The 5 benefits of NFC technology in Sneakers & Footwear

The sneaker world has exploded in popularity, becoming a global phenomenon. This massive industry is expected to reach a staggering market cap of over $100 billion by 2025. 

This article explores five ways NFC technology can elevate sneakers beyond just footwear.

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1. NFC help sneaker brands tell compelling stories 

Every sneaker brand has a story to tell, whether it's a limited-edition release, a timeless classic, or a collaboration with a celebrity or another brand. New features, seasonal trends — the list goes on. NFC technology enables interactive content using rich media such as videos, animations, or interactive flip cards.

There’s two main opportunities for storytelling: educational content and inspirational content.

Educational content 

Educational content can explain to consumers what kind of materials are used or point out the unique features of an innovative design. Or what the benefits are of specific parts of the shoe when you wear them. This information can be beautifully integrated into an NFC experience and personalized to the brand, product and consumer.

Inspiring content

The other opportunity for storytelling is for brands to inspire their customers. One way of doing this is to share the story that inspired the sneaker's design. 

An NFC tag integrated into the sneaker will enable brands to communicate the rich stories that inspired the design. NFC will bring these stories to the consumer fluently and frictionlessly.

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2. NFC enabled sneakers are 100% effective against counterfeit

Every year, consumers buy fake sneakers. Not because they want to, but because they believe they buy the real thing. 

Suppliers of counterfeit sneakers are getting smarter each year in bringing these fakes into the market — this is referred to as “super fakes”. Super fake sneakers are higher quality fake ones that are even more difficult to separate from an authentic sneaker. In some cases, people can only tell the difference by measuring and comparing the weight of the sneaker.

The counterfeit market for sneakers will always exist. Some people do not care about the authenticity of a product or simply can't afford the real thing. There will (unfortunately) always be an opportunity to buy a fake product for those people. 

By integrating an NFC tag into the shoe, consumers can scan it at any time to verify its authenticity, regardless of whether it's a first, second, or even third-hand purchase.

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3. NFC brings trust to the resale market

The sneaker resell market is a giant, estimated at a whopping $6 billion annually. That's nearly 10% of the total sneaker market value!

As previously mentioned, counterfeits are a substantial challenge for the industry and the resale market is not exempt.  

Fake sneakers are a real problem to the resell market. That’s where NFC technology comes in. 

NFC tags embedded in sneakers can act as digital passports, allowing buyers to instantly verify authenticity with a simple tap of their phone. This eliminates the risk of unknowingly purchasing fakes, a major concern for resellers and collectors. For brands, this unique feature alone justifies embracing NFC technology.

Plus, consumers can officially claim ownership of their NFC-enabled sneakers through a simple registration process. This imbues each pair with a unique identity.

This unique identity gives consumers: 

• Track Ownership History: See who owned the sneakers before you, adding a touch of history and intrigue.

• Global Sneaker Journey: Trace the path your sneakers have taken, mapping where they've been worn around the world.

• Customization and Repair Log: Access a detailed record of any customizations or repairs made to the sneakers.

• Production Transparency: Get a glimpse into the sneaker's origin story, including information on materials and production traceability.

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4. Used sneakers can offer a new revenue stream 

Engaging with customers after they buy your sneakers can be a goldmine. Brands can use this opportunity to encourage repeat purchases or suggest complementary products. 

Research by Harvard Business Review shows a whopping 83% of shopping trips involve repurchasing similar items.  

Here's where things get interesting: using Near Field Communication (NFC) technology embedded in the shoes themselves creates the fastest and most convenient way for customers to return to your store.

Now, when directing customers to new purchases, you have flexibility in choosing the sales channel. Tappr has collaborated with sneaker brands that intentionally guide customers back to the original retailer where they bought the shoes. This strengthens the brand's partnership with the retailer. However, in other situations, customers might have purchased from a marketplace. In these cases, you might redirect them to your own e-commerce store. The best channel depends on your specific brand strategy – there's no one-size-fits-all answer.

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5. More consumer data for informed strategies

While selling directly to consumers (DTC) offers benefits like cutting out the middleman, the true advantage lies in the deep knowledge DTC brands can gain about their customers. Unlike traditional brands that rely on wholesalers and retailers, DTC brands have a direct line to their audience. This allows them to gather valuable insights and make data-driven decisions about product features, marketing campaigns, and the overall customer experience.

Before diving into the extra benefits, let's look at DTC's sales history. Before, DTC was only a sales channel. For example, Adidas sells the majority through various retailers and wholesalers. But they also deliver directly to their consumers through their e-commerce or Adidas stores. DTC is just another sales channel.

Today, DTC has become a category, some brands are only selling through their e-commerce channels. Brands like Rothy's, which sell exclusively online, is a prime example. 

The key difference isn't in the sneakers themselves, but in the brand's ability to leverage customer data. This empowers them to adapt products based on real needs and deliver a seamless experience from browsing to purchase and beyond.

As Forbes points out, brands with strong customer connections hold a strategic advantage. By failing to embrace DTC, traditional brands risk losing control over their product, marketing, and most importantly, their connection to the consumer – their most valuable asset.

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How Tappr Network can help footwear brands integrate NFC tags

We offer brands a SaaS platform that makes it incredibly easy to transform all their products into digital storytellers that drive more revenue. 

Creative teams can easily replicate all brand stories and content by integrating with your existing e-commerce platform. Meanwhile, production teams can schedule an NFC order and deliver them directly to your production factories across the globe. At the same time, we forward all marketing-related data to your CRM & CDP to ensure your marketing team can start engaging consumers and gain an ROI.

If you're interested in using our services, feel free to reach out. We are always happy to talk you through the many opportunities NFC offers to your brand.