Vending in Morocco

2021 DEVELOPMENTS

Lockdown restrictions continue to weigh on vending

Having exhibited a double-digit rate of decline in 2020, vending retail current value sales continued to fall in 2021 – albeit at a much more modest rate than in the previous year. Lockdown measures undermined demand by leading to the closure of such venues as hotels, business centres and gyms for an extended period.

Prior to the pandemic, gyms had been a major growth driver

Vending is a relatively marginal channel in Morocco, with very low retail current value sales. These were exhibiting weak growth even before the onset of COVID-19.

Nespresso weathers the pandemic better than Coca-Cola, as the former’s products are largely consumed at home

Three players – Top Class Espresso, DABA Maroc and Coca-Cola Morocco – dominate retail current value sales of vending in Morocco. Leader Top Class Espresso’s coffee vending machines can be found nationwide.

PROSPECTS AND OPPORTUNITIES

Proliferation of forecourt retail outlets will help to support growth in vending retail value sales

Vending retail current value sales will post no more than moderate growth during the forecast period and will not recover to their 2019 level by 2026. The increasing number of forecourt retail outlets will be a growth driver, as these often have vending machines, with Total Maroc likely to be at the forefront of this.

“Coffee Bike” concept will be a new source of competition for vending

Vending machines will face increased competition from new concepts during the forecast period. For example, a new street coffee concept was launched by start-up Pickalty in 2021.

Contactless vending likely to proliferate

Contactless payments are growing in popularity in Morocco, and this trend is likely to extend to vending machines during the forecast period. COVID-19 will be main driver of this, as local consumers seek to reduce their risk of contagion.