Vending Machine Business in Saudi Arabia 2026: Complete Guide from Purchase to Profits with Suppliers and Licensing

Introduction: What are Vending Machines?

Vending Machines are electronic machines that operate automatically to sell products to customers without the need for a salesperson. Simply put, the customer inserts money or pays by card or mobile, then selects the desired product and the machine delivers it immediately. These machines are everywhere around us whether in hospitals, malls, universities, offices, airports, or even on streets.

Vending machines started spreading in Saudi Arabia around 2009 and have seen notable growth in recent years. There are currently more than 39 suppliers and operators of vending machines in the Kingdom, most of them in Riyadh, Jeddah, and the Eastern Province. The project is considered one of the best semi-passive income projects as it doesn't need permanent employees and can be managed with limited effort.

Types of Vending Machines

Vending machines vary according to the products they offer and each type has its own features, costs, and different profits.

Cold Beverage Machines

This is the most common type and includes soft drinks, juices, mineral water, and energy drinks. They contain a cooling system to keep products cold. Suitable for hot and crowded places. Capacity ranges from 200 to 500 bottles. Their electricity consumption is higher due to continuous cooling.

Snacks and Light Meal Machines

They sell chips, chocolate, biscuits, nuts, and sweets. They use a rotating spiral system to drop products. They don't need cooling in most cases which reduces electricity consumption. Can display 30 to 60 different types of products. Suitable for schools, universities, and offices.

Coffee and Hot Beverage Machines

They offer various types of coffee such as espresso, cappuccino, latte, and mocha in addition to tea and hot chocolate. Some grind fresh coffee beans before preparation. They need more maintenance due to component complexity. Demand is high in offices, universities, and hospitals. Can provide 8 to 16 different types of beverages.

Combo Machines

They combine cold drinks and snacks in one machine. Ideal for limited spaces. Provide greater variety for customers. Their price is higher but they save the cost of buying two separate machines.

Specialized Machines

These include ice cream machines, fresh juice machines, salad and healthy meal machines, pharmaceutical product machines, and electronics and accessories machines. These types need careful market study before investing.

Vending Machine Prices in Saudi Arabia

Machine prices vary significantly according to type, size, brand, specifications, and machine condition whether new or used.

New Machines

Soft drink machines start from 10,000 SAR and reach up to 25,000 SAR. Snack and light meal machines range between 15,000 and 35,000 SAR. Coffee and hot beverage machines range between 20,000 and 45,000 SAR. Chocolate machines start from 25,000 SAR. Combo machines range between 30,000 and 50,000 SAR.

Used and Refurbished Machines

Used machines in good condition can be obtained at prices ranging from 5,000 to 15,000 SAR. This option is suitable for beginners to reduce initial capital. The machine should be thoroughly inspected and all parts verified before purchase. Some companies offer refurbished machines with limited warranty.

Additional Costs

Shipping and delivery costs range from 500 to 2,000 SAR depending on distance. Installation and setup costs from 300 to 1,000 SAR. Electronic payment systems from 1,500 to 4,000 SAR additional.

Suppliers and Vending Machine Sales Companies in Saudi Arabia

There are many companies specialized in selling, supplying, and maintaining vending machines in the Kingdom.

Theqah Company for Machines and Equipment

One of the leading companies in importing and operating vending machines in Saudi Arabia. Headquartered in Riyadh and offers two-year warranty on all machines. Provides cloud management system to track sales and inventory remotely. Supports all electronic payment systems like Mada and Apple Pay. Offers training and free delivery services.

VMCO Gulf Company

A leading company in the food sector specializing in vending machines. Covers Saudi Arabia and Gulf countries. Sells coffee, snack, and ice cream machines. Has extensive experience in food product supply.

Danyah Company

Offers integrated solutions for vending machines. All machines are made in Europe and America. Provides comprehensive after-sales services. Offers machine customization options according to customer needs. Advanced inventory tracking system.

Baselat Company

Specializes in various types of vending machines. Offers solutions for companies and individuals.

