Rent The Runway, a subscription-based company offering high-end designer clothing for rent and resale, is booming as its target consumers turn to more affordable luxury options without sacrificing quality, according to a senior executive at the company.

Why it matters

Brands such as Rent The Runway, with alternative business models including rentals and resale, offer opportunities for premium and luxury brands to acquire new customers chasing more affordable luxury.

By the numbers

• In Q3 2022, Rent The Runway recorded quarterly revenue of $77.4m, demonstrating strong 31% year-over-year revenue growth.
• Total subscribers increased 17% year-over-year to 176,000 subs.
• It delivered a...