TCX - The Cup Exchange, Reusable Coffee Cups, Crowdfund, Thoughts?

danyool on 06/12/2018 - 15:17

Saw this and thought it seemed like an interesting idea - It's a Reusable coffee cup system - you sign up for an account and get your coffee in a resuable cup, then you return it to the cafe and they wash it and send it out with someone else. Of course - you still got to remember to bring your cup back! Customers pay a subscription fee for the privlidge, and cups are provided free to cafes.

The TCX company is a startup looking to raise funds. They were aiming for minimum $500,000 or up to $1.2m. They are currently at $600,000.

Anyone working at PWC tried the cups? (They are trailing them there) How are they? Thoughts?
Anyone investing?

General Discussion

Related Stores

tcx.org
tcx.org

Comments

  • HighAndDry on 06/12/2018 - 15:27
    +1

    Do users of the system get a discount for the trouble (and cost) of using a TCX cup instead of sticking to a normal disposable cup?

    • bargainhunter87 on 06/12/2018 - 15:31

      What about the satisfaction of having their efforts benefit the environment in the long run?

      • HighAndDry on 06/12/2018 - 15:35
        +5

        The people who care enough would already be using Keepcups - more convenient (no scanning, no account, no returning cups), and cheaper (one-off payment, no ongoing costs, no tiers).

        I just don't see a niche that this falls in.

        Plus - for every user who uses this, cafes save on disposable cup costs (which are a significant portion of the price of a coffee) so I see no reason why there can't be a discount. THAT would be a true win-win proposition.

        Edit: The need to return TCX cups I think will be fairly major - of the business worker crowd, how many people get coffees to go and take it to their office, rather than wait around near the cafe with a collection point?

        • danyool on 06/12/2018 - 15:49

          Re collection points - it's back to the cafe, or another cafe on TCX. So if it gets a bit of adoption there will be a few points.

          I reckon you'd just order your coffee and take it to your desk and then maybe drop it back at lunch or in the afternoon (if cafe is close/your local)

          You have a "spare" cup you can use if you forget - but of course eventually still got to remember to take it back.

          • HighAndDry on 06/12/2018 - 15:51

            @danyool: Do people do that? I know I buy coffee from a cafe on my way to work, but I don't really go back there for lunch or in the afternoon - I'd have to remember to take it with me when I go home, and that can be after a long day at work when I really don't need an extra thing to remember, or fairly late.

            Not saying it's impossible, but I think it adds a barrier to adoption.

            • danyool on 06/12/2018 - 16:03

              @HighAndDry: I like to go out after lunch or in the afternoon for a little walk around the block to stretch my legs (if time permits) so would think it wouldnt be too arduous to take it back. Of course got to remember, and do it before cafe closes.

        • RyanMK on 07/12/2018 - 10:12

          Good point raised in regards to returning the TCX cups.

          I think an idea that TCX could probably look to implement (if they are not already) is to have return collection points at the major business offices. For example, you can return your TCX cup at every kitchen in the PwC office.

          A lot of business people grab coffee on their way to work, or as a takeway during a mid-morning break. If they do this, I could potentially see it being a lot more convenient?

      • danyool on 06/12/2018 - 15:37

        @bargainhunter87 - yeas, and maybe that's the angle they are going for. I'm a bit of a greenie, especially after the show The War on Waste - but how much more am I (or anyone) willing to pay?

        In some of the documents there it mentioned a possible government ban on disposable cups by 2026(? - cant't be sure of the year)

      • [Deactivated] on 06/12/2018 - 15:37
        +1

        Yeah, not what I'm after unfortunately.

        Me + 100 environmental colleagues spending extra $$ on reusable cups while 1,000 other people make a beeline into 7-Eleven for $1 coffee in disposable cups is not going to do the environment any good.

        At the end of the day I'm paying for it from my pocket, it's another subscription after all, it's something else that I need to take care of/not lose/not damage, and unless there's some substantial, tangible benefit for me the 'feel-good factor' alone doesn't cut it for me.

        Sorry :(

        • HighAndDry on 06/12/2018 - 15:46
          +1

          I think it'd be far smarter to market this directly to cafes, without needing any payment from users other than maybe a one-off deposit.

          Cafes get to save on disposable cups, be plugged into a captive group of users, get to market themselves as being green and sustainable, and could even possibly get user data (can't escape big data).

          TCX could provide all of this for free and charge only for granular data, or for data analytics, or just partner with councils/bigger companies/malls and food courts (because they'll reduce waste and is green).

          Customers get to be green without needing to remember to bring a Keepcup.

          THAT to me sounds like a viable and sustainable win-win-win.

        • danyool on 06/12/2018 - 16:16

          @KaptnKaos - do you get a discount for taking your own cup currently? How much?

          One article I read said some cafes were giving 20c discount, others 50c. If a cafe is only saving 10c on a cup, anything more is a bonus. How much incentive would you need?

          Are you taking your own shopping bags? I've noticed a few people recently with an armful of groceries so they've decided to save in the 15c cost of a bag.

