Unpacking LVMH’s Web3 strategy behind its €39,000 Digital Trunk | 👜 |
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This is Web3 Espresso ☕—the Web3 Newsletter for creators, marketers, and coffee drinkers looking to understand how Web3 technology is changing the world we live in.
G’Day 😎,
This week the format of the newsletter will be a little different as I am experimenting between long-form and short-form content. Let me know what you prefer.
In the world of technology and luxury, two powerhouses stand out: Apple and LVMH. While seemingly belonging to different domains, these companies share a common thread: their unwavering commitment to innovation and exceptional user experience.
Apple, renowned for its sleek and groundbreaking devices, has revolutionised the way we interact with technology, seamlessly blending aesthetics with functionality.
Similarly, LVMH, the epitome of luxury and refinement, has consistently pushed the boundaries of creativity in the fashion and lifestyle industries.
Both Apple and LVMH have mastered the art of captivating their audiences by offering products and experiences that are unparalleled in their respective fields.
This week, these two powerhouses have made a move in the world Web3. Apple has launched the Apple VisionPro, a groundbreaking technology set to redefine augmented reality experiences. LVMH continues to break boundaries and announced a new digital strategy called VIA that includes the sale of a digital asset priced at an eye-watering €39,000.
Over the last 30 years, both brands have created a cult-like following, enticing consumers with their aspirational appeal and uncompromising attention to detail. Apple and LVMH continue to set the bar in a world where innovation and the pursuit of perfection are the driving forces, making their marks as trend-setters and industry pioneers.
Join me as I unravel the implications of these events and dive into the ever-evolving landscape of Web3.
Read on.
What’s in store today:
🥡 The Weekly Roundup 5 in 5
☕ Building in Public - W3E Statistics
☕+👧 TechyGirls Event
🥽 Apple launches immersive experiences
👜 Unpacking LVMH’s Web3 strategy behind its €39,000 Digital Trunk
IA Your weekly ChatGPT Prompt
Let’s go! 🥤
🥡 5 in 5 …
The Five Stories You Need to Know This Week
Web3 is transforming the music industry - here’s how 👉 read it here
How Coach, Mattel, PUMA and more are tackling 5 critical Web3 questions 👉 read it here
Consensus Report 2023 - Finding a way forward for crypto, Web3 and digital assets 👉 read it here
SEC sues Coinbase over alleged securities violations 👉 read it here
Luxury rands explore blockchain and Web3 for sustainable business practices 👉 read it here
☕ Building in Public - W3E Statistics
As summer quickly approaches, I thought it would be a great time to take stock. As a quick recap’, Web3 Espresso was launched in February 2023 and 18 articles have been posted so far.
The mission of this newsletter is to help you understand the main concepts behind Web3 and how these new technologies are shaping the business world.
The most popular posts have been Web3 and the Film Industry, followed by Luxury and Web3: A Match Made in Heaven and Building a Better Future: The Power of Impact-Driven DAOs.
Subscriber growth is on the right path. The May period was pretty flat and spiked up a little on the tail end of the month.
The main acquisition channels are direct, LinkedIn, and Facebook. The acquisition strategy is currently 100% organic, which impacts subscriber growth but has resulted in very high engagement on each article (between 50% and 60% open rates).
These statistics are encouraging, and I wanted to thank everyone of you for coming back each week and supporting this publication.
The statistics show that you are finding the content of the newsletter interesting (which is great!). I have received some feedback that once a week may be a little too much. So I thought I would ask you directly using a poll.
Let me know what works best for you.
💌 Nicole
☕+👧 TechyGirls Event
If you are in Monaco on June 29th, join me at the Maison des Associations for the TechyGirls event. I will be sharing my thoughts on how Web3 is driving change in the luxury industry.
🥽 Apple VisionPro Launched This Week
Apple launched its Apple VisionPro mixed-reality headset this week, which aims to "seamlessly" blend the real and digital worlds.
The company said its "spatial computing" system relies on a fluid interface that picks up signals and movements from a user’s eyes and hands as well as Siri voice recognition.
Vision Pro has a super-premium price point of $3,499 and is most likely targeting the early adopter and developer communities.
“Blending digital content with the real world can unlock experiences like nothing we’ve ever seen,” Tim Cook said.
