New research has uncovered the benefits of repairing and reselling items for retailers, highlighting the success of fashion retailers Farfetch and FW in implementing circular economy strategies. Both companies have experienced significant rewards by embracing repair services and pre-owned items. Farfetch, in collaboration with The Restory, has seen a surge in purchases of second-hand items since launching its Secondlife and Donate models. Meanwhile, FW has effectively reduced warranty return costs by 60% through the implementation of a gold standard repair guarantee for its outdoor clothing range.
The key to the success of these retailers lies in their partnership with environmental organizations ReLondon and QSA Partners, who have helped them develop customized strategies to become more sustainable businesses. The collaboration with QSA has even led to the introduction of a free learning platform for brands interested in combining sustainability with profitability.
Farfetch and FW have been actively engaged with ReLondon and QSA as part of the Circular Fashion Fast Forward project for two years. This partnership has allowed them to develop, test, and launch their circular offerings, resulting in numerous benefits for both companies. By embracing circular business models, they have not only strengthened customer loyalty but also significantly reduced costs and environmental impact.
Farfetch plans to expand its re-commerce model by including more product categories and introducing it to more global markets. The company aims to further promote repair and resale concepts and encourage the adoption of sustainable practices within the fashion industry.
The success of Farfetch and FW in the repair and resale sector showcases the potential for retailers to adopt a profitable and sustainable business model. By promoting repair and resale instead of constant replacement, retailers can play a significant role in reducing waste, cutting costs, and contributing to a more environmentally friendly future. As more companies embrace the circular economy, we can expect to witness a shift towards a more responsible and sustainable approach to consumerism.
Useful Links:
1. Farfetch Circular Economy Initiatives
2. ReLondon – Promoting Circular Economy in London
