How to sell clothes online and actually make money

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Hello and welcome to Equity, Nerdshala’s venture capital focused podcast where we unpack the numbers behind the headlines. This is our Wednesday show, that time of the week when we come across a topic. Today? Dress.

Natasha And danny And alex Got together to dig into the world of fashion resale and rentals. This is no small market, giving birth to both public companies, unicorns and startups. Recently, well-known fashion rental player Rent the Runway has been filed to be made public, giving us a window into our numbers.


Those figures gave us some questions about how to make money from clothing in a retail context. From our chat:

  • Selling vs Renting vs Reselling: To begin, we wanted to help you group startups into three buckets: those that sell people to customers, those that rent stuff to customers, and those that sell pre-owned items to customers. resell.
  • Rent runway numbers: We had some issues with Rent the Runway’s business model because it appears the company is reducing its clothing items given its cost structure. How Wall Street will price the company, or whether Rent the Runway is hoping to sell a larger company, came up in negotiations.
  • What else should we keep an eye on: To close, Natasha details a number of startups including Queenly, Courtesy, and Rebag. Oh, and DePop (which recently sold to Etsy for $1.6 billion).

Startups are tearing up the old retail model, for which we are here. We’re short here for adjusted EBITDA which reads like magical realism.

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