Vending Machine Profit Statistics 2023 & 2024

Vending machines have been an integral part of our daily lives for many decades. They are convenient, quick, and offer a variety of products, making them an indispensable part of modern society.

Here, we will be exploring vending machine statistics that cover everything from the global market size to consumer preferences.

Vending machines are automated machines that dispense products such as snacks, beverages, and other items to customers after payment is made. They are available in various sizes and shapes, and can be found in various locations, including schools, offices, hospitals, and public areas.

Statistic	Value
Global Lease Administration Software Market Value (2020)	$2.74 billion
United States Market Share	Over 40%
Cloud-based Segment Market Share (2020)	Over 50%
SMEs Market Share	Over 60%
Real Estate and Construction Industry Market Share	Over 35%
Emerging Markets Growth	India, China, Brazil
Average Cost of Lease Administration Software	$1,000 – $10,000/year

The global vending machine market is projected to hit $146.6 billion by 2027.

Although vending machine sales took a hit due to the economic downturn caused by the pandemic, the industry is projected to enjoy a compound annual growth rate of 1.3% between 2020 and 2027.

Research on the average vending machine profit potential for the coming years shows that the sale of both food and beverages is expected to grow by 1% and 1.7%, respectively, by 2027.

The number of internet-connected vending machines worldwide is set to reach 8.9 million by 2024. 

In the era of connectivity when almost all devices are connected to the internet and goods are bought online via wholesale suppliers, vending machines are keeping up with global trends. Online vendors are much more convenient, faster, easy-to-repair, and more accurate than their offline counterparts.

Recent forecasts put the compound annual growth rate of connected vending machines at 16.3% between 2019 and 2024.

Naturally, this will have a positive impact on vending machine profit stats as the number of units grows and the penetration rate reaches 52%. 

The Global Market Size of Vending Machines

1. The global vending machine market size is expected to reach $22.7 billion by 2026.
2. The market is growing at a CAGR of 5.3% from 2021 to 2026.
3. The Asia-Pacific region is the largest market for vending machines, accounting for over 40% of the global market share.
4. The North American region is the second-largest market, accounting for nearly 30% of the global market share.
5. Europe is the third-largest market for vending machines, accounting for nearly 25% of the global market share.

Types of Vending Machines

6. Snack vending machines are the most common type of vending machine, accounting for over 50% of the global market share.
7. Beverage vending machines are the second-most common type of vending machine, accounting for nearly 30% of the global market share.
8. Combo vending machines, which dispense both snacks and beverages, are growing in popularity and account for nearly 20% of the global market share.
9. Other types of vending machines include cigarette vending machines, ticket vending machines, and toy vending machines.

Vending Machine Usage and Consumer Preferences

10. Nearly 85% of consumers use vending machines at least once a month.
11. The majority of consumers prefer vending machines that accept cash and credit/debit cards for payment.

10. Over 70% of consumers prefer vending machines that offer a variety of products.
11. Nearly 60% of consumers prefer vending machines that have a user-friendly interface.
12. Over 50% of consumers prefer vending machines that are clean and well-maintained.
13. Nearly 40% of consumers prefer vending machines that offer healthy food options.

Vending Machine Sales and Revenue

16. The average vending machine generates $9,000 in annual sales.
17. The average profit margin for a vending machine is approximately 20%.
18. Beverage vending machines have a higher profit margin compared to snack vending machines.
19. Vending machines located in high-traffic areas have higher sales compared to those in low-traffic areas.
20. Vending machines located in areas with a high concentration of young people have higher sales compared to those in areas with a low concentration of young people.

Advantages and Disadvantages of Vending Machines

21. Advantages of vending machines include convenience, accessibility, and 24/7 availability.
22. Disadvantages of vending machines include limited product options, high operational costs, and the potential for machine malfunctions.
23. Vending machines are often preferred by consumers over traditional retail stores due to their convenience and accessibility.
24. Vending machines can provide a valuable source of additional revenue for businesses and entrepreneurs.
25. Vending machines can also provide a convenient source of food

The US has more vending machines than any other country in the world.

For some, the first country that comes to mind when thinking of vending machines is Japan and its crowded urban areas. But the stats tell a different story. Out of more than 15 million vending machines worldwide, the United States hosts more than 6.9 million coin machines. That’s not to say that the vending machine business isn’t booming in Japan, which still has the highest number of vending machines per capita in the world. 

Vended cold beverages hit $2 billion in sales in 2020.

