The illusion of web3 innovation in large consumer brands

Last month, rumors surfaced that Nike could x.com/chooserich/status/1769729450344603725″ target=”_blank” rel=””>close RTFKT, the innovative digital sneaker brand that acquired for a staggering $1 billion in 2021. Although the speculation turned out to be unfounded, it triggered deeper reflection: has web3, with its promises of decentralization and digital ownership, really delivered? with consumer brands? My answer is a resounding no.

Large consumer brands are simply too rigid and risk-averse to effectively innovate within this new paradigm. They have adopted web3 mechanics superficially, driven by short-term financial gains rather than genuine technological integration. Consequently, they have failed to find a meaningful product-market fit.

The failure of big brands when it comes to innovating

Large consumer brands take considerable time to adapt to new technologies. Kodak, a pioneer in digital photography, held on to its film business and missed the digital revolution. Blockbuster ignored the rise of online streaming and paid the ultimate price. Likewise, today's big brands are repeating these mistakes with web3. They venture into nft and blockchain not out of a genuine desire to innovate, but as a reactionary movement to market trends. This superficial adoption lacks the depth and understanding necessary to realize the full potential of web3.

From a philosophical perspective, this lack of innovation is due to the very nature of large corporations. They are, by design, hierarchical and centralized structures that prioritize stability and predictability over experimentation and risk-taking. In a Deleuzian sense, they are striated spaces, rigidly organized and resistant to change. Web3, on the other hand, represents a fluid space, a realm of decentralization and fluidity. The inability of big brands to navigate this space is not surprising; It goes against its very essence.

The superficial adoption of web3

Nike's acquisition of RTFKT was heralded as a bold step into the digital realm. However, despite the initial enthusiasm, Nike has fought integrate your innovative spirit into your broader strategy. The recent shutdown rumors underline a broader problem: big brands adopt web3 technologies for their financial potential, not for genuine innovation. The result is a series of half-hearted projects that fail to resonate with consumers.

This superficiality extends beyond Nike. Louis Vuitton's foray into blockchain for product authentication, while aligned with the brand's emphasis on luxury and authenticity, has not had a significant impact on consumer engagement. He wear The use of blockchain here is more of a marketing gimmick than a transformative tool. It is a simulacrum of innovation, an empty signifier devoid of true meaning.

Louis Vuitton's nft companies

Louis Vuitton has launched several notable nft initiatives, most notably the “Louis: The Game” mobile app, which celebrated the brand's 200th anniversary. In this game, players help the mascot, Vivienne, collect nfts designed by renowned artist Beeple. The game aimed to educate and entertain while connecting players to the brand's rich history. Despite achieving over two million downloads, the impact on consumer engagement remains questionable as nfts are non-transferable and primarily serve as collectibles with no broader utility.

In a more recent initiative, Louis Vuitton nft-via-treasure-trunk-experience/” target=”_blank” rel=””>inserted the “VIA Treasure Trunk” nfts, each priced at approximately $41,000. These nfts, linked to physical trunks, offer exclusive access to customizable products and early releases, aimed at the brand's elite clientele. However, this approach highlights the brand's focus on exclusivity rather than democratizing access to digital ownership.

The true potential of web3

The promise of Web3 lies in its ability to democratize digital interactions and ownership. However, big brands continue to fail to take advantage of this potential. The true pioneers of web3 are smaller, more agile companies that can take risks and innovate without the burden of bureaucratic inertia. Brands like 9dcc and RTFKT (in their original form) are at the forefront of this innovation. 9dcc, Founded by crypto Entrepreneur Gmoney, Integrates nfts into high end fashion, creating a seamless blend of digital and physical experiences that truly resonate with consumers. These companies are experimenting with new models of ownership, community engagement, and digital experiences that big brands can't or won't implement.

In a sense, these smaller players are the nomads of the digital realm, traversing the fluid space of the web3 with ease. They are not bound by the striations of the corporate structure and can therefore explore the full potential of this new frontier. They embody the Deleuzian concept of the rhizome, a decentralized, non-hierarchical system that can grow and adapt in any direction.

The future of web3 and consumer brands

For web3 to reach its full potential in consumer applications, leadership must come from these small innovators. They are the ones who push boundaries, experiment with new technologies and find genuine ways to interact with consumers. Big brands, on the other hand, need to recognize their limitations and perhaps look to these smaller players for inspiration.

Web3 isn't just about slapping an nft on a product and calling it a day. It's about rethinking the entire consumer experience, from ownership to engagement to value creation. Until big brands understand this, they will continue to fail and the true potential of web3 will remain untapped.

The philosophical implications are clear: the future belongs to those who can navigate the fluid space of the web3, not to those who cling to the striated structures of the past. It belongs to the nomads, the rhizomes and the innovators who are not afraid to experiment and fail. It belongs to those who understand that true innovation is not about financial gain but about pushing the boundaries of what is possible.

In conclusion, the failure of major consumer brands to drive web3 adoption highlights a fundamental truth: innovation requires more than just a financial investment. It requires a willingness to take risks, experiment, and truly understand the technology. Until big brands adopt this mindset, the future of web3 will be determined by the bold, the agile and the genuinely innovative.

The question is not whether web3 will transform consumer experiences, but who will be at the forefront of this transformation. I believe the answer lies in the decentralized, fluid, and infinitely creative realm of small and agile. The future is yours to seize.