Person to Person (P2P)
Person-to-person (P2P) refers to a type of online platform or marketplace that facilitates direct transactions between individuals, allowing them to share, sell, or rent clothing items. P2P platforms have gained popularity in recent years, providing a convenient and sustainable way for individuals to access a wide range of fashion choices while promoting circularity and reducing waste.
Peer-to-peer transactions
P2P platforms enable individuals to engage in direct transactions with one another, cutting out the traditional middleman or retailer. Users can list their clothing items for sale, rental, or sharing, while others can browse and connect directly with the item’s owner. This direct interaction fosters a sense of community and promotes a more personalized and social shopping experience.
Sharing and collaborative consumption
P2P platforms encourage the sharing and collaborative consumption of fashion items. Users can lend or rent out their own clothing, allowing others to access a wider variety of styles and brands without having to make a full purchase. This sharing economy approach promotes sustainability by maximizing the use of existing resources and reducing the need for excessive production and consumption.
Wide range of services
P2P platforms offer a range of services to facilitate transactions and enhance the user experience. These services can include secure payment processing, messaging systems for communication between buyers and sellers, item verification and authentication, and rating systems for user feedback. These features help build trust and ensure smooth and reliable transactions within the P2P fashion marketplace.
Flexible rental periods
P2P platforms often provide flexible rental periods, allowing individuals to rent clothing items for specific occasions or durations. This flexibility appeals to users who are looking for unique or designer pieces for special events, without the need for a long-term commitment or investment. It enables users to access high-quality fashion items that might otherwise be inaccessible or unaffordable.
Logistics handling
P2P platforms can handle logistics such as cleaning and delivery of the rented or sold items. Some platforms offer cleaning services to ensure that clothing items are fresh and ready for the next user. Additionally, the platform may provide shipping or pickup services to simplify the process for both the lender/seller and the borrower/buyer. These logistical support services streamline the overall experience and make it more convenient for users.
Circular economy promotion
P2P platforms play a significant role in promoting the circular economy within the fashion industry. By facilitating the reuse and extended lifespan of clothing items, they help reduce the environmental impact associated with fast fashion and encourage more sustainable consumption patterns. P2P transactions contribute to reducing textile waste, extending the lifecycle of garments, and fostering a more conscious approach to fashion.
Democratization of fashion
P2P platforms empower individuals to participate in the fashion ecosystem beyond being users. Users can become sellers, renting or selling their own clothing items and generating income from their unused or underutilized wardrobe. This democratization of fashion allows for greater diversity in styles and brands, encouraging a more inclusive and accessible fashion marketplace.
Case studies
Rent the Runway
Rent the Runway is a popular P2P platform that allows individuals to rent designer clothing and accessories for specific occasions. Users can browse a wide selection of items, rent them for a short period, and return them after use. This platform promotes access to high-end fashion while reducing the need for individuals to purchase expensive items that may only be worn once or infrequently.
Depop
Depop is a P2P marketplace that combines social media and e-commerce, primarily targeting younger users. Users can create their own online shops to sell both new and pre-owned clothing, shoes, and accessories. Depop fosters a community-driven experience, where users can connect, follow, and purchase items from other individuals, promoting a more sustainable and unique shopping experience.
Poshmark
Poshmark is a P2P platform that allows individuals to buy and sell fashion items, including clothing, shoes, and accessories. Users can create their own virtual closets, list items for sale, and negotiate prices with potential buyers. Poshmark also incorporates social features, such as sharing, liking, and commenting on listings, creating an interactive and engaging shopping environment.
Vestiaire Collective
Vestiaire Collective is a luxury P2P platform that specializes in the sale of pre-owned designer fashion. It offers a curated selection of authenticated items, ensuring quality and authenticity for buyers. The platform facilitates direct transactions between individuals, promoting the circular economy and reducing the environmental impact of luxury fashion consumption.
ThredUp
ThredUp is a P2P marketplace focused on secondhand fashion, offering a wide range of clothing and accessories for women, men, and children. Users can buy and sell gently used items, contributing to the circular economy and reducing textile waste. ThredUp also offers convenient services like cleanout kits, allowing users to sell their unwanted clothing with ease.
References
Botta, V., and I. Cabral. “Durable, Repairable and Mainstream: How Ecodesign Can Make Our Textiles Circular.” ECOS: Brussels, Belgium (2021).
Niessen, BERTRAM MARIA. “Open Source, p2p, social innovation and clothing.” (2010).
Lomas, N. (2023, January 19). By rotation’s P2P fashion rental app is headed to the US. TechCrunch. https://techcrunch.com/2022/04/01/by-rotation-seed/
Jiang, Lifei, Stanko Dimitrov, and Benny Mantin. “P2P marketplaces and retailing in the presence of consumers’ valuation uncertainty.” Production and Operations Management 26.3 (2017): 509-524.