Digital product passports will be key to fashion’s transparency
Renoon is an Amsterdam-based transparency software dedicated to fashion and retail, providing tools to showcase product sustainability and origin. Empowered by a blend of industry veterans and backed by notable organisations, it aims to revolutionise transparency in retail through digital product passports. In an interview with Fibre2Fashion, Co-founder and CSO Iris Skrami, discusses how to increase transparency and sustainability in fashion industry.
How has sustainability in the fashion industry evolved over the past decade, and what trends do you see emerging in the near future?
Sustainability in our industry has undergone such significant changes, that summarising them in a paragraph might seem too big of a simplification. What is driving this transformation is a definitive increase in awareness and education, both from consumers and industry professionals. If we can mention key areas of change, they need to definitely be linked with transparency and accountability, with brands having started to prioritise transparency in their supply chains. This is what Renoon facilitates: disclosing information about the materials they use, where their garments are produced, and the conditions in their factories. Also, the concept of circular fashion has gained traction, with brands piloting re-commerce, rental, and repairs. The use of alternative materials, slowing down production, attention to certifications, 3D printing and design, are other key topics.
But the two main forces of change must be linked to regulatory changes and ‘consumer activism’, with social media and online campaigns that have played a significant role in raising awareness and holding brands accountable.
Looking ahead, there are several emerging trends in sustainability which definitely include the further use of tech to digitise supply chain documentation, and regenerative practices. For sure in the next years, we will see an intensification of material innovation on one side, and a more intentional approach to partnerships. We are also seeing an increased interest in local, on-demand production. Finally, consumer education is going to be a big one: we see brands investing more and more in educating consumers about sustainable choices and providing tools to help them make more informed decisions.
Are there any specific challenges or obstacles that brands face when trying to implement sustainable practices in their supply chains?
Most companies that have never mapped their suppliers are often scared of the reaction that their supply chain will have when requested to fulfil transparency demands. This is most often than not a challenge that is easily surmounted.
What are the key environmental and social impacts associated with the fashion industry, and how can they be mitigated?
We can definitely write a book on this one. However, by focusing on what Renoon specifically addresses: the implementation of measurable and industry-wide KPIs, companies across the supply chain can be held accountable, thereby empowering them to initiate essential improvements.
How did the idea for Renoon come about, and what inspired you to create a platform focused on sustainability in the fashion industry?
Mistrust towards brands’ sustainability claims is at its highest point, with 33 per cent consumers that have already stopped purchasing from certain brands because they are unsure or concerned about their environmental and social commitments (Deloitte, 2022). How can we expect the sustainability transition to happen if consumers do not have the power of information, and companies do not have the incentive to measure, improve, and communicate correctly? What is it going to take to restore that trust? These were the questions that Gabri, Piero, Nico and I asked ourselves in the early days of Renoon. We realised that as citizens who purchase goods, we know the price or colour of what we buy, sure. But do we have an easy access of the where, who, how and what is the impact of our purchase? The answer is no. So, we set out on a mission to empower the future of commerce to make informed decisions, starting from the textile and fashion industry. Our backgrounds in the luxury and fashion-tech space made us realise that this was the right time to build future-proof tools that would empower brands and supply chain players to prepare and swiftly respond to new regulatory demands and market shifts.
Could you elaborate on the criteria and metrics used to evaluate a fashion brand’s sustainability on Renoon?
Building criteria and metrics is a fundamental task that governments, scientists and NGOs have been taking on and researching for years. What Renoon does is give brands the tools to collect and validate the data they need to apply these frameworks. Analysing the impact of their products, and having pre-built tools to structure the process, allows brands to finally be able to be transparent with their customers and stakeholders.
Recent regulations are actually demanding companies to apply certain frameworks and follow certain rules that are putting huge pressure onto many companies. This brings a risk especially to SMEs who do not have the same human resources as large enterprises. That is how technology plays a crucial role in helping automate and facilitate this necessary transition.
Can you describe the process of how consumers can use the platform to make more informed and responsible purchasing decisions?
