Building the business case for circular business models Part 2: Rental

The potential of circular business models continues to grow in the apparel market—more and more rental and resale experiments and pilots are being launched and market growth is outpacing traditional retail. Nevertheless, for brands looking to design and launch a circular business model, there are many real and perceived barriers associated with their adoption. One such barrier is the lack of clear evidence of the financial viability: the business case. Currently, the best proof that the industry has on the long-term financial viability of rental and resale business models lies in the market’s anecdotal success stories and a number of key industry reports on the topic.