Movida Company

Offers modern machines with advanced technologies.

Other Sources

Haraj website for used machines. Direct import from China through Alibaba. Agents of international brands like Necta, Saeco, and Crane.

Electricity Consumption and Operating Costs

Understanding operating costs is essential for calculating the real profits of the project.

Electricity Consumption

A refrigerated machine consumes 7 to 15 kilowatt-hours daily. A non-refrigerated machine consumes 2 to 5 kilowatt-hours daily. A coffee machine consumes 8 to 13 kilowatt-hours daily. Monthly electricity cost ranges from 50 to 150 SAR per machine depending on commercial electricity tariff.

Factors Affecting Electricity Consumption

Location temperature as hot places increase cooling consumption. Machine exposure to direct sunlight. Number of door openings and frequency of purchases. Cooling system efficiency and machine age. Regular maintenance maintains consumption efficiency.

Tips for Saving Electricity

Choose machines with ENERGY STAR rating which save 40 to 50 percent of energy. Use LED lighting instead of fluorescent. Install occupancy sensors to turn off lights when no customers are present. Place the machine in a shaded place away from direct sunlight. Clean cooling filters regularly.

Location Rental

Location rental cost is one of the most important factors affecting project profitability.

Types of Agreements

Fixed monthly rent where you pay a specific amount monthly regardless of sales. Percentage of sales usually ranging from 10 to 25 percent of total sales. Free in exchange for providing service where some entities provide the location free in exchange for serving their employees.

Rental Costs by Location

Normal places like residential buildings from 500 to 1,500 SAR monthly. Medium locations like offices and clinics from 1,500 to 3,000 SAR monthly. High-traffic locations like malls and airports from 3,000 to 5,000 SAR monthly or more.

Tips for Negotiating Rent

Start by offering a percentage of sales instead of fixed rent. Offer a free trial period for the location. Offer to maintain and clean the machine regularly. Explain the benefit the location owner will receive.

Machine Restocking and Operation Method

Proper restocking and regular operation ensure continuity of profits and customer satisfaction.

Initial Restocking

Calculate the number of slots available in the machine. Choose the best-selling products in the target market. Arrange products by price from cheapest to most expensive. Place the most demanded products at eye level. Check expiration dates before restocking.

Restocking Schedule

High-traffic locations need restocking every 2 to 3 days. Medium locations need weekly restocking. Low-traffic locations need restocking every two weeks. Use remote monitoring system to know when restocking is needed.

Product Purchase Sources

Wholesale stores like Panda and Bin Dawood wholesale. Beverage suppliers like Pepsi and Coca-Cola agents. Wholesale markets in major cities. Direct contracting with manufacturers for better prices.

Monthly Restocking Cost

The cost of restocking one machine ranges from 1,000 to 3,000 SAR monthly depending on machine size and product turnover speed.

Payment Systems

Payment systems in vending machines have evolved to keep pace with digital transformation.

Traditional Cash

Coins are still used in many machines. Bill readers accept 1, 5, 10, and 20 SAR denominations. Change return device for customers. This system requires periodic cash collection.

Electronic Payment

Mada, Visa, and Mastercard cards. NFC contactless payment by tapping. Apple Pay, Google Pay, and Samsung Pay. QR code scanning for app payments.

Electronic Payment Advantages

Increases average purchase value by 15 to 20 percent. Reduces theft and vandalism risks. Provides accurate sales data. Makes it easier for customers who don't carry cash. Transaction fees are about 2.5 percent per transaction.

Common Payment Systems

Nayax supports more than 80 payment methods. MEI and CoinCo for coin systems. Ingenico and Verifone for card readers.

Expected Profits

Vending machine profits largely depend on location, product type, and management efficiency.

Revenue Per Machine

A weak location achieves 500 to 1,500 SAR monthly. A medium location achieves 1,500 to 3,000 SAR monthly. An excellent location achieves 3,000 to 6,000 SAR monthly or more. The general average is about 2,000 SAR monthly per machine.

