Automatic Age

th e a u t o m a t ic a g e
Vol. 5
0
CHICAGO, JU L Y , 1929
No. 12
U N IT E D STA T E S F O R E IG N T R A D E IN
C O IN -O P E R A T E D M A C H IN E S
By E. A. K IE F E R , Specialties Division, Department of Commerce
The first vending machines were
introduced into the United States in
1888, from England, to be used by
an American gum manufacturer in
distribution of his products.
Domestic manufacturers of these ma­
chines began shortly afterwards but
*t has been only in comparatively re­
cent years that the industry has pro­
gressed from small machines vending
gum and chocolate to automatic
merchandising machines selling all
types of commodities and services.
Automatic retailing is becoming more
Profitable and popular as a result of
recent mechanical improvements and
new labor-saving features, and now
automatic stores are being installed
and proving successful in the larger
cities and expansion into the field of
grocery retailing is contemplated. As
a distributive instrument, the coin­
operated machine has arrived, and
bids fair to become of still greater
importance in catering to the every­
day needs of the people.
There has been manifested in re­
cent years a growing interest on the
part of the buying public of the
world in mechanical salesmen of
goods, ^services, and entertainment,
and, in turn, American automatic
machine manufacturers are devoting
more of their attention to export
markets and are finding here and
there profitable outlet overseas for
their products.
The introduction of automatic
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coin-operated machines in foreign
countries, outside of Europe, where
they are familiar objects, is some­
what of an adventure. Markets ap­
parently barren of prospects have ab­
sorbed a considerable number of ma­
chines, as in the case of Siam and
Venezuela.
Other markets, where
conditions appeared more favorable,
have proved less responsive to initial
efforts.
Saleability of vending machines de­
pends largely on their utility, novelty
or adaptability. Utility is of prime
importance in the sale of coin-oper­
ated machines in the home market,
where saving of time and wages is
a governing factor. Novelty would
be the predominating factor in the
Far East and in sections of Latin
America, where cheap labor abounc’ s.
Adaptability
is
essential
in
all
foreign markets, since coin-operated
machines sold abroad must be design­
ed to operate with foreign coins and
to
withstand
climatic
conditions
which rust or clog the machinery and
spoil the merchandise. Unusual dif­
ficulty is presented in such countries
in China, where coins in a great vari­
ety of sizes are in circulation. The
machines -must offer a commodity or
service for which there is a demand.
It should be remembered that in
many sections, there is little interest
or demand for foreign confectionery.
Machines having a luck or chance
feature are prohibited in many coun-
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