Exclusive collection with the son of world-renowned artist Damien Hurst
Luxury fashion brand Prada has announced further steps towards Web3 and NFT this week with the launch of an exclusive NFT collection and airdrop with Casio Hirst, the son of world-renowned artist Damien Hirst. The Prada Timecapsule NFT collection launches on June 2 and is an evolution of the brand’s previous Timecapsule physical initiative established in December 2019.
The original Prada Timecapsule collection launched in December 2019 releases ready-to-wear physical items on the first Thursday of every month. Feature ultra-limited edition items on the Prada website, available for 24 hours only. Each item comes with a serial number and is delivered in custom packaging.
On Thursday, June 2, the new collaboration project will be launched with 100 gender-neutral t-shirts designed by the artist Cassius Hirst, son of Damien Hirst. This time, however, Prada will sell the physical items along with an NFT GIF with the unique serial number of the corresponding physical item. At the time of writing, the price has not been announced and will not be until the day of delivery. Importantly, we know that the sale will be in fiat currency, not cryptocurrency.
The launch marks another milestone for NFTs, as marketing and customer engagement recipients will, in a second phase, see holders of any Prada Timecapsule items from the original campaign online for an airdrop of free NFTs.
Currently, there are no details on how the NFTs will be delivered to purchasers of the physical items, but as mentioned, all physical items came with a unique serial number that will correspond to the airdropped NFT.
The benefits of NFTs will be revealed in due course through Prada Crypted, the brand’s new community on Discord. Although NFTs are given away to holders, there are no rules for selling them on the secondary market, and in some cases these NFTs may represent a refund for physical items purchased. However, knowing the influence and customer profile of Prada’s clients, these NFTs could continue to generate significant demand and value.
The idea is a good one as it goes against the general trend of milking customers in favor of rewarding loyalists and should help Prada integrate its NFT strategy into an already popular physical initiative.
Big brands immersing themselves in Web3
One way to look at trendy NFTs is to think of them not as digital wearable devices, but as another marketing stream that brands can use to get their products in front of a paying audience. Major brands and luxury fashion houses have dived headfirst into NFTs in the last six months. Adidas, Nike and Gucci generated NFT sales of $137.5 million. The Dolce & Gabbana digital auction alone raised $6 million.
In September 2021, Italian fashion house Dolce & Gabbana partnered with UNXD and sold their NFT collection at auction for just under $6 million. The Glass Suit, designed by Domenico Dolce and Stefano Gabbana, raised over $1 million (351,384 ETH). It is the most expensive suit Dolce & Gabbana has ever sold.
Last December, Nike bought NFT’s RTFKT studio in a move that drew attention as Nike is known for going it alone and not engaging in partnerships or acquisitions. Then in February 2022, the association launched a series called MNLTH.
As part of this series, a branded mystery box was airdropped to Clone X NFT holders. Clone X is an NFT collection by RTFKT and Taskashi Murakami, a Japanese contemporary artist. With its contents unknown, the airdropped box is currently for sale on OpenSea for $12,325 (4.5 ETH). As fans enthusiastically discussed the contents and then posted videos of them opening their boxes, Nike gets free marketing.
the biggest photograph
Holding a bunch of digital clothing in a blockchain wallet while it’s fresh is still a speculative part of the market. There is a lot of hype around trendy NFTs, and they are popular, but as we all know, things can change quickly in the crypto space. How will they fare if there is still no real utility for such items in a year or two? As mentioned, they seem to have a clear place in the marketing and communications budgets of major brands, but to go mainstream, people need a place to use them and, more importantly, display them.
One place to look is the gaming world, where avatar skins are big business. Fortnite inadvertently revealed that it made $50 million from just a range of NFL-branded skins. League of Legends, which makes much of its revenue from selling in-game assets, skins, and gift bags, made $1.75 billion in 2020.
With the online gaming community reaching 3.24 billion people in 2021, the market is there for NFT’s established and boutique fashion designers to move into. For now, fashion brands take advantage of the metaverse by being present and active within it, creating strong digital tribes and preparing for the advent of life in the metaverse.
The foregoing does not constitute investment advice. The information provided here is purely for informational purposes only. Please exercise due diligence and investigate. The writer holds positions in various cryptocurrencies including BTC, ETH, and RADAR.