Vending in Portugal

2020 IMPACT

Vending hit hard by closure of associated industries as category relies heavily on tobacco sales

Vending recorded a heavy decline in sales in 2020 as a result of the COVID-19 crisis. During the national lockdown periods, associated industries and many of the premises that house vending machines, such as consumer foodservice, were closed down in Portugal to prevent the spread of the COVID-19 virus.

Players adapt offering to fit COVID-19

A number of players in vending, however, saw the COVID-19 pandemic as an opportunity to offer new products through vending in 2020. The kinds of products offered in vending machines therefore shifted towards the needs of consumers in pandemic conditions.

Delta Cafés launches new vending café concept

As part of its strategy to expand the hot drinks and snacks vending business through the My Break by Delta Cafés brand, Delta Cafés established a partnership with CTT. Through this partnership, they developed a new CTT store concept based around the use of Delta cafés vending machines.

RECOVERY AND OPPORTUNITIES

Vending continued to spark interest through innovative new concepts

Worldwide, vending demonstrates a high level of innovation in the space when it comes to product types and payment methods, and this trend will continue over the forecast period as players continue to look for exciting new vending concepts in Portugal and around the world. Vending presents players with a convenient and low-cost way of reducing a store into a refrigerator-size machine.

Players look set to offer healthier products as consumers adopt up and coming health and wellness trends

Local consumers are increasingly moving away from the traditional offer of packaged drinks such as carbonates and perceived unhealthy snacks including crisps and confectionery, as they look to follow healthier lifestyles and diets. This is encouraging a higher number of players to expand their offer of healthy fresh products in their vending machines.

Fragmented category will continue to enjoy high level of penetration in Portugal

The highly fragmented channel, constituted by a large number of small, independent companies will continue to help vending to increase its presence across the country. In particular, vending will continue to increase its concentration within urban areas in Portugal.