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The new retail industry flourishes, and vending machines become the carrier of unmanned retail

by:Haloo      2021-08-16
In 1994, China introduced the first vending machine, and the industry has been in a tepid state ever since. Today, when the concept of unmanned retail is popular, vending machines that have been silent for a long time are beginning to usher in a good time. So, what kind of business is vending machine? Industry introduction Vending machines are the originator of unmanned retail, and they have appeared in the 1970s. Rising in Japan, rising rents and labor have contributed to the rapid development of the industry. At present, there are as many as 5 million vending machines in Japan, with an average of one for every 24 people. The country is currently at a stage similar to that of Japan, but China, with a population of 1.4 billion, had only about 200,000 vending machines in operation by the end of 2016. Compared with developed countries, the market space is huge. Perhaps it is in response to the call of 'new retail(▲haloo vending machine unmanned shop) The vending machine industry chain involves a wide range of areas, including: sheet metal, accessory manufacturers, manufacturers, operators, electronic payments, beverage manufacturers, software development, etc. The key link is the manufacturer and the operator. After more than ten years of development, the industrial chain has become quite mature. (▲Haloo vending machine customer case) Business characteristics How do vending machines make money? The vending machine business model revolves around the operation and management of vending machines. The main income includes retail income, advertising income from external advertising, and income from display fees collected from some suppliers. Operating costs mainly include commodity procurement and distribution, point rent, machine depreciation, labor costs, etc. (▲Haloo vending machine customer case) The retail revenue is easy to understand, that is, the gross profit difference of the product is earned. The display fee is the practice of traditional supermarkets, because vending machine space is limited, and the products of the supplier on the shelf have to charge an entry fee (change one if you don't give it, mainly for weak suppliers). Advertising revenue comes from the fuselage and APP, which is easy to understand, but there are also doorways. The actual sales of vending machines placed in public places such as subway stations, commercial centers, and scenic spots are limited. Because in these open spaces, consumers often pass by in a hurry. In addition, the current urban retail outlets are very dense, and the increase in sales volume will be limited. The vending machines in these places are largely to collect advertising costs. The retail revenue of vending machines mainly depends on relatively closed channels such as office buildings, factories, schools, and hospitals. This has some things in common with the unmanned shelf selection in a closed space, but the unmanned shelf needs to be more streamlined. Dozens or hundreds of vending machines are easy to achieve profitability. The main purpose of launching vending machines is to sell products. With the increase of vending machine outlets, the brand influence will increase, and the total advertising revenue and proportion will increase accordingly. So enter The threshold is not high in the vending machine industry. What are the advantages of leading companies? For example, 3 industry barriers: Scale barriers The automatic vending industry also has the characteristics of 'small profits but quick turnover'. The scale of an enterprise determines its competitiveness and profitability. Companies with larger operating scales can both enhance their purchasing advantages for upstream suppliers and obtain lower purchasing costs. It can also exert economies of scale, reduce operating costs, and save expenses. The point barrier vending machine operation industry, similar to the general retail industry, is highly dependent on point location resources. The point location has the characteristics of relatively closed environment and high traffic, which can bring higher retail sales and advertising for vending machines. Sales revenue, such as hospitals, factories, subways, schools and other places, is a battleground for military strategists. (▲Haloo vending machine customer case) After occupying the spot, it will be very easy to expand with new products. Among the vending machines that sell everything in Japan, only half of them are beverage machines. Other products sold by vending machines include: cigarettes, stockings, magazines, umbrellas, bread, etc., as many as 6,000 items. From food, daily necessities to electronic products, it is almost seamlessly saturated with all aspects of life. It can be seen that the mature vending machine format must be diversified. With the popularity of unmanned retail, vending machine players are gathering more and more, and the entry points are also different, and the terminal business is in full bloom. Conclusion For the moment, among the three unmanned retail formats, the unmanned shelf business model is doubtful, and the unmanned convenience store can be regarded as a large open vending machine. The mature industry chain of vending machines and the diverse terminal forms are undoubtedly the current carrier for unmanned retail. Putting aside the knowledge of existing vending machines, if we can go further in design, break the existing shackles, and move from closed to open, perhaps it is the future of vending machines and the future of unmanned retail. In 2018, haloo invites you to share the vending machine industry and join hands to achieve wealth dreams! Even if you don't have relevant business experience, as long as you have dreams, the courage and determination to ride the wind and waves, you are a partner in our hearts! The future is for you, and we look forward to working with you to plan the future and realize your dreams! Looking forward to your call!
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