It has agreed to a partnership with Disney to make Disney+ content available from the start. Complete with 4K resolution, the idea is that it can create a more engaging viewing experience than can be had in the non-augmented world. This shows that its ambition could be to replace a mobile device or TV.
Disney CEO Bog Iger said the Vision Pro will allow his company to create “deeply personal experiences that bring our fans closer to the characters they love and more deeply immersed in our story.”
I love Apple products. I think they’ve done an incredible job at making a clunky headset concept look sleek and usability-focused. It’s a beautiful product. After watching the video, I can see how some aspects look phenomenal (namely the movie-watching experience and possibly the work-related tasks via FaceTime).
But I am less enthusiastic about the idea of spending any amount of time with a heavy headset on, interacting with my children, or even watching a movie. All these activities (besides taking pictures of your kids) are done alone, in isolation.
Not quite the world I want to live in.
What do you think?
Let me know by leaving a comment below.
👜 Unpacking LVMH’s Web3 strategy behind its €39,000 Digital Trunk
French luxury brand LVMH has been called “blockchain friendly”.
Why?
In 2021, LVMH partnered with the blockchain platform ConsenSys to create a blockchain-powered platform called Aura. Aura is designed to provide customers with a secure and transparent way to track the authenticity and origin of their luxury goods, from raw materials to finished products.
LVMH’s Tiffany & Co sold 250 CryptoPunk NFTiff pendants, offered only to holders of CryptoPunks, a collection of 10,000 NFTs on the Ethereum blockchain.
Fendi has also collaborated with crypto wallet Ledger to create uniquely branded luxury accessories.
In 2022, LVMH launched the NFT mobile game Louis: The Game. Initially released with 30 embedded NFTs designed by famous NFT artist Beeple. Created as a game, this collection has been an effective strategy to educate players about the brand’s history through interactive gameplay.
On the 8th June 2023, it released a new NFT series called VIA Treasure Trunks, an initiative that will serve as a gateway for collectors, granting them access to various immersive experiences and limited drops throughout the year.
This is a very small and exclusive edition of only a few hundred NFTs that will be associated with a physical product. The collection of phygital "Treasure Trunks" will act as an access pass to future products and more.
They will each cost €39,000, and only several hundred trunks will be made available.
“The VIA Treasure Trunk its first digital trunk, designed for those who seek to travel through new dreams and new realities, and collect unique creations along the way.” LVMH Press Release
How does it work?
Remember the concept of tokenomics or the economy of tokens? The team behind the collection has been quite innovative in their approach.
First, the initial digital VIA Treasure Trunks are soul-bound tokens, which means that they cannot be sold on. This is a big change from most other NFT collections, where holders can immediately sell their NFT in the secondary market. Combined with the price tag, this definitely gives a sense of exclusivity to the collection.
Second, VIA Treasure Trunk NFT owners will receive a matching physical Louis Vuitton trunk with their purchase, adding tangible incentive beyond the desire to collect rare NFTs.
Thirdly, ownership of the NFT will unlock corresponding limited edition products from Louis Vuitton and promises "access to subsequent digital keys that unlock digital collectibles" that include "new, limited products and experiences" like "immersive drops" planned to occur "at regular intervals throughout the year," according to the press release.
Finally, although NFT holders will not be able to sell their Treasure Trunks, they will be able sell individual items minted from them in the future.
LVMH is not the only luxury brand investing in Web3 technology and experiences. Web3 is presenting new way for brands to open up new growth opportunities whilst maintaining the essence of luxury: exclusivity and rarity.
This collection is just one example of LVMH’s strategy of connecting consumers with unique and exclusive products and experiences.
What do you think? Is this a good move for LVMH?
AI - Your weekly ChatGPT Prompt
Like most people, I have been exploring CHATGPT and different prompts. Each week I will share my favourite prompts with you.
What it does
Use the 80/20 principle to learn faster than ever.
Prompt
I want to learn about [insert topic]. Identify and share the most important 20% of learnings from this topic that will help me understand 80% of it.
That’s all for this week… 🫶
Please note that I do not recommend or endorse the companies and organisations mentioned in this newsletter. This content is purely informative and not a recommendation. Always be mindful of where you connect your wallet. Always do your own research. 💛