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Paiva, T.M.D. A Systematic Review of Driving Sustainability Through Circular Economy Marketing: Insights and Strategies for Green Marketing Innovation. Encyclopedia. Available online: https://encyclopedia.pub/entry/58342 (accessed on 05 December 2025).
Paiva TMD. A Systematic Review of Driving Sustainability Through Circular Economy Marketing: Insights and Strategies for Green Marketing Innovation. Encyclopedia. Available at: https://encyclopedia.pub/entry/58342. Accessed December 05, 2025.
Paiva, Teresa Maria Dias. "A Systematic Review of Driving Sustainability Through Circular Economy Marketing: Insights and Strategies for Green Marketing Innovation" Encyclopedia, https://encyclopedia.pub/entry/58342 (accessed December 05, 2025).
Paiva, T.M.D. (2025, May 20). A Systematic Review of Driving Sustainability Through Circular Economy Marketing: Insights and Strategies for Green Marketing Innovation. In Encyclopedia. https://encyclopedia.pub/entry/58342
Paiva, Teresa Maria Dias. "A Systematic Review of Driving Sustainability Through Circular Economy Marketing: Insights and Strategies for Green Marketing Innovation." Encyclopedia. Web. 20 May, 2025.
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A Systematic Review of Driving Sustainability Through Circular Economy Marketing: Insights and Strategies for Green Marketing Innovation
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This is a peer-reviewed entry published in Encyclopedia Journal, full entry can be found at 10.3390/encyclopedia5020061
Circular economy marketing (CEM) represents an innovative approach to aligning business strategies with sustainability objectives. This paper explores the role of CEM as a driver of green marketing innovation, emphasising strategies that minimise environmental impact on business competitiveness while enhancing consumer engagement. Using a systematic literature review based on the PRISMA methodology, we identified 39 high-impact studies across multiple industries, categorising findings into key themes, theoretical frameworks, and marketing strategies. The analysis highlights emerging trends, including the shift toward product-service systems (PSSs), behavioural nudging, transparent sustainability branding, and integration of digital technologies such as AI and blockchain to enhance traceability and consumer trust. Findings reveal that while circular economy marketing presents opportunities for businesses to differentiate themselves and build long-term sustainability strategies, significant challenges remain, including scalability issues, consumer scepticism, and risks of greenwashing. Moreover, gaps in standardising impact measurement and industry-specific adaptation hinder wider implementation. Business model innovation, policy support, and collaborative efforts are crucial in overcoming these barriers. This study provides insights for businesses, policymakers, and researchers, highlighting how CEM fosters green innovation and competitiveness. Future research should compare the effectiveness of various strategies to accelerate the transition toward sustainable marketing practices through regulation and interdisciplinary collaboration.
circular economy marketing green marketing innovation sustainable business strategies
The increasing emphasis on sustainability has led businesses to integrate circular economy (CE) principles into marketing strategies, creating a new paradigm known as circular economy marketing (CEM) (e.g., [1][2][3][4][5]). This concept represents a transformative approach to aligning business practices with sustainability goals, offering innovative strategies to address pressing environmental challenges such as resource depletion, climate change, and pollution [3][5][6][7][8][9]. By integrating principles of waste reduction, material reuse, and ecosystem regeneration, CEM goes beyond promoting eco-friendly products—it redefines how businesses create and communicate value throughout the product lifecycle [10][11][12][13][14].
Studies have emphasised the role of green marketing in promoting eco-friendly practices and influencing consumer behaviour [15][16]. Environmental education has been shown to impact students’ sustainable consumption habits, offering insights into green marketing strategies [17]. The intersection of CE and marketing spans themes such as green marketing, remanufacturing, product-service systems, and neuromarketing tools [18]. Design frameworks can be used to analyse and develop marketing strategies for circular products and services [1]. Sustainable marketing aligned with CE principles faces challenges in implementation, particularly in avoiding greenwashing accusations [19]. Innovation in sustainability marketing is crucial, focusing on creating value across the value chain and aligning with societal expectations [20]. Therefore, based on the extended literature review, several research questions guided this study:
  • R1: How does CEM contribute to sustainability and green marketing innovation?
