How Ikea pioneered Circular Supply Chain (and what I personally learnt from this initiative)

If you want to be a pioneer, you have to be intentional. At least a little bit. ('Syd')

A Circular Supply Chain is a brilliant idea giving recycled products a brand-new life, reduces the waste we produce and makes our lifestyle more sustainable. But changing consumer behavior is easier said than done.

Everyone thinks of changing the world, but no one thinks of changing himself. ('Leo Tolstoy')

How do you get started? And is the Ikea strategy really working? I explored the store very recently with my wife and took the test.

Here is what we can learn from the experiment.

1. Target environmentally conscious consumers

Ikea decided the best way to showcase its sustainability agenda was to recycle old and even damaged furniture and put specific items back in the store for sales.

The highly visible Circular Hub in each store, on the picture of this blog, helps the retailer repurpose and resell used items. Environmentally aware customers can buy these discounted products – good for you, great for the planet!

By giving a physical space in each store with a recognizable layout, Ikea naturally draws the right customers to the Circular Hub.

2. Create an attractive assortment

To keep store and website visitors motivated to explore the Circular Hub area, Ikea adjusts the displayed assortment on a daily basis.

Low and attractive pricing is very much necessary but not sufficient. Like the other store visitors, environmentally aware customers also want to discover and experience interesting products.

3. New habits take time to take root

Humans do not easily change their habits. Making the recycling section a regularly visited area will take time. Patience and innovation will be required to grow this new product segment.

4. Circularity is (not yet) for everyone

I noticed the Circular Hub received limited visitors, and seemed to be an area, reserved to very specific customers. Hopefully that will change over time.

5. Innovation starts with small incremental steps

Leaders educate and share their intentions. Companies like Ikea are experimenting with new ideas to create a new type of consumerism.

There are various ways to reduce our environmental impact. And as a Leader, Ikea looks at different ways to make a difference. That 's very much appreciated.

In the end, did we visit the Circular Hub during our last visit to the nearby Ikea store? Unfortunately not, because the queue to try the newly introduced vegetarian meatballs at their restaurant was so long, we got too tired waiting for lunch to even bother about circularity.

Details matter. It's worth waiting to get it right. ('Steve Jobs')