MACH interview with MINILoop

Sandro Blum, Co-Founder of MINILOOP describes MINILOOP’s journey from a small start-up to a growing company poised to scale up its baby clothing subscription service. He emphasizes the challenges of high labor costs in Switzerland and the necessity of transitioning from manual processes to a scalable technological infrastructure. Blum highlights the adoption of the MACH (Microservices, API-first, Cloud-native, and Headless) architecture to address the unique requirements of their circular economy model. Despite MINILOOP’s use of WooCommerce, the limitations have led to plans for a more integrated system that aligns with MACH principles, ensuring that MINILOOP can efficiently manage customer growth and enhance its service offerings.

Let's begin with MINILOOP's origins. Can you share more about it and how it was conceived?

MINILOOP is a relatively small start-up that has been around for several years. However, the official legal structure of the company was established this month in Switzerland. I joined the team initially as an investor and eventually contributed technical expertise. As co-founders, we’ve garnered a few hundred customers who regularly receive baby clothes from us. While not large yet, our customer base is steadily growing. Our financial resources were limited, impacting our operations, but with my involvement, we’re positioned to scale. We’re concurrently developing our technical infrastructure to avoid costly manual processes and data management issues, especially considering the high labor costs in Switzerland.

The concept seems ideal, especially for children's clothing which they quickly outgrow. Yet, technical challenges often impede companies. How do you manage these challenges?

With over a decade of experience in software design and business analysis, I’ve faced unexpected process challenges, underscoring the need for a flexible technology stack based on the MACH principle. For instance, standard inventory management software doesn’t suit our circular economy model. It requires a comprehensive approach to billing and customer relationship management (CRM). Some parts of our system require custom solutions due to their specificity. However, for general CRM tasks like handling customer requests, we opt for existing solutions instead of developing our own. It’s crucial to have interoperable software components, as opposed to a single monolithic application.

Scaling seems contingent on resolving these technological hurdles, as more manual work isn't sustainable, especially in Switzerland.

That’s correct. Addressing these issues not only enables scaling but also opens new opportunities. For example, a company in the UK evolved from a circular economy model to providing a platform for retailers. Fixing core problems can pivot a company’s focus from products to providing a versatile platform.

What are the limitations of MACH?

There are certain products we will never build ourselves, like some of the robust e-commerce platforms like Commercetools. We also won’t attempt to recreate Product Inventory Management (PIM) and CMS systems. We prefer to use the best-in-class platforms for these tasks. For instance, we utilize platforms with plugins for Identity and Access Management, which allow us to interact with customers in an omni-channel manner.

However, we’re currently tethered to a JS-based system. Ideally, we’d prefer a pure headless CMS.

With your current use of WooCommerce, how did you first learn about MACH, and what led you to adopt it?

A co-founder introduced me to the MACH concept. Initially unfamiliar with the term, despite my background in software development and integration, I researched it. The concept wasn’t new, much like how ‘cloud’ was a new term for familiar hosting services. MACH terminology helps convey its benefits to non-technical stakeholders.

As you navigate integrating MACH into MINILOOP, what are the immediate technical boundaries you're addressing?

Our primary goal is to avoid redundant work, like manually generating invoices which should be automated by integrating software components. Currently, we’re working on establishing a unified data model to serve as a foundation for all future developments, and we’re keeping WooCommerce for the front end this year, with plans to transition to a better-integrated system next year.

Beyond the technical aspects, how are you planning for continuity and ensuring knowledge isn't concentrated in a single individual or vendor?

We’re mindful of this and have a contingency plan in place. I’m heavily involved in the development process to maintain an internal understanding of the system. We also ensure we have rights to the source code and control over hosting to avoid reliance on a single vendor. It’s critical to retain substantial knowledge in-house, particularly as the business evolves rapidly.

Do the other founders grasp the significance of MACH and composable technology, especially against more straightforward, off-the-shelf solutions?

Yes, they do understand, especially after encountering limitations with WooCommerce. We carefully consider whether each part of our software landscape requires a custom or standard solution. It’s about making informed decisions for each component.

Finally, what's the next significant technical milestone for MINILOOP?

We’re focused on building the technical foundation with a unified data model and developing our marketing strategy. While we’ll maintain WooCommerce this year, we’re planning a transition to a more cohesive system aligned with MACH principles next year.

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