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March 16, 2018 Comments (0) Views: 2703 Innovation, March 2018, Short Stories, Startups, Tip Sheet

InstaHealthy and the Snack Revolution

This San Diego startup is stocking vending machines with healthy alternatives to chips, soda, and candy

Most vending machine food isn’t exactly good for you. There may be an occasional package of nuts mixed in with the chips and candy, but for the most part they’re full of sugary, fatty snacks. Now a San Diego startup is working to change that with machines stocked full of healthier options.

Ryan O’Keefe launched InstaHealthy three years ago with the goal of making treats without preservatives or high-fructose corn syrup more accessible and to shake up the roughly $42 billion vending industry. He says InstaHealthy’s ultimate mission is to change consumer habits: “It’s simple: If we’re able to provide healthy alternatives, they will.”

InstaHealthy machines are now in 40 US markets. What’s offered varies by location, but usually includes organic, non-GMO, vegan, and gluten-free options. There’s a master product list, but partners can bring in other selections as long as they’re free of preservatives and high-fructose corn syrup. For example, Perfect Bars, Pop Chips, and Izze soft drinks are okay. “We do have all the same categories, per se, as they do in the junk food industry, just healthier alternatives,” O’Keefe says.

InstaHealthy’s business model is franchise-based. Partners who purchase machines undergo educational training. InstaHealthy gets to pick the locations and focuses predominantly on kid-centric areas like tourist attractions, malls, schools, and YMCAs. O’Keefe says kids are the number-one consumers of InstaHealthy fare, whereas traditional vending machines target blue-collar workers. “A big part of that is the child obesity epidemic across the Unites States. Thirty-five percent of children are overweight or obese.”

The company is also selective about its partners, who must believe in the mission. They turn away those who only care about their return on investment or aren’t willing to go through the training process. “That’s just not our partner, and that’s okay.”

 

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