Can the Classic Vending Machine Service Industry be Disrupted by Using Disposable Vending Machines?

Vend-X

As a business, VendX is a vending machine business that leverages micro-entrepreneurs with access to customers to sell products that people need in those areas and generate passive income.

Challenge: During my engagement with Rites and Bites Inc, I was given the challenge to imagine and design a business centered around disposable vending machines for the American Market.

TEAM
Soumil Panwar

ROLE
Service Design, Product Design, Venture Design

MENTOR
Prof. Puneet Tandon, Aditya Chand

DURATION
4 Months

MARKET SIZE

The Vending Machine Service Market in the US

$9.4 Billion

Is the size of this industry in 2023

4.6 Million

Vending machines are present in the market

18,231

Vending machine businesses are registered in the US in 2023

SYSTEMIC BARRIERS

Vending Machine Businesses are Challenging

1 Human Costs are Increasing
Investments involve direct financial risks

2 Maintenance costs increase with time
There is no certain way of learning to invest

3 This becomes a real estate business
Finance is not taught in schools directly

WHAT IF

Vending Machines Cost $30 to Install and $0 to Maintain?

Plastics bring the potential to recycle and regain value as a resource.
I approached this challenge imagining a future state where a massive behavioral change in New Yorkers could possibly be created by changing how people look at plastic waste and treat it as a currency of its own.

If a New Yorker could earn $2 for each empty plastic bottle they sell, they can become scavengers of plastic waste with the potential to earn money and collectively clean up the planet.

HYPOTHESIS

My Process

I approached this project in 3 sprints leveraging user testing at early stages pivoting the concept every 2 weeks to arrive at a viable solution and its business plan.

SPRINT 1

SPRINT 2

SPRINT 3

MOBILE APP

Conducted research to explore the problem space. Defined initial ecosystem of change and tested concept with experts.

Defined target users, use case scenarios and system maps. Conducted interviews to validate the hypothesis and user needs.

Defined the value proposition to various stakeholders and tested with them to refine my need statements

Designed and conducted user testing for the Toss-It mobile app to make a robust, minimal and accesible interaction.

Creating an Ecosystem of Change

Plastics bring the potential to recycle and regain value as a resource. I approached this challenge imagining a future state where a massive behavioral change in New Yorkers could possibly change how people look at plastic waste and treat it as a currency of its own.

Sustainable brands

Brands are starting to consume recycled plastic waste in their manufacturing processes.

Their Intent: Fight the plastic waste crisis and position themself as an environmentally conscious brand

OPPORTUNITY

Providing raw material for production in the form of recycled plastic and access to a community of aware New Yorkers that are direct customers of these brands.

Apartment Complexes

Modern housing complexes are trying to provide amenities to its residents that make their life easy.

Their Intent: Sell amenities as additional luxuries and justify high rent prices in NYC

OPPORTUNITY

Providing an additional amenity for residents and a simple way of managing plastic waste while associating as an environment-conscious residential community.

If a New Yorker could earn $2 for each empty plastic bottle they sell, they can become scavengers of plastic waste with the potential to earn money and collectively clean up the planet.

Building a Circular Economic System

Value Proposition: Sustainable Businesses

Position your brand in an environment-conscious space closer to your users

Sell to aware customers where they need

Value Proposition: Consumers

Make a rightful choice in sustainable consumption while recycling your plastic waste mindfully

Use plastic waste to buy better

The MVP

Toss-It Bins will be placed in apartment complexes to collect plastic waste and we will sell this as a raw material to sustainably aware brands using recycled plastics in their manufacturing processes.

Toss-It Mobile Application

Onboarding onto the Toss-It mobile app

Intent: Education and building empathy

Users understand the possibility of making money with plastic waste disposal
An account is created specific an apartment with individual members having access to the same account

Personalized dashboard

Intent: Visualizing the impact you have created

Users can easily visualize the amount of plastic waste they have deposited and the associated rewards at any given time
We give users a recycling target to try and meet based on their family size and month of the year
Users can invite their neighbors to be a part of Toss-It and earn additional incentives
A simple navigation menu makes it convenient to access their rewards

Informational instructions for Toss-It Bins

Intent: Product semantics and simplifying instructions

Users go through an informational illustration to understand how to access the service
Users can quickly learn and start using the Toss-It rewards using their mobile app right away
Step-by-step instructions guide users to quickly learn and start using and earn rewards on their mobile app

Easy access to rewards

Intent: Easy navigation and process visibility

Users access their rewards from the dashboard
They can choose cash cards from the brands they like
The waste they deposit in Toss-It bins helps unlock these cash cards over time
Unlocked cash cards can be used directly on websites and stores of participating brands

