By HARIZAH KAMEL / Graphic By ANIS SHAMSUL
ETIKA Sdn Bhd has expanded its business portfolio into the vending machine space by buying Singapore- based Advend Systems Pte Ltd for an undisclosed sum.
Advend Systems is a leading operator, refurbisher of vending machines and systems solution provider for the vending industry in Malaysia and Singapore, operating under the name Atlas Vending.
Etika CEO for Malaysia, Singapore and Brunei Khalid Alvi said the beverage company has always laid special emphasis on meeting consumer requirements as seamlessly as possible.
“Following the acquisition of Atlas Vending, we are now able to present in a larger number of vending machines, making Etika the No 1 beverage company with vending machine presence in the country,” he said in a statement yesterday.
Etika is the official bottler for PepsiCo in Malaysia. It markets and distributes PepsiCo brands such as Pepsi, Tropicana, Mountain Dew, Revive Isotonic, Mirinda, 7UP, Lipton Ice Tea, MUG, Gatorade, Sting and Evervess, as well as Kickapoo (a Monarch trademark).
Its own ranges of products include WONDA Coffee, Goodday Milk, Calpis, Dairy Champ, Chill Asian Drinks and Bleu.
Etika now has more than 10,000 vending machines across Malaysia, which will be able to vend hot beverages as well as confectionery products following the completion of the acquisition.
The beverage company stated the acquisition allows it to invest and develop an improved vending experience for consumers ranging from an efficient payment gateway to offering rewards to loyal consumers.
“Innovation lies at the core of Etika’s business principles. We are constantly on the lookout for new ways to innovate our offerings for our consumers. Etika’s acquisition of Atlas Vending provides a major growth opportunity for us as we provide increased convenience to our consumers who can now access their favourite beverages, in many more locations” added Khalid.
The acquisition will enable Etika to offer multiple payment options at its vending machines such as e-wallets, cash, credit cards and contactless payment.
While not all machines will carry all payment modes, Etika will continue to strategise its vending machine make-up to suit the local market to guarantee consumers convenient and on-the-go access to their favourite beverages.
With over 39 years of operations in Malaysia and Singapore, Atlas Vending provides services in hot and cold beverages like coffee, canned and bottled drinks as well as snacks such as cup noodles.
Its vending machines come in various formats and some are equipped with proprietary telemetry technology such as stocking machines, inventory management, operating status and stock levels that reduce machine down-time and stock-out situations.
Atlas Vending’s machines can also retrieve cashless sales data from its servers for analysis and understanding of transaction trends, products purchased and time of purchase. This technology is currently being progressively rolled out across more machines.
The analytics will assist Etika to map its entire consumer journey while obtaining key insights such as in-demand products and popular locations to better serve their consumers.
The acquisition of Advend Systems will be completed by the first quarter of 2020.