No More Counterfeiting? Too Promising?
For better or worse, for richer and for poorer, in sickness and in health, until death do them apart.
Secoo is the first luxury brand to join forces with blockchain systems. It has launched a platform that helps in utilizing blockchain advantages in a way to resell pre-loved luxury products and to resolve the issue of counterfeits. Scams and replication also reduce with this blockchain based portal.
This up-gradation helps in maintaining the commodity originality and activating the second-hand luxury market, which is worth $50 billion in China alone. Second hand stores come in all shapes – Thrift stores, Vintage stores, High street shops and online retailers. This is a step ahead for the industry.
Antidote for Counterfeiting
China is the heart and soul of counterfeiting. The counterfeiting issue is always a hard-healing wound for luxury industry, constraining the health industry development. Yes, we know what we are saying. Spreading more consumerism, more materialism and much much more capitalism. The need to own products that nobody else owns, is a very capitalistic infestation among generations. The exclusiveness that we feel should be associated with brands, yes that is integral to luxury brands.
Luxury businesses are vulnerable. The moles in the industry make the whole crop go waste. But, people who are willing and able to buy brands will buy brands. People who can make the choice to buy low cost, low grade replicas will buy replicas. This means, the both industries can co-exist. Then what is the problem with Counterfeiting?
One brand does all the work. While the other only replicates. Only reproduces. Not only a creative and intellectual attack but also a moralistic one.
The phenomenon is specially reflected on second-hand luxury market. Due to the complicated product origin and empirical authentication technique, second-hand luxury market lacks of trust between buyers and sellers. The issue also becomes the glass ceiling for the market’s development.
Chinese luxury market worth approximately $50 billion in 2016, but second-hand luxury market is only less than $1.5 billion. The Japanese is the second-hand luxury market has already surpassed $5 billion. This gap is that, China doesn’t have a well-functioning second-hand luxury operation and management system.
How this works
Secoo combines blockchain technology with authentication (anti-counterfeiting) capability. This new technology will not cause any damage for luxury products, nor engender any abrasion like e-chip. No poking holes through fabric to fit in devices. No scanning, with horrible grade scanners.
Consumers will not notice the presence of the invisible anti-counterfeiting code. The code contains all product information without any modification, and will be identified by Secoo mobile application.
After the fully application of this new blockchain technology, every item on Secoo platform will have an anti-counterfeiting certification with QR code, consumers can find all detailed information through scanning the QR code, and the information will also include the search frequency of this product. Consumers can easily discover the product is a whole new one or a second-hand one.
More brands and multi-brand stores have caught the attention. The growth is so slow. The movement is not as speedy as we would like. But, it is happening. The change is on its ways, as we quickly transcend towards it on escalators, it is rushing to us in elevators.
This really means provision of better shopping service for high-end consumers. More satisfaction, fast fashion and exclusivity.