  • R2: What key marketing strategies are used to integrate circular economy principles across different industries?
  • R3: What are the main challenges businesses face when implementing circular economy marketing, and how can they be addressed?
  • R4: How do consumer perceptions and behavioural changes influence the success of circular economy marketing initiatives?
  • R5: What roles do digital technologies (e.g., AI, blockchain, IoT) play in enhancing transparency and effectiveness in circular economy marketing?
  • R6: What are the gaps in current research and policy frameworks related to circular economy marketing, and how can they be bridged?
Key strategies in CEM include product life extension through repair and resale, design for recyclability, closed-loop systems, and collaborative consumption models like leasing and sharing platforms [6][21][22]. These approaches minimise environmental impact and enhance consumer engagement through transparency and sustainability storytelling [23][24]. As consumer demand for ethical consumption grows, businesses adopting these strategies are poised to gain competitive advantages and unlock new market opportunities [25]. Integrating advanced technologies such as artificial intelligence (AI), blockchain, and the Internet of Things (IoT) further drives innovation in CEM by enabling enhanced traceability, personalisation, and efficiency [26]. However, businesses face challenges, including greenwashing risks, scaling sustainable solutions, and transitioning traditional supply chains to circular models [8][22].
The answers to the research questions are crucial due to their profound implications for sustainability, business transformation, and global environmental challenges.
This paper explores the role of circular economy marketing as a catalyst for green innovation, examining emerging trends, challenges, and actionable strategies. This research addresses the pressing need to transition from a linear economy (take–make–dispose) to a circular economy (reduce–reuse–recycle) by integrating marketing strategies that promote sustainability.
A systematic literature review analyses the theoretical frameworks, case studies, and practical applications to provide valuable insights for businesses, policymakers, and researchers aiming to drive sustainability and accelerate the shift toward circular economy marketing [6][27].

References

  1. Chamberlin, L.; Boks, C. Marketing Approaches for a Circular Economy: Using Design Frameworks to Interpret Online Communications. Sustainability 2018, 10, 2070.
  2. Ranta, V.; Keränen, J.; Aarikka-Stenroos, L. How B2B Suppliers Articulate Customer Value Propositions in the Circular Economy: Four Innovation-Driven Value Creation Logics. Ind. Mark. Manag. 2020, 87, 291–305.
  3. Lu, S.; Ngo, T.; Tran, H.T.T. Exploring a Hierarchical Model for Circular Economy Transition through Launching Green Marketing. Sustain. Dev. 2024, 32, 2119–2138.
  4. Supanut, A.; Maisak, R.; Ratchatakulpat, T. Circular Economy Strategies in Practice: A Qualitative Examination of Industry Adaptation and Innovation. Rev. Gestão Soc. E Ambient. 2024, 18, e06723.
  5. Rehman, F.U.; Gyamfi, S.; Rasool, S.F.; Akbar, F.; Hussain, K.; Prokop, V. The Nexus between Circular Economy Innovation, Market Competitiveness, and Triple Bottom Lines Efficiencies among SMEs: Evidence from Emerging Economies. Environ. Sci. Pollut. Res. Int. 2023, 30, 122274–122292.
  6. Hamouda, H.N. Circular Economy Strategies for Business Sustainability: A Systematic Review and Meta-Analysis. Int. J. Green. Manag. Bus. Stud. 2024, 4, 11–20.
  7. Fargnoli, M.; Salvatori, E.; Tronci, M. A Green Marketing and Operations Management Decision-Making Approach Based on QFDE for Photovoltaic Systems. Sustainability 2024, 16, 5941.
  8. Jørgensen, R.; Scarso, E. Information as a Circular Resource—Facilitating Information Exchange to Extend Product-Life. Meas. Bus. Excell. 2023, 27, 651–662.
  9. Hopkinson, P.; Zils, M.; Hawkins, P.; Roper, S. Managing a Complex Global Circular Economy Business Model: Opportunities and Challenges. Calif. Manag. Rev. 2018, 60, 71–94.
  10. Gutentag, J.; Antonia Russell, C. Selling Sustainability: Making Green Advertising More Concrete with Circular Economy Message Framing. Int. J. Advert. 2025, 44, 47–65.
