Rachel Waller, Vice President of Channel Innovation, Burberry

What is the biggest digital success story for your brand over the last 12 months that has driven your brand strength and growth?

We were very excited to recently announce our partnership with Mythical Games to launch an NFT in their Blankos Block Party game. This was particularly special as we were the first luxury brand to feature in the game which is very much a celebration of creativity, community and exploration – values that reflect our own at Burberry.

As part of the collection, we released a digital character, a shark called Sharky B, as well as our own branded in-game NFT accessories including a jetpack, armbands and pool shoes. The response has been overwhelming. Sharky B sold out in less than 30 seconds and our Burberry jetpack sold out in under 2 minutes. Whether it’s about aesthetics or behaviours, we’re constantly learning from the gaming community and our Blankos drop really showed just how passionate they are.

We’re also very interested in the ability of NFTs to provide players with real value, verified ownership and authenticity. Our communities can now genuinely own something from our brand that isn’t necessarily physical, but still embodies our values and heritage of adventure. This space provides an exciting opportunity for us to address the core needs of our consumers, going beyond the restrictions of the physical, and drive desire and heat in digital spaces, where possibilities are endless.

The pandemic has accelerated the shift to omnichannel / experiential retail. How did you accelerate this during the pandemic?

The idea of seamlessly connecting our customers’ digital and physical worlds is something we’ve been experimenting with for some time. In July last year, we opened luxury’s first social retail store in Shenzhen, China, offering customers a space of exploration where they can interact with our brand and product in new ways – in person, and on social media.

The closure of stores during the pandemic has also caused a lot of businesses to focus on their e-commerce channels. We looked beyond that and used this time as an opportunity to accelerate our omnichannel strategy, doubling down on how we can innovate to create meaningful connections with customers and cater to their needs which we know are constantly in flux.

This year, we redesigned the online experience to enhance the customer journey by replicating behaviours seen in store and increasing personalisation. We know digital content is a prime source of inspiration in luxury fashion, so we weaved video, animation and movement into our interactive product stories. Our online sales associates are also available to help with styling, sizing and recommendations through the new chat function on the site. This type of highly personalised service ensures customers have the best shopping experience possible with Burberry, and we’re seeing great momentum here.

How do you marry traditional luxury values – including craftsmanship and personalisation – with technology?

Understanding the signifiers of luxury and how you can use technology to reinforce those is key. In the past, there was a sense in the industry that digital was not a luxury behaviour, but in fact, the elements that we are building online enhance rich personal and inspirational experiences which are so central to luxury.

At its heart, luxury is about scarcity and exclusivity, and product data can help reinforce that. Imagine placing every product on the blockchain, creating a record of that product’s lifecycle – where it was made, who has worn it, when it was repaired, and so forth. It would enable each product to tell its own unique story, inherently increasing its scarcity and value.

There’s a balance that’s needed between the traditional ethos of perfection and the digital test-and-learn mentality. It takes a new type of designer to recognise and embrace the role that digital can play in design, just as it takes a new type of engineer to be able to use new tech tools and work collaboratively with creatives and designers. Our Burberry Blanko, Sharky B, was designed by our core fashion team. So, the same designers who are designing our iconic trench coats are the same designers who are working on Sharky’s jet pack and pool shoes. This NFT collection was given the attention, creativity and value that we would give something physical. That’s where the magic happens.

Another example is our recent collaboration with digital production agency, Koffeecup, to develop a new software that merges gaming technology and design to significantly speed up and simplify the process of placing prints onto garments. The software places a 2D print onto a 3D product template, immediately showcasing how the finished product will look and providing real time feedback. The use of 3D is now embedded in Burberry’s merchandising model, enabling a more sustainable, creative and efficient process, and has become a staple tool in print engineering.

In the past, there was a sense in the industry that digital was not a luxury behaviour, but in fact, the elements that we are building online enhance rich personal and inspirational experiences which are so central to luxury

What is the role of emerging technology in creating a more sustainable business?

The role that technology and innovation can play in creating a more sustainable business is still largely understated across many industries. The obvious example here is that blockchain technology can help with product traceability, but there’s also an element of collective accountability that comes with this. Brands are held to account to uphold their commitments, and customers in turn are no longer just consumers of a product, they become part of the afterlife of each item.

Text BoxConsumers have never been more data-led and eco-conscious as they are now. They want to understand a product’s sustainability credentials and it’s very much at the forefront of their minds when they’re making purchases. Our own research shows that 86% of our customers believe that environmental and social sustainability is important when they decide to purchase luxury fashion. Sustainability is very much a part of the customer decision and if it isn’t incorporated into every aspect of your brand – from your purpose to actions taken within your extended supply chain, to your marketing – your brand values will be too thin.

Our own research shows that 86% of our customers believe that environmental and social sustainability is important when they decide to purchase luxury fashion

What are the biggest disrupters or untapped opportunities? 

Community-driven shopping is rapidly gaining popularity and we’re seeing more people, particularly Gen Z and millennial consumers, wanting to communicate and evolve in an environment where they can share elements of their experience. This is a massive area for future growth. Social selling is quite nascent and will only become more important as it starts to represent a greater proportion of direct sales in key markets. 

NFTs and virtual products are the obvious areas that are ripe for disruption, but the key is to balance the desire for disruption with what works in practice. Take virtual fashion for example. As people spend more time online, the human need to signal our status to the world across our various digital platforms naturally goes up. However, physical clothing cannot, and will not, be replaced. We don’t look at digital in isolation. It’s part of a connected ecosystem and we’re constantly striving to weave a golden thread across all these experiences for our customers.