University of Michigan Case Study: A Data-Driven Pilot for 24/7 Campus Dining

The Results

Unexpected Wins and Human Moments

The first two fridges paid for themselves in just four months. When the pilot expanded to five fridges, the overall return on investment came within 7.5 months. M Dining generated over $60,000 in incremental sales during its first year, with no additional labor costs. During the typically slow summer months, introducing campus currency (Conference Bucks) to an existing fridge in a high-traffic conference area led to a 95% increase in sales, unlocking a new seasonal revenue stream.

Scaling Smartly with Purpose

Encouraged by the initial success, Jennifer worked with the Provost’s Office to expand the pilot. The key? Tying the expansion to existing campus challenges.

One new location replaced a slow-performing market in a residential building. Another took the place of a beloved but shuttered cafe in an area with no other food options. Fridges continued to be placed strategically and the revenue and benefits was seen quickly.

“It wasn’t about expecting huge sales. It was about avoiding a $100,000 mistake by spending $6,000 to gather data first,” Tober said.

Campus currency (known as Blue Bucks, Dining Dollars, and Conference Bucks) didn’t just expand payment flexibility—it also boosted usage. In one case, enabling campus currency usage resulted in a 95% increase in summer traffic at a fridge in a high-traffic area, generating new seasonal revenue where there was typically none.

Meeting Needs Without Wasting Resources

Jennifer’s first exposure to cashierless models on campus had left her unimpressed. Food safety issues and theft plagued open-access formats. So when she proposed a new pilot, she needed a system that did more than just sell food—it had to be secure, auditable, and flexible.

“We had late-night demand, but the data showed labor didn’t make financial sense. Byte allowed us to serve students while cutting waste and protecting food integrity,” she explained.

Instead of relaunching cafes or extending hours, Jennifer placed Byte kiosks in two library locations with high traffic and historic 24-hour operations. Initially intended for post-cafe hours, the team quickly noticed students using the fridges during the day as well. This insight helped M Dining shift its model to 24/7 fridge access—a move that benefited both students and staff.

Security, Shelf Life, and Smarter Stocking

One of the key reasons M Dining selected Byte was its RFID tagging system. Unlike weight-based kiosks, RFID tags allow students to browse items, check ingredients or allergens, and return items without being charged, which is essential for first-year students making independent food choices for the first time.

“It aligns with our values. Students can make healthy decisions without being penalized for changing their mind,” Jennifer said.

Shelf-life tracking also played a strategic role. Jennifer shortened the window for freshness alerts, creating a buffer that let her move unsold food back into traditional units before it expired.

Unexpected Wins and Human Moments

Data from the kiosks also led to some lighthearted discoveries.

“I could tell from the reports that all the sales were Diet Coke at 3 a.m.,” she laughed. “Turns out it was Fred from maintenance. We joke about it now, and he keeps an eye on the fridge.”

Those small moments translated into improved relationships with stakeholders and additional buy-in from departments that weren’t even her direct clients. These anecdotes highlight the broader, positive impact of the Byte system, extending beyond financial metrics to foster stronger campus relationships and wider acceptance.

A Platform for Smarter Growth

Although technically still labeled a pilot, the Byte program is now being championed by the Provost’s Office, with multiple departments expressing interest in expanding the footprint. One third-party operator on campus, facing a 35% theft rate, is already in discussions to transition from open-air markets to Byte kiosks after hearing about M Dining’s success.

Jennifer sees Byte not just as a convenience tool but as a long-term strategy for operating smarter, safer, and more sustainably.

“In the future, I envision one of these fridges paired with every campus café—not to replace the human experience, but to ensure students always have fresh options when the café is closed.”

Advice to Other Universities

Her message to other schools?

“Just try one. For $6,000, the data alone is worth it. You’ll either find a new revenue source or save yourself from a big mistake. And Byte’s support is top-notch—from integration to customer service.”