Circular Economy

The term circular economy (sometimes referred to as ’re-commerce’) has gained a great deal of popularity among businesses and governments in recent years. The number of interpretations of the term has also grown.

In the current retail landscape, sustainability is a growing concern driven by consumer expectations and regulatory requirements. Retailers, distributors and manufacturers are faced with the challenge of finding environmentally friendly solutions to reducing their inventory.

Circular Economy and Secondary Markets

The circular economy relies heavily on the existence of a secondary market, to facilitate the transfer of excess or unused inventory from one party to another.

Auctions are a key part of the secondary market, providing a platform for buyers and sellers to connect, exchange goods and prevent those items from potentially going to landfill. Keeping products within the economy also reduces the need to produce new goods, meaning less demand for raw materials and energy.

circular economy diagram displaying auctioned, recycled, manufactured, consumed or used, and waste goods

John Pye’s services are instrumental in supporting our clients with their circular economy commitments, by providing access to the essential secondary market. Leading UK and European retailers are using John Pye’s bespoke online auction platform and live sale rooms to sell items sourced from retail end of line, returns, cancelled orders, insolvency, and government contracts.

Extending the life of products and reducing waste

Our fully managed auction sales process is proving to be a perfect solution for our clients to sustainably release inventory, while protecting brand equity and minimizing financial loss.  In addition to the auction side of the business, we also support clients via our Technical department, which has the facilities and expertise to further prolong the life of products and increase returns for their goods.

Like John Pye Technical department, some of the biggest names in retail are looking at ways to prolong the life of their goods for customers with the following initiatives:

IKEA looks at how it can reduce waste and prolong the life of its products through the use of common fixtures for multiple products and the availability of spare parts to fix items. The company is also experimenting with rental and buy-back programs, allowing customers to return used products for resale or recycling.

Zara has introduced initiatives to prolong the life of their garments. ‘Zara Pre-Owned’ offers individuals in the UK the opportunity to resell their Zara items. They also have a service to repair Zara garments and customers can donate clothes which will be redistributed or sold via charitable partners.

IKEA looks at how it can reduce waste and prolong the life of its products through the use of common fixtures for multiple products and the availability of spare parts to fix items. The company is also experimenting with rental and buy-back programs, allowing customers to return used products for resale or recycling.

Zara has introduced initiatives to prolong the life of their garments. ‘Zara Pre-Owned’ offers individuals in the UK the opportunity to resell their Zara items. They also have a service to repair Zara garments and customers can donate clothes which will be redistributed or sold via charitable partners.

With our team of skilled engineers and fully equipped workshop we can test and refurbish most electrical products, such as TVs, Desktop and Laptop Computers, Smartphones, Cameras, Audio and Electrical Beauty. A range of services are used on electrical products including diagnostics and troubleshooting, component level repairs, spare part procurement and supply, firmware updates, operating system updates and installation.

As we are an Environment Agency T11 exemption registered facility with a spare parts harvesting policy in place to ensure we maximise value from functional spare parts removed from products otherwise deemed as damaged beyond economic repair, reducing the amount of WEEE disposal and further reducing the contribution to landfill.

At John Pye, we also have a robust recycling policy for excess packaging and goods not fit for sale, further reducing our, and our clients, impact on the environment. We also, where possible, source our supplies from businesses local to our auction sites, to reduce the need for unnecessary transport and support the local economies.

Talk to us today about how John Pye can support your business commitments to the circular economy and improving sustainability.