Sure, there are Netflix-style rental services where you can rent designer dresses and accessories by mail, but would you swap toys with strangers by post? A few recent startups are betting that you will, at least to try out new and pricey toys before buying them, or to reduce clutter.
It seems like an expensive variation on garage sales and hand-me-downs to me, but the idea appeals to a lot of parents. One venture, Toygaroo, received funding during an episode of the investing reality TV show “Shark Tank.” The potential flaw in this plan is lost or broken toys, but the founder of TOYconomy, which has been in business since September, claims that ruined toys haven’t been a problem yet since they offer an insurance plan for ten percent of the rental cost. “For customers who did not get TOYsurance and they have missing pieces, we give them a few weeks to see if the piece turns up,” the founder told Retail Customer Experience.
Parents playing with the idea of Netflix-style toy rental [Retail Customer Experience]