Profit Margin on Products

Soft drinks have a profit margin of 50 to 80 percent. Snacks and chocolate have a profit margin of 80 to 100 percent. Coffee and hot beverages have a profit margin of 100 to 200 percent. Products are sold in machines at approximately double their supermarket price.

Calculating Monthly Net Profit

Assuming a machine generates 2,500 SAR monthly revenue. Product cost 1,200 SAR at 48 percent. Location rent 500 SAR. Electricity 100 SAR. Maintenance and miscellaneous 100 SAR. Net profit 600 SAR monthly. Net profit percentage 24 percent of revenue.

Capital Recovery Period

If you buy a machine for 20,000 SAR and it achieves a net profit of 600 SAR monthly. Recovery period is approximately 33 months or about 3 years. Excellent locations may recover capital within 12 to 18 months.

Licensing Requirements in Saudi Arabia

The Ministry of Municipal and Rural Affairs has issued a regulation of requirements for self-service machines that must be complied with.

Basic Requirements

Valid commercial registration in vending machine activity. License from the relevant municipality. Written approval from the body supervising the activity. Health certificates for all workers in restocking and maintenance.

Machine Requirements

Providing an electronic payment system for machines that require payment. Equipping the machine with surveillance cameras that store recordings for one month. Preparing the machine to record all goods trading operations. Availability of report printing feature when requested by regulatory authorities.

Food Product Requirements

Clarifying calories and nutritional specifications on products. Writing that adults need an average of 2000 calories daily. All products must be suitable for consumption and comply with Saudi standard specifications. Energy drinks and tobacco products are prohibited. Products must have identification labels and unexpired expiration dates.

Advertisements and Design

Placing advertisement screens or promotional stickers on the machine is allowed. Necessary licenses must be obtained for advertisements.

Ideal Project Locations

Location selection is the most important factor in the success of a vending machine project.

Hospitals and Clinics

Continuous movement around the clock. Visitors and patients need drinks and light snacks. Long waiting periods increase purchase probability. High and stable revenues.

Universities, Colleges, and Institutes

Thousands of students daily. Students prefer quick solutions between lectures. Seasonal income affected by academic holidays. Suitable for coffee and snack machines.

Malls and Shopping Centers

High traffic especially on weekends. Location rents are high. Competition from restaurants and cafes.

Office Buildings and Companies

Employees need coffee and quick meals. Stable traffic on working days. Reasonable or free rents. Particularly suitable for coffee machines.

Government Departments

Reviewers wait for hours. High traffic during working hours. Special permits needed for installation.

Hotels and Furnished Apartments

Guests need quick purchases without going out. Operates 24 hours. Suitable for drinks and snacks.

Arcades and Sports Clubs

Visitors spend long hours. Demand for cold drinks and energy drinks.

Airports and Transportation Stations

Highest revenues but also highest rents. Travelers willing to pay higher prices.

Advantages of Vending Machine Project

Semi-Passive Income

The machine works 24 hours 7 days a week. No permanent employees needed. Can be managed as an additional income source alongside your main job.

Low Operating Costs

No employee salaries. No full shop rent. Reasonable electricity and maintenance costs.

Easy Expansion

Start with one machine and invest profits in buying more. Each new machine adds an independent income source. Some operators own dozens of machines.

Good Profit Margins

Products are sold at prices higher than supermarkets. Profit margin ranges from 50 to 200 percent depending on product.

Daily Cash Flow

Income is cash and immediate. No waiting to collect invoices or accounts receivable.

Remote Management

Modern systems allow monitoring sales and inventory from mobile. Receive alerts when restocking or maintenance is needed.

Product Flexibility

Products can be changed according to season and demand. Test new products and exclude what doesn't sell.

Disadvantages and Project Challenges

Initial Capital Required

Buying a machine requires an investment of 10,000 to 50,000 SAR. Initial setup costs may be a barrier for some.

