Will digital assets stay modern with Millennials and Gen-Zers?
27 December 2022
A new study finds that Millennials and Gen-Zers are the demographic that buy digital fashion assets and fashion NFTs (non-fungible tokens) the most.
Research from fashion/lifestyle commerce platform Centra Surveys of 2,000 UK consumers in July found that 21 per cent of Millennials and 19 per cent of Gen-Zers had purchased a digital fashion asset, or NFT, compared to nine per cent for all respondents, according to Retail Tech Innovation Hub.
Of those who purchased digital assets, 38 percent viewed them as an investment (46 percent among Gen-Zers). 31 percent of Gen-Z shoppers wanted to dress up their digital avatars as the main reason for purchasing NFTs, with 39 percent of total respondents believing that digital avatars will become the norm in the next two years as the Metaverse evolves themselves.
Still, while a quarter (27 percent) believed NFTs were the future of fashion, 29 percent believed fashion NFTs were a fad that would pass, 25 percent said they did not trust NFTs and 24 percent believed NFTs -is just a gimmick used by fashion brands to sell more “stuff” to shoppers.
The fashion industry is one of the early adopters of NFTs. A Shopify report as of March 2022, the Vogue Business Index found 17 percent of businesses experimenting with NFTs in some capacity.
NFTs have proven particularly popular in streetwear and sneakers, segments that find a strong collector market for physical products.
High-profile streetwear NFT releases continue to emerge from brands such as Puma and Renowned, according to Dot.LA. In August, Tiffany launched a streetwear-focused campaign that allowed owners of CryptoPunk NFTs to have their tokens turned into physical pendants.
Some still see the NFT bubble bursting. According to a CNN Business article, NFT volume is down 89 percent from its peak in January, trading on NFT marketplace OpenSea has fallen to its lowest since June 2021 and once highly sought-after NFTs, such as the Bored Ape Yacht Club collection, are trading at a fraction of their peak levels . General waning interest in the collectibles combined with instability in the cryptocurrency market, on which NFTs depend, are two likely reasons why NFT buying and trading has slowed.
Loading …“Will the interest of Gen-Zers and Millenials in fashion NFTs remain strong, or will it fall off like other digital collectibles seem to have?”
