The billion dollar vending machine: how to rethink your distribution model.
This well-branded offline pop-up made its appearance in carefully curated locations where a new target group could be reached. In this case, the vending machine popped up during the summer at The Guest Store, a high-end, Belgian brand concept store in Knokke, a chic seaside resort. Since this successful test, they have installed several vending machines in different cities, Antwerp is one of them. It worked, catering to the desire for ‘instant indulgence’ of their young target group, who want to buy fancy earrings ‘right here, right now’!
Looking at your distribution channels differently and rethinking your distribution strategy is an exercise that certainly needs anyone’s attention. Having multiple ways to distribute your product/service is a definitely a smart way to protect yourself against any setback.
So many brands saw their sales plummet because retail channels, shops, restaurants and bars were forced to close during lockdowns. The Covid-19 pandemic appears to be accelerating de-globalization, with export figures dropping massively. Heavily depending on one or two channels or relying mainly on one or two countries abroad can cause a lot of stress and financial hassle. Most companies tend to copy their competitors as an easy way of getting more revenue, and this can certainly work in some cases. But it is also smart to look outside your own category and see how other sectors are selling their products. Adapting existing models by tweaking them slightly to work for your products can be an easy way to reach different target groups and generate more revenue. Billion Avenue not only uses a vending machine to attract more people at more impuls moments. Their price level, distinctive branding, 24/7 approach and packaging design is well designed and thought through. Their street presence combined with their strong social media presence makes this a thriving contemporary brand who knows how to build a brand with all assets.