The vending machine is an automated machine that provides various items to consumers after a coin, cash, credit card, or specially designed card is inserted into the machine. Similarly, the car vending machine is a multi-storied building filled with different cars. It is a fully automated, coin-operated vending machine that dispenses the car once it has been purchased. It enhances the car buying process which attracts the customers and provides them unparalleled user experience created through the combination of technology, robotics, and a custom-made glass environment. To purchase a vehicle, the customer first has to purchases the car through online or offline mode, make the payment, and shave to sign all the documents. Then to pick up a purchased vehicle, the customer enters their name and drops a special coin/token into the car vending machine's control panel, which then lights up and initiates the vending process. The vending machine then retrieves the car from the building Tower and places it on a track, which then moves the car through the machine until it reaches and enters the designated delivery bay. The bay then opens, and the customer is invited in, to take possession of their new vehicle.
COVID-19 Impact Analysis
- The government of major countries has imposed lockdown and various other restrictions due to COVID-19. Thus, the manufacturing of automobiles across the world has been halted. Moreover, the demand for automobiles also reduced since there was a decline in people’s disposable income affecting the sale of automobiles and also the need for car vending machines. A car vending machine is very expensive and, the demand for automobiles has fallen due to the pandemic. Furthermore, the aftermarket sale of the automobile was affected severely which made the operation of current car vending machines also difficult. In addition, due to lockdown, there was the unavailability of labor required for car vending machine maintenance which further disrupted the operation.
- The car vending machine market is an evolving sector that has a negative impact due to the pandemic, but it is expected to recover post-pandemic with the rise in the sale of automobiles.
Top Impacting Factors
Rise in disposable income of people increases car sales, enhanced car buying experience, and surge in safety & security of the cars are projected to drive the growth of the market.
However, mechanical malfunctions in the vending machine, high initial setup cost, and machine maintenance costs hamper the growth of the market.
Moreover, the requirement of no workforce, storage capacity for a higher number of vehicles in a small space, and rise in aftermarket car sales can act as opportunities for the growth of the market.
Enhanced car buying experience
- Before buying a car, the customer has to physically visit various stores and has to go through many processes. So, a car vending machine solves all the problems and gives a one-stop solution for everything.
- For instance, the first concept car vending machine in the world was founded by Carvana in 2013 in Temple, Arizona U.S. The company provided the customers with an enhanced hassle-free buying experience. Customers can look into their online website choose the car, make the payment, and opt for delivery or store pickup. The company also provides the customer with a 7-day exchange or return policy for the cars.
- Similarly, in Singapore Autobahn Motors has built a car vending machine to sell luxury cars.
- Moreover, in 2018 in China Alibaba Group and Ford Motors have partnered together and build a car vending machine named Super Test-Drive Center to let the take customers test drive Ford vehicles. All these developments in the car industry to provide customers with an enhanced car buying experience is expected to drive the growth of the car vending machine marke
Key Benefits of the Report
- This study presents the analytical depiction of the car vending machine market along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with the challenges of the car vending machine market.
- The current market is quantitatively analyzed to highlight the car vending machine market growth scenario.
- The report provides a detailed car vending machine market analysis based on competitive intensity and how the competition will take shape in coming years.
Questions Answered in the Report
- Which are the leading market players active in the car vending machine market?
- What would be the detailed impact of COVID-19 on the market?
- What current trends would influence the market in the next few years?
- What are the driving factors, restraints, and opportunities in the car vending machine market?
- What are the projections for the future that would help in taking further strategic steps?
Car Vending Machine Market Report Highlights
By Distribution Channel
Key Market Players
Carvana, Nussbaum Technologies, Autobahn Motors, Ford & Alibaba Group