Web3 Scorecard r1 - Louis Vuitton

Ok, I’m not actually giving out grades, but let’s put a critical lens on our assessment of their Web3 marketing efforts.

Like Goldilocks and her porridges, with any new technology, there are different ways to enter the market. Some brands choose to go in really hot. Some go in a little cooler. And maybe some enter in just the right way for their brand. The “hot” brands start with an expansive strategy, spend a lot on testing and hiring a team, and create an innovation machine that makes others jealous of their budgets. Then there are those brands with a deep passion for the new technology but are more directed in their efforts. And of course, those that dip just a toe in, sometimes successfully, sometimes not.

Web3 is no different. As the industry learns from the trailblazers in Web3 marketing, let's break down three brands at the forefront and what their investments can teach us. This week we’ll start with Louis Vuitton.

Louis Vuitton

Background: Louis Vuitton entered Web3 a little delicately, though not insignificantly. Louis Vuitton might have the strongest visual brand today (in luxury). The distinctive pattern on many handbags and their longevity contribute to a continuing popularity. But of course, with that long-term authenticity comes a need to also consistently re-invent, creating ideas and projects that seem fresh and desirable to new generations of consumers.

Projects:

League of legends - League of Legends  is a multiplayer online battle arena video game developed and published by Riot Games. Both an in-game and IRL activation, Louis Vuitton designed in-game skins, e.g. outfits, for characters, a physical collection with limited editions bags, as well as designing a championship trophy case for the game’s WORLDS tournament. (and yes, I think we can agree, gaming is not technically Web3 but MMORPG are a gateway drug for the metaverse, so I’m including it)

Louis The Game-( with NFTs by Beeple) An immersive app game based on the brand founder’s story. The game features 30 non-fungible tokens (NFTs) to be collected by players along the way, ten of which were designed by digital artist Beeple. Key point, the NFTs are collectible but not for sale.

Aura blockchain - Both Louis Vuitton and parent company LVMH are founding members of this consortium which aims to bring together the industry to work on blockchain-based authenticity, transparency and traceability solutions.

Results:

• Acquisition: Of these, only League of Legends seems designed to find new customers. Perhaps their game also drew in some new, younger consumers, but it’s also possible the audience was made up of consumers who were already fans, and this was the best medium to reach them.

• Retention: Online games are useful for further exposing fans of your brand to your visual identity and products as they increase their interaction time. Anyone who plays Louis the Game is likely to walk away with a higher affinity for the brand.

• Innovation: On one hand, Louis the Game wasn’t viewed by the Web3 community as tech savvy as the in-game NFTs were not resellable, a key concept in NFTs. On the other hand, LV’s commitment to using the blockchain for authenticity, via Aura and the Diamond Coalition, another authenticity effort, is both innovative and on-brand.

• Revenue: Likely insignificant in the short term, while the League of Legends Collection sold out, we can assume it didn’t make a dent in their multi-billion dollar revenue.

• Brand/PR: Brand identity is where LV shines. Most of these activations are in line with the DNA of the brand, e.g. travel, sportsmanship, and authenticity. Using their clout to find ways to authenticate luxury goods (which is obviously in their best interest) is an industry-driving move. The League of Legends winner’s cup is also particularly in line with the house’s heritage having made the cups for Formula One Grand Prix de Monaco Trophy and the Rugby World Cup, among others.

What grade would you give them?

Want to know who’s next?