- Designer fashion retailer Rent the Runway is facing complaints from customers as orders for special events are failing to arrive on time or being cancelled due to fulfilment issues.
- According to the company’s blog, these issues began on September 13th as the company is in process of updating its warehouse system to improve overall customer experiences.
- The company’s Chief Supply Officer has announced he will step down at the end of the year, although it is unclear whether this decision is motivated by the current operational issues.
Analysis and Comments
- Rent the runway clearly has an interesting offer – with memberships from $89 per year. But, in their own marketing material they highlight one of the key reasons customers use them is… “2 day shipping included. Always” – so this is a big setback.
- The problems they are experiencing (including taking no new event orders until after Oct 15th) remind some earlier logistics based challenges in the fashion industry (ASOS, M&S and even back to Mothercare).
- Players in this sector must lead on price, choice or convenience (including ease of website use & delivery choices & consistency).