Digital product passports "could double fashion products' lifetime value" says Bain/eBay report
As fashion drives towards greater sustainability, resale grows in significance and consumers seek greater value from what they buy, a new study claims that digital product passports — or DPPs — could double fashion products' lifetime value. And it says that consumers (as well as brands) would reap the rewards.
DPPs are standardised digital records, accessible via QR codes, NFC, blockchain or similar tech, offering detailed information about a product's materials, components, origin, environmental footprint, and lifecycle. They mean consumers, businesses, and regulators can trace and assess products throughout their lifecycle.
Bain and eBay have got together to produce the study that 'urges brands to act fast' on DPPs, especially as new EU regulation makes such action a necessity.
Their joint report said that as DPPs become mandatory for textiles in the EU over the next few years, their findings show 'these are not just a regulatory tool but a commercial opportunity. For example, a fashion item sold for £500 today could generate an additional £500 in resale and services when supported by a DPP, by improving trust, traceability and ease of resale'.
That will benefit resale platforms, brands and verification services, as well as consumers.
Digital records within DPPs store verified product information and enable brands to 'launch resale, trade-in and buyback schemes with confidence; offer tailored warranties, repairs and aftercare; track usage and extend product lifespans; [and] report on ESG goals with greater transparency'.
For consumers, it means that by 'removing friction – no more lost receipts or clunky listings – DPPs will enable one-click resale and boost confidence. As secondhand markets expand, DPPs can act as a flywheel for growth – deepening trust, expanding participation, and making circular shopping second nature.'
Unfortunately the current situation in the fashion sector with DPPs isn't very advanced. The report said that 'many brands – around 90% of those surveyed by Bain – currently view DPPs primarily as a regulatory burden. But today's research encourages companies to reframe DPPs as a strategic investment capable of generating ongoing revenue, driving sustainability, and strengthening consumer relationships'.
Aaron Cheris, partner in Bain's Retail and Customer Strategy & Marketing practices, said: 'DPPs are more than just checking a compliance box. They are a foundational shift in how value is created, captured, and sustained over a product's lifetime. Brands that act early can build a more direct, data-rich relationship with consumers, tapping into resale trends and personalising services in powerful new ways.'
Alexis Hoopes, VP of Global Fashion at eBay, added that DPPs are 'critical to powering the future of circularity in fashion. As a global marketplace at the forefront of resale, we're exploring how better product data can enable smarter buying, responsible selling, and a more trusted platform. Unlocking value for consumers is a critical part of the connected product evolution'.
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As fashion drives towards greater sustainability, resale grows in significance and consumers seek greater value from what they buy, a new study claims that digital product passports — or DPPs — could double fashion products' lifetime value. And it says that consumers (as well as brands) would reap the rewards. DPPs are standardised digital records, accessible via QR codes, NFC, blockchain or similar tech, offering detailed information about a product's materials, components, origin, environmental footprint, and lifecycle. They mean consumers, businesses, and regulators can trace and assess products throughout their lifecycle. Bain and eBay have got together to produce the study that 'urges brands to act fast' on DPPs, especially as new EU regulation makes such action a necessity. Their joint report said that as DPPs become mandatory for textiles in the EU over the next few years, their findings show 'these are not just a regulatory tool but a commercial opportunity. For example, a fashion item sold for £500 today could generate an additional £500 in resale and services when supported by a DPP, by improving trust, traceability and ease of resale'. That will benefit resale platforms, brands and verification services, as well as consumers. Digital records within DPPs store verified product information and enable brands to 'launch resale, trade-in and buyback schemes with confidence; offer tailored warranties, repairs and aftercare; track usage and extend product lifespans; [and] report on ESG goals with greater transparency'. For consumers, it means that by 'removing friction – no more lost receipts or clunky listings – DPPs will enable one-click resale and boost confidence. As secondhand markets expand, DPPs can act as a flywheel for growth – deepening trust, expanding participation, and making circular shopping second nature.' Unfortunately the current situation in the fashion sector with DPPs isn't very advanced. The report said that 'many brands – around 90% of those surveyed by Bain – currently view DPPs primarily as a regulatory burden. But today's research encourages companies to reframe DPPs as a strategic investment capable of generating ongoing revenue, driving sustainability, and strengthening consumer relationships'. Aaron Cheris, partner in Bain's Retail and Customer Strategy & Marketing practices, said: 'DPPs are more than just checking a compliance box. They are a foundational shift in how value is created, captured, and sustained over a product's lifetime. Brands that act early can build a more direct, data-rich relationship with consumers, tapping into resale trends and personalising services in powerful new ways.' Alexis Hoopes, VP of Global Fashion at eBay, added that DPPs are 'critical to powering the future of circularity in fashion. As a global marketplace at the forefront of resale, we're exploring how better product data can enable smarter buying, responsible selling, and a more trusted platform. Unlocking value for consumers is a critical part of the connected product evolution'.
