Vending Machine Evolution: A Tale of Innovation in Japan and the Emerging Landscape in China

With the continuous development of the socio-economic landscape and the escalating costs of labor and storefronts, an innovative solution to this dilemma emerged—the advent of unmanned autonomous retail devices, namely vending machines.

Post-World War II, Japan underwent rapid economic recovery, swiftly rising to become the world's second-largest economy. However, Japan's limited landmass, dense population, and the resulting high cost of physical stores, coupled with relatively expensive labor costs for hiring store staff, led to a scarcity of space and heightened costs. In this context, vending machines emerged as a solution. They could be flexibly deployed in various locations without the need for manned operation, aligning well with Japan's unique circumstances. Especially in a culture that embraces home-centric living, young people in Japan prefer the convenience of shopping through vending machines. Additionally, favorable factors in Japan's monetary policy have further propelled the prevalence of vending machines. The yen coins come in various denominations, facilitating seamless circulation in vending machines. These factors collectively make Japan the country with the highest density of vending machines globally, visible in nearly every corner.

However, it is noteworthy that while Japan leads in vending machine density, it lags in terms of electronic payments. In contrast, China has largely phased out cash payments, widely adopting mobile QR code payments and even innovative facial recognition payments. With a colossal retail market boasting a global population of 1.4 billion, China's vending machine development holds immense potential. Therefore, while vending machines have matured in Japan, they are entering a more sophisticated development stage in China, a country with significant growth prospects in this field.