Consumer Consumer NFT Guide

With a key characteristic of blockchain technology being proof of provenance, the benefit of embracing this technology is very apparent for the Consumer sector. A long standing issue has been the huge costs of business pertaining to combatting counterfeit goods. By being able to track the origin of goods and being able to ascertain the authenticity using the blockchain’s single source of truth, there are huge savings that can be made. As well as this, it also develops the ability to create a secondary market for retail goods. An inhibitor has always been, especially when it comes to high end consumer goods, the ability to prove that the item is not counterfeit. Blockchain has the ability to ensure this. 

In addition, the blockchain enables the retailer to ensure quality through having a transparent process where it is possible to accurately track  the quality of the products that have come through. This reduces spoilage and again reduces supply chain costs. 

More recently, there is a growing trend of issuing NFTs. The purpose behind this is varying, NFTs have been useful in adding to the proof of provenance aspect, creating a digital twin of a physical product and in some cases increasing the value of it because its authenticity can be traced back to where it was created and where. 

However, increasingly, it is also being used to increase brand awareness and deliver different revenue streams. Brands are partnering with NFT influencers and artists to increase their visibility and tractions as well as offering new ways of accessing the brand.

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