In search of sustainable business models, product innovation must fulfil a double objective: the new product must have a higher (market) value, and at the same time a lower eco-burden. To achieve this objective, it is an imperative that the value, the total costs of ownership, and the eco-burden of a product are analysed at the beginning of the design process (idea generation and concept development). The design approach that supports such a design objective, is called Eco-efficient Value Creation (EVC). This approach is characterised by a two-dimensional representation: the eco-burden at the y-axis and the costs or the value at the x-axis. The value is either the Willingness to Pay or the market price. The eco-burden is expressed in eco-costs, a monetised single indicator in LCA (Life Cycle Assessment): an app for IOS and Android, and excel look-up tables at the internet, enable quick assessment of eco-costs. A practical example is given: the design of a new concept of domestic street lighting system for the city of Rotterdam. This new concept results in a considerable reduction of carbon footprint and eco-costs, and shows the benefits for the municipality and for the residents, resulting in a viable business case.

Eco-efficient Value Creation is a method to analyse innovative product and service design together with circular business strategies. The method is based on combined analyses of the costs, market value (perceived customer value) and eco-costs. This provides a prevention-based single indicator for ‘external environmental costs’ in LCA. The remanufacturing of products is an environmental and sustainable approach, in the circular economy, and can deliver lower eco-costs of materials depletion and pollution. From a business point of view, however, remanufacturing seems to be viable in B2B niche markets only. In consumer markets, remanufacturing is less common. The question is how can remanufacturing become a viable business solution for mainstream consumer markets. Traditional ‘green’ marketing approaches are not enough: green has a positive, but also negative connotations, so marketing approaches are complex. By using the Eco-efficient Value Creation method, marketing strategies for the roll-out of remanufacturing in mainstream consumer markets, can be revealed. This approach has led to the development of five aspects, which are key to innovative circular business models, for remanufacturing: (1) buyers differ from the buyers of the ‘new product’ (2) quality must be emphasised in all communications (3) risk must be taken away from the buyer (4) top level service is required to convince the buyer (5) a ‘green’ brand may support the remanufactured product image.