Automatic Merchandiser

NOV-DEC 2014

Automatic Merchandiser serves the business management, marketing, technology and product information needs of its readers including vending operators, coffee service operators, product brokers, and product and equipment distributors in print.

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CONSULTANT REPRESENTATIVE, ITSL MEDIA REPRESENTATIVE 1233 Janesville Ave., P.O. Box 803, Fort Atkinson, WI 53538-0803 BUSINESS STAFF PUBLISHER Monique Terrazas Telephone: (920) 568-8386 E-mail: Monique.Terrazas@ VendingMarketWatch.com INTEGRATED MEDIA Michelle Scherer Telephone: (920) 568-8314 E-mail: Michelle.Scherer@ VendingMarketWatch.com LIST RENTAL Elizabeth Jackson Account Executive Merit Direct LLC Telephone: (847) 492-1350, ext. 18 E-mail: ejackson@meritdirect.com EUROPEAN SALES Julian Maddocks-Born Sales Director julian@itsluk.com, +44 (0)1442 230033 Benedict Hume Sales Manager benedict@itsluk.com +44 (0)1442 288287 EDITORIAL STAFF EDITOR Emily Refermat Telephone: (920) 563-1615 E-mail: Emily.Refermat @VendingMarketWatch.com ASSISTANT EDITOR Adrienne Zimmer Telephone: (920) 563-1651 E-mail: Adriennne.Zimmer @VendingMarketWatch.com SUPPORT STAFF ART DIRECTOR Erin Brown PRODUCTION DIRECTOR Steve Swick PRODUCTION SERVICES Barb Evenson Telephone: (920) 563-1629 Fax: (920) 568-2392 E-mail: Barb.Evenson@cygnus.com AUDIENCE DEVELOPMENT MANAGER Debbie Dumke PUBLISHED AND COPYRIGHTED 2014 BY CHIEF EXECUTIVE OFFICER John French CHIEF FINANCIAL OFFICER Paul Bonaiuto EXECUTIVE VICE PRESIDENT Gloria Cosby VICE PRESIDENT, AUDIENCE DEVELOPMENT Julie Nachtigal VICE PRESIDENT, TECHNOLOGY Eric Kammerzelt VICE PRESIDENT PRODUCTION OPERATIONS Curt Pordes VICE PRESIDENT, HUMAN RESOURCES Ed Wood VICE PRESIDENT, MARKETING Gerry Whitty DIRECTOR OF DIGITAL BUSINESS DEVELOPMENT Lester Craft All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopy, recording or any information storage or retrieval system, without written permission from the publisher. Reprint Sales: For reprints and licensing please contact Nick Iademarco at Wright's Media 877-652-5295 ext. 102 or niademarco@ wrightsmedia.com. Subscription Policy: Individual subscriptions are available without charge in the U.S. to vending operators, coffee service operators, product brokers, and product and equipment distributors. Subscribe online at www.VendingMarketWatch.com. Publisher reserves the right to reject nonqualified subscribers. Individual subscriptions are available at the following rates: For one year, U.S. $35 ($70 for two-year subscription), Canada & Mexico $60 ($105 for two-year subscription); all other countries, payable in U.S. funds, drawn on U.S. Bank, $85 per year ($160 for two-year subscription). Single issues available (prepaid only) $10.00 each. Canadian GST# 842773848. For Change of Address or subscription information, click on subscribe at www.VendingMarketWatch.com, call toll-free 877-382-9187 or 847-559-7598 or email: circ. VendingMarketWatch@omeda.com AUTOMATIC MERCHANDISER (USPS 017-280) (ISSN 1061- 1797, print; ISSN 1948-5697, online) is published nine times per year: February, March, April, May, June, August, September, October and December by Cygnus Business Media. Periodicals postage paid at Fort Atkinson, WI and additional entry offices. POSTMASTER: Please send all change of address to AUTOMATIC MERCHANDISER, PO Box 3257, Northbrook, IL 60065-3257. Canada Post PM40612608. Return Undeliverable Canadian Addresses to: Automatic Merchandiser, PO Box 25542, London, ON N6C 6B2. Volume 56, Number 9 Printed in the U.S.A. Where we stand The top issues in vending haven't changed much in 10 years, but how we work together and use technology to achieve success has. CHANGE happens in the face of challenges Facebook/VendingMarket @VendingMagazine http://linkd.in/VendingMarketWatch t's interesting how much, or how little, a decade has changed things. I looked back at the December 2004 issue of Automatic Merchandiser to see what the hot topics were 10 years ago. The editor at the time wrote about "blue sky" biz ops darkening the reputation of the vending industry, reasons to support local health initiatives and a whitepaper on launching cashless vending. Cashless is still a growing segment, perhaps even more so as the smartphone started to gain a global presence in 2006. Mobile payment options are the newest piece of the non-cash payment evolution. In April of this year, there were no less than six companies exhibiting retroft mobile payment options at the NAMA OneShow. To help compare these offer- ings we have a chart on page 24 as well as a discussion about how mobile payments might evolve. Health and wellness While health initia- tives were a top issue in 2004, I would say that year was just part of the upswing into today's obsession with labeling food. In 2005, NAMA created Balanced For Life, a program to help vending operators support nutrition education proactively. The FitPick® healthy vending program grew out of BFL and in 2014, FitPick was revamped to include FitPick Select — prod- ucts that meet the USDA's Smart Snacks in School restrictions. Just this month, the Food and Drug Administration fnalized the rule stipulating how and where opera- tors must provide calorie information. More locations are signing agreements for vending with targeted healthy graph- ics and brands. It's a best-selling category in the micro market model. The evidence is mounting — health and wellness are going to be headlines for awhile yet. The least discussed issue is the blue sky scams, which seem to have receded to the level of other industries. We still see these reports and the criminals behind them being prosecuted, but they are trumped by technology and wellness. Technology is the answer Change happens in the face of challenges. We all know the challenges, so how can we change? Make the biggest difference by investing in technology and learning how to use new systems to operate more eff- ciently. This will produce better margins. It's also time to come together to pro- mote ourselves from the food retailer of last resort to the forefront. That is what many professionals in our industry try to do everyday, which is why this month is dedicated to them — our frst Pros to Know issue. Our overall winners, Jeff Whitacre and the Cantaloupe Systems Team, show that there is still positive change happening in the industry. They aren't ready to give up on vending despite it being a different business than it was in the 90s. Read about the leaders in our industry starting on page 14 and end this year on an optimistic note. I 6 Automatic Merchandiser VendingMarketWatch.com December 2014 E D I T O R ' S N O T E B Y E M I L Y R E F E R M A T

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