The (r)evolution of Roetz-Bikes
By Tabea Muller, Communications intern at Circle Economy, with additional reporting by Laxmi Haigh, scientific writer and in-house journalist
On a cloudy Amsterdam day, we travel from Circle Economy HQ to circular and social bicycle remanufacturing company Roetz-Bikes.
Located in an industrial area full of alternative cafés and offices, the large doors of the organisation are wide open; we hear thumping hammers, echoing music and metal clanging. We notice that our interview will take place in a large hall dedicated to upcycling bicycles. Then, we see a tall man walking towards us through the door; it’s Laurens Nolet, the general manager.
Guiding us through the large entrance, Laurens describes the mission of the company. Roetz-Bikes is a small, but steadily growing, innovative startup that collects old bicycles, dismantles them into parts and incorporates these refurbished parts into functional, brand-new bicycles. Parts that are obsolete for use are recycled. Laurens also explains that they make no concessions when it comes to using the most sustainable materials the company can get.
Roetz-Bikes is part of a growing number of circular start-ups in the Netherlands, and in particular, Amsterdam. Jobs that contribute to a circular economy account for 8% of work in the country, but it rises to 11% in the capital. The concentration of people within the densely packed city provides the spark for innovation and collaboration, making it an ideal test-bed for circular solutions and jobs, such as Roetz-Bikes. Laurens adds that a key component of its business model is its social return. The composition of the Roetz-Bikes team is diverse; consisting of men and women with limited job prospects and/or the ambition to (re-)integrate in to the labour market, through training in the art of refurbishing bikes.
How did it all begin?
Following the grand tour and introduction, Laurens guides us up a wooden staircase to a meeting room. Here, he tells us how Roetz-Bikes came to fruition.
Roetz’ founders, Tiemen ter Hoeven en Mark Groot Wassink, were inspired by the remanufacturing practices within the automotive industry and developed a business plan to apply this to an industry with an abundance of redundant resources; bicycles. Back in 2009, they started dismantling and reassembling Amsterdam bicycles and eventually offered their products in a small pop-up store in the city. The bicycles made from revamped parts especially attracted “eco-conscious” customers, perhaps because of the rather “refurbished” feel of the bicycles back then, Laurens suggests.
But it perhaps also attracted such customers due to the mammoth load of bicycle waste produced in the Netherlands. Did you know that one million bicycles are discarded every year?
In light of the shocking level of waste resulting from the healthy dutch habit of cycling, it didn’t take long until businesses became interested in the refurbished bicycles. The young entrepreneurs were then asked to prolong the life cycles of thousands of bicycles that businesses were using themselves, as a shared or rental bike for employees and customers. These remanufactured fleets don’t have a refurbished look and feel, Laurens explains. The whole remanufacturing process ensures the bikes are aesthetically and functionally comparable to bicycles made from virgin materials, but with a much lower environmental footprint.
Interest from a range of players, such as high-quality bicycle manufacturers and merchants who would like to offer refurbished bicycles to their customers, is growing. The company is now working with many bicycle-fleets, with plans to expand on the horizon. For example, ING Bank has 50 refurbished Roetz bikes in nine of their offices in Amsterdam Zuidoost, which are said to facilitate over 2,000 trips a month.
Enhancing circularity
Laurens and the company’s ambitions neatly tie in with the principles of the circular economy, which can provide well-being for everybody on this planet. Additionally, the circular economy is creating jobs that enhance the wellbeing by contributing to thriving societies and the equal distribution of wealth.
To maintain a circular supply chain, contracts and business model transitioned from a transaction to a lease contract for Roetz-Bikes. The bikes are rented out as a service and stay an asset of the company. Lease bikes will also be offered directly to consumers in 2020.
Roetz-Bikes is also now developing a circular bicycle — a combination of the right choice of materials and components, smart and connected sensors andGPS technology to ensure fleet management and monitoring, as well as a circular business model with a closed-loop lifecycle strategy. With these innovations, Roetz strives for a very high circularity percentage, in order to protect resources while maximising the return on investment on bicycle assets of its future clients.
*Bicycle tire tube explodes*
This article was written based on an interview conducted with our member Roetz-Bikes to give our readers some more insights into the challenges and opportunities of the circular economy.
