Business Model Archetypes

The five business model archetypes for “Products That Last” are intended to serve as a starting point for businesses and designers in thinking about longer-lasting products in a circular economy. They range from being primarily about product to being primarily about service. Click on the archetypes to see the examples.

1. The classic long-life model
Primary revenue stream from sales of high-grade products (e.g. the German company Miele’s washing machines) with a long useful life.

2. The hybrid model

Combination of a durable product and short-lived consumables (e.g. Océ-Canon, printers and copiers). Main revenue stream from repeat sales of the fast-cycling consumables.

3. The gap-exploiter model
Exploits ‘lifetime value gaps’ or leftover value in product systems. Main revenue stream from selling products, parts and services based on the mixed product life of components (e.g. printer cartridges outlasting the ink they contain, shoes lasting longer than their soles).

4. The access model
Provides product access rather than ownership (e.g. the Dutch company GreenWheels’ shared car use). Main revenue stream from payments for product access.

5. The performance model
Delivers product performance rather than the product itself (e.g. hours of thrust in a Rolls- Royce, ‘Power-by-the-Hour’ jet engines). Primary revenue stream from payments for performance delivered.

 

source: www.productsthatlast.nl 

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