5. Enhanced Identificaiton and Tracking

KEY STAKEHOLDERS
LEAD
ENABLERS
KEY SYNERGY TOPICS
  • CIRCULAR DESIGN
  • CIRCULAR AND SHARING BUSINESS MODELS
  • DEMAND FOR RECYCLED AND RENEWABLE FIBRES
  • POST-USE ECOSYSTEM
  • SORTATION AND RECYCLING

Designers, product teams, logistics providers, digital innovators and resellers need to co-develop and implement enhanced identification methods and tracking systems to facilitate circular activities across the value chain. Implementing such systems throughout the supply chain will revolutionise the transition to a circular ecosystem, particularly downstream in the value chain. By enabling greater efficiency and more accurate sorting of garments and textiles, the end-of-life recovery process both for recommerce and regenerative recycling will be optimised. Development of increasingly sophisticated, data-driven identification and tracking systems will only further enhance all areas of the supply chain. For example, it will offer more granular data for brands and retailers to understand their audiences and facilitate other initiatives, including mandatory labelling schemes that raise citizen awareness. Embracing these technology-driven solutions will be critical to enabling and accelerating the transition to a circular ecosystem by allowing it to function effectively and efficiently for both consumers and other supply chain stakeholders.

KARLA MAGRUDER

FOUNDER, ACCELERATING CIRCULARITY

“As we move to circularity, what are the traceability and tracking systems in use? There is a myriad of data technologies that will need to function for circularity to commercialise and this includes product passports. [...] We need the information available to everybody. We need to be totally transparent.”

Recommendations
  • Developing a digital tracking system: Logistics providers to lead a multi-stakeholder initiative with brands, retailers, manufacturers and digital innovators aimed at developing a standardised industry framework for accessing item-specific information on provenance; materials; composition; social and environmental impact; and certifications. The initiative should include trials for introducing digital technologies (e.g. blockchain- supported intelligent labels, RFID or QR tags) at the earliest stages of the value chain to enable end-to-end traceability and transparency throughout an item’s lifecycle. The framework should be designed to aid the development of take-back schemes and the consequent increase in capacity of reverse logistics. It should also consider opportunities for incorporating Internet of Things (IoT) ecosystems, digital twins, and platforms for provision of services.

JOE METCALFE

CO-FOUNDER & CEO, THRIFT+

 

 

“As a clothing resale company dealing with post-consumer clothes, it would be great to be able to identify items really easily once they reach Thrift+. This doesn’t need to be over- engineered or onerous for brands - it just needs to be standardised across brands and easily readable by a computer - e.g. holding info by QR code on the brand, department, style, size, material, season.”

CASE STUDY

CaaStle

RELEVANT ACTION AREAS
  • CIRCULAR AND SHARING BUSINESS MODELS
  • ENHANCED IDENTIFICATION AND TRACKING

CaaStle’s B2B technology platform enables retailers and fashion brands to provide Clothing as a Service (CaaS), a subscription-based unlimited rental model with an option to buy,as a complement to their existing retail and eCommerce business. For a flat monthly fee that varies by service, members can create a waste-free wardrobe by selecting two styles to rent at a time, with unlimited exchanges through-out the month and the option to keep and purchase any item at a discount. The service also includes free unlimited shipping and returns, and complimentary eco-friendly laundering services. Moss Bros was the first UK retailer to launch their fashion subscription service, ‘MOSS BOX’, on CaaStle’s rental technology platform in April 2021, and LK Bennett soon followed with their ‘LK Borrowed’ service. CaaStle also provides brands and retailers with data insights, including what pieces customers are most likely to rent and how many times a garment is rented. It is hoped that, equipped with this knowledge, brands and retailers can make more strategic decisions, reduce their inventory risk and improve their yield optimisation. As a provider of an integrated system for launching rental and subscription,CaaStle exemplifies the type of partnership that can help established fashion brands and retailers begin the shift towards circular offerings and business models. Such business models will help to reduce negative environmental impact and potentially offer more profitable and stable revenue models, particularly through the diversification of services to consumers

CASE STUDY

EON Group

RELEVANT ACTION AREAS
  • ENHANCED IDENTIFICATION AND TRACKING

The EON Group is a New York City-based technology start-up that provides a Connected Products Cloud platform for fashion and retail. In May of 2021, EON announced a partnership with PANGAIA, a materials science company, using EON’s Connected Product Cloud to power digital passports for PANGAIA apparel. The digital passports will be powered by a QR code printed directly onto PANGAIA’s labels, linking the garment to a digital ‘twin’ hosted on the cloud. Leveraging EON’s CircularIDTM Protocol, the digital passport provides information that helps consumers and critical partners in the ecosystem maximise the reuse and revaluation of the individual item. For instance, the CircularID includes information about an item’s brand, description, size, and materials that can help drive the economic value gained through recommerce. Information provided on the component parts and materials facilitate advanced sorting and both mechanical and chemical recycling processes. The passports also offer transparency on the item’s unique journey from production to point-of-sale; guidance to consumers on care and maintenance; and item-level tracking and analytics to enable the reverse logistics required for rental, sharing and subscription business models. The partnership showcases the development of increasingly sophisticated data-driven identification and tracking systems that can empower stakeholders across the ecosystem and benefit all areas of the value chain

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