DPP and Circular Economy: Models for Secondary Markets

The idea of the circular economy is no longer just a concept or a long-term vision. The Digital Product Passport (DPP) is turning it into a practical and applicable reality, especially in the electronics industry. One of the most significant effects of DPP is that it makes it possible to build and scale secondary markets based on trust, transparency and verifiable information.

This opens new opportunities for manufacturers and market participants to generate value and revenue through models such as repair and resale, remanufacturing, leasing and "product as a service". DPP is not just a regulatory requirement – it is a digital infrastructure that makes these models sustainable and economically viable.

How the Digital Product Passport supports the circular economy

The core idea of the circular economy is for products to be used longer, more efficiently and in more than one lifecycle. For electronic products, this has long been difficult to achieve due to the lack of reliable information, distrust in the actual condition of devices and complex supply chains.

The Digital Product Passport solves these problems by providing:

• product traceability throughout its entire lifecycle
• data on repairs, maintenance and current condition
• information about material composition and recycling options

These elements are key for the development of secondary markets and sustainable business models in the electronics industry.

Secondary markets and their role in the circular economy

Secondary markets include the sale of used devices, refurbished products, spare parts and remanufactured items. They have significant potential but traditionally face one fundamental problem – the lack of reliable and verifiable information.

Buyers often do not know how the product was used, whether it was repaired and what its real remaining lifecycle is. This is precisely where the Digital Product Passport plays a decisive role.

Secondary market models based on DPP

Resale of used products with proven history

One of the most obvious models for secondary markets is the resale of used electronic products with a full and transparent history. Instead of a general description, DPP provides specific data such as:

• date of manufacture and initial sale
• repairs performed and components replaced
• recommended remaining lifecycle

This increases trust and allows more accurate pricing based on the actual condition of the product.

Refurbished products with standardised information

The refurbished electronics market is growing rapidly, but standards are often unclear. The Digital Product Passport can serve as a basis for standardisation, clearly showing:

• which components were replaced
• what tests were performed
• what warranty is provided

This enables better quality control and higher customer trust.

Repair and resale through certified service centres

DPP facilitates the building of ecosystems of certified service centres that work with standardised information. After each repair, the passport can be updated with data about:

• the service activities performed
• the parts replaced
• the date of return to use

Repair becomes part of the lifecycle, not an endpoint.

Remanufacturing and industrial restoration

For more complex electronics and industrial equipment, DPP supports remanufacturing processes. The passport contains information about the design, permissible usage cycles and critical components, making industrial restoration more predictable and economically justified.

Product as a Service (Product-as-a-Service)

In "product as a service" models, the Digital Product Passport supports asset management, maintenance planning and re-releasing products on the secondary market after the end of the contract. This makes these models sustainable and scalable.

How DPP changes the economics of secondary markets

Secondary markets are traditionally perceived as riskier and with lower margins. DPP reduces this risk through transparency and verifiable information, leading to:

• higher trust
• more stable prices
• lower verification and certification costs

This way, secondary markets become a real source of long-term value.

The role of manufacturers in secondary markets

Through the Digital Product Passport, manufacturers can actively participate in secondary markets, protecting their brand, guaranteeing quality and creating new revenue streams. Responsibility for the product no longer ends with the first sale.

Challenges in implementing DPP

Despite the potential, companies need to address issues such as data access management, protection of sensitive information and standardisation among different participants in the value chain.

Long-term impact on the circular economy

The Digital Product Passport can turn secondary markets into a main pillar of the electronics industry, extending product life, optimising resource use and reducing electronic waste.

How

WIARA

supports secondary markets through DPP

WIARA helps companies implement the Digital Product Passport as a practical business tool. Through DPP solutions aligned with the European regulatory framework, WIARA facilitates product lifecycle data management, integration with service centres and partners, and control over information access.

This enables the development of sustainable models for repair, resale, remanufacturing and "product as a service", based on trust and transparency.

Conclusion

DPP and the circular economy are closely linked, and secondary markets are the place where this connection turns into real economic value. The Digital Product Passport creates the foundation for sustainable business models that combine regulatory compliance, competitiveness and long-term growth.