machines in transportation hubs has supported the market during the historical period.
Furthermore, countries like Vietnam, Thailand, China, India, etc., are expanding their transport infrastructure, which subsequently would escalate the number of airports, railway stations, and bus terminals in the region. Hence, these developments would enrich new high-traffic areas where these machines can be installed during the forecast period.
Asia-Pacific Smart Vending Machine Market Regional Projection
Geographically, the market expands across:
Japan has exhibited significant adoption of smart vending machines during the historical period, as purchasing products through these machines is a part of daily life in the country. Moreover, the country has a comparatively lower crime rate, owing to which the suspicion regarding vandalism & the threat is very low in the region, as a result, retailers have substantially installed these machines even in the remotest part of the country. Moreover, the country has a presence of a large number of corporate offices, which has also helped in providing a large consumer base of these machines.
In addition, processed food is now planning to sell its products, like caviar, wagyu, whale meat, etc., through these machines. In 2023, a Japanese whaling operator Kyodo Senpaku Co. started to sell whale meat through these machines. Therefore, the growing adoption of these machines by niche product manufacturers would support the growth of the Smart Vending Machine market in the country during the forecast period.
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Frequently Asked Questions
A. The growth rate or CAGR of the Asia-Pacific Smart Vending Machine market during 2023-28 would be around 17.3%.
A. The surge in digital payments to enhance the requirement for smart vending machines during the forecast period.
A. Fuji Electric Co., Ltd., Asahi Group Holdings, Ltd., Provending Machine CO., LTD, Azkoyen SA, Compass Group Plc, Crane Co., EVOCA Spa, Silkron Technology Sdn Bhd, Glory VM, Honeywell International, Inc., Aramark Corporation, Daalchini, etc., are the top players in the Asia-Pacific Smart Vending Machine market.
A. Beverage is the leading product type in the Asia-Pacific Smart Vending Machine Market.
A. The adoption of AI-based programs is the key trend shaping the growth of the Asia-Pacific Smart Vending Machine Market.
A. The expansion of rail services in Asia-Pacific to provide new opportunities for the Smart Vending Machine Market through 2028.
Asia-Pacific Smart Vending Machine Market Research Report (2023-2028) - Table of Contents