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Circular Economy - Potential Benefits

17 Apr 19

What are the potential benefits for my business?

The circular economy is about making things last and there are lots of ways to do it. Each with unique opportunities to cut costs and increase profits and introduce new ways to grow and diversify your business.

Man using power tool, uearing ear defenders in a workshop, at a work bench surrounded by wood and tools
Graphic of green hand and green coin dropping into it

Less money spent on materials

The whole idea of a circular economy is to hold onto as much value as possible from products, parts and resources. This robust, efficient way of working ultimately leads to spending less on raw materials.

Better customer relationships

A circular business model moves from selling products to offering a service. Businesses tend to hold onto the responsibility – meaning increased customer contact for service, maintenance and repair. This presents an opportunity to offer great customer service, and retain customers for life.

Graphic Green coin moving sideways
Graphic of green coins getting smaller and smaller

Less waste

Millions of tonnes of materials are wasted every year as a result of over ordering, incorrect ordering or damaged products. This means money is wasted too. Reusing materials and maximising resources leads to less waste, cutting environmental impact and wastage costs. Win win.

Growth opportunity

Switching your operations to a circular model creates a demand for new services and skillsets. You may need to hire remanufacturing experts, or marketers who can help you reach the right sort of market.

Graphic of green coins overlaid and growing
Graphic of green coin approaching a pitfall

Less risk

A circular business model offers a stable working process, and boosts resiliency. No more supply errors or price spikes in the supply chain. And a stronger ability to deal with unexpected changes in the business.