In an effort to take advantage of one of fashion’s fastest growing areas, Urban Outfitters is tapping into the clothing rental market. The company is rolling out a monthly service through a new business named Nuuly that enables customers to borrow six items from its brands, outside labels and vintage pieces, The Wall Street Journal reported.
Urban Outfitters Chief Digital Officer David Hayne said, according to the outlet, “We certainly don’t think the customers are just going to stop purchasing. Purchases make sense for things you know you’re going to use often; rental makes sense for things you would like to try.”
Through the service, shoppers select garments that will come with a prepaid postage label and reusable bag. At the end of the month, they return them to receive six more. Once the attire is returned, it is washed, dry-cleaned and inspected prior to being mailed to another shopper.
According to the report, the company is aiming to bring in new consumers and boost purchases made by existing customers. Hayne said the effort is on target to generate $50 million in annual revenue and 50,000 subscribers within one year of operation.
News surfaced earlier this year that American Eagle Outfitters was testing a subscription offering to allow consumers to have “unlimited access” to clothing for a fixed fee on a monthly basis. Consumers can browse selections that get refreshed on a weekly basis. Shoppers are told they have to pick eight items at a minimum in order to have a box sent to them, but the site suggests that they choose at least 20 pieces. Consumers can rank their favorite choices, and the site will aim to mail out those selections before the others. Shoppers then send the items back to the retailer using a free prepaid envelope.