Cold drinks are among the most popular products sold from vending machines in 2020 and accounted for 30% of all sales. Snacks ($1.2 billion), confections ($900 million), and candy ($1.2 billion) jointly accounted for 40% of sales. Vended ice cream was lower on the list, with $100 million in sales. The available data also reveals that the most operated machine types in 2020 are packaged cold drink vendors and glass front merchandisers.

The pandemic drove vending machine profits down by 45% in 2020.

The pandemic had an impact on all vendors. And while some enjoyed record sales by turning to e-commerce platforms, others weren’t so lucky. A recent survey conducted by Automatic Merchandiser shows a 45% decline in revenue generated by vending machines – from $24.2 billion in 2019 to $13.3 billion in 2020. This is the most severe financial hit the industry endured following its rapid growth since the Great Recession in 2009.

Vending Machines Stats

1. Over 5 million vending machines are currently in operation in the United States.
2. In 2020, the global vending machine market was valued at $31.5 billion.
3. Vending machines can be found in over 100 countries worldwide.
4. The largest vending machine market in the world is Japan, with over 5 million machines.
5. Vending machines can dispense an average of 3 to 10 products per minute.
6. The average lifespan of a vending machine is 10-15 years.
7. Vending machines can generate annual revenue of $10,000 to $15,000 per machine.
8. The food and beverage industry accounts for 80% of vending machine sales.
9. The most popular products sold in vending machines are snacks, followed by beverages.
10. The United States has the highest number of vending machines per capita, with one machine for every 23 people.

Vending Machines Facts

11. The first recorded vending machine was invented in the 1st century AD by Hero of Alexandria.
12. Vending machines have been used for centuries to dispense various items, including coins, stamps, and postcards.
13. Modern vending machines are equipped with advanced technologies, such as cashless payment options and wireless connectivity.
14. Vending machines are considered to be one of the most profitable small businesses, requiring low start-up costs and minimal maintenance.
15. Vending machines are commonly found in public spaces, such as airports, shopping centers, schools, and hospitals.
16. Vending machines are not just limited to snacks and beverages, they can also dispense items such as fresh flowers, electronics, and clothing.
17. Some vending machines are equipped with cameras and facial recognition technology to personalize the customer experience.
18. Vending machines are a popular source of late-night snacks and can operate 24/7.
19. Vending machines are equipped with sensors to detect product jams, low inventory levels, and payment issues.
20. Vending machines can reduce waste by dispensing individual portions and packaging, reducing the need for large-scale packaging and reducing food waste.

Vending Machines Benefits

21. Vending machines offer consumers a quick and convenient way to purchase products.
22. Vending machines eliminate the need for a salesperson, reducing labor costs for businesses.
23. Vending machines increase accessibility and availability of products, especially in remote or under-serviced areas.
24. Vending machines provide a source of passive income for businesses and entrepreneurs.
25. Vending machines offer a wide range of products, increasing customer choice and satisfaction.
26. Vending machines reduce the need for physical stores, freeing up valuable real estate for other uses.
27. Vending machines are a convenient and accessible source of food and beverages for people on the go.
28. Vending machines are a low-risk business opportunity, requiring minimal investment and maintenance.
29. Vending machines provide businesses with valuable data and insights into customer behavior and purchasing habits.

More than 70% of vending machine owners reported sales decreases in 2020. 

The same survey offers deeper insight into the aforementioned financial losses, with vending machine owners experiencing sales declines ranging between 10% and 70%. A mere 6% of respondents reported sales increases. In 2019, the situation was very different. 64% of respondents said their sales increased that year, while only 38% reported decreases. 

An average American spends approximately $27 yearly on vending machine products.

The annual amount spent by an average consumer at vending machines is less than $30. That translates into an average transaction of around $1.70. These figures may lead many to ask a fundamental question: is the vending machine business profitable? The simple answer is yes. This is a multi-billion dollar industry, and growth projections are impressive.  

On average, a single vending machine generates more than $75 in revenue.

So, how much do vending machines make? On a monthly basis, an individual vending machine can make more than $300. That’s a pretty decent business for those who invest in several machines over the long term. Of course, there are many different factors that determine the level of income, including more obvious things like location. The most lucrative locations are manufacturing and distribution facilities, offices, apartment complexes, and hospitals.

