The fashion industry consists of global products of the modern age. With the invention of new technologies such as sewing machines at the beginning of the 20th century, fashion industry picked up its pace and the production increased.
The value of the global fashion industry is about 3 trillion dollars. It is estimated that the growth of the fashion industry will increase by 50% over the next 12 years. Whereas, The global Online Clothing Rental Market was valued at $1,013 million in 2017 and is estimated to reach $ 1,856 million by 2023, registering a CAGR of 10.6% from 2017 to 2023. North America is accounted for a 40% share of the global market in 2017, is one of the market leaders beating Europe.
Asia-Pacific is expected to grow at the highest CAGR of 11.4% mainly led by India and China. It is still in its latent phase in the context of adopting the rental clothing trend. North America is leading the online rental clothing trend and is followed by the Asia-Pacific region.
To move rental industries, some initiatives have also been taken. So of the startups are mentioned below-
- Rent the Runway
It is a private type of business, founded in 2009, which provides dresses and accessories on rents. One can rent a cloth for a period of 4 to 8 days and the rate of renting is 10% of the retail price.
- Gwynnie Bee
It offers accessories for women and makes it easier for them to wear smarter.
- Style Lend
It also offers the same features as the above two at an affordable price.
Reasons to move the fashion industry into renting
The fashion industry is known as the second most polluting industry. An average American is estimated to dump 37kg of used clothes annually.
The UK spends £82m every year in order to dump clothes in the landfill. It is estimated that 100 billion of items of clothing are produced every year and 50% of them are disposed within a year.
From toxic chemical use to water pollution and dumping waste products, the fashion industry is considered as one of the most polluting industries in the world.
Due to such reasons, it is very important to move the fashion industry into renting.
The pollution caused by this industry not only causes harm to the environment, but it is also a threat to the public health issue. According to the journal Nature Climate Change, the fashion industry emits almost 1.2 billion tonnes of greenhouse gas annually which is more than that emitted by international flights and maritime shipping combined.
The rental industry will result in less use of new or different clothes. With a decrease in the use of clothes, there will be less pollution. Moreover, if you do not want to wear cloth, instead of throwing or dumping it, you can donate it to someone else or give it for rent.
Renting clothes leads to less use of resources and the same piece of cloth can be used by many people instead of buying every time a new one.
Are Rentals The Future?
An estimate of $500 billion value is lost every year behind clothing that’s barely worn and hard to recycle.
Westfield Shopping Centre in London conducted a recent survey according to which it is estimated that the rental industry could be a key future trend. With an estimate of £923m, the rental industry is predicted to be the best business in the future according to an entrepreneur’s perspective. It is all set and the model is well established for items such as wedding suits for men and party dresses.
Rentals can be the future because-
The price factor is the most important thing for an individual. The renting services provide clothes just at 1/10th of the original price
A business does not need to buy new clothes again and again in order to rent them. A single piece of cloth can be used numerous times by different people providing them their expected profit.
Today is the trend of the fashion industry. With increasing competition, the urge to fashion has also been increased. By the next 10–15 years, renting industry will pick up its pace and it will be very difficult for an entrepreneur to stand in such conditions.
Renting business has many financial benefits as the upfront costs for the rent out premises are often relatively low. Moreover, the maintenance of the business is quite easy and it is a task of less responsibility for you.
Online Rental Marketplace Is Future
online Rental marketplace can also be termed as sharing economy, is going to stay long and most probably can be the trend of the future. People often run behind new cars, clothes or accessories but the most important thing for them to realize is that we are not having enough raw materials for all of us. As Many Ecommerce Companies es takes initiative, Considering environmental problems started online rental marketplace solution —There are variouse companies, that will win-win opportunity to new startups and big players to thrive on the growth in the global online clothing rental market. Online clothing rental business to cater to the thrifty millennials bandwagon showcase the lucrative market opportunities in years to come.
Moreover, as it is discussed, it is going to be a top-ranked business in the next few years. The rental business is the most suitable solution to this problem. Moreover, as it is discussed, it is going to be a top-ranked business in the next few years.
All the bad and good phases of the fashion industry are discussed above. The rental industry can be a boon to the future if used properly. It contributes in many ways including reducing pollution, lesser use of raw materials, a good option from the business point of view and effecting the price.
Using clothes rather than buying them can save your money as well as provide you with a different option every time you borrow.
We cannot stop using such things; we are going to pollute the environment anyhow. But why not do the same to the least possible context?
Spreading awareness today may provide you with a better future for the next generation.