Elite currently uses recycled shredded clothing in their mattresses – which already neatly ticks a circular economy box. The problem? The materials are processed in England and shipped up to them. This isn’t ideal for their finances, or the environment. “We want to find someone who can process locally to us,” explains Greg. “Finding someone in Scotland would be ideal.”
This is just one part of Elite’s circular strategy. Subscription plans are another offering. The furniture they install in hotels can be refurbished to as-new condition once it reaches the end of its life, and used again and again. Elite can continuously take products back, remanufacture, and resupply, so clients don’t actually need to purchase them.
This is a products-as-a-service (PAAS) and remanufacturing model. Elite stay in control, and build a portfolio of contracts for a steady income.
“It originally started with looking at one of our products and asking how we could develop its end of life,” Greg explains. “It’s grown into this subscription model – it’s been a year or two and we’ve still got a long journey ahead of us.”