Vending machines are the new retail frontier

Lovers of Moët & Chandon champagne will soon be able to have their own AbFab​ moment, with plans advanced to have a vending machine full of bubbles in Australia.

While it's early days as to the locations, but possibly starting at race tracks such as Randwick in Sydney and Flemington in Melbourne, it was trialled at the British retail institution, Selfridges​, to much success.

In 2013 the UK department store gave shoppers their very on Patsy and Edina moment … Champagne at the press of a button.

It offered the upmarket shoppers a chilled 200 ml bottle of Moët & Chandon at £18 a pop. The vending machine holds 350 bottles, each of which is coated in mini Swarovski crystals – without any of the more usual fizzy drinks in sight.

Moet vending machine at Selfridges department store in London

A spokesperson for Moet Hennessy confirmed that the same concept is on the group's radar in Australia for the end of the year or next year as a "fresh and fun initiative" in line with a licensed premise.

The once humble vending machine that was tucked away under the stairs dispensing cigarettes, has now emerged as a new and profitable sector of the property market.

Having expanded to selling soft drinks and snacks, the world has opened up and consumers can grab anything from make-up, perfume, underwear and footwear to make-up and in Britain, bubbly.

Japan has been at the forefront of the business offering everything from cooked food to booking a bed for the night and most things in between. In Hong Kong, commuters running from the train to the office can grab a pair of tights, "shapewear" and perfume for the office Christmas party.

It's a billion-dollar-a-year business, with the costs being the lease of the machine and the contents.

Growth is only limited by imagination and innovation. If a retailer or supplier is willing to supply the items, the expansion is unlimited.

The use of machines is also expected to put pressure on some stores, such as cosmetics and electronics, as people can pass a machine, spend a few minutes and make a purchase, thereby bypassing a queue in a store.

It's similar to online shopping, "if you can't beat it, well join it".

In Australia, the industry remains closed as retailers are not too keen to cannibalise their shops.

Aside from fast-moving consumer goods, thongs, ballet flats, mobile phone accessories, DVDs and in some areas, salads, are the most prevalent offerings.

The machines are mainly in shopping centres and transport hubs and some hotels.

But it is changing as mall landlords are embracing the ideal of casual mall leasing. That is, to generate rent from the empty parts of a mall.

Matt Hudson, associate director retail leasing at Colliers International said kiosk retailing, such as vending machines, are highly beneficial for mall landlords as they occupy minimal space, yet generate high returns.

"They can transform an area in a shopping centre, that is otherwise empty and making no money," Mr Hudson said.

"The advancements in the offerings is also making vending machines popular for landlords who can sell more items that the traditional fast-moving consumer goods."

Mr Hudson said he expected the rise of machines will continue across transport hubs, airports and hospitals, among other places, to capture consumers' foot traffic.

Australia's retail property group, Scentre​ Group, has embraced the innovation by taking an equity stake in what has been dubbed a "disruptive" start up, mPort​.

mPort pods allow shoppers to get their body measured within a matter of minutes and use this information to find clothes that fit, and track their body and health over time.

The transaction will involve Scentre Group promoting mPort to its retailers in return for taking equity in the business.

Visitors to 13 Westfield shopping centres in Sydney, Melbourne, Brisbane, Canberra and Adelaide have been able to use the fully-automated 3D body mapping pods installed and operated by mPort.

Food retailer FüD, is a new convenient fresh food-vending machine, which made its debut this year at Westfield Doncaster, Melbourne.

FüD is a dispensary food retailer, made of recyclable materials and provides delicious healthy salads and snacks Not only does it give consumers a healthy meal in seconds, but it also limits food waste by ensuring the high-quality food is eaten, rather than going to landfill, through a charitable initiative.

James Beerworth​, the senior manager of retail services at CBRE said while Australia has been a slow adaptor to vending machines – for items things other than food and drinks – it's now "game on".

"The undervalued space at shopping centres is perfect and is in demand from companies and landlords to be utilised," Mr Beerworth said.

"As more people get used to using technology, they will expect to be able to buy more items through a machine and that is seeing retailers adapt and look at how to blend their products between a machine and over the counter."

Mr Beerworth said landlords are now looking at finding the right technology partner to create specialised machines and locations.

In the case of Moet, a strategically placed machine at the races, will more than double the sales.