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Retorna Moda

A pricing model that makes circular fashion profitable

Type
Social enterprise
Area
Business plan
Sector
Circular economy
Cycle
Spring 2025

Client & context

A work-integration social enterprise selling below cost.

The challenge (before)

Prices set by intuition, negative margins on 40% of the catalogue and no customer data.

What we did

  1. 01Margin analysis by product line
  2. 02Survey of 400 customers and willingness-to-pay test
  3. 03New segment-based pricing model

Result (after)

Positive gross margin across the whole catalogue within six months and capacity to hire four more people on integration pathways.

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