Running a successful business means incorporating factors like expediency and operational ease. With everything going at top speed, sometimes grabbing something healthy to eat falls by the wayside. We know it should be a priority, but let’s be realistic. That’s why vending machines are so popular! But what if there was a happy medium between grabbing a pre-packaged snack from the machine and sitting at a cafe or restaurant? Enter the micro market.
What is a Micro Market?
Micro markets are designed to serve environments where traditional vending was the norm, but management wants to offer their patrons something more. According to the National Automatic Merchandising Association (NAMA), micro markets are “unattended retail environments where consumers can engage with products on shelves and in open coolers, allowing them to pick up products, review nutrition information, and more.”
Consumers can use self-check-out kiosks to pay for their purchases easily without using cash. Some micro markets, for example, in office buildings, allow people to pay with company-issued cards. And some are even so advanced that you can pay with a fingerprint! Micro markets are essentially the hybrid of a traditional vending machine (no cashier, automatic payments) and legacy convenience stores (pre-packaged foods and drinks to grab on the go).
That being said, micro-markets vs. vending machines, how do they compare? Contrary to vending machines that have limitations in terms of product quantity and space, micro markets allow buyers to handle products prior to purchasing and can provide them with more choices, especially items that because of their shape and size, wouldn’t work in traditional vending machines.
Micro markets attempt to strike a balance between the automated efficiency of vending machines and the wide range of offerings in convenience stores. They are a flexible contemporary solution for busy shoppers within managed spaces like office buildings or hotels.
How Does a Micro Market Work?
As discussed above, micro markets tend to operate like cashier-less convenience stores. People can grab a sandwich, snack, and drink and just scan their items either at a self-checkout kiosk or in some cases directly with an app on their phone. Payments are automated, so you can scan it and forget it. The introduction of smart vending machines is truly revolutionizing snack vending possibilities. While it may seem a little dangerous for your bank account, at the end of the day time is money! So the convenience at checkout is well worth any “extras” that you might not purchase from a traditional vending machine, or have time to overthink as you wait in line.
Bypassing cashiers has enabled quicker transactions and cheaper operations. In the case of micro markets, inventory management is often done through real-time tracking systems. As such these systems only become active after the product has been scanned. These systems allow for restocking notifications and automatic orders in case of low supplies running out. This guarantees that while reducing waste on perishables, customers’ favorite items are continually in stock. Sophisticated inventory control software can also anticipate buying patterns as well as optimize their levels considering past sales data and seasonality thus minimizing stock-outs and spoilage.
Main Benefits of Micro Markets
While micro markets aren’t the right solution for every space, where they do work, they work very well. Traditional vending machines have a limited range of products compared to micro markets. They go beyond the usual snacks and drinks, and they now offer fresh foods, beverages, healthy options, and even specialty items. This wide range not only accommodates different tastes and dietary preferences but also increases the satisfaction of customers by providing alternatives that can be seen in grocery stores or cafes.
Micro markets also allow for a high degree of customization in both product offerings and the shopping experience. Products are tailored based on clients’ needs such as offices, office parks, warehouses, schools, college campuses, hospitals, or residential areas. Micro markets are also easy to rearrange as needed. New layouts or designs can be rolled out for special events, temporary closures, or particular times of year. This helps maximize profits by making displays appealing depending on the target market.
Micro markets also provide the service of a convenience store 24/7 without the need to think about staffing. With proper surveillance equipment installed, they are a safe alternative a store that has dedicated working hours. While product shrink is somewhat of an issue, at the end of the day the benefits outweigh the negative aspects in terms of profitability due to the ease of access and payment all day and night.
Micro Markets and the Customer Experience
A micro market when done right can provide the same shopping experience as a supermarket, just way more convenient, and no car required! Micro markets have a much wider range of products than traditional vending machines. Instead of having to choose from a small number of snacks and drinks, there are options that include anything from fruits, vegetables, juices, and other fresh, healthy vending options to specialty items.
Micro markets make it seem like you’re at the grocery store buying lunch without leaving your office or campus. Generally, micro markets enhance the customer’s purchasing experience. With no human interaction required, you can be in and out quickly yet you feel like you have a substantial meal, not just a candy or granola bar.
Micro markets also up the shopping game with easily visible nutritional display information, or information available on an app. Calorie counts, ingredients, and allergen warnings are on display or can be shown on the device before payment, making customers informed about their decisions concerning their health goals when shopping. In addition to fostering trust, this kind of disclosure enhances the overall shopping experience thereby making micro-markets more attractive to health-conscious consumers.
Related Content: Cashless Vending Machines: How to Make the Shift
Micro Market Implementation
Getting started with micro market implementation is easy when you work with an experienced micro market service provider. There are just a few steps, much like vending machine implementation, that help ensure your micro market will get the most value for the space it occupies.
First, you’ll need to ensure your space meets your service provider’s qualifications. This usually begins with selecting the right location (always remember, LOCATION, LOCATION, LOCATION!). Determine high-traffic areas in enclosed spaces (like office buildings, hospitals, etc.) with limited public access to reduce theft. Once the location is secured, the next step is to design the layout of the market, considering the available space and the expected flow of customers. This includes determining the placement of shelves, coolers, and self-checkout kiosks to create an intuitive and convenient shopping experience.
After the layout is planned, the market is stocked with a carefully curated selection of products. Operators typically use data on local preferences and demographics to decide on the initial inventory, ensuring a mix of fresh food, snacks, beverages, and specialty items that will appeal to the specific customer base. Once stocked, the self-checkout kiosks are installed, and equipped with software that manages transactions, monitors inventory in real-time, and tracks sales data.
To maintain the market, operators establish regular delivery schedules to restock items and keep the market clean and organized. Additionally, the inventory management system plays a crucial role in automating many aspects of operation, such as generating restock alerts and providing insights into which products are selling well. Overall, setting up a micro market requires careful planning, data-driven product selection, and ongoing maintenance to ensure a smooth and successful operation. Working with a national service provider eliminates any potential difficulties!
We’ve written plenty about the growing micro-market trend, and as technology evolves, we will continue to do so. As history shows, vending machines will never go out of style, but people are starting to enjoy the convenience and amplified choices that micro markets provide. Plus, with our wallets in our phones and society going ever more cashless, legacy vending machines will need to either be upgraded or swapped out for something new.
Are you ready to amplify your vending strategy with a micro market for your space? We’re here to help! Contact us now to learn whether your space qualifies for a micro market, and how you can start wowing your customers with new, innovative product selections with seamless checkout.
