Hello Rntr – Making fashion rental easy for brands.

Announcing Galileo Ventures investment in Rntr!
By
Team Galileo
April 6, 2022

We’re excited to announce our investment in Rntr - Enabling fashion brands to increase their profitability and sustainability through re-commerce.

Rntr is a fashion re-commerce (rental + resale) platform founded by Shanya Suppasiritad. Rntr gives fashion brands the ability to rent out their product directly from their website, providing an end-to-end customer experience, while Rntr takes care of the rental logistics, making it easy for both brands and consumers.

Since launching in November, Rntr has on-boarded 7 new brands, attracted over 250 rental orders, and increased fashion brands' ROI on each item's productivity by up to 100% in just over ten weeks.

Fashion brands are losing ownership of their brand in the rental market.

Season after season, fashion brands struggle to maximize their ROI for each collection as trends move rapidly, often leaving items discounted and many are left unsold.  

After spending time in the industry, Shanya realised that fashion brands only make 55% ROI instead of hitting 70% of their standard target after-sales and return.

With the re-commerce economy growing faster than fast fashion, typical rental models benefit purely from designers’ items and brand equity — while fashion brands are entirely cut out of the game. Rntr allows brands to earn more from one garment, and consumers can rent directly from their favourite brands from the brands’ websites.

Rntr providing an end-to-end customer experience for fashion brands.

Increasing the profit margins of fashion brands through re-commerce.

While the fashion re-commerce market is set to hit nearly $77 billion globally by 2025, 99% of fashion brands haven't even started participating. Such a dramatic shift would require individual brands and multi-brand retailers to drastically change their business models to adapt to consumers.

It will be critical for industry players to consider how components of these newer re-commerce models are leveraged to create business value. ​​Fashion brands will need to build the right capabilities to ensure they are ready for success in this new world and societal challenges.

As more and more consumers shift towards re-commerce (rental + resale) and responsible consumption, Rntr enables fashion brands to take back their ownership and connect directly to their consumers while achieving this.

Inside the Closet of the Future -  Why fashion is moving away from ownership

From Uber to Spotify, ownership is giving way to on-demand services. What does this mean for fashion?

With the rise of rental and resale, wardrobes of the future are primed to be smaller, more temporary, and filled with pieces designed to last longer. Rntr sees rental as an opportunity to build customer loyalty while taking advantage of excess inventory — a more intelligent, more innovative alternative to end-of-season promotions.

The market game-changer will shift from occasional rentals to total wardrobe replacements. Working towards a completer wardrobe replacement, Rntr recently released capsule collections and increased rental length up to a month instead of only a weekend.

Why we invested in Shanya’s unique insight into re-commerce.

We were first impressed with Shanya's deep knowledge and passion for the fashion industry and clear understanding of fashion brands' problems with inventory.

Adding a layer to this was her insights into how consumers shop and how re-commerce places a pivotal role in inventory control.

Unlike existing rental competitors, we liked that each fashion brand with Rntr rents only its clothes and increases its profitability – helping reduce the environmental impact and improve sustainability for every brand and changing consumer behaviour.

TLDR, tell me in a meme:

Stay tuned for our next investment announcement!

If you’re a first-time founder looking to raise the first round - we want to hear from you! Apply today and we’ll aim to get back to you with real feedback from a real human.
💡  FUN FACT:  Our speed from term sheet to money in the bank 💰 only takes 10 day

About the Author
Galileo Ventures is a VC-accelerator supporting the world's most ambitious emerging founders.
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