ReCiPSS · Project

Turn Used Products Into Revenue Streams With Circular Manufacturing and Pay-Per-Use Models

manufacturingPilotedTRL 7

Imagine if instead of selling a washing machine once, you leased it, took it back after 5 years, refurbished it, and leased it again — three times total. That's exactly what this project tested with Gorenje washing machines and Bosch automotive spare parts. They built the IT systems, logistics, and business models to make "use-return-refurbish-reuse" actually work at industrial scale. The bottom line: manufacturers keep ownership, customers pay per use, and parts get a second and third life instead of ending up in landfill.

By the numbers

330

washing machines/dryers deployed in pay-per-use pilot

life cycles per machine (refurbished twice, 5 years each)

€150M/year

potential additional revenues from generalized white goods model

80,000

automotive cores handled in reverse logistics demonstrator

€5

cost savings per core through streamlined logistics

€175M/year

potential industry-wide savings from generalized automotive model

consortium partners across 10 countries

80%

industry partners in consortium

The business problem

What needed solving

Manufacturers sell products once and lose control — customers use them, break them, discard them. The manufacturer misses out on recurring revenue, while perfectly good components end up as waste. Meanwhile, reverse logistics for used products is chaotic, expensive, and often not worth the effort.

The solution

What was built

The project delivered an IoT platform for monitoring smart washing machines in the field, an automotive part data exchange platform for managing core returns, a tested pay-per-use business model for white goods, and streamlined reverse logistics for automotive remanufacturing. All backed by pilot evaluation reports with real economic and environmental data.

Audience

Who needs this

White goods manufacturers looking to shift from one-time sales to product-as-a-serviceAutomotive spare parts remanufacturers struggling with inefficient core return logisticsEquipment OEMs exploring circular business models for recurring revenueReverse logistics providers serving manufacturing sectorsProduct-service system consultancies advising industrial clients

Business applications

Who can put this to work

Home Appliances & White Goods

enterprise

Target: Washing machine, dryer, or dishwasher manufacturer

If you are a white goods manufacturer struggling with thin margins on one-time sales — this project developed and piloted a pay-per-use model with 330 washing machines that are refurbished twice across 3 life cycles of 5 years each. The generalized business model projects additional revenues of €150M per year. It includes the IoT platform, smart monitoring software, and the reverse logistics playbook to make it work.

Automotive Aftermarket & Remanufacturing

mid-size

Target: Automotive spare parts remanufacturer or distributor

If you are an automotive parts company losing money on inefficient core returns and sorting — this project built a data exchange platform that streamlines reverse logistics for 80,000 cores, so each core is identified and evaluated only once and shipped directly to the right remanufacturer. The result: cost savings of €5 per core, scaling to potential savings of €175M per year industry-wide.

Industrial Equipment & Machinery

enterprise

Target: Equipment OEM exploring product-as-a-service models

If you are an equipment manufacturer considering a shift from selling products to offering them as a service — this project tested two real-world circular models: one where the OEM controls the entire value chain, and one where third-party remanufacturers operate independently. The pilot evaluation reports cover technical, economic, and environmental results you can use to build your own business case.

Frequently asked

Quick answers

What would it cost to implement a pay-per-use or circular model like this?

The project does not publish specific implementation costs. However, the white goods demonstrator with 330 units and the automotive demonstrator with 80,000 cores give concrete scale references. The pilot evaluation reports include economic benefit analysis for both OEMs and consumers that could inform your cost-benefit calculations.

Has this been tested at industrial scale or only in the lab?

This was tested at industrial scale with real companies. The white goods pilot deployed 330 smart washing machines/dryers with Gorenje in a pay-per-use model. The automotive pilot handled reverse logistics for 80,000 cores with Bosch. Both pilots produced detailed evaluation reports covering technical and economic results.

What about intellectual property and licensing?

The project was an EU Innovation Action with 20 partners. The IoT platform for smart washing machines and the automotive part data exchange platform were developed as project deliverables. Based on available project data, specific IP or licensing terms are not publicly detailed — you would need to contact the consortium partners directly.

How does the IoT platform work for monitoring products in use?

The project developed software integrations between smart washing machines, an IoT platform, and business systems. The platform enriches sensor data and distributes it to the right departments to support operations. This enables condition-based decisions about when to retrieve and refurbish units.

What is the timeline from decision to running a circular model?

The project ran from June 2018 to December 2022, meaning the full development-to-pilot cycle took about 4.5 years across two demonstrators. However, since the tools and business models are now documented, a company adopting the proven approach would likely need significantly less time to reach operational status.

Does this comply with EU circular economy regulations?

The project was funded under the EU's CIRC-01-2016-2017 topic, directly aligned with the EU Circular Economy Action Plan. The pilot evaluation reports include environmental benefit assessments. This positions adopters well for upcoming EU regulations on product sustainability and right-to-repair requirements.

Who can help us implement this?

The consortium included 16 industry partners and 4 SMEs across 10 countries, with KTH Royal Institute of Technology in Sweden coordinating. Key industrial partners like Gorenje (white goods) and Bosch (automotive) ran the actual demonstrators. SciTransfer can help identify the right consortium partner for your specific needs.

Consortium

Who built it

This is a heavily industry-driven consortium: 16 out of 20 partners come from industry, giving it an 80% industry ratio — well above average for EU projects. The consortium spans 10 countries (AT, CZ, DE, DK, FI, FR, NL, RO, SE, SI) with strong representation from manufacturing powerhouses. KTH Royal Institute of Technology in Sweden coordinates, lending academic rigor, while major OEMs like Gorenje and Bosch provided the real-world test environments. With 4 SMEs in the mix, there are also smaller, more agile partners who likely handled specific technology components. The 28 deliverables across the project indicate substantial documented output that potential adopters can reference.

KUNGLIGA TEKNISKA HOEGSKOLANCoordinator · SE
Masarykova univerzitaparticipant · CZ
ROBERT BOSCH GMBHparticipant · DE
SOFTWARE IMAGINATION AND VISION SRLparticipant · RO
CIRCULAR ECONOMY SOLUTIONS GMBHparticipant · DE
EUROSOFT DEVELOPMENT SAparticipant · RO
GORENJE GOSPODINJSKI APARATI DOOparticipant · SI
TECHNISCHE UNIVERSITEIT DELFTparticipant · NL

How to reach the team

KTH Royal Institute of Technology, Stockholm, Sweden — the coordinator of this 20-partner consortium

Order a report on this consortium See KUNGLIGA TEKNISKA HOEGSKOLAN profile →

Next steps

Talk to the team behind this work.

Want to explore how circular product-service models could work for your manufacturing operation? SciTransfer can connect you with the right ReCiPSS consortium partner and help you build your business case.

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