Innovative Blockchain Technology Creates New Opportunities For The High-End Fashion Industry
Traditionally, the luxury fashion industry has been associated with a higher echelon status. Predict a return to pre-pandemic status with competitive pricing driven by limited distribution and celebrity endorsements. Overall, luxury apparel and accessories market segmentation has apparently carved out a niche by focusing on a consumer who leans towards the luxury product and developing market segmentation around it.
According to, In 2021, the global luxury fashion industry < is currently estimated at around 107.9 billion dollars. This strong segmentation of the market has made it possible to achieve thesepromising figures during the year of the pandemic. More importantly, the market segmentation has an expected annual growth of 4.8% (CAGR 2021-2025).
While all of this looks promising, major policy challenges are facing the luxury fashion industry. One of the most important is counterfeiting. An abundant number of brands within the portfolios of multinationals specializing in luxury such as the French and; w Ho aims to maintain both affordability and exclusivity in a highly competitive market. In 2020, Chairman and CEO of Kering, François-Henri Pinault , reported that the group''''s revenues had reached 13.1 billion euros, or approximately 15.49 billion US dollars .
Let''''s face it, big brands go to great lengths to preserve exclusivity and fight against counterfeiting, including. However, burning products exceedstary to maintain exclusivity is not suitable for consumers. And there is no respite. Concrete example; a consumer boycott campaign against the luxury fashion house, headquartered in London, England - after news of the practice of the fire broke public. In short, it is a prudent business world. And rightly so. Nowadays, the interconnectivity between brands and customers has given rise to the voice of the people. In a nutshell, the boycott forced Burberry to end the practice of burning its surplus products, but unfortunately the damage had already been done with regard to consumer disgust by then.
Along with the uprooting of so many long-held traditions in the post-pandemic period, a growing number of fashion brands have started to drop outner standard business practices stimulated by awakened awareness of the benefits of blockchain technology. I recently attended a remote forum hosted by experts on opportunities for luxury fashion and beauty brands at the Fashion Institute of Technology in New York. Right now, the winning brands are offering an internal lead on this frank technology as well as identifying a defined market strategy triggering a call to arms.
Using blockchain technology, Brian Foote - founder and CEO of of NFT - alongside a new product line called Origin Assurance ™, is targeting some of the challenges that could der the projected growth of the global fashion industry.
HUMBL Marketplace recently partnered with Hollywood celebrity photographer Smallz + Raskind to tokenize and catalog exclusive prints son the blockchain, ensuring that customers receive a certificate of authenticity and a digital signing QR code to track the lifecycle of any product.