Sitra WCEF 2017 Antikainen & Kettunen
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We present the customer value journey map, environmental aspects and IoT related benefits of Liiteri - a tool rental service
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Sitra WCEF 2017 Antikainen & Kettunen
- 1. VTT TECHNICAL RESEARCH CENTRE OF FINLAND LTD Liiteri – a tool rental service Maria Antikainen, VTT Outi Kettunen, VTT WCEF 2017, Helsinki 5.-7.6.2017
- 2. 23/10/2017 2 Liiteri customer value journey map Æ Cheap price when not used often Æ No need to buy Æ Testing without risks Æ Tools are in the right place Æ Good quality and condition Æ No need for maintenance Æ No need for storage Æ Environmental benefits − High price when regularly used − Not instant availability − Not sure about the condition − Pickup is laborious − Difficult to use unfamiliar products − Maybe lacking some additional things needed − Return is laborious COMPARISON AND PLANNING BOOKING AND PAYMENT PICKUP OR DELIVERY USE RETURN BENEFITS SACRIFICES Antikainen et al. (forthcoming). Creating value for consumers in CE - Tools as a service, The XXVIII ISPIM Innovation Conference – Composing the Innovation Symphony, Austria, Vienna on 18-21 June 2017. The publication is available to ISPIM members at www.ispim.org.
- 3. 23/10/2017 3 Environmental aspect Own Rent Usage 1 hour/year 100 h/year Environmental impact happens mainly in Materials manufacturing Pick-up from rental service point Assumptions used in the comparing calculations Total 20km driving when bought, no extra transportation in the use phase. Total driving 20km per use (5km direction to rental place, back and forth, picking up and returning) Environmental impact of one usage time (1 hour), if you 1. pick up by own car 2. use public transportation 3. use bicycle / go on foot Higher material resource consumption in all cases Lower material resource consumption in all cases 1. Higher carbon footprint and fuel consumption than of own tool 2. Nearly similar impacts as using own tool 3. Smaller environmental impacts than of own tool Conclusions • Renting has smaller overall environmental impact if the pick-up is done smartly (public transport, ridesharing, bicycle, walking, electric car). • The location of pick-up place is important Behm, K. & Vatanen, S. 2017. VTT Sustainability analysis report on angle grindel (unpublished) 28/10/2016.
- 4. 23/10/2017 4 Economic aspect Own Rent Costs for user 50 euros divided in 5 - 10 years (maintenance may be needed) 10 euros/day How the value is divided in logistic chain? Manufacturer, duties, taxes, logistics, importer Manufacturer, duties, taxes, importer, service provider, logistics, maintenance company Conclusions • When owned user usually pays the whole cost at the acquisition stage • When rented, the payments are divided • Moving towards service model in consumer goods would increase the service sector in Finland providing employment and generating growth • Cars are bought in 2,5 mrd euros per year, and consumer durables over 1 mrd per year (Tilastokeskus 2016)
- 5. 23/10/2017 5 SENSORS NETWORKING DATA INTEGRATION ANALYTICS USER INTERFACES EXTERNAL •Demographic data •Social data •Browsing data Data at rest Batch analytics, machine learning Lock opening Product info Payment service Usage tips & recommendations PHYSICAL DEVICES CONNECTIVITY USER APPLICATIONS BENEFITS FOR COMPANIES IoT boosting tool rental service business Data in motion Stream (real-time) analytics Condition diagnostics and prognostics Info from product usage Location info, asset tracking Improved reuse or recycling
- 6. 23/10/2017 6