Japan was once known as a “vending machine powerhouse.” Will their numbers continue to decline? Companies are increasingly withdrawing from and removing vending machines.
(Q: Do you use vending machines?) 20s: “I don’t use them very often. Back in the day, you could buy a drink for around 100 yen, but now it’s closer to 200 yen. I sometimes can’t keep track of where the machines are.”
(30s: “Bottles from convenience stores are cheaper, and personally, I don’t use them because I have a Don Quijote nearby.”)
Rising prices and a desire to save money are driving consumers away from vending machines, as supermarkets and drugstores offer cheaper drinks. Ito En recorded a 13.7 billion yen loss from its vending machine business in its consolidated financial statements for the fiscal year ending January 2014.
Coca-Cola Bottlers also recorded a 90.4 billion yen loss in its consolidated financial statements for the fiscal year ending December 2013. Amid this, some companies are finally withdrawing… Report: “We have learned that Pokka Sapporo will sell its vending machine business.” Yesterday, Pokka Sapporo Food & Beverage, a subsidiary of Sapporo Holdings, announced that it will sell its vending machine business to Life Drink Company, a manufacturer and distributor of soft drinks, by October of this year. The reasons cited include rising equipment maintenance costs and a lack of personnel. Furthermore… Report: “Dydo has also announced a plan to remove approximately 20,000 vending machines.”
Dydo Group Holdings, which posted its largest-ever deficit of 30.3 billion yen in fiscal year 2013, has announced a plan to remove approximately 20,000 of its approximately 270,000 vending machines nationwide by the end of next fiscal year. Meanwhile, Dydo Drinco is focusing on vending machines that can be used to purchase items other than drinks. I immediately tried purchasing one… Report: “I was able to purchase the diapers in a tube.”
In 2019, TBS began selling diapers in collaboration with Daio Paper and others as an initiative to support the parenting generation. The initiative was launched to differentiate the company from other competitors. Approximately 800 machines are currently in operation.
The company also plans to focus on vending machines selling snacks and its approximately 600 in-house mini-convenience stores. Japan was once known as a vending machine powerhouse, but its penetration peaked at 5.6 million in 2000, falling to around 3.9 million two years ago, a drop of roughly 70% over the past 20 years. Amid rising prices and a growing desire to save money, the beverage industry’s vending machine business is likely to remain in a challenging situation.
