FashionRetail

To Rent Or Buy? Will Rental Services Go Mainstream In Retail Industry

The global online clothing rental market is expected to grow over the next decade, according to a new report by Grand View Research.

Published: Feb 24, 2023 5:27 PM

By Jeanel Alvarado

FashionRetail

Add RETAILBOSS as Preferred Source

FashionRetail

To Rent Or Buy? Will Rental Services Go Mainstream In Retail Industry

The global online clothing rental market is expected to grow over the next decade, according to a new report by Grand View Research. The trend is being driven by the increasing demand for high-end designer clothing, along with changing consumer preferences. Moreover, rising incomes and a proliferation of fashion labels are fueling spending on fashion-related items such as clothing.

According to Grand View Research, COVID-19 negatively impacted the online clothing rental market in 2020. As a result of the lockdown, all businesses, except essential services, were closed which disrupted the supply and distribution of online clothing thereby affecting the clothing manufacturers. For instance, in the U.S.

in response to the pandemic, Rent the Runway, a top fashion rental leader in North America, struggled during Covid19 with an announcement of layoffs, temporary pay reductions, and staff furloughs.

However, despite the economic downturn, ehe global online clothing rental market size is expected to reach USD 2.33 billion in 2030, registering a CAGR of 8.5% from 2022 to 2030.

Founded in 2009, Rent the Runway allows customers to subscribe to their rental service, rent items a-la-carte and shop resale from over 800 designer brands…

rental-market-2023-northa3merica-forcast2

Members-only article

Unlock the rest of this story

Join free to keep reading RetailBoss fashion coverage, industry analysis, and market intelligence.

Company

Account name Used publicly if you comment. We encourage your real first name.

Password

Send me RetailBoss newsletter emails through Substack. I can unsubscribe anytime. Confirm that I want to create a free RetailBoss account.

Free access. No credit card required. Your account is created after you verify your email.

RetailBoss is an independent global news publication and business insights platform built for executives, founders, operators, analysts, marketers, investors, and brand leaders. Our reporting covers the retail shifts across luxury, fashion, beauty, technology and marketing strategy.

Since: 2011
Audience: 50 Million+
Coverage: Global Markets

Our editorial stance

We prioritize news value, evidence, attribution, and practical relevance to retail decision-makers. Sponsored work is identified, and editorial coverage is kept distinct from commercial partnerships.