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Fashion-as-a-Service: Circular Business Model Innovation in Retail

Author

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  • Kim Poldner

    (Research Group Circular Business, Centre of Expertise Mission Zero, Faculty of Business, Finance & Marketing, The Hague University of Applied Sciences, 2521 EN Den Haag, The Netherlands)

  • Anja Overdiek

    (Research Group Circular Business, Centre of Expertise Mission Zero, Faculty of Business, Finance & Marketing, The Hague University of Applied Sciences, 2521 EN Den Haag, The Netherlands)

  • Agnes Evangelista

    (Research Group Circular Business, Centre of Expertise Mission Zero, Faculty of Business, Finance & Marketing, The Hague University of Applied Sciences, 2521 EN Den Haag, The Netherlands)

Abstract

This article seeks to contribute to the literature on circular business model innovation in fashion retail. Our research question is which ‘model’—or combination of models—would be ideal as a business case crafting multiple value creation in small fashion retail. We focus on a qualitative, single in-depth case study—pop-up store KLEER—that we operated for a duration of three months in the Autumn of 2020. The shop served as a ‘testlab’ for action research to experiment with different business models around buying, swapping, and borrowing second-hand clothing. Adopting the Business Model Template (BMT) as a conceptual lens, we undertook a sensory ethnography which led to disclose three key strategies for circular business model innovation in fashion retail: Fashion-as-a-Service (F-a-a-S) instead of Product-as-a-Service (P-a-a-S) (1), Place-based value proposition (2) and Community as co-creator (3). Drawing on these findings, we reflect on ethnography in the context of a real pop-up store as methodological approach for business model experimentation. As a practical implication, we propose a tailor-made BMT for sustainable SME fashion retailers.

Suggested Citation

  • Kim Poldner & Anja Overdiek & Agnes Evangelista, 2022. "Fashion-as-a-Service: Circular Business Model Innovation in Retail," Sustainability, MDPI, vol. 14(20), pages 1-18, October.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:20:p:13273-:d:943346
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    References listed on IDEAS

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    1. Ferraro, Carla & Sands, Sean & Brace-Govan, Jan, 2016. "The role of fashionability in second-hand shopping motivations," Journal of Retailing and Consumer Services, Elsevier, vol. 32(C), pages 262-268.
    2. Arnold Tukker, 2004. "Eight types of product–service system: eight ways to sustainability? Experiences from SusProNet," Business Strategy and the Environment, Wiley Blackwell, vol. 13(4), pages 246-260, July.
    3. Thorey S. Thorisdottir & Lara Johannsdottir, 2019. "Sustainability within Fashion Business Models: A Systematic Literature Review," Sustainability, MDPI, vol. 11(8), pages 1-26, April.
    4. Emma Johnson & Andrius Plepys, 2021. "Product-Service Systems and Sustainability: Analysing the Environmental Impacts of Rental Clothing," Sustainability, MDPI, vol. 13(4), pages 1-29, February.
    Full references (including those not matched with items on IDEAS)

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