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Circular business model for textiles

The textile industry has a large climate impact and reuse of clothes is seen as part of the sustainable transformation of the industry. Now, Daniel Hellström and John Olsson at Packaging Logistics, LTH, present their article on a circular business model that creates a more sustainable fashion trade.

– Published 7 December 2023

Clothes hanging on hangers. Photo.
The business model where used clothes can be put to good use is a result of Daniel Hellström and John Olsson's participation in an innovation project on sustainable e-commerce. Photo: Unsplash

In addition to the actual business model, the work is also interesting because the researchers show how important it is to put the consumer at the center of the innovation process for circular business models, and because they as researchers have also found a way to provide insight into the future of a more sustainable textile industry.

According to Future by Lund's interview with Daniel Hellström and John Olsson, the new business model makes it possible to pass on garments that are no longer used free of charge by donating them in an app - where it is also possible to see which charity organization currently has the most use for the discarded clothes. After the selection in the app is made, and the package is mailed, you can follow how much the chosen organization has collected for those in need.

The researchers' circular business model is presented in the article Let's go thrift shopping: Exploring circular business model innovation in fashion retail published in Technological Forecasting and Social Change.

Read more about the research in the Future by Lund article (in Swedish):
Lundaforskare uppmärksammas för cirkulär affärsmodell för textil (

Daniel Hellström. Photo.

Daniel Hellström

Daniel Hellström is a Senior Lecturer in Packaging Logistics at LTH.

Daniel Hellström — Lund University

John Olsson. Photo.

John Olsson

John Olsson is a researcher in Packaging Logistics at LTH.

John Olsson — Lund University