The food and beverage vending machine market is expected to grow at a compound annual growth rate of 8.95% over the forecast period to reach a value of US$19,760.181 million in 2027, from US$10,843.695 million in 2020. Vending machine demand has grown as fast food and beverage businesses have become more profit-driven, cutting out middlemen and investing less in unprofitable locations while striving for prime locations. The market growth has mostly been driven by the tremendous rise of the food and beverage industry over the past decade, particularly in terms of ready-to-drink bottled beverages. For instance, Coca-Cola revealed in March 2021 that a vending machine subscription service would be launched in Japan. This was the organization's attempt to reverse the recent decline in sales of the drink dispensers due to the outbreak. The company further offered promotional pricing of US$12.40 to encourage new users. 

Furthermore, food & beverage vending machines are becoming increasingly prevalent in places like corporate offices, hotels, colleges and universities, airports, train or metro stations, and fast-service restaurants. Additionally, end users are becoming more and more accustomed to instant service and innovations like cashless payment methods using smartphones. For instance, a new smart ice cream vending machine debuted in the UK retailer Co-op's Bridge Road location in London in May 2021. Customers must tap their phones on the vending machines "NFC" tag to purchase ice cream products. Following that, customers are prompted to verify their preferred payment options, namely Apple Pay and Google Pay. Additionally, companies are putting more of an emphasis on healthy vending as a way to advance their aim of promoting sustainable convenience and deliberate eating by forming strategic alliances. Such developments coupled with technological advancements will further propel the market in the coming years. For instance, Locali, a pioneering, health-conscious quick service restaurant (QSR) company with headquarters in Los Angeles, announced the start of its vending machine program, which would provide organic, natural, and Locali-branded goods to a variety of communities around the country.

Based on geography, the food and beverage vending machine market is divided into North America, South America, Europe, Middle East and Africa, and Asia Pacific. North America is projected to grow at a CAGR of XX% and XX% respectively during the forecast period, owing to the growing consumption of junk foods, snacks, and beverages in USA market of the region which is driving the demand for vending machines in the country. The demand for food and beverages has shown a significant increase USA over the years owing to rapid urbanization and growing disposable incomes. The country is also witnessing an increase in the establishments of major stores and fitness clubs where food and beverage vending machines hold a wider scope of usage. For instance, according to the data provided by the International Health, Racquet and Sportsclub Association, in 2019, the number of fitness clubs in the USA stood at 41,370 which showed an increase of 4.5% in comparison to 2018. Furthermore, according to the National Retail Federation, in 2021, the number of new retail stores in the USA stood at 8,100 which showed a significant increase of 70% over the last three years. Food and beverage vending machines are used in retail stores for various snacks, juices, and non-alcoholic beverages, whereas in fitness clubs the machines are used for energy & soft drinks along with protein bars.  Owing to such growing establishments of major spaces in the USA where food and beverage machines have high applicability, their demand is also projected to increase during the forecast period thereby giving a major boost to their market in the USA. 

Growing technological advancements and rising end user industry will boost the market demand. The vending machine business has become increasingly interested in implementing new technology during the last few years.  As a result, vending machine companies are shifting to computing technology, which is reinventing the sector, to address shifting market dynamics, up-sell opportunities, and escalating government regulation. Adding to this, the FDA has adopted two regulations mandating chain restaurants, comparable retail food outlets, and vending machines to display calorie information on their menus and menu boards. Moreover, a third of American calorie consumption is consumed outside the home. As a result of all these factors, leading manufacturers are setting the pace by trying cutting-edge technology including mobile payments, contactless cards, digital signage, and user interaction.

In July 2021, for instance, UpMeals, a company based in Vancouver, and SMRT1 Technologies, a supplier of smart vending solutions, agreed to a five-year deal for the supply of smart vending solutions. With a smaller environmental impact, UpMeals employs smart vending to provide 24/7 secure access to healthy and fresh food. To engage, inform, and boost sales for UpMeals, SMRT1's SMRT1 POD equips refrigerator vending machines with interactive display screens while also providing safe transactions to the consumers of the food retailer.

Food and Beverage Vending Machine Market Scope:

Segmentation

• By Type
  • Snacks Vending  Machine
  • Beverage Vending Machine
  • Others
• By End User
  • Corporate
  • Public Infrastructure
  • Retailer
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • France
    • United Kingdom
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • Others
  • Asia Pacific
    • China’
    • Japan
    • South Korea
    • India
    • Others