One of the strategies that a company can use for product distribution is the vending machine. The company can partner up with a vending machine logistics provider to deliver the machines to public places in different locations. Through vending machines, companies can sell their products for a lower cost than other retail stores because they only have to replenish the stock.
In most instances, there is no competition around the machines because the products offered are usually the only ones in their category. Since vending machines are uniquely branded, there is a very big opportunity for marketing. People value convenience and they are often curious about the products.
Vending machines are ubiquitous in airports. Benefit Cosmetics took advantage of advertising opportunities by installing fun pink vending machines that can easily attract attention. Women who are waiting for their flight have lots of time to kill and are more likely to be curious on the offerings. Aside from increasing awareness for the brand, Benefit Cosmetics provide the perfect solution for women who forgot or run out of makeup.
Meanwhile, Cupcake ATM is a vending machine for cupcakes. The vending machine can be accessed 24/7 in college campuses and places where people are present even during late hours. Because the cost of vending machines is lower than maintaining a retail store, Sprinkles vending machine can expand their distribution to more locations like office buildings.
In Milan, Italy, 24/7 convenience stores are practically non-existent. PharmaShop24 vending machine is the lifeline of consumers who run out of diapers, condoms and pain relievers after the stores have closed. Since the pharmacy helps those who are in need, its sales have increased not to mention the brand loyalty generated from consumers. Usually, the prices are lower because labour costs are virtually non-existent.
The expertise of vending machine logistics provider is very important for companies who want to install vending machines in different locations. A dependable method has been developed to make sure that the vending machine is adapted to any site. Engineers will provide periodic maintenance and software updates so that the machine will always be in proper working condition.