Automatic Merchandiser - 26

CHART 12: Most popular environmental product offerings

Recycled products
(cups, filters, pods, utensils)

Water filtration
devices to reduce
bottled water

LOCATIONS AND SERVICES

Coffee with
sustainability features

Other, such as
paper products

I don't offer products
to address
environmental concerns

CHART 13: Company currently offers
online ordering on its website

Office locations still make up
● Yes ● No ● Don't have a website
the majority of OCS accounts -
47.7% - but they're at the lowest
0%
0%
percentage in four years (chart 9).
15%
Industrial plants, restaurants/delis/
bakeries, convenience stores and
schools saw increases, while gov50%
50%
55%
56%
44%
ernment/military facilities, retail
30%
outlets and other (churches, auto
dealerships) also decreased. While
these changes appear subtle, it's
important to note that roughly 12%
2017/2018
2019/2020
2018/2019
of business diversified from offices
to multiple categories, which will
have an effect on the overall OCS
increasing number of operators curcontinued challenge, competition
product mix.
rently offer online ordering through
from external players encroaching
A larger number of operators
their websites - 55%, up from 44%
into convenience services appears to
(50%) said that they didn't offer new
last year - a greater number of
be increasing.
services in 2019 (chart 10), a nearly
respondents (15%) said they don't
In 2020, the COVID-19 pan11% increase over the previous year
have a website (chart 13). However,
demic caused many business owners
(chart not shown). Of the new serthe majority of respondents (55%)
to pivot, and with restaurants, grovices that were offered, only micro
reported that they use industrycery stores and convenience stores
markets saw a slight increase, while
specific software to manage their OCS
adding contactless payments, pickwater service, janitorial supplies,
business (chart not shown).
up and delivery options, consumers
pantry service and vending (if the
Operators reported that they were
have more options than ever before.
operator didn't previously offer it)
challenged with product costs/price
For OCS operators, offering quality
all dropped.
sensitivity, area businesses opening or products in a convenient way that
LOOKING TOWARD 2021

When it comes to technology,
responses were mixed. While an

26

Automatic Merchandiser * September 2020

closing, keeping up with technology,
regulatory compliance and industry
consolidation. And while competition from within the industry is a

5%

18.2%
16.7%
16%
N/A
N/A
N/A

0

2.3%
8.8%
11.8%
2.3%
0%
4%
5%

10

13.6%
11.1%
8%
20%

5.9%

20

26.7%
14.7%
13.6%
35.4%

44.4%
24%
25%

47%
47.2%

48%
45%

25%

30

● 2015/2016 ● 2016/2017 ● 2017/2018 ● 2018/2019 ● 2019/2020

30.2%
29.5%

40

2014/2015

27.3%
27.3%
27.8%

50

40.7%

● 2013/2014 ●

meets the needs of their clients will
remain essential for continued success and recovery from the COVID19 crisis. ■
Automatic Merchandiser

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