          • [Deactivated] on 06/12/2018 - 16:23

            @danyool: The incentive should be at least the cost of each cup, for me to take in my own cup.
            Just like a disposable cup is a cost for the business I'm buying from, similarly the cost of buying and subsequently maintaining my own reusable is also a cost. If businesses are able to somehow recoup the cost of providing disposable cups, then I should also be able to recoup the costs associated with my cup. A rebate equal to the saving incurred by the business by not supplying a cup is the minimum that I would expect.

            Exactly why I'm not buying into reusable cups now.

            Shopping bags are a totally different story altogether - the places I shop generally don't supply plastic bags anyway so Coles and Woolworths suddenly changing their tactics doesn't influence or affect me significantly. But yes, I would have expected that Coles or Woolworths somehow compensate their customers for bringing their own bags. Both did for some time, such as offering free bags or points to bring your own bags. I picked up a few free bags in that time so people complaining about having to buy bags are either ignorant of the schemes that Coles and Woolworths ran for some time since the restriction of free-issued bags, or are just looking for something to complain about.

      • whooah1979 on 06/12/2018 - 16:23
        +1

        What is the environmental cost to Australia for washing the cups?

        • danyool on 07/12/2018 - 13:48

          Minimal I believe. Do you wash your plates at home or buy disposable ones?

          • whooah1979 on 07/12/2018 - 13:50

            @danyool: We use a dishwasher.

            • danyool on 07/12/2018 - 13:59

              @whooah1979: Ok. So are you for or against them washing the cups?

              Yes it's going to use a bit of water, and a bit of soap - but compared to continually making new cups then discarding them into landfill? (I don't know the actual cost, just thinking out loud)

              • whooah1979 on 07/12/2018 - 14:57

                @danyool: Washing cups gives consumers a good feeling that they may do something positive for the environment. However, the resources that goes into this project may not be as environmental friendly. Water, electricity, fuel, staffing, etc may shift pollution from tangible to intangible pollution.

    • danyool on 06/12/2018 - 15:33

      TXC says it's up to the cafe if they offer a discount or not. I agree, it is a bit of a strange system. Nothing guaranteed that the customer will save anything - other than their 2 bits towards the enviroment.

      The cafe saves the cost of a cup (~10cents) but then they have extra work to scan the TCX cups in and out.

      • HighAndDry on 06/12/2018 - 15:37
        +1

        The cafe saves the cost of a cup (~10cents) but then they have extra work to scan the TCX cups in and out.

        True. They also arguably get to tap into a somewhat captive market (of users in the TCX system), which as a competitive advantage will depend on how popular TCX cups get. Maybe they can also save a bit of labour in that the purchaser details are already in the account, and so they can save a few seconds in asking for name/writing name/etc? (and maybe offset a bit of the extra work).

  • HighAndDry on 06/12/2018 - 15:41
    +1

    Sorry - to answer your question OP, I have a few friends who work in PwC. Will ask around.

    • danyool on 06/12/2018 - 15:56

      Cool. One of my friends was wondering how clean the cups get - any rings from previous people's old coffee sitting in a cup for a day?

      Also, how solid do they feel? TCX claim 4,000 washes - are they likely to last?

      • HighAndDry on 06/12/2018 - 20:30

        Ok just asked one friend. He hasn't used one himself, but he's come across a few and he had no idea how clean it was since it already had coffee in it (which is a good point - users will never actually see a clean and empty cup so how will you ever know?) and said it felt just like a more plasticy disposable cup.

        • RyanMK on 07/12/2018 - 10:07

          I'm indifferent about the idea. But in my opinion the cup definitely does not feel plasticy. It's hard to describe the feel. It feels like a matte-ish glass material.

          If I were to use it as a reusable cup myself, I can see it lasting a year or 2 at the very least. No idea how it would hold up commercially though.

          • danyool on 07/12/2018 - 11:04

            @RyanMK: Thanks RyanMK. Is it very flexible, and would it pop back, or is it likely to split? In the video when they crush it down it looks to crush easily. What I mean is, if you accidentally squeezed it too hard, or dropped it or something - how's it going to fare?

          • danyool on 07/12/2018 - 11:05

            @RyanMK: Did you see/use it at PWC or somewhere else?

        • danyool on 07/12/2018 - 11:00

          Ok. Thanks for the info.

  • [Deactivated] on 06/12/2018 - 19:27

    Will it work? Maybe

    Will it be a hit? No

    Do I sort my trash? Yes

    Will this work for me? No

    • danyool on 07/12/2018 - 11:05

      Thanks

  • Diji1 on 06/12/2018 - 19:48
    -2

    The world is ending due to climate change according to scientists so I'm glad everyone is pointless re-using coffee cups.

  • Quantumcat on 06/12/2018 - 20:00
    +1

    I can't see why anyone would use this system

    Costs you extra and is more hassle. No benefit. People with environmental concerns can bring their own keepcup, cheaper and less hassle for them with the same benefit. If there was something in it for the consumer (eg large coffee for the price of a small) maybe I could see some people adopting it.

