Product-as-a-Service

Product-as-a-Service (PaaS) is a business model that involves selling the use of a product rather than the product itself. It is a key strategy in the circular economy that promotes resource efficiency and reduces waste. This presentation will explore the role of PaaS in the circular economy technical cycle.

What is Product-as-a-Service?

Product-as-a-Service is a business model that allows customers to access and use a product without owning it. Under this model, the company retains ownership of the product and is responsible for its maintenance, repair, and end-of-life management.

Rolls-Royce

Rolls-Royce provides Power-by-the-Hour, an aerospace service that provides customers with aircraft engines on a pay-per-use basis. Rolls-Royce takes care of maintenance, repair, and replacement, ensuring the engines are always in top condition.

Caterpillar

Caterpillar, a manufacturer of construction equipment, offers Cat Reman, a remanufactured parts program. Customers can purchase remanufactured parts at a lower cost than new parts and return their old parts for remanufacturing, reducing waste and increasing the lifespan of the product.

Mud Jeans

Mud Jeans is a Dutch denim brand that provides jeans-as-a-service. Customers can lease a pair of jeans for a monthly fee and exchange them for a new pair when they are worn out. The returned jeans are recycled into new products.

Philips Lighting

Philips Lighting provides lighting-as-a-service, a subscription-based model that provides customers with the latest energy-efficient lighting technology without the upfront cost. Customers pay only for the light they use, and Philips takes care of installation, maintenance, and recycling of the old equipment.