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A Complete Guide To Start Online Clothing Rental Store 2022
Nowadays, people opt to rent clothes rather than buy or own them when they need an outfit to wear to events or parties. As per Statista’s research, rental apparel market revenue is expected to steadily increase between 2021 and 2026, reaching approximately seven and a half billion U.S. dollars. Stat shows that starting an apparel business can be a profitable option. To generate more profit within a short period, retailers would do well to invest in clothing rental. The trick is finding the right apparel to rent out and the right way to promote your store.
Going online with the idea of a clothing rental business can improve the sustainability of the fashion industry and could be a great business opportunity for retailers. People prefer to wear a variety of premium clothing, so apparel rental businesses will always be in demand. For example, When people don't want to wear the same outfit again, they can opt to rent clothes online. After picking the dress they like, they can return it afterward without having to visit the store, and they will never have to repeat the same outfit again.
In this blog, we’ve broken down every step involved in getting a clothing rental store off the ground as well as covered what it takes to get your inventory up and running.
Benefits of an online clothing rental store over a brick-and-mortar store
Starting an online apparel rental business rather than a physical one has several benefits. One is that your audience is considerably larger than the region your store will be located in. This is important because if you start a rental clothing business onsite, you wouldn't have enough clients since your local audience might not be large enough. By going online, you will be able to reach a much broader population of people across the country.
Additionally, starting your clothing rental business online allows you to avoid several expenses related to a physical store. As a consequence, less equipment and personnel are required to run everyday operations. Also, because you will be working from your home and the increase in expenses would be little compared to a physical business, you don't need to take into account additional rent or energy costs.
Even if you currently operate a physical store for your apparel rental business, you must make it feasible for online reservations. It might expand your consumer base and promote sales. Plus, getting started online is much easier than you may think thanks to renting software like Rides Rental Software.
Steps to follow when launching Rental Clothing Business Online
The following guide will walk you through how to begin renting clothing online, from choosing your niche to getting your first order.
Step 1 - Identify your niche by conducting market research
Market research is the first step in launching any online business, but you also need to identify your product line (or category) before renting out clothing. You will gain valuable insight into your target market when you conduct market research which will help you avoid mistakes and assist you in your business plan. The first thing you should do is learn more about your target market and how other businesses have been successful there.
This will also assist you in identifying your niche since you don't want to launch clothes rental business in an oversaturated market. However, if you can find a way to stand out in a crowded niche, this may work in your favor. Whichever route you take, you must find and define your niche and work out how to dominate it.
Step 2 - Have a business plan to follow
The next step is to write a business plan for your clothing rental company if you are confident that you understand what you want to do. This document will outline your mission and the techniques you'll implement to accomplish your objectives. Your business plan must be drafted carefully so that you may amend it later and refer back to it.
Choose the services you'll offer and the means of generating income. You might provide one-time apparel for special occasions and access to designer labels, or a subscription model that allows users to get a certain quantity of items each month with discounted offers. How you propose to control continuing expenses and sell your services will be outlined in your business plan.
Some questions to add to the Business plan are:
What did you discover through market research?
Who do you want to reach out to and how do you want to do it?
How do you plan to pay for it?
How much revenue do you anticipate generating in the upcoming months?
What objectives do you hope to accomplish?
Keep in mind that this is a living document and that it should expand along with your company. This document needs to be reviewed and updated every six months, especially in the first few years. As your garment rental business expands, you'll be able to use this to create stronger plans and make objectives simpler to achieve.
Step 3: Reach out to the suppliers
Of course, if there were no garments to rent out, a clothing rental business would be worthless. Examining the manufacturers of the clothing line you intend to sell will be beneficial. The most important factor here is what is popular in your industry. Keep an eye out for the best deals to stay within your budget.
Consider looking for wholesalers, where you typically get discounts when you place a large order. You could also purchase the products in bulk from a local or online retailer after spotting a bargain. Another choice is to collaborate with garment manufacturers and give them a cut of the money you get by renting out their garments online.
Alternatively, you might start by renting out the items in your closet if you’ve collected quite the collection. Like if you still have maternity clothes or different chic evening gowns that would be preferable for other people to rent, it could be a great start to your business. This approach won’t only allow you to begin more quickly, but also to earn some money before making the investment.
Step 4: Choosing the right online booking platform
The following step is dependent upon this one. You'll need a place for customers to make reservations and a method to control orders and inventory if you want to run an online rental business. Although you might begin with a spreadsheet, it is best to start with renting software so that you are prepared for the future. Therefore, making the appropriate decision from the start would be a wise step as switching afterward might be challenging.
One such platform is Rides Rental Software, which enables you to efficiently manage every aspect of your clothes rental business. It offers a simple method for taking online reservations, controlling inventory, scheduling availability, creating bills, emailing customers, and facilitating delivery. All of these operations can be handled in one app, so you can take payments and accept bookings quickly.
Step 5: Creating an online store
Without even having a physical store, you can expand your business with a well-built e-commerce website. What makes the biggest difference between a one-time buyer and a devoted, repeat customer is having an attractive and highly-functional website and social media presence. Your brand will be supported by a well-designed website, which will also enhance customers' entire purchasing experiences and forge relationships with your clients.
Rides Rental Software website application helps gain valuable insights on how your business is operating in addition to growing your audience and providing some methods for customers to purchase from you. It also includes metrics that you may monitor to improve business choices and resource management.
Step 6: Building a brand
Emotional attachment and brand loyalty are crucial in the fashion industry. You must ensure that your branding is distinct and consistent since branding is more crucial than ever. This will be used in advertising, on your website, and social media. It must properly convey your message while appealing to your intended audience. It might be challenging to write down thoughts without a strategy, therefore the following steps can help:
Describe your mission.
Get to know your industry
Set your values.
For your company, set objectives.
Decide who your target market is.
Describe your company's history.
Be consistent and add value
Clothes and gown images would play a great role in branding and capturing people’s attention. You might want to hire a photographer and some models to produce lively and alluring images for purchase or promotion.
Step 7: Launching your clothing rental business
After all the business planning and setting up the website, there would come a point where you’ve to launch your business. Setting a debut date for your business might thus be helpful. If you are not happy with your work, you can always go back and make modifications.
It is a good idea to confirm that everything is operating as intended with your friends and family as you are ready to start your clothing rental business. Before going live, you should work out any kinks, notably with the booking procedure and making sure that payments are handled efficiently with the proper order confirmations and notifications.
Step 8: Promote your garment rental company
You must begin promoting your online clothing rental business as soon as you are prepared to launch it. It is better to begin while you are still confirming that everything is functioning. Before your launch, you may start creating some buzz by sharing things on social media and encouraging your friends and family to do the same. Upon debut, this will help in generating an immediate audience.
When your garment rental business is completely operational, you may post additional information about it on social media, in the proper organizations, and even in local media. If you rent out prom gowns, it might also be a good idea to collaborate with regional businesses, such as your neighborhood high school. Let's get started, there are endless possibilities!