High Dependence on Location

A bad location means certain losses. You may need to try several locations before finding the right one.

Theft and Vandalism

Machines in unmonitored places are vulnerable to vandalism. Theft of cash or products is possible. The solution is in surveillance cameras and insurance.

Maintenance and Breakdowns

Breakdowns mean income stoppage. Spare parts costs can be high. Need for specialized maintenance technician.

Competition from Stores and Cafes

In some locations there is competition from cafes and grocery stores. Customers may prefer fresh products over machines.

Time and Effort in Restocking

Regular restocking requires time and effort. The more machines you have, the more effort required. You may need to hire someone for restocking with expansion.

Product Spoilage

Products may expire before being sold. Need to constantly monitor expiration dates.

Steps to Start a Vending Machine Business

Step One: Market Study

Identify potential locations in your area. Study competitors and prevailing prices. Determine the type of products needed at each location.

Step Two: Budget Preparation

Determine available capital. Calculate machine and initial product costs. Allocate an amount for emergencies and maintenance.

Step Three: Extract Licenses

Commercial registration from the Ministry of Commerce. Municipal license from the relevant municipality. Health certificates for workers.

Step Four: Select and Purchase Machine

Compare suppliers and prices. Choose a machine that fits the products and target location. Ensure warranty and after-sales service availability.

Step Five: Secure Location

Negotiate with location owners. Sign a clear rental contract. Ensure electricity and security availability.

Step Six: Installation and Operation

Install the machine at the location. Reprogram prices and products. Test all functions before actual operation.

Step Seven: Restocking and Follow-up

Restock the machine with products. Set a schedule for periodic visits. Monitor sales and adjust products according to demand.

Tips for Success

Location, Location, Location

Invest enough time in searching for the ideal location. An excellent location compensates for any other shortcoming.

Start Small and Expand Gradually

Start with one or two machines to learn. Invest profits in buying additional machines.

Monitor Data and Make Data-Driven Decisions

Track best-selling products. Replace stagnant products. Adjust prices according to market.

Care for Cleanliness and Maintenance

A clean machine attracts customers. Regular maintenance prevents sudden breakdowns.

Build Relationships with Location Owners

Good relationships ensure location continuity. Provide excellent service to maintain contracts.

Diversify Locations and Products

Don't rely on just one location. Diversify to reduce risks and increase opportunities.

Frequently Asked Questions

How much do I need to start a vending machine project?

You can start with 15,000 to 25,000 SAR for a used machine in good condition with initial inventory. A new machine needs 25,000 to 50,000 SAR depending on type.

How much profit does a vending machine make monthly?

Net profit ranges from 500 to 2,000 SAR monthly per machine depending on location and management. Excellent locations may achieve more than that.

Do I need a license to operate a vending machine?

Yes, you need a commercial registration, municipal license, and health certificates for workers. Requirements vary by region and product type.

Where do I buy products for restocking?

From wholesale stores like Panda and Bin Dawood or directly from beverage suppliers or from wholesale markets for the best prices.

How much electricity does the machine consume?

A refrigerated machine consumes 200 to 400 kilowatt-hours monthly at a cost of approximately 50 to 150 SAR depending on electricity tariff.

Is the project really profitable?

Yes, the project is profitable if you choose the right location and manage it well. The success rate of vending machine projects is high compared to other small projects.

Can I run the project alongside my job?

Yes, this is one of the most important advantages of the project. It can be managed with few hours weekly for restocking and follow-up.

Conclusion

The vending machine project is considered one of the best semi-passive income small projects in Saudi Arabia. The project doesn't need extensive experience or permanent employees and can be started with reasonable capital. Project success fundamentally depends on choosing the right location and selecting appropriate products for the target segment. With technological advancement in payment systems and remote monitoring, project management has become easier than ever. Start with one machine and learn from experience then expand gradually to build a sustainable additional income source. Profits may not be huge from one machine but with expansion and owning several machines, good income can be achieved that covers a large part of your financial needs.