Shopping And Economics

After my post about online shopping the other day, this article caught my attention.

“Rather than buying the pants, which retail for around €100 ($135), Ms. Gillis signed a 12-month lease with their designer, the small Dutch fashion label Mud Jeans. The terms: a €20 deposit and monthly installments of €5.

After a year, Ms. Gillis, who is also Dutch, can decide to buy the jeans, return them, or exchange them for a new pair.”

There are a few places in the US where you can rent designer dresses, but it’s typically for only a few nights. That seems like a much more sustainable business model than the jeans.

The woman in the article could buy the jeans for €100 but she’s paying €20 plus €5 per month to rent them instead. Essentially €80 for €100 jeans but you can only keep them for a year.

Not a terrible deal, especially if you prefer trendy clothing and have a high turnover rate for your closet. But not a great discount, especially considering the (I’d guess) high likelihood that you might damage them.

Would you rent clothing like this?

H/T: The Marginal Revolution


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