A wardrobe without limits
Wear everything on your wishlist. With this message, published online just before Christmas, Rent the Runway effectively promotes its business model launched over fifteen years ago: the company offers shared fashion. With just a click, customers can rent formal outfits or high-end designer fashion for four or eight days, perfectly suited for a walk down the red carpet. But that’s not all: the New York-based company has fulfilled many women’s dream of an endless wardrobe. Through a monthly subscription, the company ships five or ten items from its full or curated fashion selection to subscribers. Once a month, customers can return all or selected items and receive new ones. Admittedly, unlimited access to premium branded fashion does not come cheap. Depending on the subscription model, customers pay 94 USD for the basic option and up to 144 USD per month for the premium plan. However, the price includes personal stylist advice, shipping, cleaning, and free garment replacement after 60 days. Customers seem willing to pay the price: in Q3 2024, the NASDAQ-listed company increased its gross profit by 4.4 percent to 26.3 million USD.
In Germany, clothing subscriptions declined during the pandemic
In Germany, rental concepts have long been an established practice. However, they are largely limited to workwear, professional clothing, and protective garments. Attempts to establish a sustainable subscription system for fashionable outfits have not gained traction. Instead, blouses, dresses, trousers, blazers, and more are traded via online second-hand platforms. Even the forward-looking subscription model for children’s clothing failed to succeed: returned baby garments and similar items would not have withstood the disinfecting laundry processes required during the COVID-19 pandemic. At least flea markets have returned, allowing discarded clothing to find new users. Nevertheless, the disappearance of subscription-based fashion models in Germany is regrettable, as they could help reduce the flow of fast fashion.
