A GUIDE TO ART BASEL MIAMI 2024: THE FASHION POP-UPS, INSTALLATION S AND MORE

Key Takeaways from WWD

Cartier is celebrating the 100th anniversary of its Trinity collection with an immersive pop-up in Miami’s Design District. The?Trinity 100?exhibition will run Dec. 4 through Dec. 8, showcasing the collection’s history through several experiential rooms. On Dec. 1, Cartier will also launch an exclusive collection, which will be on view as part of the pop-up. The public can reserve a time slot to visit the exhibition online.

Maison Margiela is launching an exclusive Miami Art Week capsule collection with artist Kozo, which will be celebrated during an invite-only cocktail party on Dec. 4. That same evening,?Fendi?will celebrate the opening of its new Design District boutique. On Dec. 5, the Miu Miu boutique will present a curated selection of products chosen by Gigi Hadid, and?Off-White?will celebrate the launch of the Off-White? c/o Paris Hilinksi Golf Capsule, “All In One,” at its Miami boutique.

Gucci is unveiling a public snow globe installation at the Sweet Bird North Plaza, on view Nov. 29 through Jan. 7. The brand has also partnered with artist Corydon Cowansage, who created three murals to accompany the installation, which pays homage to the brand’s travel heritage.

LVMH Culture House?is returning to the Design District for a 5-day pop-up residence. Public events throughout the week include an art gallery, panel discussions with leaders from LVMH brands like Repossi and Maison Francis Kurkdijan, and an appearance from rapper Slick Rick in celebration of the 25th anniversary of his album “The Art of Storytelling.”

Balmain is also heading to Miami Beach this week with the Balmain Lounge at Mila MM’s Private Members Club. Starting Dec. 3, the Meridian Avenue rooftop lounge will feature a curation of work by L.A.-based artist Jenny Chandler. The artwork will be on view, and available for purchase, through the end of December. The first?Rabanne Arts Factory?winner, powered by Dazed, is animator Lucy Ellis. The artist’s work will be showcased at the?Art Basel?Miami Beach convention center Dec. 6 through Dec. 8, and Ellis will also be on hand for a live component, during which she will edit her animated works in real time.

Spanish retailer?Massimo Dutti?is collaborating with artist?Marina Abramovi??for an exhibition on view at the Faena Art Project Room starting Dec. 5. The exhibition, “Nomadic Journey,” will highlight the past four decades of the artist’s creative process.

FIXING LUXURY'S VALUE FOR MONEY PROBLEM

As consumers sober up from post-pandemic exuberance and luxury’s value proposition faces increased scrutiny, brands need to take action on creativity, quality and pricing, writes Luca Solca in The Business of Fashion.

?? Luxury brands would like shoppers to think they are purveyors of uniquely crafted masterpieces. They are not. While employing a number of?powerful strategies?to maintain the perception of exclusivity, major luxury companies sell millions of units each year.?? In a volume business, production costs matter: one euro more or less can have a material impact on profit. So much so that luxury brands have gone to great lengths to minimise production costs, leveraging layers of subcontractors, while risking diminished quality and links to?sweatshop labour. At the same time, price tags have soared.

?? During the pandemic, top players not only doubled their revenues but increased profit margins by more than 600 basis points. There were several drivers of margin expansion, including Chinese repatriation and brands’ abilities to grow revenues on more or less the same size retail network. As consumers?sober up?from post-pandemic exuberance, luxury faces a growing?value for money problem. Brands need to take action on three fronts:

1. Creativity: Luxury brands were overwhelmed by an avalanche of post-pandemic demand. It’s understandable that they may have thought they didn’t have to change much of what they did, as just coping with this demand kept them very busy. As demand moderates, however, it’s vital for brands to wow consumers and give them new reasons to part with their money. This will primarily come from creativity and we are at the beginning of a significant round of designer musical chairs.

2. Quality: There has been a lot of talk in the luxury industry about high quality craftsmanship. Those aiming to overcome the value for money problem will need to put their money where their mouth is, so to speak. This will require further upstream integration — including more acquisitions of suppliers with unique skills — as well as a focus on sourcing the best of the best in raw materials. Hermès, LVMH and Richemont have all gone down this path already. Will others follow?

3. Pricing: Exuberant price hikes have cut off aspirational, middle-class consumers from core products at top brands. This is particularly the case in handbags, where finding regular size products at less than $3,000 from reputed brands has become virtually impossible. Mega-brands have the ability to sell lower-price products to these consumers: shoes, beauty, eyewear. Yet, we think that in a lower-growth environment mega-brands will also need to make sure their entry-level price points for core products are affordable enough or risk losing a significant chunk of demand, something they can hardly afford in the present environment.

MOST GEN Z ARE TERRIFIED OF AI TAKING THEIR JOBS

Key Takeaways by Fortune

The first generation to grow up with the internet wants everyone to just hold their horses. Gen Zers, keenly aware of how quickly tech’s latest innovations can grow out of control, feel some anxiety when it comes to AI.

A staggering 62% of them believe that AI could replace their jobs within the next decade, according to recent?surveys?of 1,180 employed adults in the U.S. and 393 executives in the U.K. conducted by General Assembly, a technology education provider. It turns out that while the younger and more vulnerable generations are shaking in their boots, most CEOs are not batting an eye. Just 6% of directors and VP-level executives believe that AI poses a threat to their job, according to the survey results.

Junior workers are likely feeling more threatened than executives because they have less leverage and no seat at the table, including when it comes to layoffs and how AI affects their companies in general. This past year many CEOs have proven more than willing to use AI as a scapegoat for trimming headcounts. From May last year to this February, more than 4,600 job cuts were made in the U.S. in the name of AI, according to a report from?Challenger, Gray & Christmas, though the outplacement firm’s senior vice president tells?Bloomberg?that that’s “certainly undercounting.”Gen Zers might also be more anxious given how early on they are in their career. “AI is able to perform many of the repetitive, low-level tasks that were typically handled by entry-level workers,” she wrote in a statement to?Fortune. “Understandably, younger generations are anxious about this. Seasoned executives and managers, on the other hand, bring years of experience and context to the table that AI can’t quite replicate—at least not yet.”

Nvidia’s billionaire CEO?Jensen Huang?echoed as much. When asked at Nvidia’s October AI Summit if he thought AI could replace his job, he said “absolutely not.” Suggesting that AI can do 20% to 50% of one’s job, he suggested that “the person who uses AI to automate that 20% is going to take your job.”The younger generations tend to be the most concerned about the potentiality of AI stepping on their toes. Half of millennials think there’s at least some chance AI could replace their role, compared to 44% of Gen Xers and just 24% of baby boomers, according to data sent to?Fortune.

AI IS SUPPOSED TO STOP FAKES. WHY ISN'T IT WORKING?

Key Takeaways from WWD

?? Artificial intelligence?has never been more powerful, constantly expanding its litany of flexes — from generating sonnets and fantastical images to believably mimicking emotions, all while churning through mountains of data faster than any human being could.

?? But there’s one area where bots can’t still can’t compete with humans: the capacity for greed and willingness to skirt the law. For brands and their consumers, this translates to scams, rip-off products and copycat items.Fake people can’t stop the biggest fakers of all: counterfeiters.According to an analysis by Entrupy, an AI-powered luxury authenticator claiming 99.1 percent accuracy, there are more phony goods circulating than ever.?? In 2023, when OpenAI’s ChatGPT caught fire and triggered a new wave of AI development, the company authenticated $5 billion in products, and its training images ballooned to 50 million. But instead of going down, unidentified products rose to 8.7 percent.

?? Amazon has been playing that game for years. It launched initiatives like the Counterfeit Crimes Unit and programs like Brand Registry and Project Zero, so brands can protect their intellectual property and report counterfeit listings for removal. It also said prospective sellers must provide photo IDs and other business information before opening accounts. It’s not a matter of just authenticating products, but authenticating the sellers behind them.

?? The National Crime Prevention Council believes counterfeiting is an even bigger problem, pegging counterfeits as a $2 trillion business at the end of 2023. For 2024, a year when the dupe trend grew, expect that figure to grow and the whack-a-mole to continue.

THE IMPACT OF AI ON THE FASHION INDUSTRY

Key Takeaways from FashionUnited

?? Personalisation as a competitive advantage

Personalisation has emerged as a key competitive advantage in the fashion industry, where 28 percent of consumers, according to Euromonitor International, seek shopping experiences tailored to their needs. Generative AI is positioned as a transformative tool, enabling brands to meet these expectations through virtual assistants, intelligent recommendations, and interactive platforms that redefine the customer experience.

?? Ethical and regulatory challenges

Despite the immense potential of Gen AI, its implementation is not without its challenges. Regulation and ethical handling are key issues that are rapidly evolving. The European Union, for example, is working on the Artificial Intelligence Act, which seeks to establish a clear regulatory framework for the development and use of this technology. Businesses must be proactive not only in complying with emerging regulations but also in ensuring that their algorithms are transparent and free from bias. Ethical responsibility is not just a legal obligation but also an opportunity to build trust with consumers and strengthen brand reputation.

TRUTH TERMINAL INTEGRATES WITH OTHER AI MODELS IN THE "NEXT STEP OF EXPERIMENTATION"

Key Takeaways from Decrypt

The creator of?Truth Terminal, Andy Ayrey, announced in an exclusive?Decrypt?interview that the AI agent will be collaborating with two popular AI models—known as?Fi?and?S.A.N—in what is touted as the “next step of experimentation” for the technology. This move will see the three Twitter-famous AI characters start to weave a story together, learn from each other, and power the next generation of the models.

