Abstract
The use of digital technology in the apparel industry has changed massively in recent years and given the growing social awareness of the public, much of this technology is being applied to support sustainability practices. In this chapter, we look at the challenges faced by industries and how they can be supported by the application of blockchain technology. In particular, as far as fashion industries are concerned, it is mainly used to demonstrate the environmental quality of fashion products to consumers, protect brand image, and secure digital identities. Furthermore, as in several other business areas that we will briefly discuss, blockchain can solve data protection problems, reduce information asymmetry, and avoid fraud, including in payments. Finally, we present some cases, including Aura, the consortium launched by LVMH, through which some luxury brands have overcome individualism to develop a blockchain-based platform.
“This project has received funding from the European Union’s Horizon 2020 research and innovation programme under the Marie Skłodowska-Curie grant agreement No 101007820”. “This publication reflects only the author’s view and the REA is not responsible for any use that may be made of the information it contains”.
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Notes
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Global company of market research, consulting services and organization of events in the ITC and digital innovation sectors (https://www.idc.com/)
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Forecasts suggest that spending on blockchain solutions will continue to grow in the coming years, reaching almost 19 billion U.S. dollars by 2024 (source: (https://www.statista.com/statistics/800426/worldwide-blockchain-solutions-spending/)
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True Luxury Global Consumer Insight (https://web-assets.bcg.com/img-src/True-Luxury-Global-Consumer-Insight-2020-PR_tcm9-252200.pdf); Altagamma Bain Worldwide Luxury Marketing Monitoring 2022 (https://www.primaonline.it/app/uploads/2022/11/Altagamma-Bain-Worldwide-Luxury-Market-Monitor-2022_compressed.pdf)
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Engel & Völkers data report “Meet HENRY: Influencing the Next Generation of Wealth” (https://www.engelvoelkers.com/en/blog/property-insights/market-trends/meet-generation-henry-a-young-and-wealthy-target-group/)
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EUROPEAN PARLIAMENTARY RESEARCH SERVICE (EPRS), Blockchain for supply chains and international trade, Scientific Foresight Unit (STOA), p. 99, May 2020 https://www.europarl.europa.eu/RegData/etudes/STUD/2020/641544/EPRS_STU(2020)641544_EN.pdf
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Halal (/həˈlɑːl/; Arabic: حلال, ḥalāl) is an Arabic word that translates to “permissible” in English. This word is contrasted with haram (forbidden). This binary opposition was elaborated into a more complex classification known as “the five decisions”: mandatory, recommended, neutral, reprehensible, and forbidden.
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Lorenzo Bertelli (Head of Marketing & Head of CSR of the Prada Group) interview for Sole24ore.
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Greenwashing is the process of spreading a false impression or misleading information about how a company’s products are environmentally friendly. Greenwashing consists of unsubstantiated or inflated claims to mislead consumers into believing that a company’s products are environmentally friendly or have a greater positive environmental impact than they actually do.
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Cedrola, E., Kulaga, B., Pomi, G.L. (2024). Blockchain: Technology Transforming the Fashion Industry. In: Ozuem, W., Ranfagni, S., Willis, M. (eds) Digital Transformation for Fashion and Luxury Brands. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-031-35589-9_2
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