The fashion rental startup said it no longer plans to open any of its stores and will entirely focus on online business in the coming months.
The fashion industry is experiencing a devastating impact of the pandemic. And while some sectors are still afloat, manufacturers and retailers, and in the case of Rent the Runway, rental services that involve offices or special occasions, are experiencing severe difficulties.
Whereas in the past the rental of fashionable clothes or office suits thrived because it gave users many advantages and allowed them to save significantly, now people simply have nowhere to go in beautiful outfits, mass events, and office work for most people is put on pause.
Rent the Runway has followed the path of dozens of major retailers and has officially announced that its management has decided not to reopen offline stores that were suspended due to quarantine. Rent the Runway operates five stores in the U.S. - in New York, Chicago, Los Angeles, San Francisco, and Washington DC. None of these points will resume operations, and it has been announced that this decision will not change shortly.
The company intends to focus its strategic efforts and investments on digital technologies and delivery services. Service development will continue, but users will now be fully migrated to online service. The company's shop in New York will be redesigned and will become an ordering point. Rent the Runway also plans to work on developing its network of distribution points, including partnership agreements with WeWork, Nordstrom, and West Elm.