Over the last year, we have seen a 46% rise in consumers shopping online (ONS) and a whopping 57% of people willing to change their buying habits to reduce their environmental impact (IBM). At the same time, brands are tirelessly mapping out their recovery plan to suit the post-pandemic consumer landscape. Retailers have been quick to explore circular business models, like rental, as they prioritise a shift towards sustainable and ethical processes in the fashion industry. Rental clothing can be the answer.
The interest in rental clothing has grown exponentially over the last few years and there is no sign of the market slowing down. Pioneering brands that are quick to adopt the innovative clothing-as-a-service model will undoubtedly lead the way in the shift towards new consumption patterns in the fashion industry.
Not convinced? Here are 5 reasons why you should consider introducing rental clothing into your post-pandemic business strategy.
5 Reasons to introduce rental clothing into your business strategy – in no particular order.
1. Rental clothing offers higher ROI.
Rental clothing offers retailers a higher return on investment (ROI). Think about Airbnb. Rental clothing is a similar principal as it signifies a shift from ownership to usership. It offers consumers an experience whilst generating an additional and recurring revenue stream for retailers.
It’s a revenue stream that is set to become even more lucrative as more consumers turn away from fast fashion. In turn, the rental clothing market is estimated to reach a net worth of £2.3 billion by 2029 in the UK alone!
2. Manage and monetize excess inventory.
The sharp decline in trading at the beginning of the pandemic left retailers with an abundance of surplus stock. This stock literally went ‘out of fashion’ whilst everyone cancelled plans and began living in loungewear. In pursuit of ‘building back better’, retailers are faced with the opportunity to introduce circular processes, like rental, into their future strategy.
By introducing a rental clothing-as-a-service model, retailers can manage (and monetize) their existing inventory and gather valuable real-time data insights on what’s hot and what’s not!
3. Enhanced sustainability credentials.
Rental fashion is inherently more sustainable as it keeps existing textiles in circulation and extends the lifecycle of each garment. This reduces textile waste and limits the amount of clothing that ends up in landfill.
With sustainable cleaning and fulfilment solutions, coupled with net-zero courier services, offering rental will help brands to drive down their emissions ahead of the UN Fashion Industry Charter for Climate Action 2050 goal. Moreover, rental presents an opportunity for brands to strengthen their reputation by having a larger voice in the trending sustainability discussion.
4. Low barriers to entry in rental clothing.
Here’s the good news – ACS make it easy for retailers to join the rental revolution. With our unparalleled expertise, IT infrastructure, proprietary technologies, and operational capabilities, we are perfectly positioned to assist you in entering the fashion rental space.
5. Minimal investment needed.
Introducing rental into your business strategy is low risk. You supply the inventory and let us take care of the rest. ACS trusted rental fulfilment service includes order management, RFID technology, advanced cleaning and sanitisation, repairs, and so much more. We also partner with fashion tech platforms to offer a front-end website and various customer service options.
You make the decisions, and we make it a reality. It truly is low risk and high reward.
Still on the fence about joining the rental revolution?
For more information, email us: firstname.lastname@example.org, or visit the rental section on our website here