Automated or ‘smart’ retail is no longer an “extra” in leisure and hospitality spaces – it’s becoming an essential part of future-proofing operations. With technology now delivering hot meals, freshly-brewed coffee, premium snacks, and even premium retail items at the touch of a screen, it’s now time for operators to rethink how vending can complement and even elevate their existing services.
Many business owners and operators avoided vending in the past because it delivered lower margins; this is no longer the case. With the advancements in technology, particularly the innovative stocking functionality, the additional benefits cannot be ignored.
At Regency, we’re in the process of building a brand new vending supplier network to support the integration of automated retail within our members’ businesses. Here’s why we’re confident that this new form of buying will become an important, profit-driving force within leisure and hospitality businesses across the UK…
Reduced labour costs
Staffing remains one of the biggest challenges in our industry, and automated retail provides a cost-effective solution by reducing dependency on labour-intensive roles, particularly during unsociable hours or seasonal peaks. Instead of adding to payroll pressures, it offers a fixed-cost solution that can operate seamlessly alongside existing outlets, helping maintain service levels while protecting margins.
Product quality and variety
The range of products available today has also transformed perceptions. The days of vending equating to just “crisps and cans” are long gone. Modern machines can deliver everything from barista-quality coffee to hot meals, chilled drinks, and healthier options, ensuring that customers enjoy variety without operators needing to commit additional staff or space.
Choice, speed and convenience
Far from competing with traditional outlets, automated solutions often sit comfortably alongside them. Costa Express machines, for example, are frequently found near Costa stores with trained baristas. Rather than cannibalising trade, the model captures customers who want speed and convenience without compromising on quality – offering operators a “both/and” solution rather than “either/or.” During peak trading, an additional unmanned offer can also act as a queue-buster, speeding up service and driving incremental revenue.
Fast, friction-less buying
Consumer expectations have shifted dramatically in recent years. Guests want high-quality products, but they also expect them quickly and without friction. Automated retail delivers consistent quality at pace, making it ideal for busy leisure environments where speed and convenience are highly valued. Unlike staffed counters, machines don’t take holidays or shift breaks, meaning they deliver the same experience year-round. For operators, this not only protects spend per head (SPH) but also reduces downtime in and ensures customer choice isn’t restricted when staffing levels are limited.
The freedom of choice
Younger audiences in particular are driving demand for automated solutions. Gen-Z are highly comfortable with touch-screen interactions and often prefer the freedom of making choices without the pressure of face-to-face service, queues, or perceived judgement. The result is often a higher spend per head, with customers adding more items when given extra time and on-screen prompts – a benefit proven across multiple sectors.
Consistency and control
Consistency is another strength. Automated retail ensures the same portion, the same product, and the same quality every time. In addition, operators gain access to powerful stock control and data insights that enable smarter buying and reduced waste. These systems learn from customer behaviours, helping refine menus, optimise product mix, and ultimately maximise revenue.
Seasonal Continuity
As owners and operators of a portfolio of hospitality and leisure attraction businesses, we’re all too familiar with the seasonal trade fluctuations driven by weather, holidays and school breaks.
For businesses like ours, the only way to protect margins during low season is to close or reduce opening hours for secondary outlets during low footfall periods and to operate with reduced staffing levels. This operational reduction reduces the quality of the guest experience during shoulder months–we want our guests to enjoy the same experience, year-round!
By introducing automated retail at our leisure sites, we can now offer guests a complete and consistent experience, with full choice of products and services while balancing labour costs with the lower levels of footfall.
AI-powered experiences
Technology has advanced far beyond traditional vending. From AI-driven touch screens to sophisticated stock monitoring, today’s machines are designed to deliver a premium customer experience.
Alex Demetriou, Founder of Regency Purchasing Group and CEO of Foodbuy UK&I, comments:
“The level of sophistication and innovation in automated retail means operators can deliver an experience that matches or exceeds traditional service – without compromise.
“For leisure and hospitality operators, the opportunity is clear. Automated retail doesn’t just address today’s challenges; it positions your business one step ahead of the competition. Early adoption ensures operators aren’t playing catch-up when consumer behaviours inevitably shift further toward automation.
“Having identified that automated retail is a strategic move for the future, the Regency team is working very hard to build a network of industry-leading, forward-thinking vending suppliers and partners.
“We’re now in discussions with the very best and most innovative automated retail businesses who are carving out the future for frictionless buying.”
Speak to your Regency Procurement Expert for more information and look out for more information on this exciting new revenue-generating opportunity very soon…
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