Luxury brands like Gucci and Tiffany & Co. have continued to embrace NFTs despite the ongoing крипто-кыш. But as floor prices keep dropping, how long until they throw in the towel?
The Christmas season is almost here. That Mariah Carey song is already playing on repeat and people are out purchasing gifts. Decorations are beginning to adorn shopping malls and stores. This also means that 2023 is just around the corner.
It seems that more and more each year, the adoption of digital goods and services has been increasing across several industries.
Luxury brands have certainly benefited from this transition. The world’s top brands are incorporating technologies to recreate brand images and reinvent the consumer experience. The fashion industry, especially, is experiencing a historic transformation thanks to emerging technologies such as blockchain and эмес тектеги токендер (NFTs).
This article looks to explore the trend of digital fashion as incorporated by luxury brands, thanks to the pervasion of NFT collectibles.
But one question that arises time and again: will this trend of buying products in the digital world really overtake the physical-world model?
NFTs and Luxury Fashion: The Combo
Many brands have developed digital strategies in the aftermath of the COVID-19 pandemic. Possessing immense potential and what seems like limitless possibilities for the future of fashion, NFTs have caught the eyes of luxury fashion moguls.
NFTs have changed how brands and their respective customers interact with each other. But not just that, the non-fungible aspect even allowed brands to innovate their revenue models by utilizing royalties and second-hand markets.
“The ability to trade products freely түзүлгөн a new revenue stream with the charging of creators’ fees in second-hand resales, an estimated $96 billion market in 2019.”
Another aspect of this ‘conscious’ coupling also helped brands to cut expenses. Platforms such as Twitter and Discord have become new marketing channels that engage communities at a low cost and have created new ways for customers to communicate and interact with each other.
Luxury groups such as Gucci, Dolce & Gabbana, Tiffany & Co., Moncler, and Burberry, among many others, have already joined the NFT race.
The entry list
Data collected in December 2021 for the Vogue Business Index showed that 17 percent of brands in the Index were already working with NFTs. This number increased in 2022 as more luxury brands jumped on the NFT bandwagon and began experimenting with this new medium.
Gucci, the iconic fashion powerhouse, has been around since 1921. It is known for its luxurious, high-end designs and quality craftsmanship—and now NFTs.
In collaboration with the brand’s luxury creative director, Alessandro Michele, and digital artisan Wagmi-san, the 10KTF Gucci Grail collection came to life in Q1 2022.
Source: https://beincrypto.com/top-luxury-fashion-brands-double-down-nfts-despite-2022-crypto-fallout/