Ubuntu helps InnovaPOS make vending machines smart

1. Summary
InnovaPOS is re-inventing the traditional vending
machine for the benefit of consumers and brands
Advanced functionality enhances personalisation,
interaction and operational management
Desire for innovation, security and stability led
InnovaPOS to use Ubuntu
Background
The first recorded vending machine was by the Greek
mathematician and engineer, Hero of Alexandria, in the
first century. His machine accepted coins and dispensed
holy water. Since then vending machines have grown
in popularity and are now a part of our everyday lives
featuring in shopping centres, schools, offices, sports
stadiums and elsewhere.
Apart from the scale, not a lot has changed apart from their
ubiquity with Japan known to have the most with 40 installed
per 1000 inhabitants. Until recently, much of the innovation
in the market comes from what you sell, rather than how you
sell and interact with customers. Some of the more
unexpected items you can buy include fresh fish, inflated
balloons and gold bullion. However in today’s interactive
world there is a wasted opportunity due to the very analogue
approach of most vending machines when a more smart
retail experience could open new doors. Such innovation has
the potential to benefit both brands and the end consumer.
The new, smart vending experience
The smart vending machines market is on the rise with
estimates of 2.7 million to be sold by 2020*
with Asia Pacific
predicted to be the fastest growing region with a CAGR of
15% over the same period. It is this opportunity that Spanish
company InnovaPOS, founded in 2014, was created to
spearhead. Their vision and creativity has seen them
do this successfully, now operating over 30,000 smart
vending machines for big brands such as Coca-Cola, Audi
and LVMH in more than 120 countries. InnovaPOS can either
retrofit existing machines to make them ‘smart’ or create
new ones with advanced features ranging from Wifi hotspots
to facial recognition or a high-definition touch screen. Below
is a selection of brands working with InnovaPOS.
Children interact with an InnovaPOS smart vending machine
Innovation is important to their success, so important
in fact they have a Department of Innovation that analyses
the behaviour of consumers and develops new features
continuously. Being able to create, test and deploy these new
features and bring them to market as quickly as possible is
imperative to their customers and to InnovaPOS themselves.
*
http://www.strategyr.com/pressMCP-7036.asp
Ubuntu helps
InnovaPOS make
vending machines smart
CASE STUDY 2017

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A smart vending experience offer brands a variety of new
capabilities to interact with their customers and help them
manage their own operations. For the customer using the
machine, the benefits provide alternative payment options
such as NFC (Near Field Communication), free Wi-Fi or taking
advantage of discounts and coupons. On the operational
side, a brand can analyse sales data, manage their stock
remotely, change the operating parameters of the machine
such as lighting or obtain sales leads – all of which were not
possible with the traditional vending machine.
Powering the smart
vending experience
When InnovaPOS were looking for the right operating
system, their main criteria regardless of the project,
was security and stability and for this reason they turned
to Ubuntu. It is here, along with Canonical’s support
throughout, where they see the biggest benefit. As each
project is different, the version of Ubuntu that is used
is chosen accordingly depending on the application
or dynamics that need to be performed.
In addition, the desire for innovation and increased
functionality is also a reason InnovaPOS use Ubuntu.
As Ubuntu has a large number of libraries supported on
a wide number of devices it ensures that work can focus
on adding value as much as possible. Therefore, Ubuntu
provides a robust platform that reduces the time to market
and allows them to innovate quickly. Currently, InnovaPOS
can use a variety of hardware including Intel NUC for
‘high-touch’ smart vending machines and Raspberry Pi
3 for ‘low-touch’ vending machines. This gives the brand
the best value for the experience they are trying to create.
Using Ubuntu provides a stable solution that allows
hardware resources to be maximised.
One such hardware feature includes a Kinect-style camera
that allows them to recognise customers, so if you are
regularly getting your coffee at the same machine each
morning you can start having a more tailored service.
Additionally, in some cases customers can be identified
when connecting their social media accounts allowing
a more personalised experience. For brands that choose to
adopt a smart vending machine experience, the benefits can
be significant. In addition to the extra features which can be
offered to their customers and the sales intelligence that can
be gained, financial turnaround can also be very high.
Traditionally, the ROI period of vending machines is five to
eight years. However with an InnovaPOS smart vending
machine, this is reduced dramatically to a payback period of
just 18 months in the most conservative scenario.
“Using Ubuntu in our smart vending experiences
has provided a stable solution in which we can
innovate and enhance the traditional vending
machine to become smart. With the flexibility
to use different versions of Ubuntu to suit each
project needs, we have been able to create
bespoke solutions across all our clients and
customise each solution accordingly”
Antonio Jiménez, Director at InnovaPOS.
“The vending machine is becoming a platform
and not just a sales mechanism. Our interactive
displays are so much more than an advertising
showcase. They bring new services through
customisation, better usability as well as
suggestive selling options which provide
increased revenue opportunities”
Antonio Jiménez, Director at InnovaPOS.
Possible features of a smart vending machine:
Remote price changes and management
Multiple payment options including PayPal, NFC,
cash, coupon codes and so on
Remote stock management
Retail sales techniques such as cross-selling, promotions
and price elasticity
Remote operating parameters management such
as cooling and lighting
Social networking compatibility and gamification
Advertising opportunities
Offering free WiFi
Lead generation, dynamic on-site analysis of sales
and customer data
Customer loyalty rewards
Touch screen, voice recognition and facial recognition