Fashion Rental Report: Q1/Q2 2025
A look at what happened in the fashion rental space during the first two quarters of 2025 + soon-to-be-launched database of fashion rental companies.
Welcome to a new series in Circular Fashion News! After each quarter, I’ll share curated reports covering the key news, events, resources, and new companies across circular fashion: Resale, Rental, Repair & upcycling, and Textile recycling.
First up: fashion rental. This first report covers both Q1 and Q2 of 2025. Next, I’ll dive into resale, repair & upcycling, and textile recycling for the same period.
This section brings together all the major news highlighted in the Circular Fashion News weekly recaps during the first two quarters of 2025.
Nuuly became the first major fashion rental business to achieve profitability. In 2024, Nuuly’s full-year sales jumped 60% to $378 million, with an operating income of $13.3 million. The platform has currently over 300,000 active subscribers, more than double Rent the Runway’s 130,000. → Read more
Branded rental provider CaaStle filed for bankruptcy. The company’s CEO is under investigation for financial misconduct. → Read more
Rent the Runway reported signs of profitability in its 2024 full-year results. Cash burn hit a record low and losses narrowed: The company used $6.6 million in cash during FY2024, a major improvement compared to the $70.5 million it burned through in FY2023. In addition, they reported a net loss of $69.9 million, down from $113.2 million the year before. → Read more
For 2025, Rent the Runway announced a focus on growing subscribers (whereas in 2024 its active subscribers decreased). In Q1, Rent the Runway active subscribers grew to 147,157, whereas in Q1/2024 they were 145,837. → Read more
US-based luxury accessories rental company, Vivrelle, raised $62 million in Series C funding. The founder and CEO, Blake Geffen, noted that with the funding, they aim to scale operations, expand inventory, and leverage emerging technologies, including AI. → Read more
US-based P2P fashion rental company Pickle raised $12 million in Series A funding to continue its growth in the US. → Read more
Belgium-based fashion rental company Dressr raised €1 million in pre-seed funding to continue the growth in the Belgian market and expand into the Netherlands. → Read more
The Australian peer-to-peer fashion rental marketplace, The Volte, launched in the UK market. The Volte is backed by eBay Ventures, and has previously operated only in Australia. → Read more
The Scottish luxury accessories brand Strathberry launched a rental service with Kimpton Hotels in Scotland. The partnership allows hotel guests to borrow the brand’s bags during their hotel stay. → Read more
A Swiss bag brand, Freitag, launched its rental program. The rental program has currently one bag model, the Voyager travel bag, for rent. → Read more
Circular Fashion Federation released a study on the state of the European circular fashion market, including market data, barriers, and opportunities for the fashion rental market. → Read more
Good On You released a “Fashion Planet Benchmark Report,” revealing that only 3% of the large brands offer fashion rental. → Read more
A clothing rental service was introduced at a library in the UK. A library in Shropshire now offers 400 clothing items available for rent. → Read more
In every industry report, I’ll take a look at the companies currently operating in the space and highlight new players entering the field.
To kick things off, I’ll release a database of nearly 100 fashion rental companies in the coming days.
In the meantime, check out
’s fashion tech database: it features over 50 rental companies, mainly from the North American market.
Every quarter, I’ll also take a look at the latest data on market size, forecasts, the performance of major players, and funding raised by the industry. This section is designed to provide a brief overview of the fashion rental market.
There are various estimates for the size of the industry, but according to Statista, the global rental apparel market was valued at $6.26 billion in 2023 and is projected to grow to $7.45 billion by 2026.
The largest players in the industry are Nuuly (a subscription rental service owned and operated by URBN) and The RealReal (one of the first subscription rental services in the market).
Fashion rental players that have raised the most funding include Rent the Runway and Caastle (which has since filed for bankruptcy). Overall, the industry hasn’t attracted large amounts of funding, and most players have only raised small pre-seed, seed, or Series A rounds.
This section highlights different types of resources on the fashion rental market: whether you’re a new founder exploring business opportunities, an investor looking at the space, or simply interested in learning more about the industry.
Market analysis of fashion rental Part 1 by The Pattern Maker, including market size data, overview of players in the market, and the different business models of fashion rental. → Read here
Market analysis of fashion rental Part 2 by The Pattern Maker, including more detailed break down of the pricing models, cost structures, and profitability outlook of the players in the market, as well as investment activity outlook. → Read here
An overview of the online clothing rental market by Twice Commerce in 2022 → Read here
A study on the state of the European circular fashion market by the Circular Fashion Federation, including market data, barriers, and opportunities for the fashion rental market. → Read here
Study on the environmental impact of clothing rental by Rent the Runway in 2021 → Read here
Have a resource in mind that should be included here? Leave it in the comments 👉
Thank you for reading! Let’s continue the discussion in the comments, LinkedIn, or Instagram.
xx Tiina