The invention discloses an automatic beverage dispenser and a control method thereof. The automatic beverage dispenser comprises a beverage dispenser shell, wherein a fetching table is arranged on the beverage dispenser shell; a central control board, a rotary cup dropping device, a transfer device, a dispensing device, a stirring device, a sealing device, a beverage tube assembly, a water supply device, a gripping mechanism and a coin insertion device are arranged in the beverage dispenser. The beverage dispenser can prepare beverages of multiple flavors according to needs of users, can realize automatic addition of solid matters such as coconut fruits, tapioca pearls, hawthorn and the like, can realize temperature regulation of multiple kinds of water such as ice water, normal temperature water, hot water and the like, is high in degree of automation, solves the sanitation problem of beverage blending, and has the characteristics that high blending speed, changeable tastes, temperature adjustability and high safety and sanitation coefficient are achieved.