Organic snack vending machines

I’m continually reflecting upon opportunities for commercial investors and here’s one which needs to be made public. Vending machines provide a convenient service to a large population of transport system commuters and individuals attached to many sectors of the workforce. They’re also installed in schools, universities, hospitals, and accommodation facilities. Now recollect the last time you dropped some change into one of these. You probably received a salty snack food, one overly high in saturated fat content with lots of chemical additives. Does it really have to be this way? Of course it doesn’t. Surely the time is ready for a new competitor on the vending machine circuit. Consider the possibility of units containing wholesome, organically certified snacks.

The Department of Health publishes a list of dietary recommendations for young people between twelve and eighteen years. At last glance, there was no comment upon the possibility that organically certified foods might be healthier or less damaging than the conventional items. There was, however, some clear indications that foods high in sugar, fat, and salt should be avoided. Given such advice, it would be most unfortunate if educational providers and recreation centres failed to support the installation of machines distributing a higher quality range of organically certified snack foods.

Assuming investors are prepared to speculate on a collective desire to improve childhood health, we might expect to see the new machines installed within a reasonable period. But now consider just three of the barriers which will undoubtedly confront our positive initiative.

For too many teenagers, organic food is fringe territory and definitely something to be avoided against risk of ridicule and expulsion from their peer structures. Conformity is often the course of least resistance and life can be hard enough without making waves and being perceived as too “organic”. Of course, these attitudes can change with life experience but in the meantime there are enormous advertising and marketing budgets which work to ensure stability and status quo within our patterns of consumption.

Yes, all of the above statements are worthy of investor consideration. There is little doubt that organic food and lifestyle concepts encounter significant resistance amongst the age categories defined here. In terms of health and well-being, teenagers frequently fail to consider the long term consequences of their unhealthy diet. In response, health warnings and blunt advertising campaigns have been routinely delivered by the proponents of positive change. This, however, may be the wrong approach. According to the Burroughs Institute, any marketing angle which concentrates exclusively on these negative aspects is likely to fail. In most cases organic retailers will accomplish more by focusing on the short term and enjoyable benefits of their healthy snack food alternatives.

Organic foods of any description are more expensive and provide fewer options in terms of sensory appeal. Now this is not my perception, but it rings true for many investors considering their options within the snack food and beverages sector.

In reality, the perceived expense and lack of options are symptoms of a distribution failure. Compared to the successful snack food companies, organic products are typically manufactured by small organisations with limited expertise in market development, distribution, and cost control. It is worth proposing that any well-capitalised vending machine operation might provide an effective platform for establishing a competitive alliance of widely distributed organic food manufacturers. Under such arrangements there should be additional opportunities for developing attractive and cost effective products.

Organic consumers have separated themselves from the mainstream and are too snobbish to consider purchasing their snacks from vending machines. In any case, they are fussier than the average consumer and always challenging to please. Once again, this is a sentiment which is frequently held by potential investors.

There are many levels of organic consumer. Clearly, the vending machine approach is not for all. Consumers, when given the choice, prefer to purchase their food and beverage items from a shop or kiosk. The vending machine exchanges personalised service for convenience. Given the size and congestion of our major cities, it appears likely that vending machines will play an ever-increasing role in our lives. This is true for banking, ticket purchases, and many similar transactions in addition to the most basic ones like food and beverage provision. Rather than resist this reality, the organic sector should realise this opportunity to feed more of us more frequently with their tasty and healthy products.