Digital Product Passports: Assessing True Sustainability Through Contextualised Impact Metrics Simply put, a Digital Product Passport (DPP) is a tool that offers relevant and encompassing information about a product and its lifecycle. As such, Digital Product Passports (DPPs) can play a key role in revealing the true impact of circular activities, but only if paired with context-based indicators. Here’s why. By detailing components from raw material sourcing to end-of-life recycling, DPPs enable practices like reuse and repair, essential for sustainable resource management. However, assessing their true impact requires context-based indicators that ensure circular activities align with ecological and social boundaries. Life Cycle Assessment (LCA) is one such method, using DPP data to evaluate environmental impacts across a product’s lifespan. This approach helps identify and mitigate rebound effects—situations where resource savings from circular activities are offset by increased consumption elsewhere. For instance, while extending product lifespans reduces waste, making products more available or affordable may drive higher consumption, which can undermine environmental benefits. DPPs can provide insights on how to manage these unintended consequences, supporting balanced scaling of circular business models. Beyond environmental metrics, a multi-capital approach is essential. This perspective values not only ecological outcomes but also social and economic impacts, such as worker rights and local economic benefits. For example, DPPs can enhance transparency for critical raw materials, aligning circular strategies with broader sustainability goals. Through our CE-RISE project, we connect practical business needs with research and innovation. By refining the concept and the application of Digital Product Passports with real-world insights, we ensure sustainable strategies align with business realities—bridging the gap between theory and practice. Are you interested in leveraging the potential of DPPs together with context-based indicators and a multi-capital approach? Let us work together to create comprehensive solutions to measure circular activities! For further questions, please contact Stephan Multhaupt. Image by CSCP and AI.