Renoon’s widget can be found embedded directly within a brand’s website, on the product description. From this year, consumers will also be able to access this information by scanning a QR code or through an NFC chip in the physical items. We call these ‘Responsibility Product Passports’. We are extremely excited to see more than 3 million products starting to circulate with this technology. Of course, the items carrying this data are still a few compared to what is possible to achieve, so we hope that, also thanks to consumers’ demand, more and more companies will be able to display more transparency.
Responsibility product passports at least display the map of suppliers for that item on three key production steps and contain key information on the environmental and social qualities of it.
Could you elaborate on the company’s sustainability framework and its alignment with the United Nations Sustainable Development Goals (SDGs)?
The UN SDGs are a fundamental part of the toolkit brands find in our software. The question that we always get is: how are the badges or ‘tags’ that have become a recognised stamp of Renoon decided and assigned? We combine regulatory demands, with market best practices. An important part of what we do is always align the brands’ sustainability communication to existing Consumer Market Authorities guidelines across different countries. The tendency that we see is that the more consumers and stakeholders become educated, the more precise the badges become. With EU banning terms like “eco-friendly” and “climate neutral”, making claims safely becomes harder and harder, making it necessary to have a Green Claims management tool that makes the process of substantiating claims more structured and validated. According to Adam Taubenfligel, founder and chief of impact of Triarchy, one of Renoon’s brand clients, “The only way to combat greenwashing is transparency and the only way to be transparent is to have a third party to vet and publish the information. I think as brands we cannot be trusted to speak for ourselves, but the communication needs to happen through a third party that publishes the data on the brand’s channels, of course, but protecting the integrity of the data.” So even if a brand has a different tone of voice and wants to change the wording of a claim, Renoon’s platform gives homogeneity to that claim with the substantiation process behind it. According to Taubenfligel, “If every brand has its own system to publish the data, it becomes very confusing for the customer.”
What are some of the key environmental and ethical factors that Renoon evaluates when assessing a brand’s sustainability?
Renoon’s tool allows companies to go upstream through their Scope 3 to gather data that is fundamental for them to assess the environmental and social sustainability of their supply chain. For environmental impact, key metrics are CO2 emissions, water and energy consumption, as well as land use.
How many companies have adopted third-party verified impact information through the platform, and what impact has this had?
This year more than 3 million products will have Renoon’s Responsibility Product Passports, in less than a year from the launch of the platform. This has a snowball effect: the more brands use Renoon, the more consumers start to request transparency, and the ball grows.
Can you share some examples of industry partners and organisations that Renoon collaborates with to promote sustainability in fashion?
Renoon partners with a range of initiatives – from NGOs to other software or hardware solutions that help facilitate the transition to a circular economy. For example, in the US we collaborate with the NGO Remake, which is one of the leading communities promoting a healthy and socially responsible supply chain.
We are also one of the solutions featured on the EON Exchange platform, for companies to integrate in their Digital IDs.
The team is then constantly busy with tech integrations (like PLMs, ERPs) to make the process as smooth and automated as possible.
What recognition and awards has your company received in recent years, and how have these achievements shaped your mission?
Renoon has been backed by the Italian government, and international VCs (venture capitals). Our team has been recognised in the Forbes Under 30 list, or as most pioneering leaders shaping the future, Sifted.
Renoon’s mission is quite an ambitious one that we believe will continue to expand and might never actually feel quite complete. One of the objectives we set ourselves is to support our clients to reach 1 billion consumers by 2030, thanks to the partners and companies we work with.
How does the company stay up-to-date with the latest trends and innovations in sustainable fashion?
Our team of experts sits at the forefront of regulatory shifts by contributing to key tables of discussion, like GS1 for the Digital Product Passport, or La Fondation de La Mode Circulaire for the circular economy, or Confcommercio Federmoda in Italy.
Are there any notable sustainable materials or manufacturing techniques that are gaining traction in the fashion industry that you would like to highlight?
We have recently announced a partnership with Unspun. We are excited to support a pioneering company in 3D weaving technology as its transparency partner. We believe that 3D technologies will be key to fashion’s waste problem.
Are there any other upcoming developments or initiatives from Renoon that you would like to share with your user community?
We have a pretty exciting launch with an Italian brand happening this October!
