The principles that govern the luxury fashion industry are no different from those of other industries. The changes are large and complex enough that the luxury fashion and beauty industry has developed detailed documents to better understand the competitive market. Make no mistake, the frenzied flames of NFT have given the fashion world a craving for blockchain technology. In this feature, my goal is to show you what luxury fashion is doing with this crypto technology and what to expect as fashion moves towards a technological future.
First, NFT is an acronym for Non-fungible tokens. A cryptographic asset created using blockchain technology. It enables the exchange of value through a medium that cannot be reproduced. NFT isn’t the new kid on the block, rather, the digital collection dates back to 2012. Specifically, this digital asset only made a name for itself in 2017, with Crypto kittens – a digital asset that could be raised like a cat, which was then traded for up to $ 140,000.
NFT in fashion: how it all started:
In recent years, the fashion and beauty industry has gone to great lengths to encourage accurate and unbiased understanding of business changes to strengthen new terms consistent with changing business today. The birth of NFTs turned out to be fashion’s only hope to get back on the fast tech train, as it far missed its opportunity with e-commerce. When e-commerce first hit the scene, I can remember a plethora of brands that were completely indifferent to moving forward with the new platform at the time. The fashion industry has since become much more cautious. This year alone, Gucci introduced product offerings such as one-of-a-kind sneakers as NFT. Even luxury watch brands are promoting NFT auctions on platforms available to promote on social media. It’s NFT 2.0 and there’s no end in sight.
In March 2019, an ingenious concept was born amid the wacky vibe of blockchain technology as it weaves its way into big industries such as the arts and entertainment industry. The article was designed by a community of 3 brands, Dapper Labs, digital fashion house, and Johanna Jaskowska, iridescence is a digital outfit that was eventually sold on blockchain for US $ 9,500 and then in May of the same year. , luxury brand LVMH Moët Hennessy Louis Vuitton, owner of some of the world’s leading fashion brands such as Fendi, Dior and Givenchy, became the very first company to leverage blockchain-based tokens to ensure authenticity of an article.
By partnering with Microsoft and Consensys (publisher of blockchain software), the Aura platform was created. It is a blockchain system that allows consumers to track the origins and lifecycle of their purchases. After studying this subject at the Fashion Institute of Technology, it can be argued with force that this knowledge is considered to be the most important for consumers in a customer-centric world. Another thing worth mentioning is how these fashion brands are able to protect the integrity of their intellectual property. The best brands using NFTs legally back up their designs. In the words of the Wyoming district attorney “The legitimacy of a digital product is as good as its legal backing.
“If health, home, and car are legally guaranteed, then you should have your other assets as well … which include NFTS!” “
How luxury brands are using NFT to reach high net worth individuals. In today’s market, NFT seems to be the talking point of the city. Luxury fashion brands like LVMH can now use these tokens to connect with customers in a unique way, tell their story and reflect their values. Customers in this era and this era will not only make a purchase, but rather it has been found that 65% of customers are more likely to patronize a brand that connects with them, using a story behind the product. Sustainable fashion and beauty is an important driver for Millennials and Gen Z market groups. NFTs enable luxury brands to create invaluable and irreplaceable experiences for customers, which in their opinion turn, will improve brand awareness, engagement and drive sales.
NFT is a great way to connect with ideal customers and build a loyal fanbase or buyer base. However, leaning towards the refined experience expected by luxury fashion buyers is no easy task. While virtual games like Decentraland try to create an appropriate user experience, that doesn’t exactly do the trick. In the game, players use avatars and can purchase fashion NFTs from the decentralized and portable marketplace. And it doesn’t exactly equate to luxury, as most buyers expect.
Nonetheless, that should change soon, as emerging companies compete to make NFT fashion better and more desirable. One of these companies is EverestCoin. EverestCoin is a Play-to-Earn gaming platform that brings ideas from Mount Everest into a whole new fantasy world on the metaverse. The mood around this pioneering piece has caught the attention of crypto influencers like Shiba Army and Bagcalls.
In an interview, the founder and CEO of EverestCoin said “NFTs are big business today and they will play an important role in the game we are building on Metaverse. These new arts are a form of expression that ties into the whole DeFi ideology that spawned both the giant that the luxury fashion world and the crypto world are today.
The NFT Fashion Market:
A plentiful number of luxury brands are still trying to figure things out, while smaller brands have taken the bull by the horns and indulged in the NFT trend with creative bursts, selling on NFT marketplaces such as KnowOrigin and Open sea. In fact, at least three times a week, I receive NFT pitches from fashion brands in-store. Currently, the best example of NFT is when it is sold as a twin (digital product) of a physical product. “The winning bidders will receive the corresponding actual dresses, and the NFTs and physical clothing are one of a kind,” says Elena Silenok, CEO of the clothier.
“NFTs and the interest in digital works of art are completely to the advantage of the luxury fashion industry” another comment made by digital designer Nicole Zisman
“Right now, the fashion sold through NFT is fashion as an art, and not necessarily fashion as a utility” Says Cathy Hackl, CEO of Futures Intelligence Group
Speaking of art, many agree that the uniqueness of NFTs lies in their ability to combine quality art with technology. A notable NFT artist is Michael Osei-Wusu, * Indigo Suave *. Film and visual arts student at Princeton. Suave founded a production company, ASUAVEPRODUCTIONI in its second year. With plenty of visual projects that have worked well, Suave is currently working on another one that is due out in September. Over the past few months, Suave has been able to create some very successful YouTube videos “Doge-1: A New Hope”. It represents a Shiba dog traveling through space in an attempt to reach the moon. Suave draws this visual towards a higher goal of what dogecoin is – hope. In other words, financial freedom. The artist makes a comparison between being financially stable and having hope.