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Renoon is a tech startup focused on improving transparency in sustainability claims within the fashion industry. Initially, it operated as a B2B2C platform, helping consumers navigate fragmented and hard-to-verify sustainability information. Users could personalize their sustainability preferences, and Renoon would recommend products accordingly, earning a 15% commission on sales. Despite creating consumer value, Renoon struggled to generate sufficient revenue to sustain profitability. The commission-based model was unreliable due to delayed, variable, and partial payments from sellers, while operational costs continued to rise with the app's growth and international expansion plans.
 

Executive Summary

Learning Objectives

The case illustrates a common challenge for marketing strategists and entrepreneurs focused on sustainability: while ideas or innovations may create tangible value for consumers (or others), there is no guarantee that a business can extract enough value to remain profitable over time while staying true to its original mission.

After engaging with this case to explore alternative business models and think creatively about possibilities, students should be able to:

1. Understand the impact of a firm's orientation toward customers versus other businesses on profitability;

2. Explore how platforms can be monetized, particularly the challenges of growing a platform by focusing on users versus technology;

3. Explain how consumers perceive sustainability and how companies can leverage consumer psychology to create value; and

4. Appreciate and be better prepared to handle the challenges of building and scaling a tech business with a sustainability focus.

Target Audience

This case can be used in MBA, EMBA, and other Master or executive-level courses in business management. It is particularly suited for teaching sustainability-focused classes that illustrate the strategic marketing challenges faced by multisided platform businesses.

Additionally, it is suitable for digital marketing or digital transformation classes that explore platform dynamics and monetization strategies. Given its focus on a startup operating in the sustainability space, the case is also ideal for courses in entrepreneurship, business ethics, or business society management.

Keywords

B2B; B2C; fashion; greenwashing; innovation; monetization; multisided platform; MSP; profitability; reseller; startup; sustainability; technology; trust

How to use this case

This multi-source case includes the following materials:

  • Introduction and Summary (available on this webpage, click here to download the PDF version)
  • Teaching Case (restricted access)
  • Teaching Note (restricted access)
  • PowerPoint Presentation for Teachers (restricted access)
  • Example Teaching Video (restricted access, link provided in the Teaching Note)
  • Pre-Class Survey (restricted access, link provided in the Teaching Note)
  • Recommended Readings (restricted access, list included in the Teaching Note)

To access the restricted materials, click the “Secured Content” tab in the menu bar. You will be directed to a login page. The login credentials are provided in the teaching note, which can be purchased through The Case Centre at www.thecasecentre.org.

Authors

Authors of the case study: 

Filippa Laurelii (Case Writer, Case Development Centre, Rotterdam School of Management, Erasmus University)

Tao Yue (Managing Editor, Case Development Centre, Rotterdam School of Management, Erasmus University)

Prof. dr. Steven Sweldens (Chaired Professor of Consumer Behavior and Marketing, Rotterdam School of Management, Erasmus University)

Dr. Johannes Boegershausen (Assistant Professor of Marketing, Rotterdam School of Management, Erasmus University)

The authors would like to express their gratitude to Iris Skrami (CEO and co-founder) and Piero Puttini (co-founder) at Renoon, as well as Adrienn Toth at the RSM Case Development Centre, for their valuable contributions to the development of the case.

 

Authors of the teaching note and supplementary materials:

Prof. dr. Steven Sweldens (Chaired Professor of Consumer Behavior and Marketing, Rotterdam School of Management, Erasmus University)

Dr. Johannes Boegershausen (Assistant Professor of Marketing, Rotterdam School of Management, Erasmus University)

Arnaud Monnier (Assistant Professor of Marketing, Nova School of Business and Economics, Universidade Nova de Lisboa)

Tao Yue (Managing Editor, Case Development Centre, Rotterdam School of Management, Erasmus University)

Secured content

Secured content

To access the secured content, please purchase the teaching case (which includes the teaching note) at www.thecasecentre.org. The teaching note provides the access information needed for the secured content page.