'CUTTING EDGE': Fashion startup shakes up the rental industry

Key Concepts

• Pickle: A peer-to-peer fashion rental platform enabling users to rent luxury clothing from other individuals' closets.
• Sharing Economy: A model where individuals can rent or share assets like homes (Airbnb) or cars (Uber).
• Peer-to-Peer (P2P) Marketplace: A platform connecting individual buyers and sellers directly, without a central intermediary.
• Dynamic Supply: The ability to access a constantly evolving and diverse range of fashion items based on user contributions.
• Venture Capital Funding: Investment from firms that provide capital to startups and small businesses with perceived long-term growth potential.
• Scrappy Approach: A resourceful and cost-effective method of building a business, often involving founders taking on multiple roles.

Pickle: A Peer-to-Peer Fashion Rental Platform

This segment of "Mornings with Maria" highlights Julia O'Mara, co-founder and COO of Pickle, a clothing rental platform. The company aims to make renting and lending luxury fashion items accessible and affordable.

Genesis of Pickle

Julia O'Mara and her co-founder, Brian, initially worked together at Blackstone. They left to start a different company, but during that process, they observed a significant market gap. They noticed a growing interest in renting and sharing clothes directly from each other's closets. This insight, coupled with the success of other sharing economy platforms like Airbnb and Uber, inspired them to launch Pickle as a peer-to-peer fashion rental marketplace.

How Pickle Works

Pickle operates as a peer-to-peer platform where users can rent items from other people's closets.

• For Lenders: Users download the free Pickle app, upload photos of their luxury clothing items (often from their Instagram or camera roll), and list them in under 60 seconds. They manage their "closet" from home. When a rental request is submitted, the lender can accept it. The item is then picked up by a courier for delivery to the renter or shipped directly.
• For Renters: The platform offers access to a dynamic supply of fashion items, featuring trendy styles from fashion-forward individuals across the country. Users can rent locally, with same-day delivery available in cities like New York, or rent items from across the country via shipping. The name "Pickle" is derived from the idea of helping users out when they are "in a pickle" and need an outfit.

User Experience and Platform Appeal

Caroline Downy, a long-time user of Pickle, expressed her strong endorsement of the app. She highlighted that Pickle offers "cutting edge fashion and options," contrasting it with other rental platforms that she described as "dated" and "stuffy." This freshness is attributed to Pickle's reliance on influencers and fashion-conscious individuals in cities like New York and Boston, ensuring access to the "freshest, most trendy styles."

Funding and Growth Trajectory

Julia O'Mara shared insights into Pickle's early funding and growth:

• Initial Funding: Pickle began with a "very small friends and family round" of $250,000, which was spread across two and a half years. During this period, the founders adopted a "scrappy" approach, wearing "a lot of hats" and performing all tasks, including hand-delivering the first 2,000 orders in New York City. This involved extensive travel, with over 4,000 subway rides, while simultaneously managing customer support.
• Venture Capital Funding: After observing community growth and positive user experiences (e.g., renting for weddings, vacations, or parties), Pickle secured its first round of venture capital funding a year into its development. To date, the company has raised over $20 million, enabling expansion across the country and team growth.

Advice for Young Female Entrepreneurs

Julia O'Mara offered key advice to aspiring entrepreneurs, particularly women:

• "Get out there and do it."
• "Avoid perfectionism." She emphasized that waiting for an idea or company to be "absolutely perfect" can lead to launching too late. If an idea is "80% of the way there," it's better to launch, engage with customers in person, and build a stronger, long-term business.

Conclusion

Pickle has successfully tapped into the sharing economy by creating a peer-to-peer platform for fashion rental. The company's focus on trendy, accessible luxury clothing, combined with a user-friendly app and a scrappy, customer-centric approach to early growth, has led to significant funding and expansion. Julia O'Mara's advice underscores the importance of action and iterative development for aspiring entrepreneurs.