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

Kim Poldner (), Anja Overdiek and Agnes Evangelista
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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

Sustainability, 2022, vol. 14, issue 20, 1-18

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.

Keywords: circular economy; fashion; business models; experimentation; sensory ethnography; pop-up shop; retail (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2022
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Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:14:y:2022:i:20:p:13273-:d:943346

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