1、Scaling Circularity intoProfitable BusinessBy Nanna GeleboARTICLE MAY 02,2025 5 MIN READCircularity offers businesses a pathway to growth while addressing environmental challenges.However,scaling profitable circular models requires overcoming obstacles like consumer adoption,operational complexity,a

2、nd integrating circularity into traditional linear business.The good newsis that with careful planning and execution,circular models can drive growth,profitability,andsustainability simultaneously.Examples show circular offerings can deliver 15-20%topline growth,10-15%material cost savings,and reduc

3、ed supply chain and regulatory risksall whilemaintaining margins comparable to linear models.Globally,circularity could cut greenhouse gasemissions and material extraction by With enablers like pricing tools and efficient reverselogistics,businesses can fully realize circularitys potential.This is t

4、he second of three articles on circularity,which covers the challenges and key enablers to get in placeto succeed with scaling circularity.The first article,“Seizing the Growing Circular Opportunity,”covers30%.1 2025 Boston Consulting Group1the circular opportunitywhy circularity and why now.The fin

5、al article will explore integrating circularityinto an overarching business strategy and operating model to drive long-term sustainable growth.The challenges of scalingcircularityWhile circularity offers potential for revenue growth and decreased environmental impact,scalingprofitably can be challen

6、ging.Unlocking circularitys full potential is a long-term journey andrequires commitment and strategic planning from the very beginning to see the full potential.Thechallenges businesses face include consumer adoption friction,operational complexity,andrunning circularity as isolated initiatives.(Se