Albany, NY — (PRESS RELEASE JET) — 11/01/2017 — Three companies collectively rake in a sizeable portion of revenues in the Europe raw milk vending machines market, limiting the scope for new entrants to thrive, reports Transparency Market Research in a new study. The three leaders, DF Italia S.R.L, Brunimat GmbH, and ProMeteA S.R.L, held 86.6% of the market in 2015.
The positive impact on the rise of the raw milk vending machines market is being created by the plummeting milk prices and the soaring milk production. “The total milk production in Europe approximated 216 mn tons in 2013,” says a TMR analyst. The decline in the average price of milk and rising production levels have created an unprofitable situation for milk farmers. This will consequently lead them to explore alternative revenue methods. More farmers are thus investing in raw milk vending machines as they eliminate the need for middlemen by directly catering to the customers.
The raw milk vending machines market is also likely to be boosted by the increasing consumption of milk due to growing awareness about its health benefits. Furthermore, indirect consumption of milk through chocolates, cheese, butter, and ice-creams are also poised to add to the escalation of milk sale in the near future, thereby complementing the installations of raw milk vending machines.
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The milk vending machine market in Europe does face restrictions such as the possibility of bacterial growth in milk containers. Studies have evidenced that raw milk is easily susceptible to the growth of Salmonella spp., M. Bovis, B. melitensis, and TBEV amongst others. Owing to these reasons, the high chance of food poisoning due to consumption of raw milk from vending machines is adversely impacting sales.
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The possibility of selling other dairy products such as buttermilk, yogurt, cheese, and chocolate through these vending machines does, however, open up new avenues for growth. Thus, vending machine manufacturers are looking at adding additional compartments to sell other milk-related items, which have a fairly longer shelf life. Furthermore, vegetables can also be sold through these kiosks as they are refrigerated. The growing demand for convenient shopping options across Europe will create several opportunities for this market.
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Transparency Market Research report states the opportunity in the Europe raw milk vending machine market will be worth US$17.97 mn in 2024 as compared to US$6.45 mn in 2015. Through the forecast period of 2016 and 2024, this market will expand at a CAGR of 12.5%. The fastest growing regional segment of the raw milk vending machine market is EU7, which accounted for US$2.89 mn in 2015. However, Rest of Europe is anticipated to rise at the highest CAGR between 2016 and 2024.
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