  11. Cui, C.; Shaari, N.; Zainal Abidin, S.; Mohd Ali, N.A. Sustainable Style: Unraveling the Trends and Future of Green Marketing in the Textile and Apparel Industry. Sustainability 2025, 17, 292.
  12. Hermosillas, C.; Moises, R. Impact of Marketing strategies in the promotion of circular products: A systematic review. Gestión En El Tercer Milenio 2024, 27, 461–480.
  13. Kouser, R.; Zahra, K.A.; Memon, M.A.B.; Mahmood, G. A Comprehensive Analysis of Role of Eco-Innovation in Linking Strategic Green Marketing and Service Innovation to Sustainable Products. Sustain. Bus. Soc. Emerg. Econ. 2024, 6, 227–242.
  14. Rao, M.; Bilić, L.; Bast, A.; de Boer, A. What Does It Take to Close the Loop? Lessons from a Successful Citrus Waste Valorisation Business. Br. Food J. 2024, 126, 143–161.
  15. Kanchana, P. Green Marketing in the Age of Sustainability: Consumer Perceptions and Brand Strategy. Nanotechnol. Percept. 2024, 20, 154–163.
  16. Ravichandran, S.S. Circular Economy Elements in Marketing Communications: An Opinion Perspective for a Sustainable Future. Prabandhan Indian J. Manag. 2023, 16, 65.
  17. Prieto-Sandoval, V.; Torres-Guevara, L.E.; García-Díaz, C. Green Marketing Innovation: Opportunities from an Environmental Education Analysis in Young Consumers. J. Clean. Prod. 2022, 363, 132509.
  18. Rejeb, A.; Rejeb, K.; Keogh, J.G. The Circular Economy and Marketing: A Literature Review. ETIKONOMI 2022, 21, 153–176.
  19. Proszowska, A.; Prymon-Ryś, E.; Dubel, A.; Kondak, A.; Wilk, A. Sustainable Marketing and the Circular Economy in Poland; Routledge: London, UK, 2024; ISBN 9781003408642.
  20. Verma, S.; Diwan, H. Marketing Innovation for Sustainability: Review, Trends, and Way Forward. Bus. Ethics Environ. Responsib. 2024.
  21. Kalverkamp, M.; Raabe, T. Automotive Remanufacturing in the Circular Economy in Europe: Marketing System Challenges. J. Macromark. 2018, 38, 112–130.
  22. Chabowski, B.R.; Gabrielsson, P.; Hult, G.T.M.; Morgeson, F.V. Sustainable International Business Model Innovations for a Globalizing Circular Economy: A Review and Synthesis, Integrative Framework, and Opportunities for Future Research. J. Int. Bus. Stud. 2023, 56, 383–402.
  23. Lopes, J.M.; Gomes, S.; Trancoso, T. The Dark Side of Green Marketing: How Greenwashing Affects Circular Consumption? Sustainability 2023, 15, 11649.
  24. Pereira, G.M.; Borchardt, M.; Viegas, C.V.; Bond, A.J.; Vendrametto, O.; Milan, G.S. Facilitating Most Population Engagement with the Circular Economy: Challenges for Academics and (as) Social Media Influencers. J. Clean. Prod. 2024, 463, 142765.
  25. Venkatesan, M. Social and Sustainability Marketing and the Sharing Economy in the Coffee Shop Culture. In Social and Sustainability Marketing: A Casebook for Reaching Your Socially Responsible Consumers Through Marketing Science; Taylor and Francis: Abingdon, UK, 2021; pp. 839–862. ISBN 9781000408027.
  26. Perotti, F.A.; Bargoni, A.; De Bernardi, P.; Rozsa, Z. Fostering Circular Economy through Open Innovation: Insights from Multiple Case Studies. In Proceedings of the Business Ethics, the Environment and Responsibility; John Wiley and Sons Inc.: Hoboken, NJ, USA, 2024.
  27. Maher, R.; Yarnold, J.; Pushpamali, N.N.C. Circular Economy 4 Business: A Program and Framework for Small-to-Medium Enterprises (SMEs) with Three Case Studies. J. Clean. Prod. 2023, 412, 137114.
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Online Date: 20 May 2025
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