H&M's COS Brand Works With YCloset To Pilot Clothing Rentals


To test out renting attire as eco-conscious shoppers rein in their purchases, H&M said its COS brand has collaborated with the Chinese subscription rental platform YCloset to trial clothing rentals. The world’s second-largest fashion group follows in the footsteps of other fashion industry players like Bloomingdale’s and Banana Republic of Gap Inc. that are lending their attire for a monthly rate, Reuters reported.

H&M has rolled out many independent brands like Arket and COS in recent years. Its core budget H&M chain, however, still reportedly accounts for the large share of revenues. The company noted in a statement that the three-month trial would let it look into the business model, customer demand, potential to scale and sustainability. 

COS Managing Director Marie Honda said in a statement, according to the report, “It is important for us to try new approaches — testing and collaborating to achieve the best outcome for our customer and community — as well as the future of our business.” The company also said per the outlet that subscription rental “has been on our radar for some time and we feel this is a very relevant model for us to explore.”

In a separate development, news surfaced in October that H&M Group had taken a majority stake in Sellpy — a move that follows the fashion retailer’s efforts to become fully circular and support its global expansion. The group began investing in the re-commerce business in 2015 and has invested approximately US$5.07m (SEK50m) via its CO:LAB investment arm.

Sellpy CEO Michael Annör said, according to a report, “We are excited to continue to work even closer with H&M Group to empower everyone to live circular, regardless if they live in Sweden or elsewhere. With the support of H&M Group we can continue to innovate and drive awareness and adoption of re-commerce.”

Founded in 2014, Sellpy could grow its current offering “into a complete platform for second-hand fashion” per the report. It is now gearing up for global growth starting with Germany.



The September 2020 Leveraging The Digital Banking Shift Study, PYMNTS examines consumers’ growing use of online and mobile tools to open and manage accounts as well as the factors that are paramount in building and maintaining trust in the current economic environment. The report is based on a survey of nearly 2,200 account-holding U.S. consumers.