From the very beginning, the concept of Parently and Baby gear as a Service adressed both private users as well as the industry producing the products all parents need.
The values for the parents are clear. Parents only pay for the temporary time products are used, saving time, money, storage and decreasing their impact footprint in the process.
But what’s in it for the producers
A VALUE PROPOSITION THAT MAKES SENSE FOR BOTH CUSTOMERS AND BUSINESSES
For brands and producers, this is a great opportunity to receive recurring, and higher, revenue per customer per product, to build closer relationships with our users, to learn from the continuous feedback loops that we establish and to optimize the use of their products. In this way they take a huge leap towards the Sustainability Development Goals set out by the UN.
As their revenue increases along a products’ lifetime, our rental model also provides them with an incentive to further improve their products’ designs to optimize longevity, repairability, and cyclability.
David Knutsson, Founder, father and CEO describes:
- I know how hard it can be for a product developer to not just change focus, but to prioritize it. Going from a linear model to a circular one is for many a large innovation of the brand. But all new things will have an impact on how things were done in the past. And that can scare some people. What we offer is one of many keys to a Circular Economy where the word Economy is of great significant. If there is no financial incentive to establish a more climate and social friendly solution - the mass won’t.
Parently today work with both global brands such as Bugaboo, Axkid and Babydan but also with smaller producer, who sees our channel as a great tool to reach a larger audience, such as Luie, BBhugme and Parvel.
They understand that partnering with a service provider, like Parently, who´s core competence lies in the operational mechanics of ensuring their products are fit for reuse can smooth out their process to achieve a positive change - and find a new type of customer; the Circulant/Nowner. The one who puts a value to their freedom and want to experience things, not own them.
Our ultimate aim, however, is to encourage brands to take responsibility for their own products so as to incentivise circular design and material recycling at the end of the product’s life.
We do this by taking care of the cleaning, refurbishment, reverse logistics and redistribution of products.
Parently is breaking down the operational barriers for brands to adopt a circular business model.
RECOMMENDATIONS FOR BRANDS
What about brands looking to adopt a circular business model themselves? Here’s 3 advice;
Work together: find startups/partners that add values that complement your business and innovate together.
Of our own experience, to work with a startup is fantastic. Easy to innovate, doing wrong is good and if you’re a large company - they are probably in need of you too.
Just get on with it and make a pilot project: Innovate as you go and test both A, B and C.
You will learn a lot from your first hundred users/customers, we did. Then we updated both our Business, Impact and Tech- plan.
Commit to a sustainable future: circular business models are an amazing business opportunity.
Not only for additional revenue, but also to add a positive impact on people, planet, and profit.