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Vending in Australia

Australia vending market: A$1 billion industry in 2012


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2014-02-10 16:07:02 - Vending in Australia - a new market research report on companiesandmarkets.com

Coca-Cola Amatil continues to lead the Australia vending market, with a value share of nearly 34% in 2012. The success of Coca-Cola Amatil is due in large part to the strong role of soft drinks vending, which is the leading type of vending, with approximately one third of the channel´s value sales. The company is cognisant of the trend towards health and wellness in the country, and has been focusing on retailing better-for-you alternatives, such as Glaceau Vitaminwater and Goulburn Valley fruit juices.

Vending in most instances contributes only a small share for branded players when compared to other channels, such as grocery. In 2012, as manufacturers faced increased pressures in channels where most volume comes from, that took their attention

 

 

away from vending sales. Hence, the channel has lacked innovation and saw limited new products in the review period.

Further innovation in vending offerings and machines will be needed to grow the channel in the forecast period. The introduction of DVD, book and magazine vending has demonstrated the possibilities that exist in the channel. Vending sales could also benefit from a greater proliferation of healthy alternatives in packaged food and drinks vending.

Key Headlines

- Vending generates A$1.0 billion in revenues during 2012, up by 2% from 2011
- Innovation around payment formats and vending machine design moves the channel forward
- Packaged drinks revenue amounts to A$370 million in 2012
- Coca-Cola Amatil continues to lead the vending channel, with a 34% value share in 2012
- Vending is expected to see a CAGR of rather less than 1% in constant value terms between 2012 and 2017

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Mike King
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