Self-serve commerce company Cantaloupe is set to go private in an $884 million deal.
The company announced in a news release Monday (June 16) that it would be acquired by 365 Retail Markets, maker of unattended retail technologies and a portfolio company of private equity group Providence Equity Partners.
“Cantaloupe’s and 365’s complementary strengths will enable the combined company to offer a seamless unattended retail platform for customers around the globe, from hardware to software, and payment processing technology to data analytics,” the release said. “Cantaloupe’s offerings in delivering frictionless payments and software services combined with 365’s innovation and focus in self-checkout technology primarily for foodservice operator (FSO)-centric, enterprise-focused customers are expected to help expand the combined company’s customer base, product suite and vertical reach.”
Together, the two companies say they will be better positioned to serve food service, convenience, retail, hospitality and sports/entertainment providers across North America, Latin America and Europe.
PYMNTS Intelligence collaborated with Cantaloupe recently on the report “Commerce Transformed: How AI and IoT Are Rebooting Self-Service Retail.”
It found an upward trajectory in the consumer demand for frictionless, autonomous shopping experiences, which is in turn fueling an ongoing adoption of self-service commerce beyond its initial retail applications and the necessity imposed by the COVID-19 pandemic.
“First-generation self-checkout solutions, sometimes seen as niche experiences, highlighted limitations for consumers and businesses, including practical inefficiencies that frustrated shoppers, implementation challenges for staff and rising inventory losses that strained budgets,” PYMNTS wrote last week.
Now, that report added, the industry has responded with self-service solutions designed to address the shrinkage risks and friction-laden journeys that led some retailers to dial back their self-checkout installations.
Meanwhile, PYMNTS spoke earlier this month with Cantaloupe CEO Ravi Venkatesan about the company’s efforts to cater to younger consumers.
“These are people who live their lives on the smartphone,” Venkatesan said. “That is their point of sale, that is their shopping cart … and that’s where they want to transact.”
As Generation Z and Generation Alpha come of age, they won’t just flock to platforms that let them swipe, tap or scan but to companies that “see them, know them and protect them,” the report added.
This has led to the rise of unattended retail that uses mobile technology, artificial intelligence, biometrics and connected systems to provide frictionless shopping experiences.
“This isn’t just about convenience. It’s about speaking the native language of tomorrow’s consumer,” PYMNTS wrote.
