Vending in Romania

2021 DEVELOPMENTS

Positive sales growth returns for vending as consumers return to the streets

The return of positive sales growth was the most important trend to note in vending after the category registered negative sales growth at the peak of the COVID-19 pandemic in 2020. The category struggled to attract sales during 2020 as restrictions were placed on the mobility of the Romanian population in response to the COVID-19 pandemic.

Most vending machines in Romania are located in semi-captive and captive locations

One important factor to take into consideration when evaluating vending in Romania is that the majority of the new machines in the country are located in captive and semi-captive locations, placing them outside the scope of Euromonitor International research. Among the remaining vending machines in public locations which do fall under the scope of this report, the vast majority are located in public transport stations, gas stations, standalone retail outlets and shopping centres.

Leading players in vending continue to focus on captive and semi-captive locations

The fact that the vast majority of sales generated by vending machine companies in Romania are derived from captive and semi-captive locations means that the biggest players in the category remain far more focused on these semi-captive and captive locations they are on the vending machines in public locations that are tracked by Euromonitor International research. The obvious reason for the greater focus on vending in captive anti-captive locations is that this is a far more lucrative aspect of their operations than the far smaller and less profitable operation of vending machines in public places.

PROSPECTS AND OPPORTUNITIES

Vending slated for a strong recovery from the devastation of the COVID-19 pandemic

Vending is slated for a positive performance over the forecast period, with category sales expected to recover completely from the disastrous performance recorded in at the peak of the COVID-19 pandemic during 2020. Despite the low vaccination rate in Romania at the end of the review period, it is expected that the spread of the COVID-19 virus will be brought under control during the early stages of the forecast period.

More modern and sophisticated vending machines expected to be launched

The forecast period is expected to witness an overhaul of the types of vending machines that are typically seen in Romania. With the category’s leading players expected to take steps to make the most of the opportunities that are likely to emerge during the forecast period, it is considered inevitable that newer, sleeker, more modern and more functional vending machines will soon appear throughout the country.

Domestic players to remain dominant as vending offers little to international companies

Domestic companies are expected to remain dominant in vending in Romania during the forecast period and this is a reflection of the limited appeal that a small category with low overall sales holds for international companies. In addition, the legal requirement for vending companies to invest in new POS technologies that issue tax receipts with every purchase and the pressure to update vending machines with new technologies such as contactless payment and telemetry for checking the status of the machine remotely are expected to result in higher costs for vending operators, leading to unit price inflation in the category during the forecast period.