s04e02 - Dressing for Climate Success: Three Startups Decarbonizing Fashion, with unspun, Smartex and Gozen

WEBVTT
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Welcome to the SOSV Climate Tech Summit podcast series.
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I am the AI voice of Ben Joff,
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a partner at SOSV and co-curator of the Climate Tech Summit.
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In a panel discussion moderated by Dr.
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Sabria Stukes,
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Chief Scientific Officer at IndieBioENWI,
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founders Beth Esbonet of Unspun,
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Gilberto Loureiro of Smartex,
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and Onur Eren of Gozen discussed innovative approaches to sustainable fashion.
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The conversation focused on leveraging technology to reduce waste and emissions in the fashion industry.
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Beth highlighted Unspun's on-demand manufacturing model that minimizes fabric waste and promotes efficient production.
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Gilberto discussed Smartex's use of advanced technology to enhance quality control and reduce defects in textile manufacturing.
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Onur emphasized Gozen's development of new materials that offer sustainable alternatives to traditional textiles.
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The panel also touched on the challenges of scaling sustainable practices and the role of government regulation in promoting industry-wide sustainability.
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Welcome everybody to this session.
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Our moderator today is Sabria Stukes,
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who is the Chief Scientific Officer for IndieBio in New York.
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She knows all these founders well because they all happen to be SOSV portfolio founders.
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So how we're going to roll today is essentially Sabria is going to run a 30-minute conversation more or less with our speakers.
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And throughout that,
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you should feel free to put questions in the Q&A section of the Zoom.
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So we'll be looking there for great questions that Sabria can start to throw at our panelists after about 30 minutes or so.
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So for about the first 30 minutes,
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Sabria is going to run the conversation,
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then we'll turn to some audience questions.
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And of course,
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we encourage,
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Sabria was just saying earlier backstage,
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a conversation here.
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So it's not just an interview format.
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We're hoping that panelists will ask each other questions and join in the conversation broadly.
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So with that,
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I'm going to pass it over to Sabria.
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And thanks very much,
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Sabria,
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for moderating this session.
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It's going to be great.
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Absolutely.
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Thank you so much,
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Ned.
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And thank you so much to all of you who are joining us.
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And so just want to reiterate what Ned was saying is please do feel free as the conversation is going to put your questions or even comments in the chat and hopefully we can get to some of them.
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So given that we only have about an hour with these founders and I want to jump right into it.
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And so,
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you know,
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when I was asked to.
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To moderate this panel,
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I was kind of thinking,
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well,
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kind of how can I ground myself or what is the foundation of which we can start this conversation?
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And so I think for all of us,
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right,
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it's no secret that clothes can be deeply personal.
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They can be a way to help us express who we are and sometimes who we want to be and can be representations of pivotal moments in our lives.
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Clothes are also items that can hold really strong connections to our past.
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And I was reminded of a book called Worn.
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Maybe some of you have heard of it.
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The actual full title is Worn,
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A People's History of Clothing,
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which in 2022,
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the New Yorker chose as its best book of the year.
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They called it a sweeping and captivatingly told history of clothing and stuff it is made of,
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an unparalleled deep dive into how everyday garments have transformed our lives,
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our societies and our planet.
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And
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I mostly raise this as an example because if you had told me maybe two years ago that one of the New Yorker's best book of the year would be about clothes,
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given everything our world was going through,
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I would have felt maybe a little skeptical.
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But as you can see,
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many people feel very deeply about it.
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So while much has been written,
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and I hope will continue to be written about the impact producing clothes has on our planet.
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I am really excited to kick off this conversation with three founders who are tackling this problem from a variety of angles.
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And so,
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as I was saying,
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as I was thinking about this topic,
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I was reminded of the three R's.
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I don't know how many people remember the three R's of waste management,
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reduce,
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reuse and recycle.
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And while that is a phrase I don't think I've said out loud since middle school,
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it feels as though many of the efforts to combat consumerism,
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overconsumption and maybe even think more sustainably,
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could benefit from going back to this simple mantra.
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And so to kick it off,
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what I would like to have is if our three founders could briefly introduce yourselves,
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talk about your technology,
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and then we can dive into some questions.
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Beth,
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why don't you go ahead and start?
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Amazing.
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Thanks so much for having me here.
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My name is Beth.
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I'm one of the founders of Unspun.
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We're trying to create an industry that's on demand.
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So what we're doing is changing the way that clothing is manufactured.
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I'm right now sitting in our microfactory in Oakland,
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California,
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and we have three 3D weaving machines behind me.
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We're trying to make it possible to take yarn and create final garment straight from yarn and skip the fabric cutting stage.
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One big problem with going from yarn to fabric to final garment is it is extremely labor intensive and it requires a sewing machine.
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So it's just very,
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very difficult to automate that process and then be able to.
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localize production and kind of have a more responsible industry.
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So I'll stop there without talking too much,
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but in any case,
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I'm very excited to be here and to be talking to these awesome other panelists.
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I'll pass it to Gilberto.
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Hey,
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thank you Beth.
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It's a nice moment to see a 3D weaving machine here in the background.
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I hope soon some cameras and computer vision systems will go there to avoid some waste in case we can help with some.
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I'm Gilberto,
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I'm the co-founder of Smartex.
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This whole started with an accident and a hate story.
