Business Model Guide for sustainable PSS
Introduction
“A business model articulates the logic and provides data and other evidence that demonstrates how a business creates and delivers value to customers. It also outlines the architecture of revenues, costs, and profits associated with the business enterprise delivering that value.” This business model guide includes four business model canvases in furniture's different life stages, where the most significant values can be achieved to support sustainable product-service system (PSS).
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Distribution
Enjoy
Transformation
Return
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BUSINESS MODEL CANVAS (distribution and sales) Key Partnerships
Key Activities
Value Propositions
Customer Relationships Consults Service
Sale Deliver Transportation Distributor
Key Resources
Sustainable consumption
Professional consults
People
Transportation People
Value 4
Channels In-store Live showroom
Product
Cost Structure
Customer Segments
Free shipping Free return
Revenue Streams New product Invisible trust
Mass market
"The best place to experience furniture is in the surroundings where they will be used." (TAKT, 2021)
Value: -Provide the most suitable furniture for customers, thus motivate them to cherish every pieces of furniture they bought. -Provide good experiences to attract customers.
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BUSINESS MODEL CANVAS (use-phase) Key Partnerships
Key Activities
Value Propositions
Customer Relationships
Guidance Repair Retailor Distributor Transportation
Key Resources
Channels
Timeless furniture mass market
Craftsmanship
Redeliver
People
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Sustainable treatment
Professional product knowledge
Transportation
Value
Guide Service
Maintenance guide
Cost Structure
Customer Segments
Warranty
Revenue Streams New product Invisible trust
"One way to reduce the consumption of resources which results in long-term sustainability of resources is product remanufacturing through free-replacement warranty policy..." (Chari, Diallo, and Venkatadri 2013) Value: -Maintenance: provide professional product knowledge for customers to maintain the furniture and motivate sustainable treatment. -Warranty: effect waste disposal at the end of a product’s useful life by keeping product’s functionality and longevity
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BUSINESS MODEL CANVAS (end-of-life: buy/take back) Key Partnerships
Key Activities
Value Propositions
Customer Relationships
Buy back Take back
Transportation
Key Resources
Service Sustainable behavior
Transportation People
Customers 8
Channels Old customers Online registeration Home collection
Timeless product People
Cost Structure
Customer Segments
Revenue Streams New product Invisible trust
“The best way to reduce any environmental impact is not to recycle more, but to produce and dispose of less.” (Lilienfeld & Rathje, 1998) Value: -Close the loop by keeping old materials and resources in the loop and give the old furnitures a new possibility. -Motivate sustainable behavior and lifestyle.
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BUSINESS MODEL CANVAS (resell) Key Partnerships
Key Activities
Value Propositions
Customer Relationships
Collaborate Resell Distributors Collaborators Transportation
Customer Segments
Service Educate
Key Resources
Sustainable awareness
Channels mass market In-store Live showroom
Product People
Cost Structure Transportation Material People
Value 10
Revenue Streams New and old product Invisible trust
Value: -Provide good experiences to attract customers to buy and cherish the old furniture. -Educate and arouse customers's sustainable awareness.
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