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[FEB 19] [REPURPOSE] Experiment Results - Outsourcing Options: Cardboard/Paper

Reference to the Experiment Design Post

 

Lean Phase: Solution, Customer segment

 

Assumption: There is a want/need for our collected (impending) cardboard and paper.

 

Results:

 

Many hours were spent researching the recycling process of paper and cardboard and how it can be done. To recycle paper you have two options, small scale or large scale. Small scale involves doing all processes by hand, this yields a very low output, but is a much cheaper option to start up. Small scale however, does not allow for upscaling. To process waste paper on a large scale requires large amounts of capital to do so. Two quotations were found for two different sized machinery, they both are to create different grades of kraft paper from mixed wasted paper. Find the information on these quotes here.

 

Whilst the ERS Repurpose team was out empathising with local businesses trying to find who is currently recycling waste paper, a store called Kor Timor was found. A conversation was made with one of their employees, we asked where they got their paper from and how they processed the waste paper. Following this interaction, Kor Timor was contacted and a meeting was organised with Savio, the owner of the business.

 

After an encouraging meeting with Kor Timor we have found that we may be able to produce a paper bag in conjunction with them. We have found that there is a potential need for paper bags as there is a new Government policy taking effect in March that is removing the use of single use plastics. This new policy is known as the “zero plastics policy”. Research was done into the feasibility of producing recycled paper bags on a small scale.

 

In order test the validity of this newfound avenue for paper/cardboard we created a new experiment to find out if the locals have a need for the product or want the product. In this experiment, we conducted offer testing of the proposed product to determine if the Timorese locals have a desire for the product. We conducted the offer testing of paper bags to businesses around Dili with many positive results.

 

The success metric we came in was an orange light. This is because we only found one business that is currently recycling paper/cardboard, we found a second business that wants to repurpose waste paper in the future but currently they have not started working on this goal yet and are unsure when they will. Further research and empathising might be able to uncover a second, more likely client.  

 

Validated Learning:

 

The results do support the hypothesis, there is a want/need for our cardboard and paper although we could only currently find one potential business and one that could have potential in the future, that seemed interested.

The results were not overly clear, we have had one meeting with Kor Timor and although they were interested in working with us, we have not established partnership. Our last communication with Kor Timor stated that they would get in contact with us when the idea was discussed with the rest of their team.

This learning does require a further post validating a component of the lean canvas; lean phase cost structure and revenue stream.

 

Next Move:  

 

Establish a partnership with Kor Timor to take our paper and cardboard and work with us to make a recycled paper bag. More research needs to be done on how the bags will be constructed and the nature of the deal we will have with Kor Timor.

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