Santa Fe New Mexican

Steaks, pizza and more: Vending machines in new era

Touchless, prepackage­d grocery shopping has become more popular

- By Laura Reiley

The pandemic has rocketed vending machines into new territory. Light-years beyond dispensers of Funyuns and Snickers, vending machines, robotic kiosks and other grab-and-go technology now broadly called “unattended retail” are putting artisanal pizza, hot bowls of ramen and prime cuts of beef into the hands of consumers 24/7.

Carla Balakgie, chief executive of the National Automatic Merchandis­ing Associatio­n, the trade group representi­ng the vending machine industry, said coronaviru­s pandemic fears and social distancing have accelerate­d vending machine adoption.

“It’s touchless, it’s considered safe and it’s prepackage­d so products haven’t been fondled and breathed on,” she said. “And technology has made it even safer: Some machines have a hover feature so you don’t have to touch the buttons and you can use an app on your phone or use mobile ordering.”

She said adoption in the past year has been swiftest by first responders needing sustenance on the go, but what might have previously been novelty “stunt” vending machines at trade shows are becoming normalized as regular avenues of commerce: bread-baking machines, customize-your-yogurt machines, even machines that dispense slippers, mascara and sundries at airports.

Deglin Kenealy, chief executive of gourmet pizza vending machine startup Basil Street, has seen both additional challenges and successes due to the pandemic. Raising $10 million in an initial round of funding, the business started with a pilot program of five machines early in 2020 with a focus on university dorms and airports.

After those two markets saw massive contractio­n because of the pandemic, the company pivoted to what Kenealy called “closed environmen­ts” like manufactur­ing plants or military sites. He said Basil Street will have 50 units by midsummer and 200 by end of year, mostly in Texas and California.

He said the success of the units represents an evolution in consumer thinking.

“People are spending more time thinking about how their food came to the table. Consumers are demanding — they want fast, convenient and high-quality, and COVID has accelerate­d that,” he said.

Joshua Applestone, whose meat company, Fleisher’s, in New York was at the vanguard of artisanal butchery about a decade ago, began selling locally sourced and sustainabl­y raised meats vacuum-packed and dispensed by vending machines in 2015. Applestone Meat Company now has three locations.

“COVID helped, I’m not going to lie. We don’t live in a 9-to-5 world anymore, people have different schedules,” he said. And while he declines to share sales figures, he said, “We’re doing more in sales than I have in other businesses, and we’ve surpassed the numbers that we needed to be at.”

He says that for years the vending machine world was fairly static, but new technology, coupled with changing consumer desires, has supercharg­ed innovation in the industry.

“It’s fascinatin­g to me that COVID has driven this. Of course we’re going back to ‘normal’ post-pandemic, but these things will stay because they make a lot of sense. If you sell a great product, you can expand it now with 24-hour sales,” Applestone said. He says he sees utility for restaurant­s to expand their operating hours and minimize waste, and for industries like CBD or pharmaceut­icals to enhance the convenienc­e of their services.

 ??  ??
 ?? REY LOPEZ/WASHINGTON POST ?? A vending machine stocks frozen pizza, pasta and sauces. What might have previously been novelty ‘stunt’ vending machines are becoming normalized as regular avenues of commerce.
REY LOPEZ/WASHINGTON POST A vending machine stocks frozen pizza, pasta and sauces. What might have previously been novelty ‘stunt’ vending machines are becoming normalized as regular avenues of commerce.

Newspapers in English

Newspapers from United States