Vending in Peru

2021 DEVELOPMENTS

Vending sales suffer from lockdown and the mandatory closure of premises in which they were located

Sales via the vending channel were greatly affected by the pandemic because most vending machines are located within the facilities of establishments that were forced to close to prevent the transit and gatherings of people, such as shopping centres, universities, schools, offices, and public institutions. Likewise, the vending machines located in hospitals and clinics were also either unable to operate or suffered considerably reduced sales because the established quarantine did not allow their normal supply and only essential personnel were admitted.

The trend towards healthy eating enters vending

Vending is mainly focused on beverages and packaged food in Peru, with vending machines generally located in high traffic areas, especially in places with a higher concentration of young people such as universities, schools, and institutes, but also in shopping centres and business centres. The health trend has also become increasingly noticeable in vending.

Few players in Peru adopt new technology which facilitates purchases and also enables contactless payments

Vending machines across the world have been modernising and including technology for their better performance. The onset of the pandemic also promoted the development of machines that enable contactless payment avoiding the use of coins.

PROSPECTS AND OPPORTUNITIES

Slight recovery of vending sales over the forecast period due to the slow return to activities outside the home and strong advance of other channels

Sales of the vending channel are expected to continue recovering over the forecast period but at a slow pace, therefore recovery of sales to levels seen in 2019 is likely to take time. Even after the pandemic fully recedes, more people are expected to continue working or studying from home, at least for part of the week, having found this arrangement more convenient.

Strong potential for development as coverage remains low but heavy focus on finding suitable locations

The development of the vending channel is currently limited, with this being the smallest channel in terms of retailing sales in Peru. However, this also represents considerable potential for development, not only in Lima, but also in the provinces where vending is almost non-existent.

Facilitating the use of vending machines, as well as incorporating different means of payment, provide a boost to vending sales

Another important factor to take into account to promote the development of vending will be to generate closeness and familiarity of vending machines with the public. As there are currently so few of them in the country, many people do not trust their operation and worry that the machine will retain their coins and not deliver the purchased product.