WHAT IS CIRCULAR TOURISM

To develop a new business, it is necessary to proceed with the creation of a business model. We introduce a fundamental tool for any business development: Osterwalder and Pigneur's Business Model Canvas. It is nothing more than a table divided into 9 blocks, which allows us to graphically visualise the various blocks of our business, ensuring that we can analyse every important aspect of our business development.  

Elements of the Business Model Canvas
1. Value Proposition: Describes the benefits that customers can expect from a company’s products and services. It summarizes all the complexity of the sales pitch into something that customers can easily grasp and remember.
2. Key Resources: Key resources are the assets required to provide and deliver the necessary elements involved in Key Activities. Key Resources categories are physical, intellectual, human and financial , and they are usually scarce. .
3. Key Activities: Key Activities are basically the products or services that the company carries out and offers. They can be of great variety depending on your business. 
4. Key Partners: Key partners are the network of suppliers and partners who complement each other in helping the company to create its Value Proposition.
5. Costs: The cost structure is linked to the business model. Changing the business model will change the cost structure. There are two kinds of costs:
Exploitation Costs that allow current revenue flows: Suppliers, Operative costs, Commercial costs.
Exploration Costs that create the conditions for the future and new revenue flows:
Research & Development of new products or services or even Marketing efforts to increase the customer base in the future.
6. Customer Segments: Customer Segments are one of the most important elements in the Business Model Canvas. Customer Segments define the different groups of people or organisations an enterprise pursues to reach and serve. 
7. Channels: Value propositions are delivered to customers through communication channels, distribution channels and sales channels.
8. Customer Relationships: The Customer Relationships are the contacts with the customers. Customer Relationships are of three main types: customer acquisition, customer retention and boosting sales (upselling).
9. Revenue Streams: A business model can involve two different types of Revenue Streams: Transaction Revenues -one-time payments, and Recurring Revenues like subscriptions or support and service. Revenue Streams Generators are: Sales, Usage fee, Subscription fees, and added revenue from advertising.



When applied to a circular business, as in our case, the business model Canvas meets the triple bottom line, explained in details in the Module 4, developing further building blocks. The 3 P's stand for Profit, People, & Planet. As can be easily understood, this expands the relationship of our business beyond that of economic profit alone. People (society) and the planet are also taken into account. 

This is the case for the generation of the value proposition, which will now also include the social value block and the value of the planet. We will then see the take-back-system block, and the adoption factors block added as well. 

In the tourism sector, the Circular Economy principles can be applied to various business categories, creating opportunities for increased profitability and sustainability. By adopting circular practices, tourism businesses can attract eco-conscious customers, reduce operational costs, and improve their reputation.


PRACTICAL APPLICATION

Practical application involves implementing circular principles in real-world scenarios within various tourism business categories. Here are some examples of how these concepts are applied in practice that can also be displayed in the Digital Story “Archontiko Mytilineou Skretaion” :

Accommodation

● Energy Efficiency: Use energy-efficient lighting and heating systems, and generate energy from renewable sources such as solar or wind power. This reduces operational costs and attracts eco-friendly tourists.
● Waste Reduction: Implement recycling and composting programs, encouraging guests to participate in sustainable practices during their stay. This reduces waste and creates a positive brand image.
● Sustainable Materials: Construct or renovate using sustainable and recycled materials, and source local raw materials to minimize the carbon footprint.

Food and Beverage

● Sustainable Sourcing: Establish partnerships with local farmers and producers to source fresh and organic ingredients. This supports the local economy and reduces transportation-related emissions.
● Zero-Waste Practices: Implement zero-waste recipes by reusing food scraps and peels, and encourage composting. This reduces food waste and operating costs.
● Interactive Experiences: Offer interactive food production and preparation experiences to engage guests and promote sustainability. GREECE DIGITAL STORY

Entertainment for Tourists

● Recycled Materials: Use recycled materials for props and stage setups, and promote eco-friendly events that align with sustainability. This reduces the environmental impact of entertainment activities.
● Cultural Performances: Showcase traditional customs and practices in performances, creating a connection with local culture while emphasizing sustainability.
● Community Collaboration: Engage with local communities to create events that reflect local traditions and encourage sustainable practices.

The case study for this sub-module comes from Greece: “Archontiko Mytilineou Skretaion”  

Osterwalder, A., & Pigneur, Y. (2010). Business model generation: a handbook for visionaries, game changers, and challengers (Vol. 1). John Wiley & Sons.
Correia, Maria. (2019). Sustainability: An Overview of the Triple Bottom Line and Sustainability Implementation. International Journal of Strategic Engineering. 2. 29-38. 10.4018/IJoSE.2019010103.