The move will the brand now offer plans that provide four, eight or sixteen items each month as opposed to its previous unlimited rental option.
Following close observation for around 18 months, the company has seen a change in consumer behaviour, what people wear and how they shop for their clothes. The previously popular unlimited option allowed users to pay a subscription fee of $159 per month to hire as many items as they wanted. However this option will no longer be available and following observations that people are frequently choosing between four to eight items per month a new subscription service is now in place.
Users can subscribe to a four-item plan for $89 a month, an eight-item plan for $135 is also available as well as a plan for $199 that allows users a total of 16 items. Chief Executive Officer Jen Hyman comments that although this may be a risk and cause upset in some users, that this is the best thing to do moving forward. Hyman comments: “There are of course going to be a segment of unlimited users who are extremely upset about this decision… and this isn’t a decision we made lightly.”
Hyman has commented that this change in subscription plans will help Rent the Runway keep tighter control on its costs whilst also ensuring that customers receive their deliveries quicker.
