Ralph Lauren is ready to capture the opportunities in the Metaverse and Roblox is its first stop! The iconic American fashion lifestyle brand opened a 24/7 digital store on Roblox. This move extends their customer base to the gaming platform’s 47 million daily active users.
Virtual puffer jackets, checkered beanies and other retro skiwear for the winter season are now up for grabs for under $5!
Understanding Ralph Lauren’s Roblox Move
Metaverse adoption is gaining ground. Thus, the need to create a virtual identity is becoming second nature to the more tech-savvy crowd. This is the same group that populates the crypto and NFT Space. As such, it’s not surprising that NFT owners use their Bored Ape, Meebit, CryptoPunk or Hashmask as PFP. Now the trend is headed to more customization so the demand for wearables is as real as it gets.
One of Metaverse’s hooks is that it offers a more immersive and three-dimensional experience. So gaming platforms are the most obvious entry point. This is why in 2012, Diesel began selling clothing and furniture on The Sims. In 2019, Louis Vuitton developed ‘skins’ — an in-game purchase that changes a player’s appearance— for players in League of Legends.
Now fashion brands are on the move to take over digital wearables through NFTs. Last fall, Dolce & Gabbana broke the fashion NFT sales record by selling out its latest collection for 1,885.719 ETH or almost $6 Million. Digital fashion sneaker brand RTFKT is now under the Nike umbrella. This groundbreaking news further affirms that NFTs are going mainstream.
NFTs make sense for the fashion industry because they eliminate many operational challenges. With a digital item, there is no need to buy raw materials, produce the clothing and ship it around the world. The brands can focus on content creation and marketing in order to convert it to sales. Meanwhile, consumers can own the hottest trending pieces in just a few clicks. So it’s a win-win for both sides.
With how things are going, a Ralph Lauren NFT Collection is certainly on the horizon!
Digital Wearables Economy
According to Morgan Stanley, the metaverse could help luxury brands expand their total addressable market by over 10% by 2030. That percentage means $50 billion in additional revenues so the clamor to build a digital presence is understandable.
Consumers are willing to spend on digital wearables because it satisfies the aspirational come-on without breaking the bank. For example, in September 2021, Balenciaga launched Fortnite “skins” priced at 1,000 V-Bucks (the currency used on Fortnite), equivalent to about $8. Meanwhile, Ralph Lauren is selling its winter apparel on Roblox for only $3 to $5.
Yes, physical items luxury items are selling for thousands of dollars but we are talking about millions of NEW customers. So the opportunities in the Metaverse could really propel the first movers to new heights. Lucky for Ralph Lauren, they are headed in the right direction to own this new emerging segment!