Rent the Runway targets mini-fashionistas with big new launch
Parents can now rent designer threads for their kids.
On the heels of a major financing round, Rent the Runway is making its first foray into children’s clothing — the fastest-growing apparel sector in the United States — with the launch of Rent the Runway Kids. The new offering will serve as an extension to members’ current monthly subscription services, and include styles from such designers as Chloé, Fendi, Stella McCartney, Little Marc Jacobs, Marni, Philosophy, Milly Minis, and LoveShackFancy Kids.
Rent the Runway Kids will cater to girls’ sizes 3Y to 10/12Y and be available via reserve, allowing customers to rent items for four or eight days. The platform will have built-in flexibility to add more than four items per rental order, aimed at shopping for “mommy and me” special occasions.
In addition, Rent the Runway is launching a feature called “Extra Spots” for its Unlimited and Update memberships. It allows members to add a limitless amount of additional spots to their current Unlimited and Update accounts, which provide access to designer clothing on rotation for a set price. Members can increase their number of spots each month to as many as needed, with the ability to flex up or down each month. Each additional spot will cost $39 per month for Unlimited, and $25 for Update.
Rent the Runway recently obtained a $125 million investment that brings the company’s total valuation to $1 billion, making it colloquially known as a “unicorn” startup. The new financing is the largest funding round Rent the Runway has raised to date, and brings total equity raised to approximately $337 million. The retailer said it would use the funding to broaden its assortment and category offerings, among other planned accelerations of its operations.