Press release
Online Clothing Rental Market - Growth by Top Company, Geographical Region, Application, Driver, Trends & Forecast to 2026
In terms of value, the global online clothing rental market is anticipated to expand at a CAGR of 9.8% during the forecast period and is expected to be valued at US$ 1,952.4 Mn by the end of 2026.Rising spending on fashion worldwide is expected to boost overall market growth
A rising preference for gaining access to designer clothing and ever changing fashion statements are fuelling the global online clothing rental market. With a rising emphasis on sharing rather than owning, gaining instant access to items that one covets to wear without repeating the same attire over and over again and a rising awareness about the positive environmental impacts of the sharing economy are propelling the growth of the global online clothing rental market. Rising disposable income among households especially in developing countries such as China and India has stimulated the consumer spending on fashion. This has strengthened the demand for online clothing on a rented basis. In addition, adoption of mobile devices, especially smartphones and tablets across countries such as China, India, Indonesia, Brazil, and other parts of the globe is growing at a fast pace and is expected to fuel the revenue growth of the global online clothing rental market over the forecast period.
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Men and Kids demographic segments likely to witness highest revenue share
Amongst all demographic segments in the global online clothing rental market, revenue from the men and kids segment is projected to be the highest, with a CAGR of 10.3% and 10.4% respectively over the forecast period 2016–2026. The women segment is expected to remain dominant and is projected to account for 61.0% value share over the forecast period. A continuous demand for western designer dresses from women all across the globe is expected to fuel growth of the online clothing rental market over the forecast period.
Peer-to-Peer business model segment likely to contribute to a larger revenue share of the global online clothing rental market
The peer-to-peer segment is expected to contribute comparatively higher revenues as compared with the other business model segments over the forecast period and is estimated to account for approximately 92.9% value share of the overall global market by 2016 end. The hybrid business model segment is also expected to witness favourable revenue growth in the global online clothing rental market, registering a CAGR of 10.9% over the forecast period. This segment is projected to create incremental $ opportunity of US$ 95.0 Mn between 2016 and 2026.
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North America online clothing rental market slated to register highest value growth between 2016 and 2026
Markets in North America and APEJ are expected to contribute significantly to the overall revenue growth of the global online clothing rental market. Rising fashion consciousness and increased spending on fashion in these regions are factors expected to fuel the growth of the online clothing rental market during the forecast period. Amongst all the regions, North America is estimated to dominate the overall revenue share of the global online clothing rental market and is estimated to account for 42.3% market share by the end of 2016. The North America, Western Europe, and APEJ markets are estimated to collectively hold over 90% revenue share of the global online clothing rental market by 2016 end. In all three major markets, the women, men, and kids segments are expected to witness significant growth rates over the forecast period.
Leading market players are focussing on proven business strategies to grab market share
Key companies operating in the global online clothing rental market are Rent the Runway, Poshmark, Elanic Services Pvt Ltd., Dress & Go, GlamCorner Pvt Ltd., Envoged, Etashee, Secoo Holdings Ltd, and Secret Worldwide. These companies are adopting strategies such as new product launches, acquisitions, and geographic expansions to cement their foothold in the global online clothing rental market.
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