The speed of change in multi-channel retail is exceptionally fluid and dynamic today. 

LVMH chief executive Bernard Arnault is cautious of the metaverse “bubble”, the digital world that has infatuated fashion and luxury with its exclusivity, hype and Gen Z-leaning community.

“We have to see what will be the applications of the metaverse and NFTs,” Arnault said in response to a query on the metaverse during the company’s earnings call on 27 January. “It can undoubtedly have a positive impact if it is well done on the activity of the brands, but it is not our objective to sell virtual sneakers at €10. We are not interested in that.”

The world of digital can be a veritable minefield, especially when your company is trying to keep up with all those trendy 'metaverse' start-ups who seem to be nibbling away at your company with those bright ideas and agile innovative thinking.

Legacy systems are not just about technology, people have in-built legacy mindsets, and these mindsets always take an inside out approach which inevitably becomes the blocker to any real transformation or change.

This isn't business enablement, this isn't consumer centric, this really isn't transformation - it's being opportunity averse.

HSBC luxury analyst Erwan Rambourg notes that the metaverse is here to stay, but will likely be a small driver of overall business. “Arnault made an important case that Louis Vuitton was not selling handbags and fashion, but selling culture. The metaverse is part of the culture, so you have to acknowledge it and take it into accountsource Vogue Business

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Few IT leaders have the in-house talent to build the bleeding-edge technologies that many innovative digital initiatives require, especially in the headline hitting world view of what the Web3 and the Metaverse might become.  

Legacy systems in organisation can breed 'legacy thinking' or the often heard view 'if it's not already in our systems, how do we bolt it on'. 

This isn't a criticism it's more of a personal realistic observation based on many years of being called in to help understand 'transformation' delivery from a brand and people perspective.

What do I mean by 'legacy thinking', well in simple terms I often see internal barriers created by an internalised thought process around incrementally layering things on top of legacy systems and legacy processes all in the hope it can make you more agile, reduce your cost, and possibly make you seem innovative in your customers mind.  

Or in simple terms in the Teflon coated IT department 'nothing sticks'.

“It’s hard to segment what is and isn't ‘the metaverse’, because it’s a continuation and improvement of the technologies we are already using, from AR filters to high-def and hyper-real product portrayals. It’s just a continuation of tech trends,” says Liam Osbourne, global client partner of Flux, the fashion division at digital production company Media Monks. “You can’t just close the door. Web 3.0 will happen, and you want to show up authentically.”

Today access to digital talent is everywhere, the ability to partner with innovative companies is a key business imperative in order that commercial consumer based innovation is welcomed and not blocked.

As many retail brands look to jump into the NFT hype there is no shortage of tech enabled start-ups jumping in on this 'bubble' opportunity, and just like in the real world they're made of up of chancers, blaggers, and fraudsters - however! 

Sometimes working with a start-up can get you where you want to go a lot quicker, they're not constrained by your 'legacy mindset' they are not looking to take an incremental step to 'innovate' they might already have some great ideas, and in exchange for a mutually beneficial commercial relationship can get you where you want to be.