Sustainability is on everyone’s mind every step of the product life cycle. Many companies are implementing  circular take-back programs as part of their sustainability initiative programs. But these programs are doing more than just benefiting the planet—what consumers can do with the product at the end of its life is changing how they perceive and value these products.

A recent article by Anna Tari and Remi Trudel dives deep into the psychology behind these programs, revealing how they enhance a consumer’s connection to their purchases and increase the price people are willing to pay.

In 8 studies, Tari and Trudel find that consumers are willing to pay significantly more for the products from the circular take-back programs. The effect holds across different domains, be it apparel, stationary, furniture or tea set. The boost in valuation for take-back products is explained by increase in disposal control and psychological ownership.

Establishing a circular take-back program can be a challenging and costly task for the company: setting up the infrastructure, considering possible liability issues, forecasting the demand — are just a few things to consider. But if it is good for the environment and consumers are ready to pay more for that feeling of closeness and control, it might just be worth it!

You can read the full article here.