Payments using the Toss-It Card

Intent: Simple integration with usual payment habits

Users can access their Toss-It card among their saved credit cards in the phone wallet
Users can simply select their Toss-It card and pay by a simple double tap on their unlock button at any store just like any other credit card

Risk Assessment: External Factors

Real estate markets are investing in building experiences as amenities. Coffee kiosks, co-working spaces, recreational spaces, etc
Buildings already have a general waste collection (tie and dump in a shoot) system
Building lobbies are getting smaller by the day
Residents want to pay lesser rent

The Toss-It bins could be redesigned for a partnership model wherein these bins act as a point-of-sale investment for essential amenity brands like AVO and Amazon Hub
These brands can partner with us for the Toss-It Rewards

OPPORTUNITY

Key Learnings

Agile Sprints + Design Thinking = Magic!
Agile methodologies have the benefit of bringing outcomes faster and having tangible starting points. Leveraging design in these micro stages/ sprints can bring out the most value in a project while meeting hard deadlines and resource constraints.

Pivoting is the key to innovation!
Starting a design project with an end outcome in mind narrows down possibilities. Pivoting a concept into new markets and target users help making the solution robust and effective while improving on the weak elements in the concept.

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Can the Classic Vending Machine Service Industry be Disrupted by Using Disposable Vending Machines?

Vend-X

TEAM Soumil Panwar ​ROLE Service Design, Product Design, Venture Design MENTOR Prof. Puneet Tandon, Aditya Chand DURATION 4 Months

MARKET SIZE

The Vending Machine Service Market in the US

$9.4 Billion

Is the size of this industry in 2023

4.6 Million

Vending machines are present in the market

18,231

Vending machine businesses are registered in the US in 2023

SYSTEMIC BARRIERS

Vending Machine Businesses are Challenging

1

Human Costs are Increasing Investments involve direct financial risks

2

Maintenance costs increase with time There is no certain way of learning to invest

3

This becomes a real estate business Finance is not taught in schools directly

WHAT IF

Vending Machines Cost $30 to Install and $0 to Maintain?

HYPOTHESIS

My Process

I approached this project in 3 sprints leveraging user testing at early stages pivoting the concept every 2 weeks to arrive at a viable solution and its business plan.

SPRINT 1

SPRINT 2

SPRINT 3

MOBILE APP

Conducted research to explore the problem space. Defined initial ecosystem of change and tested concept with experts.

Defined target users, use case scenarios and system maps. Conducted interviews to validate the hypothesis and user needs.

Defined the value proposition to various stakeholders and tested with them to refine my need statements

Designed and conducted user testing for the Toss-It mobile app to make a robust, minimal and accesible interaction.

Creating an Ecosystem of Change

Plastics bring the potential to recycle and regain value as a resource. I approached this challenge imagining a future state where a massive behavioral change in New Yorkers could possibly change how people look at plastic waste and treat it as a currency of its own.

OPPORTUNITY

Providing raw material for production in the form of recycled plastic and access to a community of aware New Yorkers that are direct customers of these brands.

OPPORTUNITY

Providing an additional amenity for residents and a simple way of managing plastic waste while associating as an environment-conscious residential community.

If a New Yorker could earn $2 for each empty plastic bottle they sell, they can become scavengers of plastic waste with the potential to earn money and collectively clean up the planet.

Building a Circular Economic System

The MVP

Toss-It Bins will be placed in apartment complexes to collect plastic waste and we will sell this as a raw material to sustainably aware brands using recycled plastics in their manufacturing processes.

Toss-It Mobile Application

Risk Assessment: External Factors

OPPORTUNITY

Key Learnings

Agile Sprints + Design Thinking = Magic! Agile methodologies have the benefit of bringing outcomes faster and having tangible starting points. Leveraging design in these micro stages/ sprints can bring out the most value in a project while meeting hard deadlines and resource constraints.

Pivoting is the key to innovation! Starting a design project with an end outcome in mind narrows down possibilities. Pivoting a concept into new markets and target users help making the solution robust and effective while improving on the weak elements in the concept.

TEAM
Soumil Panwar

ROLE
Service Design, Product Design, Venture Design

MENTOR
Prof. Puneet Tandon, Aditya Chand

DURATION
4 Months

Human Costs are Increasing
Investments involve direct financial risks

Maintenance costs increase with time
There is no certain way of learning to invest

This becomes a real estate business
Finance is not taught in schools directly

Agile Sprints + Design Thinking = Magic!
Agile methodologies have the benefit of bringing outcomes faster and having tangible starting points. Leveraging design in these micro stages/ sprints can bring out the most value in a project while meeting hard deadlines and resource constraints.

Pivoting is the key to innovation!
Starting a design project with an end outcome in mind narrows down possibilities. Pivoting a concept into new markets and target users help making the solution robust and effective while improving on the weak elements in the concept.