Objective of the Tool
The Circular Value Proposition Canvas helps companies design value propositions that create customer value while embedding circular economy principles such as durability, repairability, reuse, refurbishment, and resource efficiency. It supports organisations in translating circular strategies into concrete customer benefits and aligning sustainability objectives with market expectations.
What the Tool Is
The Circular Value Proposition Canvas is a strategic design tool used to structure how circular products and services create value for customers while enabling environmental and economic benefits across the product lifecycle. It adapts the traditional value proposition logic to circular business models by integrating mechanisms such as extended product lifetimes, service-based offerings, take-back systems, and resource recovery.
When to Use the Tool
The Circular Value Proposition Canvas is particularly useful when companies are designing or redesigning products and services to integrate circular principles. It can be used when organisations are:
Designing circular products or services
Developing refurbishment or repair offerings
Introducing product-as-a-service models
Creating take-back or resale programmes
Integrating circular features such as modularity or durability
Aligning sustainability strategy with customer value
How to Use the Tool
Step 1 – Identify Customer Jobs: Define the functional, emotional, and social goals (we call them “jobs”) customers are trying to accomplish.
Step 2 – Analyse Customer Pains: Identify frustrations, risks, or barriers customers experience during product acquisition, use, maintenance, or disposal.
Step 3 – Identify Customer Gains: Define the outcomes customers value, such as convenience, reliability, savings, or sustainability benefits.
Step 4 – Define Products and Services: Clarify the product, service, or hybrid offering that delivers the circular value proposition.
Step 5 – Design Pain Relievers: Identify how circular features reduce customer pains.
Step 6 – Define Gain Creators: Identify how circular solutions create additional benefits.
Step 7 – Identify Circular Value Mechanisms: Determine which circular mechanisms differentiate the offering.
Step 8 – Assess Trade-offs and Barriers: Evaluate potential barriers to adoption.
Step 9 – Define Value Capture Logic: Clarify how the organisation monetises circular value.
Step 10 – Establish Proof and Credibility: Identify how the circular value proposition will be validated and communicated.