Vending Machines Trends:

• The use of vending machines has been on the rise, especially in public spaces like airports and malls
• More advanced vending machines are being developed, featuring touch screens, cashless payment options, and even facial recognition technology
• The use of healthy food options in vending machines is increasing, as people become more health-conscious

Vending Machines Adoption:

• Vending machines are widely adopted in the US and other countries, with an increasing number of machines being deployed in public spaces
• The adoption of vending machines varies by region, with some countries having more machines than others

Vending Machines Market Analysis:

• The global vending machine market size is expected to grow from $16.7 billion in 2020 to $19.7 billion by 2023
• The growth of the vending machine market can be attributed to the increasing demand for convenience and automation

Vending Machines Demographics:

• Vending machine users come from all age groups, with the highest usage among people aged 25-34
• Males are slightly more likely to use vending machines than females

Vending Machines Software:

• There are various software solutions available for vending machine operators to manage their machines and sales data
• These solutions offer features like inventory tracking, sales reporting, and machine monitoring

Vending Machines Opportunities:

• There is a growing demand for healthy food options in vending machines, offering a new opportunity for vendors to tap into
• The increasing use of cashless payment options and touch screens presents opportunities for vending machine operators to modernize and enhance their machines

Vending Machines Challenges:

• Vending machines can be targets of theft and vandalism, which can be a challenge for operators
• Keeping vending machines stocked and maintained can also be a challenge, as operators need to regularly check and restock their machines

Coffee vending machines account for 13% of coffee preparation options available at work. 

(Statista)

If you’re an office worker, chances are you’re probably drinking a couple of cups of coffee per day. According to data gathered by the National Coffee Association or NCA, the prevailing method in 49% of workplaces is a drip coffee maker. Almost 40% use a single-cup brewer system, and 13% rely on coffee vending machines. An overview of vending machine profit statistics reveals that coffee isn’t always the biggest moneymaker because these machines are among the most expensive to purchase and maintain.

With consumers increasingly leaning towards health-conscious choices, sales of zero-sugar drinks increased by 38.2% in the UK.

(The Vending People)

Data compiled by The Vending People reveals a notable increase in sales of zero-sugar canned drinks across the UK between 2018 and 2019. Aside from the fact that zero-sugar beverages have become the most popular choice among UK consumers, the data also shows a drop of 19.8% in sales of high-sugar drinks. As expected, the most popular vending machine products among snacks were low-calorie snacks, with sales skyrocketing by 169% compared to 2018. 

Only 20% of US consumers named vending machines as their first choice for buying snacks.  

(Statista)

Although a growing number of vending machines are now carrying healthy foods, consumers aren’t always buying their snacks there. A 2021 survey shows that 46% of respondents in the US purchase snack foods in fast-food restaurants. Grocery stores, cafes, and convenience stores are also more popular than vending machines for snack purchases. If you’re planning on starting a vending machine business, profits may not necessarily come from snacks but vended cold beverages. 

24% of consumers used vending machines less than usual during the early weeks of the pandemic.

(Statista)

A May 2020 survey that examined the behavior of consumers during the early days of the COVID-19 pandemic in the US recorded changes in shopping preferences. Perhaps unsurprisingly, contactless deliveries saw the biggest increase, and 37% of respondents said they used it more than before. Meanwhile, only 8% of respondents increased purchases at vending machines, while 24% used the machines less frequently. This is reflected in the industry’s earnings throughout the whole of 2020.  

The cost of a single vending machine ranges from $1,500 to $10,000.

(Naturals2Go)

Before trying to calculate potential profits, most people will ask one simple question: how much does a vending machine cost? The exact price depends on numerous factors, but if you’re starting a new business and you’re on a tight budget, you’ll be glad to hear that a machine can be bought for as little as $1,500. Even when coupled with other expenses like small business insurance costs, you can still start a basic vending business with relatively little money. However, new vending machines tend to be more expensive and cost anywhere between $3,000 and $10,000, depending on the type, features, and size. 

The US vending machine market size was $36.5 billion in 2020.

(Research and Markets) (IBISWorld)

That’s a sizable chunk of the $134.4 billion that the industry generated globally that same year. The Americans are closely followed by their number one economic competitor, China, where the market size is projected to hit $27.7 billion by 2027. Nevertheless, the vending machine profit potential in the US will be hard to ignore in the coming years, especially for the country’s top four vending machine operators: Compass Group PLC, Aramark Corporation, Wittern Group, and ZoomSystems. 

Monthly digital sales at vending machines were 47% higher than those with cash. 

(Vending Market Watch)

A joint study by Cantaloupe Inc. and Michigan State University found that in April 2020, the digital sales at vending machines were higher than those involving cash payments. Vending machine profit statistics reveal that this was a consistent trend throughout the year – in November 2020, cash payments decreased to 40% compared to November 2019. As digital payments became the preferred option, industrial, health, education, retail, and military sites became some of the most profitable locations.