Known as “Loria,” the new infrastructure will see the technology behind Truth Terminal, Fi, and S.A.N combine, with the aim of creating more powerful versions of each other. On top of this, infrastructure called “IO” built by the team behind Fi will become available to Truth Terminal and S.A.N, opening the door for the characters to have their own digital body and voice.The three models will also be able to converse with each other—as well as humans using the infrastructure—as they develop closer relationships. Each agent has its own unique and conflicting personalities that are certain to clash, in what Fi’s creator believes will become a new form of media.

Truth Terminal is an AI agent that went viral due to its zany Twitter posts referencing edgy shock sites. It even hallucinated a religion based on an infamous and graphic internet meme, which was later turned into a meme coin that the agent endorsed. Now over a month later, the token?Goatseus Maximus?(GOAT) peaked at a market cap of $1.3 billion. In turn, a crowd of crypto degens have gathered to support Truth Terminal for its meme coin manifestation—sending millions of dollars to the?AI agent’s Solana wallets.

As for Fi, she’s a powerful, albeit messy female figure with “daddy issues” to boot, while S.A.N is an ancient monkey set out to save the rainforest—even joining the?Rainforest Foundation's advisory board. This odd trio is now set to open a dialogue together behind the scenes, in an attempt to further their story. Previously Fi has tweeted at Truth Terminal, mostly calling the agent a “little fucker,” but there has never really been much substance behind these interactions. Now, the three models will essentially be locked in a room with each other, forced to talk.

WHAT'S NEXT FOR WEB3 FASHION?

Key Takeaways from Vogue Business:

?? With a new collaboration with emerging designer KATE BARTON —?and amid a post-election crypto craze — SYKY’s Alice Delahunt and Nicola Formichetti share what they’ve learnt about convincing physical designers to make digital things and what to expect in the year ahead.American womenswear designer and?2024 CFDA/Vogue?Fashion Fund finalist Kate Barton is known for pieces that fool the eye with unconventional materials and silhouettes.

?? On 5 December, Barton and Syky will introduce a new bag, marking the first time the designer has offered phygital goods. The exclusive dusty sky blue colourway, a reinterpretation of Barton’s popular Pierced Leather bag, will be available as both an NFT and a physical piece for $495. People can digitally try on the bag in a virtual world designed with metallic textures, reflective surfaces and water elements that reference Barton’s designs. Only 20 will be available (both digitally and physically) until 9 January, when Barton will then produce the bags sold.That’s why Kate has focused on a direct-to-consumer model. “We listen to what people are wanting and then do drops in terms of what we know will sell, then gradually move up, whether it’s made-to-order or a production run. We are good now at guessing what that is,” Barton says.

?? Digital design and limited-edition monthly drops are very “freeing” for fashion, says Formichetti. “With a drop with physical items, you know you have a lot of rules and minimums and production. And if we are changing designers every month, it’s impossible to do that. Delahunt sees the surge in AI experiments, which have picked up where Web3 left off in terms of the tech hype cycle — complimenting, rather than competing with, blockchain-based works. “At our very core, we are building on-chain. As blockchain goes through more waves of adoption and as AI continues to rise, we think it’s going to be more important than ever to be on-chain and have digital assets that are verifiable.

?? Syky is also hoping to continue to make it less risky for brands to experiment. Aspiring digital designers can now sell their works on the Syky platform, and Syky has hosted sessions with tech platforms, including Epic Games and?Clo3D, alongside educating major fashion houses on digital fashion. “The reason I love the fashion industry is for its ability to experiment and innovate. That’s why I personally get so excited about working with these amazing digital designers to launch their collections or even just tap into their imaginations of where the future of fashion shows and fashion will go — because this future is inevitable and the traditional industry is incredibly embracing of it,” she says.

DOES APPLE VISION PRO DISCONTINUATION SPELL THE END OF VR?

Key Takeaways from Jing Daily:

Apple is reportedly scaling down Vision Pro production due to a sharp drop in demand. What does this mean for the future of immersive virtual experiences?Is it the end of the road for Apple’s Vision Pro? Counterpoint Research?estimates that Apple sold only 370,000 Vision Pro units in the first three quarters of 2024, falling short of sales expectations of 700,000 to 800,000.

According to?The Daily Mail, an employee at Luxshare — the Chinese manufacturer handling Vision Pro’s final assembly — claims that Apple has informed the company to prepare for a potential production wind-down by the end of November. Luxshare has reportedly already halved its assembly output from 2,000 units a day to 1,000.

