Fashion Retail Management Project 1 Understanding Competition Vending Machine Retailing Presented by Grace Ng and Claire Phuah

Overview Introduction: What is Non-store retailing? Introduction: What is Non-store retailing? Topic: Vending Machine Retailing Topic: Vending Machine Retailing Pros and Cons of Vending Machine Retailing Pros and Cons of Vending Machine Retailing Evaluation Evaluation Conclusion Conclusion

Introduction Non- store retailing is a form of retailing in which consumer contact occurs outside the confines of the retail store, such as vending machines and electronic shopping, at home personal selling, and catalog buying. Non- store retailing is a form of retailing in which consumer contact occurs outside the confines of the retail store, such as vending machines and electronic shopping, at home personal selling, and catalog buying. What is non-store retailing?

Why is non-store retailing growing? Availability (i.e., the Internet) Convenience-open 24/7 Fast-paced lifestyles Dislike for shopping in stores Time constraints Low overheads for the retailer

Vending Machine Retailing - History -Where are they located? -What type of products available? -Why is it so popular? -Who are the players?

History Invented in 215 B.C Egypt for ritual cleansing In the 1880s,the worlds first commercial coin operated machine was introduced in London which dispensed post cards. Became popular in the US in the late 1800s

Where are the vending machines located? Virtually everywhere!! Bus-stops, toilets, petrol stations, schools, MRT stations, hospitals etc.

Type of products Eggs Vegetables Rice CondomsPornography Medication Convenience store

Why are vending machines so popular? High profits Low start- up costs Stock lost prevention Convenience Quick response Retailer Saves space Cut labor costs Reduce armed- robbery Consumer Fast service Fast- paced lifestyle Time- constraints Weather conditions

Companies (F & B, healthcare, publications) Companies (F & B, healthcare, publications) Associations Associations Entrepreneurs Entrepreneurs Who are the players?

Pros and Cons FactorsProsCons Social Convenience Convenience No human interactions No human interactions Easy access to Easy access to pornography pornography Economic Low start- up cost Low start- up cost Low rental Low rental High profits High profits Vast capital for long run (eg. employing technicians/ maintenance) Vast capital for long run (eg. employing technicians/ maintenance) Environment Promote awareness of Promote awareness of 3Rs 3Rs (reuse, recycle & reduce ) Pollution Pollution Technology SMS, Credit cards etc SMS, Credit cards etc Higher efficiency Higher efficiency Constant upgrading Constant upgrading Vulnerable to computer Vulnerable to computer virus virus

Evaluation Is Vending Machine Retailing a threat to other forms of retailing?

Vending Retailing is N ot a Threat! Human interaction still preferred Human interaction still preferred Limited retail mix Limited retail mix No exchange policy for defects No exchange policy for defects Dependent on electricity Dependent on electricity No promotions No promotions

Conclusion What is Vending Machine to future of retailing? Address problem of greying population SMS vending Tiktok Easy Shop Big Box (Shop 2000) Office Supplies E-Station Higher efficiency & Convenience!

Q & A

We Hope you have a better understanding of…. Vending Machine Retailing Vending Machine Retailing Pros & Cons of Vending Machine Retailing Pros & Cons of Vending Machine Retailing Future of Vending Machine Retailing Future of Vending Machine Retailing