When it comes to buying or renting designer apparel, Rent the Runway has you covered. The company was founded by two women, Jennifer Hyman and Jennifer Fleiss, in November 2009. It is a great way to access designer apparel without having to spend a fortune. However, renting designer apparel might not be the best idea. Read on to discover what to look for in a runway rental and what to expect if you’re a first-time buyer.
Cost
While many of us assume that Rent the Runway will cost more than other online rental services, the truth is that there isn’t a set number. Rent the Runway’s gross margins are up to 6 percent, and are increasing thanks to subscriber engagement. Twenty-four percent of its subscribers added additional paid items during the third quarter. Its model of controlling inventory by partnering with 780 designer brands has helped it increase its margins.
While most designer clothes can cost up to ten thousand dollars each, Rent the Runway does not have an unlimited subscription plan. A limited plan can cost around $1,000 per month and gives you a few items every month. That’s a lot of money, and isn’t suitable for everyone’s lifestyle. For those with limited time or budgets, however, Rent the Runway is an excellent choice. However, the company’s late fee policy makes it seem like Russian roulette to rent designer clothing.
However, while the company’s revenue has risen significantly, it has continued to incur losses. As of the third quarter of 2021, Rent the Runway had a net loss of $88.1 million, nearly double the $44.3 million it reported during the third quarter of last year. Those losses were largely due to an increase in technology costs and fulfillment costs. This led the company to report a loss of almost $156 million, while its revenue grew by ten percent.
Rent the Runway is facing several changes in its business model, including changing lifestyles and work habits. Founders created the company when people commuted to the office daily and required presentable workwear. The Pandemic brought about many employees to a work-from-home environment, and the majority of employees now work from home at least some days. Other new competitors are emerging as a threat. Rent the Runway acquires clothing from brand partners through profit sharing deals. Those brand partners could start their own rental business and compete with Rent the Runway.
Rent the Runway has also announced a phasing-out of its unlimited rental plan. The service is now offering four tiers below the Unlimited plan. The lowest of the plans is the eight-item plan, costing $135 per month, and allows you to rent four items at a time, with unlimited trade-outs between four styles. The eight-item plan is approaching the Unlimited plan, which was available for only $159 a month.
Size range
The Rent the Runway size range is fairly wide. However, there are no specific sizes for petite and tall women. However, you can order your next set before returning your old one. The website also offers free Fit Do-Overs and a back-up size in case you are not able to wear your rental. You will not be charged for the return shipping. In addition, the service offers a 25% discount for one-time rentals.
The service does come at a cost, which is reflected in the limited plan price. Unlimited plans cost more than $1,920 a year. Limited plans cost about $1,000 per month and are best suited for special occasions. Although the service is convenient, the costs are too high to fit everyone’s lifestyle. For many, renting designer clothing isn’t a feasible option. For this reason, some users may prefer a subscription plan.
While there is a size range that includes plus-size women’s clothes, Rent the Runway does not offer sizes beyond size 22. Their clothing can be purchased for a discounted price or returned at a later date. This is a huge plus for those who are in between sizes. However, it is important to note that the rental range is not gender-neutral, so it’s not appropriate for children and adults who may be masculine-presenting. Despite its name, Rent the Runway is primarily aimed at women.
If you’re attending a glamorous event, renting a Rent the Runway dress will be the perfect solution. The subscription service can be a more affordable way to wear designer clothing and accessories. Additionally, you can expect to receive a substantial discount if you subscribe to a monthly plan. In addition to paying a low amount to rent a dress, you can also take advantage of a size range for children and maternity clothes.
The cost of a subscription to Rent the Runway is prohibitive for many. But if you’re not interested in becoming a monthly member of their service, Rent the Runway may be worth considering. You can order one box and be fashion-conscious in no time. Besides, you can always order more. Besides, you won’t need to worry about getting your clothes dirty! And you’ll save money, too, as you can rent your clothes from any time.
Availability
Rent the Runway is an e-commerce platform that allows you to subscribe to or rent designer fashion apparel. Founded in November 2009, Rent the Runway allows customers to purchase or rent designer apparel. Memberships start at $10 a month and range from two to four months in length. Each subscription lasts two weeks and includes two designer pieces. Users can also opt to buy individual pieces, or subscribe to a whole wardrobe.
Alternatives
Rent the Runway can be a great option for a special event, but you may be hesitant to spend tens of thousands of dollars on one designer outfit. In fact, the most expensive piece of clothing in the fall 2015 collection by Wes Gordon cost $18,000. However, most pieces on the runway start at only a few thousand dollars. This option can help you save a lot of money, since it does not require you to borrow mom’s old clothes. Moreover, there are many cheaper alternatives to Rent the Runway. For example, fashion subscription boxes are available that can help you choose clothing for business meetings and dressy occasions.
Another alternative to Rent the Runway is Le Tote. Le Tote offers professional and formal wear for rent. You can choose to receive one or two totes per month, cancel anytime, and receive your tote in two to three days. You can then return any item that you do not like and keep half of the rest of your wardrobe for free. However, be sure that you choose a plan that suits your needs and lifestyle.
