Beyond The Limits 20.05.2024

?? Welcome to our newsletter for the week. We have gathered some of the most interesting news and updates from the world of circularity, technology, fashion, and luxury.

?? NFT

Dolce & Gabbana USA Inc. faces a lawsuit from a customer claiming that NFTs worth $6,000, which included outfits for the metaverse, lost 97% of their value due to delivery failures. The NFTs, promoted as offering digital, physical, and experiential benefits, were sold on the Ethereum blockchain. Buyers were promised access to various rewards and exclusive events. According to the complaint filed in Manhattan federal court, DOLCE&GABBANA delayed the delivery of the NFTs and associated benefits. The digital outfits arrived 20 days late and were usable only on a sparsely populated metaverse platform. Even after their release, token holders had to wait an additional 11 days for approval to use the outfits. The complaint criticizes DOLCE&GABBANA for consistently failing to deliver promised products and abandoning projects and communities. Luke Brown, the plaintiff, claims a loss of $5,800 from his NFT purchases and has filed the suit on behalf of a proposed class of affected buyers. The NFT marketplace UNXD is also named as a defendant. DOLCE&GABBANA and UNXD have not yet commented. The case is Brown v. Dolce & Gabbana USA Inc., 24-cv-03807, US District Court, Southern District of New York.

?? Fashion

At adidas ' annual shareholders' meeting in Germany, CEO Bjorn Gulden announced plans to introduce budget-friendly versions of its iconic three-striped shoes, including the popular white and black suede Samba. Emphasizing inclusivity in fashion trends, Gulden highlighted the importance of making adidas footwear accessible to a broader audience. He stressed that while some may afford shoes priced at $120 to $150, others seek to participate in the same style without such financial commitment. adidas aims to address this by offering similar shoe models like the Samba at lower price points ranging from $60 to $80. This initiative expands access to Adidas' renowned designs, providing more affordable alternatives to the main shoe lines priced between $100 and $150. Gulden underscored the brand's commitment to democratizing fashion trends, ensuring that consumers across different demographics can engage with Adidas products. The move not only broadens Adidas' market reach but also strengthens partnerships with retailers like Foot Locker, Intersport, and Deichmann, who will have access to the more affordable footwear options.

?? Technology

Poshmark , a prominent social commerce platform facilitating the buying and selling of both new and pre-owned items, unveiled a new paid marketing tool, empowering sellers to promote their entire shop collectively. Dubbed "Promoted Closet," the innovative feature harnesses machine learning to automatically boost individual product listings from a seller's full inventory, aligning with shoppers' search queries and preferences. Operating akin to prevalent "cost per click" models employed by platforms like Etsy , 亚马逊 , and Google Ads , Promoted Closet allows sellers to designate a weekly budget and only incurs charges when a shopper engages with the promoted listing. The tool provides sellers with comprehensive analytics through a dedicated dashboard, offering insights into impressions, clicks, sales, return on ad spend, cost per click, and clickthrough rate. Having undergone beta testing with a substantial cohort of sellers since early 2023, Promoted Closet has demonstrated its efficacy, leading to a notable 43% surge in sales for testers. Available to all users in the U.S., both on desktop and mobile platforms, Poshmark is extending a limited-time seven-day free trial offer. However, the company has not specified a timeline for the feature's rollout in Canada, the only other market where Poshmark operates following the cessation of its international business in October. Following its acquisition by Naver last year, Poshmark has implemented numerous enhancements to its resale marketplace, including features like "Posh Shows" and "Share Shows" for fostering live auctions and collaborative selling experiences. Additionally, the platform offers marketing services such as "Bulk Listing Actions" and "My Shoppers," catering to sellers' diverse needs. Poshmark's co-founder and CEO, Manish Chandra , revealed the platform's ongoing focus on social and community engagement alongside advancements in generative AI, hinting at forthcoming announcements in the next six to eight months. With a user base exceeding 130 million across the U.S. and Canada, Poshmark stands as a thriving hub for sellers, who have collectively earned over $7 billion through the platform.

?? Sustainable Fashion

Nona Source , a specialized platform dealing with deadstock materials from fashion houses, has introduced a robust business model that addresses the challenges of eco-circularity in the industry. Amidst an environment where eco-circularity remains underdeveloped, Nona Source emphasizes economic sustainability while remaining cognizant of other crucial factors. By advocating for creative circularity, Nona Source asserts that such practices are not burdensome for companies but rather pivotal for shaping the future production model. The platform's eco-circular approach aims to shift away from the linear model that has long dominated the industry, favoring production based on existing resources. The brainchild of Romain BRABO , who gained insights while working as a buyer and quality manager at 酩悦·轩尼诗-路易·威登集团 , Nona Source addresses the challenge faced by fashion houses in managing surplus materials. Recognizing the demand among young designers for quality materials, Nona Source bridges the gap between surplus stocks and creative needs. Unlike traditional models that require minimum order quantities, Nona Source offers materials by the roll, enabling designers to access premium resources without production delays. Nona Source's business model centers on achieving a "product-market fit" by aligning with market needs. With partnerships with 17 fashion houses and a diverse range of products, the platform boasts over 4,000 references available for sale. Additionally, Nona Source's local approach, based in France, aligns with the growing trend of supporting local sourcing and minimizing environmental impact. Furthermore, Nona Source leverages its expertise in materials and industry practices to support designers' creative processes. The platform's showroom at La Caserne in Paris provides designers with tactile experiences essential for material selection, complementing the online platform. As an intrapreneurial project within 酩悦·轩尼诗-路易·威登集团 , Nona Source has received mentorship and support from industry experts, contributing to its success. While the platform faces challenges such as limited offerings and operational constraints, its growth prospects remain promising. Nona Source aims to continue fostering sustainable practices and innovation within the fashion industry, positioning itself as a key player in the eco-circularity market.

?? Innovative Achievement

Alterskin? by Alternative Innovation , a materials company focused on developing sustainable and recyclable alternatives to leather and coated textiles, has won the ANDAM 2024 Innovative Prize. This prestigious award, established in 2017, supports technological advancements aimed at transforming the fashion industry. It is open to both French and international entrepreneurs or start-ups working in bio-tech, new materials, production, distribution, and the circular economy, provided they develop their projects in France. Alternative Innovation will receive a €100,000 grant to further develop its patented Alterskin technology. Alterskin is a shape-memory plant bioresin that is plastic-free, infinitely regenerable, and versatile, suitable for applications such as coatings and coated textiles. Nathalie Dufour , founder and general manager of ANDAM, emphasized the high quality and diversity of this year’s applications, highlighting the industry's collective commitment to significant change. She praised the expert committee for identifying international start-ups that offer crucial solutions to support the industry's shift towards sustainability by reducing waste, energy consumption, carbon emissions, and water usage. Alternative Innovation triumphed over two other finalists: Autone, a London-based start-up providing inventory management SaaS platforms, and SYNOVANCE , a French start-up developing natural, bio-based pigments for sustainable dyeing processes. Last year’s winner was SQIM , an Italian company specializing in biofabricated materials from mycelium, the root structure of mushrooms.

??Congrats to adidas , Poshmark , Nona Source , Alterskin? by Alternative Innovation !

?? Stay tuned for more updates and, as always, feel free to share your thoughts with us!

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