If you look at what hassle you need to go through in order to actually use such an ATM
The level of verification also depends on the country that these ATM's are operating from.
In some cases it can be an annoying process to get yourself verified, but depending on the country they are running from, you can verify yourself by just having your ID barcode scanned. It will then directly 'download' your information and save it into their system. It also runs your personal information through a database to see whether or not you have been linked with criminal actions, etc.people will only use it as last resort option.
Another thing is that the less usage these machines enjoy, the higher the operating fees will be.
I agree that Bit ATM's are just an optional service offered to those willing to use it as an alternative way of obtaining Bitcoin. That is directly the reason people are okay with paying the premium fees that these ATM's charge. It's basically the same with P2P trading. Fees involved are higher than when you buy from an exchange, but here as well, it's some sort of a last resort option. The only question is... Will these ATM's generate enough profits to justify having them working in large quantities - That remains to be seen. 
i recently save my bitcoin for computer games because in my country its hard to spend bitcoin in the real world you can't cash it out 
atm machine of bitcoin is one great idea to those people like me that cannot exchange bitcoin into real money >.< 
