ECGO is an AI-powered app that helps people properly dispose of items by taking a photo. The podcast discusses the potential profits from selling to universities and the challenges of recycling. Other topics include Altitude Beverages, social dynamics of recycling, investor concerns, and scaling a business.
ECGO is an AI-powered app that helps users dispose of items properly by providing up-to-date recycling guidelines through a photo recognition feature.
Eco plans to create a viral loop among universities by introducing competitions between dormitories, classes, and friend groups to boost engagement and encourage recycling.
Deep dives
Eco: An AI-powered recycling app
Eco is a mobile app that uses artificial intelligence to detect the recyclability of materials. Users can take a picture of any item and Eco provides up-to-date guidelines on how to properly dispose of it. The app also rewards users with points that can be redeemed for discounts on products and services within their community. Eco has launched successful pilots at Georgia State and Georgia Institute of Technology, where students have already disposed of over 50,000 items on the platform.
Challenges and competition
Eco plans to introduce competition among universities and even specific groups within campuses to boost engagement and encourage recycling. By leveraging the competitive nature of students, Eco aims to increase adoption and create a viral loop that drives usage and adoption. The CEO mentioned interest from rival universities and the possibility of dormitory against dormitory, class against class, or friend group against friend group competitions.
Customer acquisition and monetization
Eco currently has 1,500 students using the app, with a monthly active user rate of 33% and an average of 35 items recycled per user per month. The app has a low fraud rate of less than 1% and a reward redemption rate of 12%. Universities pay contamination fees, and Eco aims to reduce these costs by educating students and improving recycling quality. Eco is fundraising $750,000 to expand into more universities and corporate offices, aiming to secure 20 institutions as clients within the next year.
Investor feedback and challenges
The investors provided feedback on the need to increase contract sizes and focus on a B2B strategy, licensing data to corporations. They also emphasized the importance of creating a viral loop among students and exploiting the competitive nature of campuses. While some investors expressed hesitation due to the current fundraising round, the CEO remains optimistic and determined to prove the potential of Eco's business model.
Ever stood at the recycling bin wondering, “Is this cup really recyclable?'' Enter Nicole Toole, the founder of ECGO, an AI-powered app designed to tackle this confusion. With ECGO, you snap a photo of any item, and the app will tell you how to properly dispose of it. But as mind-blowingly awesome as this is, the investors wonder how much money can you really make from trash when you’re selling to universities.