Fashion recommerce: clothing rental and resale are helping to address problems of clothing waste

22 pages, published in Issue 209, August 2021   Report price: Euro 470.00; US$ 615.00

Apparel recommerce is gaining share from traditional online apparel retailing as Gen Z consumers embrace new shopping formats—such as resale and rental—which offer affordability, accessibility, sustainability and social interaction. In addition, retailers are being driven to adopt rental and resale business models faster than ever before as a result of pressures by apparel industry professionals, environmental organisations and governments to contribute to the circular economy and solve the problem of clothing waste. However, brands face a number of major challenges in entering the resale or rental markets because doing so requires significant investment, and the reselling and renting of products pose a complex logistical challenge. This report provides an overview of the recommerce market and includes profiles of three pioneers in recommerce, namely Depop, Rent the Runway, and thredUP. Also, it considers a number of solutions to the challenges faced by brands in adopting rental and resale formats, including employing third-party companies which offer resale as a service (RAAS).

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