The usage performance functionality of the product

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the usage (performance, functionality) of the product against a fee, and are termed as use-oriented (UO) PSSs. Various rent- and lease-based business models have emerged in TCF sectors in the recent years. VIGGA and Katvig are Scandinavian children s clothing brands based upon such lease-based subscription business model. For instance, VIGGA charges a subscription fee of roughly 48 per month with a subscription period ranging between 3 and 27 months to receive 20 pieces of clothes. MUD Jeans is a pioneering example of the leasing business model; the member pays a fee of 25 one time to receive a pair of jeans in return, followed by a payment of 7.5 on a monthly basis for 12 months. After 12 months, the user receives an email from MUD Jeans prescribing 3 options: keep them, ” “ switch them, or send back. While in the fi rst case the user keeps the jeans pair, in the second option he/she pays a switching fee of 10 for the fi rst month and sends back the old jeans to receive a new pair in return. In the third case, the user sends back the jeans to receive a 10 voucher to use anytime later (Mud Jeans 2016 ). Such UO-PSS models have the potential to change the consumption patterns by reducing the need for product ownership, and in addition incentivize the manufacturers and brands in developing products that last longer through various design for …” approaches, e.g., design for upgradability and design for reparability. In the renting model, many clothing brands have launched this new concept, such as Uniforms for the Dedicated (under the concept The Collection Library ), Fillipa K ( Make it Last ), Rent-a-Plagg ( Are-360 ), among others allowing customers to rent key pieces from current collections primarily special occasion wear such as suits, dresses, and accessories. Several online retailers, like Rent the Runway, Le Tote, etc. have also ventured into such rental schemes, by renting out designer labels under various rental schemes (fees and return periods) and addi- tional services (e.g., free drop-off, style, and mix-match suggestions). 120 R. Pal
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In contrast, many brands have launched services facilitating product life extension, through repair and maintenance services and/or by selling a durable product through warranty. Nudie Jeans, for example, is a Scandinavian denim brand which offers its customers free in-store repair services which contributes largely to the sustainability image of the brand. For consumers who are unable to visit the store are offered free DIY repair kits. In these PSSs, the ownership lies with the customer; however, such servitization schemes aim at extending the product life- time and durability and are called product-oriented (PO) PSSs. In connection, collaborative consumption is also an important movement changing the consumption landscape based upon the idea of sharing and collabo- rating to meet certain needs, products, and services. In the TCF industries, col- laborative or sharing business models are mushrooming in the recent years, e.g.,
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