    This sort of sounds like an arrangement where you pay money to be able to clean someone else's house.

    • danyool on 07/12/2018 - 11:09

      There is the (small) benefit of not having to wash the cup, so that's part of what you are paying for.

      Not sure about your house cleaning analogy? It's not like you are paying and then have to go into the cafe and do all their dishes!

      • Quantumcat on 07/12/2018 - 11:55

        Not sure about your house cleaning analogy? It's not like you are paying and then have to go into the cafe and do all their dishes!

        I kind of mean that you're paying and you also have to go back there to return the cup. Not having to wash it is a benefit I didn't think of though (if you don't have a dishwasher at work).

  • pennypincher98 on 06/12/2018 - 20:21
    +1

    You have to pay for the privilege of using someone else's cup and returning it?

    I'm not sure what the general public is like but most of the time I'm nowhere near the cafe by the time I finish my coffee.
    I wish I could use the "cup rescue" bins at 7-11 which aim at minimising waste but I again find I'm nowhere near one. At least they have multiple locations though.

    I use a keep cup for most of my coffees, unless I'm ordering a large and it won't fit. Literally cost me nothing (thanks Jamaica Blue!) and get a 30c discount on every coffee. My decision was purely economic as one less plastic cup a day isn't going to do anything for the environment. I know that's a bad mentality to have, but less waste was just an added bonus, not an incentive.

    • danyool on 07/12/2018 - 11:25
      +1

      I think I've just realised what the payment is actually for - to remind the consumer that it's "their" cup, and they are responsible for returning it. If there was no subscription, and cafes just gave out these special cups for free - you can imagine where 99% of them will end up - straight in the bin.

      But how to get traction if it's just an extra cost and no discount on the coffee?

      Nice economics on your 30c discount by the way! But don't disregard the impact small changes can have - it's only one cup from you, but over a year that builds up, then if a few more people do it can snowball. (Although in their documents they say current reusable cups/keepcup use is likely at saturation)

  • whooah1979 on 06/12/2018 - 20:41
    +1

    It would work better if they offered a 10c refund per cup.

    • danyool on 07/12/2018 - 11:26

      Agreed, the consumer needs to get a benefit too.

  • Quantumcat on 07/12/2018 - 11:57

    What they should do is have a $2-$5 deposit per cup which you get back if you return it and don't get another coffee, or you can hang onto it until you go to another cafe, where you give them your dirty one and they make you a new coffee in a clean one.

    • danyool on 07/12/2018 - 13:54

      Agreed, but a deposit isn't going to make money for shareholders!!

      I suspect they'll have to offer some free memberships initially to get it rolling. Wondering how they are trailing it at PWC - do customers have to pay as if it was normal subscription? Bet it's free.

      • Quantumcat on 07/12/2018 - 14:17

        Maybe the cafes buy the cups for $2 each from PWC, and the cafes charge a $5 deposit, so they make money for any cups that never get returned?

  • danyool on 12/12/2018 - 08:53

    Just a reminder to anyone considering this - offer closes at midnight tonight. I've put in a small amount to see how it goes.

    Also, they have announced a trial which sounds promising (or could be a flop! But GPT seem to be into reducing their environmental impact already)

    Announcement:

    "The Cup eXchange (TCX) has announced a three month trial agreement with The GPT Group to install and use the TCX System at selected locations, in an effort to step up the fight against waste issues and costs caused by single-use cups.

    The GPT Group is one of Australia’s largest diversified property groups and a top 50 ASX listed company by market capitalisation. GPT owns and manages a $22.7 billion portfolio, including 24
    office buildings and 13 prime shopping centres.

    To ensure that the customer experience is a positive one for tenants and visitors to the building, GPT will assist by facilitating the return of TCX Cups to the cafe. TCX subscribers can return their cups to the concierge at any time or alternatively at the drop-off point at the main lift, rather than in a bin destined for landfill as they would with a traditional single-use cup.

    “Collaborating with one of Australia’s most progressive property and real estate companies who share similar values is something we’re incredibly proud of.” said Marty Rowell, CEO and co-founder of TCX.

    “Both GPT and TCX are working towards a common goal; to avoid waste, rather than pass it downstream, and we’re excited to see the closed loop TCX system in place at 530 Collins Street.”
    added Marty.

    The TCX system and drop-off stations will be trialled at 530 Collins Street and other GPT assets to optimise consumer convenience and take-up.

    "GPT is committed to a 'closed loop' approach to resource use and minimising waste to landfill. By enabling more people to ‘choose to reuse’ through innovative solutions like TCX we are eliminating
    waste in the first place and saving money for our tenants and café customers – it’s win win." said Ben Thomas, National Manager – Environment at GPT.

    TCX will be working closely with The GPT Group and Fourteen on 3, and are looking forward to the official TCX launch at MICE 2019 and subsequent network rollout."

  • danyool on 12/12/2018 - 09:06

    They have currently raised $783,000. (Was seeking min $500,000 up to $1.2m)

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