The Feasibility of a Stationery Vending Machine Business in Australia
1. Introduction
The stationery market in Australia is a large and competitive one. In order to identify a niche in this market, this research will focus on the feasibility of a stationery vending machine business in Australia. This research will consider the location of potential vending machines as well as the product mix that would be offered.
2. The stationery market in Australia
a. The size of the market
The Australian stationery market is worth an estimated $4.3 billion annually (Mintel, 2018). This figure includes both school and office supplies. The majority of this market is made up of school supplies, which account for $2.8 billion annually, with office supplies making up the remaining $1.5 billion (Mintel, 2018).
b. The competition
The stationery market in Australia is a highly competitive one, with a large number of players vying for a share of the pie. Major retailers such as Coles, Woolworths, Big W, and Officeworks all have a significant presence in the market and offer a wide range of products at competitive prices (Mintel, 2018). There are also a number of specialty retailers who focus on specific segments of the market, such as art supplies or gaming accessories.
c. The target market
The target market for a stationery vending machine business in Australia would be students attending universities and colleges. This is due to the high concentration of students in these areas as well as the fact that they are often time-poor and have difficulty accessing retail stores during normal shopping hours. Additionally, students are often reluctant to spend large sums of money on stationery all at once and would prefer to purchase items as they need them (Gorman, 2015).
3. The feasibility of a stationery vending machine business in Australia
a. Location
There are a number of potential locations for stationery vending machines in Australia. These include universities, colleges, bus stops, tuition blocks, hostels, and student centers. The most ideal locations would be those with high foot traffic and a concentration of students, such as universities and colleges.
b. Product mix
The product mix offered by a stationery vending machine business in Australia would need to be carefully considered in order to appeal to the target market. A range of items such as pens, pencils, paper, notebooks, and other small stationery items would be suitable. The products offered should be of good quality and reasonably priced in order to compete with retail stores.
4. Conclusion
The stationery market in Australia is a large and competitive one. In order to identify a niche in this market, this research has considered the feasibility of a stationery vending machine business in Australia. This research has found that there is potential for such a business to be successful, provided that it is located in a high foot traffic area and offers a good product mix at competitive prices.