Nuuly, Urban Outfitters Inc.’s ambitious new stand-alone subscription rental business, leverages the company’s three brands — Anthropologie, Free People and Urban — by putting their products into rotation, while also layering on apparel from other sources, with the goal of targeting a wider audience than simply the range of ages across its three brands.
The last time Urban launched a new brand was BHLDN in 2011, and prior to that, Terrain bowed in 2005. While Nuuly doesn’t have a physical presence — at least not yet — it’s still a big deal.
Betting on the growing appeal of subscription rental services, Urban expects Nuuly, which charges $88 a month for a box of six items, to do significant business. Nuuly is targeting 50,000 subscribers in the first 12 months after the launch, which translates to revenue of $52.8 million, said David Hayne, chief digital officer of Urban Outfitters Inc. and president of Nuuly.
Customers receive more than $800 worth of initial retail value per box on average for the $88 a month, the company said. Subscribers can wear the styles as often as they want and trade them in the following month, infusing newness and variety into their wardrobes. If a customer falls
Nuuly Subscribes to Burgeoning Apparel Rental Market
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