Circular Retailing Increases Accessibility and Sustainability
Pro Tip: Consumers continue to engage in resale and recommerce options across retail in an effort to not only be more sustainable, but also to keep older fashion and home trends alive. Mainstream retailers embracing this trend see this as a long-term brand extension instead of a fad and are welcoming customers to shop in both traditional and resale formats.
Resale continues to grow at a rapid rate, which coincides with the ever-rising number of returns. In 2021, the U.S. saw $761 billion in returned products, with 20% of those unable to be resold and instead ending up in the landfill, according to the National Retail Federation and BBC, respectively. Tapping into the growing resale trend and furthering its own circular approach to retail, Eddie Bauer — part of Authentic Brands Group and SPARC Group — launched a resale arm of its (Re)Adventure rental program this past summer.
To execute the initiative, the retailer teamed up with logistics firm Arrive, resales site ThredUp and upscale company Looptworks. This year alone, Eddie Bauer was one of more than 30 brands to join ThredUp’s resale-as-a-service program, a platform in which consumers receive store credit from the retailer based on the condition of the apparel, footwear, accessories and gear.
“At Eddie Bauer, we believe that outdoor experiences should be for everyone, and it’s our mission to make the outdoors more accessible for all,” Kristen Elliott, vice president of marketing at Eddie Bauer, told Retail Leader Pro. “We also believe in preserving the natural resources and the environmental conditions that allow our community of outdoor enthusiasts to thrive.”
Entering into a circular commerce model with the (Re)Adventure program ties directly back to the brand’s mission and core values of accessibility, sustainability and innovation. Both Eddie Bauer Rental and Resale programs help extend the life cycle of its products and allow consumers to access or purchase products at lower prices.
“Items available for resale typically start at 20% to 60% off the original sales price, while renting a product is an even smaller portion of the cost to purchase new,” Elliott explained.
Recommerce’s Rewards
The benefits of recommerce are many fold for a retailer such as Eddie Bauer.
“lt allows customers to shop our products in three different ways, all while providing more accessible options to outdoor apparel and gear,” Elliott said. “Whatever a customer needs, we hope that our (Re)Adventure program can help more people get what they need to have outdoor experiences.”
The (Re)Adventure program also helps the retailer extend the life cycle of its product to support a more sustainable model without jeopardizing the consumer experience. This directly ties back to two of the brand’s sustainability goals:
- “Design for versatility, utility and longevity” and
- “Embrace circular business models.”
For consumers, in addition to sustainability benefits, they can now purchase like-new Eddie Bauer gear and apparel at a lower price straight from its (Re)Adventure site. This relieves some concerns as many consumers believe that renting clothing or products can be a hassle, especially with the return process. For example, the effort to return an odd-sized item like a tent or camping chair in the mail may seem daunting. To manage the logistics, Eddie Bauer partnered with Arrive, a reverse logistics company, whose technology is used on the retailer’s e-commerce site to ensure Eddie Bauer offers the best customer experience from start to finish, Elliot said.
What’s Next
Elliot sees a positive evolution of resale moving forward. She expects to see more concierge travel and experience offerings where retailers partner with hospitality brands, such as a hotel, so that consumers can add on clothing or gear rentals to their trip booking.
“This would allow a traveler to take many adventures in one trip without having to pack all the extra items needed for each experience,” Elliot explained. “Imagine, going to ski in Jackson Hole and then extending your trip on a beach in California without having to lug around your ski bag, pay extra baggage fees or even rent a larger sized car to carry gear. International outdoor trips would be incredibly convenient and much more comfortable, especially when the customer is able to select what clothing and gear they want in advance. With Eddie Bauer Rental, we can ship apparel and gear anywhere in the continuous U.S. to outfit your adventure.”
And in further moves to keep high-quality fabric remnants out of landfills, Eddie Bauer partnered with Looptworks, a certified B Corp., to collaborate on the development of unique product collections made from unsellable goods. Earlier this year, Eddied Bauer launched its first (Re)Form Collection, offering three bag styles in four colorways, which are made from imperfect mineral wash cotton sweatshirts — avoiding more than 1,600 pounds of waste.