Peer-to-peer fashion rental platforms like Pickle are reshaping the industry, offering a sustainable, inventory-free alternative to traditional rental services. With a $12 million Series A funding round, Pickle is expanding its innovative model.
Rental platforms have been reshaping the fashion industry for years. In 2023, the global apparel rental market reached $6.2 billion, more than doubling from $2.6 billion in 2016. Projections indicate that by 2026, the rental apparel market revenue worldwide is expected to increase to approximately $7.5 billion. Companies including Rent the Runway, Nuuly, Armoire, and the U.K.’s By Rotation are among those leading the industry’s expansion, reflecting a broader consumer shift toward sustainability, affordability, and flexibility in fashion consumption.
But unlike platforms such as Rent the Runway, which manage and maintain their own inventory, peer-to-peer (P2P) models facilitate transactions between individuals, allowing users to rent directly from one another’s wardrobes. This decentralized approach eliminates overhead costs associated with storage and garment care while fostering a more sustainable and flexible fashion economy.
Pickle, a rapidly growing P2P rental platform launched in 2022, has seen exponential growth, with more weekly rentals in late 2024 than in its entire first year of operation. The company now offers more than 200,000 rentable items spanning more than 2,000 brands, catering to diverse styles and occasions.
Pickle recently announced a $12 million Series A funding round, co-led by FirstMark and Craft Ventures, bringing its total investment to $20 million. The funding will be directed toward platform enhancements, expansion into new markets, and scaling its operations. “We started Pickle to make renting from each other as easy and on-demand as borrowing from a friend,” Pickle co-founder and CEO Brian McMahon, said in a statement.
Pickle’s model is particularly appealing to fashion influencers and individuals with curated wardrobes. Users can list their own pieces for rent, monetizing their closets while offering renters access to designer items at a fraction of retail prices. This model has gained traction in major metropolitan areas such as New York, Los Angeles, and Miami, where same-day rentals can be facilitated through courier partnerships with Uber and DoorDash. In Manhattan alone, the company reports that one in four women aged 18 to 35 use its service.
While traditional rental platforms grapple with inventory costs and logistics, P2P rental services sidestep these challenges. Companies like Pickle draw inspiration from marketplace giants such as Airbnb and Uber, applying similar trust and safety mechanisms to the fashion sector. “Airbnb is very similar in terms of — you’re letting someone in your home,” McMahon explained. “Now, you’re letting someone borrow items from your closet.”
Once a social platform for swapping style recommendations, Pickle’s founders pivoted into a peer-to-peer fashion rental marketplace a few years ago, with the gamble paying off. Now, Pickle is proving to be a force in the fashion rental space, drawing organic adoption from high-profile users like Remi Bader and Serena Kerrigan. Monthly active users have tripled in the last year with a user base seeing thousands of rentals processed weekly and more than 100,000 pieces available on the platform at any given time. According to Pickle, 25 percent of women aged 18 to 35 in Manhattan now use the app. With recent expansion into Los Angeles and plans to enter markets like Chicago and Miami, Pickle is scaling fast.
What makes Pickle different from traditional rental models is its accessibility — not just for renters seeking luxury for less, but for lenders who want to turn their wardrobes into income streams without needing an influencer-sized following. Unlike affiliate marketing or social commerce, Pickle allows anyone with a well-stocked closet to profit. The platform takes a 20 percent cut of each transaction, which is significantly lower than many resale sites, which keeps the cost attractive for lenders. While Pickle may adjust that percentage in the future, McMahon emphasizes that, for now, keeping fees low is part of the platform’s growth strategy. Pickle also remains hands-off with logistics; renters cover courier or shipping costs, and lenders manage their own garment care, offering a decentralized approach to the rental economy.
High-profile users bring visibility, but they’re not driving the majority of Pickle’s business. “The two best-performing lenders, both making over $40,000 per year on the app, are not influencers,” McMahon told Glossy last year. “A lot of our lenders are just stylish women with great closets.”
While Pickle does offer the option for renters to purchase items outright, it’s not a core revenue driver. In most cases, lenders prefer to keep pieces in circulation rather than selling them off. “They can make more money renting out an item 20 times than they could by selling it once,” McMahon says. That’s allowed Pickle to position itself as the next major player in the rental economy, making luxury accessible while empowering individuals to capitalize on their own closets.
Beyond Pickle, other startups are carving out space in the growing P2P fashion rental sector. The U.K.’s By Rotation has expanded its footprint rapidly, emphasizing community-driven rentals where users rent directly from fashion-forward individuals rather than a corporate-owned wardrobe. The flexibility of these services allows customers to access designer pieces without the financial or environmental burden of ownership.
Luxury fashion is also taking note. High-end brands that once shunned resale now see the value in supporting circular fashion. Labels like Eileen Fisher, Oscar de la Renta, and Reformation now offer in-house resale. Could rentals be next? The secondhand luxury market has already witnessed significant growth, and P2P rental services are positioning themselves as a natural extension of this trend, providing both access and exclusivity in a way that resonates with modern consumers. And, while resale is more sustainable than purchasing new items, it’s still feeding overconsumption habits. As consumers seek out ways to make their wardrobes even more eco-friendly, pivoting to a rent-as-needed model may be the most ambitious effort.
Despite its advantages, the P2P rental model is not without challenges. Fit uncertainty remains a significant hurdle, as renters do not typically have the opportunity to try on pieces before committing. Unlike traditional rental services that provide size guarantees or styling consultations, P2P rentals rely on clear listings and user trust. Additionally, while platforms like Pickle have integrated courier services for same-day delivery in select cities, the logistical complexity of ensuring smooth and low-emissions transactions at scale remains a work in progress.
Consumer education is also critical to mainstream adoption. Many shoppers remain unfamiliar with how P2P rental works compared to established rental models. Platforms must invest in clear communication, seamless technology, and robust customer support to ease the transition for new users. As companies refine their offerings and gain consumer trust, the sector’s long-term success will depend on its ability to merge convenience with sustainability and affordability.
But it may just be the community-driven component that drives the platforms forward. “I have so many funny stories of people I’ve met through Pickle,” a user named Hannah told Sherwood. “It’s honestly been just so fun. I feel like it makes your city feel smaller too.”
Related on Ethos:
