Three weeks ago, I had the opportunity to return to my alma mater, Fashion Institute of Technology, for the Digital Fashion Week NYC Symposium. Since discovering Web3 in mid-2021, I’ve prioritized attending digital fashion events to stay updated on the intersection of technology, fashion, and retail. This event was especially meaningful as it brought me back to FIT.
Over the past three years, I’ve conducted extensive research on this topic and gained significant insights. However, I’ve also observed resistance to adoption. That’s why hosting this event at a fashion university, open to both students and professionals, was so impactful, it brought together a diverse and engaged audience.
During the symposium, I realized that I was already familiar with most of the information being discussed, but it was valuable for validation and for hearing different perspectives. One key takeaway stood out to me: the European Union has enacted a law requiring all garments to have a Digital Product Passport (DPP).
I’ve had countless discussions with U.S. clients about integrating NFC chips in clothing, but no adoption. The fashion industry, often perceived as glamorous, operates on tight margins, us garmentos like to refer to this as a nickels and dimes business. Companies are always hesitant to invest and adopt new technology unless they can quantify a clear return on investment. This hesitation becomes even more counterproductive as the traditional pay-per-click (PPC) advertising model becomes increasingly unsustainable. When companies like TEMU spend a billion dollars annually on Facebook and Instagram ads, it drives up PPC costs for all brands, making it harder to compete.
Given these challenges, I see community building as the logical next step for brands to drive word-of-mouth awareness, making NFC-enabled clothing an obvious opportunity. That’s why the EU’s DPP initiative is exciting. While the target of the legislation is to promote supply chain transparency, for those who understand the technology potential, it offers even more. With the rise of secondhand clothing sales, the DPP can help track transactions, verify authenticity, and, when paired with NFTs, enable brands to airdrop discounts directly to consumers’ digital wallets.
Think about it, once an item is sold, brands typically lose direct interaction with the customer. But with a DPP and NFT integration, brands can not only track ownership changes but also provide incentives, creating a new level of engagement and value beyond the initial sale.
If you like to find out more, please feel free to reach out! @lawrenceroman