The idea of a digital twin (or, passport,) fits very well with scarcity. As humans, we have always admired the fine craft of a maestro, like a watchmaker, a jeweler and a leather artisan, let alone the creative hand of a couturier. And, yet, gray and counterfeit products infest our marketplaces, with no elasticity to global crises or shocks. Plus, we don’t really know where all the components of an accessory are sourced, and if that happens ethically. If we are buying something unique, can we get access to its supply chain and receive firm confirmation of compliance and excellence, as a default feature for what is probably the purchase of a lifetime, like an engagement ring? It’s time technology came to the rescue, to save artists, as well as consumers, chasing their dream of exclusivity. This is why we speak to Romain Carrere, CEO at the Aura Blockchain Consortium (Aura) a blockchain and non-profit organization, whose daily focus is the protection of over forty luxury maisons, including groups like LVMH, Prada Group, Only The Brave (OTB Group), and many more. By caring about craftsmanship, they also care about the community of lovers around it. Aura’s main offerings are Digital Product Passports (DPP) and digital collectibles, in the form of NFTs.
“I studied finance in London and Boston, but I am a geek at heart. I was coding when I was a kid. After the events of 9/11, I left the US and went back to Europe, to become a tech entrepreneur and serial start-up founder. Web3 and blockchain have always intrigued me, so when the job opportunity at Aura came up, it felt like it was the perfect fit for me. At Aura, we are working towards setting a new standard for the luxury industry. We support groups like LVMH, Prada Group, OTB Group, as well as many independent luxury brands, in their digitization and customer experience journey. It’s 40 brands for now, and 40 million products already registered on our blockchain. The so-called Digital Product Passport (DPP) regulation will come into effect in 2027, so we are helping brands get ready for the consumer of the future, who will want transparency and benefits via their DPP, for each of their luxury purchases”,
shares Carrere.
Aura is a consortium, so all new brands need to be approved by its board. They decided to work only with luxury propositions and govern an agnostic set of blockchain solutions, offering the advantages of private and public blockchains, so that they can protect enterprise data, while also giving customers Web3 utilities in full. The company provides the tech infrastructure, as well as the consulting needed to meet the needs of their members. Solutions are tailored to digital literacy and adjusted to the consumer journey to readiness, with the potential to add even more utility in the future.
“There is a wide menu of options for luxury brands, from full integration into native apps to separate web apps. Also, when it comes to tracking the product, we have options from a simple QR code all the way to NFC chips, which are more evolved. For example, Rimowa inserts a chip inside the product. But the chip could also be inside a separate card, to accompany a piece of jewelry (hiding, as well, a serial number inside the jewel and the chip.) Or we can use vision AI, namely a unique fingerprint on the product, like for Hublot watches, which can be scanned with a normal smart-phone, while our AI powered software analyzes the product and gives the green light of authenticity, thanks to the reading of multiple markers on-dial. We are a one stop shop for a complete digitization transformation”,
claims Carrere.
The secondary market is a big topic, and it’s on Aura’s agenda, of course.
“The main objective now is traceability. Once more products will have their DPPs, we will be able to tackle the secondary markets and consumer-to-consumer trading. Transfer of ownership is feasible now, for example towards a family member but when it comes to secondary sales, especially marketplaces, it is not widespread yet”,
highlights Carrere.
The adoption rate and utility capabilities for any brand is progressive. Aura usually starts with a pilot, monitoring execution and KPIs. Then, there are adjustments and roll-out, according to the status and ambition of a business. It’s important to bring the community with you, so communication, perks and benefits are a big part of the journey. And, it’s also key to educate suppliers and employees, at every touch point, as the entire supply chain can now be transparent on-chain.
“A successful transition towards a blockchain-powered world requires a clear, long-term vision. Blockchain adoption is not just about complying with evolving regulations, it is also an innovative strategy to deepen consumer engagement, nurturing brand relationships. By leveraging the potential of blockchain technology in line with each stakeholder’s vision, brands can ensure meaningful, successful adoption”,
closes Carrere.
Aura is launching a movement for the luxury industry, where everyone has skin in the game, and where shortcuts are no longer allowed. Twinning luxury products makes the real thing more precious than before. Meta-product features and transparent processes help a ring shine brighter and its meaning last forever, like it should be for objects that we buy to capture eternal promises of love.
By Frank Pagano
