How Blockchain can create added value in the luxury watch market
Adopting Blockchain provides the luxury watch market with the opportunity to provide authentication of product origin, create brand loyalty through transparency of sustainability claims and proof of ownership through digital certificates.
Adopting blockchain creates a digital twin for each watch sold and therefore traceability and authenticity is enhanced The growing pre-owned market can also benefit from the adoption of such technology. the creation of a product ID/Digital Passport ensures that products being purchased in this market are certified and not a counterfeit.
Luxury watch brands looking to adopt Blockchain technology in its supply chain have the ability to change the relationship between watch owners, collectors, general consumers and the brand itself. Creating a digital ID provides the ability for the brand to grow its DTC (Direct to Consumer) thus increasing margins by providing the ability to remove middle men and create a better connection with consumers.
The customer base of luxury watches is getting younger and how the consumer shops and its priorities of what is important to a brand has also changed. Providing authenticity of not just product but ESG and sustainability credentials is now a priority and this is what Blockchain technology provides. Authentication can be provided via an engraved QR code which can provide information to the consumer via a smart phone technology. Adopting this can therefore also benefit to pre-owned market mentioned earlier.
It is not just the purchase of the product and its supply chain transparency that can benefit from blockchain technology. After sales care can also benefit. Digitalisation of product warranty, customer support, tracking of product history (services, maintenance etc..) can also benefit all whilst having a secure consumer data in a permissioned platform.
To discuss contact The Vision Chain at www.TheVisionChain.com or email Phil@TheVisionchain.com