McKinsey & Company's recent report sheds light on the evolving landscape of consumer product industries, emphasizing the rise of pre-owned, refurbished, and rental models. This shift reflects consumers' growing preferences for affordability, sustainability, and variety.

Studies reveal a stark increase in clothing purchases over the past 15 years, coupled with a decline in item longevity. Many consumers consider garments old after just 1-2 wears, particularly among younger generations more attuned to sustainability concerns. Rental, resale, and refurbishment models offer extended product lifecycles while providing a sense of novelty.

Traditionally, established brands have overlooked the secondhand market. However, they are now venturing into pre-owned and rental sectors.

In 2019, McKinsey & Company anticipates three key developments:

1. More brands will venture into rental, resale, and refurbishment, with established players exploring these alternative ownership models through collaborations or startups.

2. The rental market will witness a surge in brands.

3. Consumers, especially in high-value categories, will increasingly embrace pre-owned or rented products, contributing to the growth of their wardrobes.

Source: McKinsey & Company