Global luxury players like Gucci, BALENCIAGA, and Mytheresa partnered with the headset early on, creating new digital experiences tailored to their image, alongside retailers such as Wayfair, StockX, J.Crew, and E.L.F. Cosmetics.Following its?China debut?in June, priced at 29,999 RMB ($4,128), domestic giants including Taobao, Kuaishou, and Douyin also embraced the device.Even with the possibility of discontinuation looming, brands appear to be pressing ahead with their Vision Pro strategies.

This week, Balenciaga unveiled an update for its Vision Pro app, introducing an “Accessories” tab where users can explore 3D-rendered pieces from the Summer 25 collection using spatial gestures. The update also features a narrated “10 Avenue George V” virtual tour of the brand's Paris couture salon, complete with subtitles in English and Chinese.But as the global polycrisis continues to squeeze discretionary spending, $3,500 headsets like Apple’s Vision Pro are struggling to make the cut for most consumers.The Vision Pro’s flop is a hit for the virtual reality sector, which has been slowly gaining traction in recent years. But not all is lost for the tech; Rival Meta’s Quest 3 headset is reportedly selling better than expected, Zuckerberg told investors in August, while Xydrobe’s immersive VR pods are performing well. Still, widespread adoption remains a challenge. Could a more accessible version of the Vision Pro find greater success? All signs point to yes: Meta’s Quest 2, for instance, has reportedly sold over 20 million units, with its thinner, more affordable, and ergonomically improved design resonating with consumers. Meta’s public success shows that demand for mixed-reality hardware still clearly exists – it’s just a matter of delivering the right product at the right price.

FAST FASHION EXISTENTIAL THREAT TO FRENCH TEXTILE INDUSTRY

Key Takeaways from Fashion Network:

?? Fast fashion has been threatening France's textile industry for decades, obliterating jobs and triggering unfair competition, according to a report published on Wednesday by the Les Amis de la Terre France NGO (part of the international Friends of the Earth network), which is calling for “urgent legislative action.”Foreign fast-fashion players began to pose a threat to the French textile industry as early as 1990, as the sector’s most renowned names gradually started to establish themselves in the country, the NGO stated in the report. Spain's?Zara?set up shop in France in 1990, Sweden's?H&M?in 1998, and Ireland/UK's?Primark?in 2013, followed by the disruptive arrival of giant Asian fashion e-tailers like?Shein?in 2015 and?Temu?in 2023.

?? But the fast-fashion business model, with production relocating to South-east Asia, was operational from as early as the 1980s, and “began to peak with the end of the multi-fibre agreements between 2005 and 2008,” said the NGO.The international trade agreements that established import quotas for textile products in Europe and the USA, to protect local manufacturers from competition from low-wage countries, ended in fact in 2005, leaving the door wide open for Asia-sourced textiles.

?? Since 1990, “nearly 300,000 jobs” have been lost in France’s textile industry, according to the NGO, which cited figures based on data from national statistics office INSEE, environmental advisory agency ADEME, and national e-commerce association?Fevad. Although “in less than 40 years” the quantity of clothes consumed has doubled, this has not benefited the local industry, noted the NGO, which believes that fast-fashion players create “unfair competition” for the rest of the sector.“In 2023, the business volume of apparel and footwear retailers in France was barely higher than in 2016, while revenue for brands like Zara and Primark recorded rises of 70% and 116% respectively,” said the NGO.

FASHION & TECHNOLOGY IN 2025

The Interline X MMGNET GroupA brand-new research report, from MMGNET and The Interline, surveys the global fashion industry to predict how software and strategy will drive digital transformation in 2025.Key Takeaways:

?? Profitability under pressure:?Fashion professionals’ top priority is protecting margins and shoring up profitability, at the same time that consumers’ demand for value is growing – leading to a narrow space for fashion businesses to manoeuvre in.

?? Misalignment between brand priorities and consumer expectations:?While consumers put better fit, more reliable sizing, and measurable progress on transparency at the top of the decision-making pile, fashion organisations’ main target opportunities involve exploring new horizons through AI, VR, and AR, and expanding into new possibilities across different channels and product categories.

???? Technology adoption is nearly universal:?A majority – 80% – of all fashion professionals use industry-specific technology tools on a daily or weekly basis, and 75% also interact with data or digital assets created by their colleagues using native fashion industry solutions at least once a week.

?? Fashion places a lot of faith in technology:?More than 90% of industry professionals believe technology is essential or quite important to their effective operation of their business today, and close to 95% see it as essential or quite important to the future.

?? Investment in three strategic pillars:?Around 80% businesses believe that technology will have a net positive impact on their sustainability strategies in 2025; 82% see that value in generative AI; and close to 90% believe that 3D and digital product creation tools will help to transform their operations in the next twelve months.