Circular subscriptions come to a close. Here’s why.

Our subscription service makes its final round, but the cogs of innovation keep on turning at HMD.

To make a positive change, you must be brave enough to experiment with new ideas. Some experiments are successful, and some are not, but if we learn from the process, no experiment is ever a failure.

We innovated with an ambitious goal in mind: to define a new type of phone ownership — one that focuses on sustainability and convenience.

And so, Circular was born.

Circular was a subscription-based service for Nokia devices where customers could change phones anytime. If they wanted to upgrade to a newer device, they would send their current device back to us, where it would be inspected, refurbished, and repackaged, ready for the next subscriber who wanted that model. And if the customer’s phone got accidentally damaged, they could get a replacement shipped to them within just a couple of working days. If we couldn’t repair the damaged device for reuse, we’d recycle it.

For almost 2 years, we ran the service in the UK and Germany and found the concept resonated well with many. Subscribers liked the fact that they could easily swap devices, and they also loved that the longer they kept it, the more rewards they received.

But what also emerged from this period was that the structure of the subscription model was not for everyone. We have an incredibly diverse customer base, which means vast differences in preferences and lifestyles revealed the limitations of our new service. So, we’ve made the difficult decision to discontinue our Circular program.

As we said at the start however, no experiment is a failure if we learn something from it – and we learned a lot from our Circular customers. So we’re going to take those lessons and use them to help chart the direction of HMD devices.

Check out some of those key findings below.

Finding #1: Repairability is king and queen

One Circular feature that our subscribers really valued was the fast replacements. If the device got accidentally damaged, you could get a new one sent to you straight away before the original device had even been returned. We know how important it is to stay connected with your family and friends.

When the damaged phone reached us, if possible, we would repair it and release it back into the Circular system, ready for another customer. This was what we dreamt of for Circular—a convenient, fast replacement service for the customer, and as many extra lives for all our mobile phones as possible. We didn’t – and still don’t – want to waste the natural resources and energy that went into making the phone in the first place.

This is where ‘Repair-it-Yourself' (RIY) comes in. We discovered a lot of our customers, even some outside of Circular, wanted the option to have their phone repaired. And lots of you wanted to do it yourself.

Rather than waiting for a replacement phone and posting back the damaged one, it’s now getting easier and more convenient for you to fix your phone at home with repair-it-yourself devices.

That’s where we’re directing more of our efforts to after Circular: we’re doubling down on repairability.

Some of our upcoming devices will feature our even easier Gen2 repairability system – it will make the nightmare of a cracked screen feel like a distant dream. Watch this space.

Finding #2: People want/like to help the environment

We set out to make this a sustainability-first subscription model, rewarding our lovely subscribers with ‘Seeds of Tomorrow’ to say thank you for using their phones for longer.

As much as Circular was about giving subscribers the flexibility to swap and change their phones when they liked, it was also about getting real longevity out of the phone and improving our awareness of our own impact on the planet.

‘Seeds of Tomorrow’ translated into donations for charities and sustainability ventures that we partnered with, and the Circular customer could choose which of these to donate to. The longer you kept a phone in use, the more seeds you earned. The popularity of the scheme proved that a planet-friendly approach is something that’s as important to you as it is to us.

Finding #3: We’ve got early adopters on our side

Whatever we create here at HMD, whatever service we build or feature we cook up, we can’t see it in action without you.

Early adopters are important for technological innovations. Really important. As the first ones to embrace and utilize something new, they are perfectly positioned to drive initial momentum, and to provide valuable feedback that is used to improve things.

Regardless of how an innovative experiment turns out, the insights gained from early adopters are instrumental in shaping future developments and helping to chart the course ahead. Their contribution means the world to us. Whatever innovation we dive into next, we will do so driven by the knowledge that there are mobile phone fans out there who are keen to try out new things with us.

We’re heading in the right direction via the paths less trodden

Running the Circular subscription service in UK and Germany provided us with invaluable lessons and insights, even if it didn't turn out as planned. We are excited to build on this experience and are already developing new ideas and innovations. Stay tuned, as we can't wait to share the exciting developments happening at HMD with you very soon!