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Eyeing growth in its vending machine business, Tata Consumer Products is looking to expand into the HoReCa (hotel/restaurant/catering) industry.

As a pilot, the company recently introduced ‘filter coffee’ through its vending machines in South India. Tata Consumer Products (TCP) vending machine business started in 2023 and has crossed 2,000 machines.

“We are looking to tap into the hotel, tourism, cafes, restaurants and hotels, the requirements are a bit different with it being a premium space. We recently piloted filter coffee and chai through different machines. The methods are different; in filter coffee we offer coffee decoction which provides real filter coffee, and in tea, one needs to add our tea leaves which will provide you with boiled chai. The response from consumers has been positive,” Nidhi Verma, Head, Vending Business, Tata Consumer Products, told businessline.

The company offers its vending machines to commercial establishments across the country. TCP majorly operates in the food and beverage business and offers tea, coffee, liquid beverages, salt, pulses, plant-based meat and cold-pressed oils.

Nestle India, Godrej & Boyce, Coffee Day, Atlantis offer vending machines in India. In India, the vending machine market size is projected to grow at a CAGR of 14.9 per cent during 2020 and 2026, according to 6Wresearch.

According to Precedence research, increase in commercial properties and offices is expected to drive the intelligent vending machines market.

“If I look at our strength over other players, from the age of our machines which are brand new versus some of the other players that offer old appreciated machines. We offer a whole integrated portfolio and have expertise in tea and coffee. This is one of the reasons we believe that we will get a sizeable market share in the segment over the next five years. Further, the revenue is almost doubling every quarter,” added Nidhi.

Further, the company also plans to introduce soups through its vending machine business. The company will introduce Ching’s instant soup in its business-to-business vending machine offerings.

“The company is looking to tie up with corporations for its coffee. We are also looking at vending machines. Tata Consumer Products launched 34 products in the last fiscal year,” N Chandrasekaran, Chairperson of Tata Group, had stated addressing the shareholders of the company at its 61st Annual General Meeting (AGM).

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