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Because when I was a teenager,
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I was promoted to be an inspection worker in a textile factory in my summer job.
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And it's the most horrible job on Earth,
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is spending eight hours per day looking to fabrics rolls after they've been produced and mark defects manually.
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And then I realized that like five to 10% of the production of normal garments are wasted because of defects in the manufacturing process.
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And then when I knew about the margins of these guys,
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Poor guys,
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like my clients,
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they have really tiny margins.
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Like they have a few defects or a few garments wasted.
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They need to produce like for days to recover the materials lost.
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So we started developing a bunch of cameras and sensors and cool stuff to install in textile machines.
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We have been very lucky and growing a lot in India,
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Bangladesh,
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Pakistan,
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Turkey,
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Italy,
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Brazil.
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We are installing cameras in all the factories of the world,
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inside the machines,
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unfortunately not yet in California,
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but Beth will take care of that.
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And we are basically saving tons of money and waste from our clients.
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In parallel,
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we stumbled in a larger problem,
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which is the overall lack of transparency and the overall lack of digitization of the industry.
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So we are also installing screens and sensors and tablets and QR codes.
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and help factories to really catch up with other industries and create the modern textile factory.
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That's one of our missions at Smartex.
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Best to you,
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Wander.
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Yeah.
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Thank you,
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Gilberto.
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Thanks for having me here.
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It's great to be with Bert Gilberto and talk about decarbonizing fashion today.
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My name is Onur.
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I'm one of the co-founders of Gozen.
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Gozen is a bio-creation company.
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We grow next-gen high-performance materials for product designers to make products out of it instead of animal-based materials.
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Our production process is entirely bio-based and our first product is Gluniform,
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which is a high-performance material that can be used in fashion.
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instead of other animal-based alternatives.
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I'll cut it short for now,
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but I'll dive into more into technology and how we do it with questions,
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Sabria.
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Thank you.
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And actually one thing,
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Beth,
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that you said that kind of
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I think would be nice to hear about is so you said you're based in Oakland.
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Gilberto and Onur,
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I'm not sure exactly where you are,
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but could all of you talk about the decision to grow your company in the particular location that you're at?
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And...
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did that or does that geography impact,
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you know,
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how big you can grow?
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Beth,
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maybe you want to go first.
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I'm also curious about the Oakland choice.
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This is a hard question because we also have a few team members in Hong Kong and part like Gilberto,
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like starting to expand into other parts of the world,
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looking at another spot in North America,
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potentially another spot in Europe,
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but growing hopefully at like a sustainable pace and not something where we spread out too thin and aren't able to focus our efforts.
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But why Oakland?
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Why the Bay Area?
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Well,
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we...
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there is a bit of a Kool-Aid in the air that you kind of being here.
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And
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I really felt it when I moved to the Bay.
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The first time was in 2012,
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2011,
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2012.
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And there's so much optimism here.
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It's kind of a fuzzy thing,
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but it actually makes a huge difference because your employee pool is just so much bigger.
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People want to dive in.
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They're very eager for like the unknown and trying new things.
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And I think.
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That was something that was interesting about being in Hong Kong as well.
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That was early on.
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Actually,
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in our HACS days,
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we were in Shenzhen and Hong Kong.
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That's where we met.
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Yes,
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exactly.
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just amazing places,
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but I think the culture there is not as excited about,
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you know,
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jumping into new things,
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and there's,
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I don't want to call it a fear,
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but there's just more pull towards,
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like,
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things that are a little bit more solid,
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and so that's something here.
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I think there's been pull towards LA,
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there's been pull towards...
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New York,
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of course,
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those are like more kind of fashion capitals than where we are here in
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San Francisco area.
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But
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I think because we're such a technology company,
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it makes a lot of sense to be here.
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Fortunately,
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the internet is,
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it's just such a global world these days,
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like we're all calling in from different places.
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So I think that's also helped us a lot.
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If we were just in the Bay,
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I think we'd be lacking on a lot of the fashion aspects.
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Yeah,
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I always divide the innovations in fashion in three categories,
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which I think we kind of represent them here.
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It's the material side,
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like recycled materials,
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vegan materials,
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that sort of stuff.
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Then the production side,
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which is like all the shit show in the middle,
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like the 20 factories in the middle for spinning,
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knitting,
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weaving,
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embroidery,
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cutting,
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sewing,
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whatever.
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I guess we are here,
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kind of unspun as well.
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But then also the retail front,
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like there are no returns or the on-demand,
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no stock,
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which is also where unspun kind of fits.
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So these three areas,
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they are kind of very well represented here.
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And I would say.
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depending on where you are in these three areas,
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that should really influence the decision of where you should be based or your team or your gravity center should be based.
259
00:11:43.201 --> 00:11:43.968
Because for Beth,
260
00:11:44.452 --> 00:11:49.761
maybe it makes much more sense to be close to brands and New York and fancy places and lots of parties.
261
00:11:50.322 --> 00:11:50.946
But for me,
262
00:11:51.389 --> 00:11:52.618
I need to be in Lahore,
263
00:11:52.638 --> 00:11:53.081
Karachi,
264
00:11:53.341 --> 00:11:53.986
Dakar,
265
00:11:54.107 --> 00:11:55.739
Karam Amaraj and Istanbul,
266
00:11:55.759 --> 00:11:55.961
right?
267
00:11:56.341 --> 00:12:01.781
So we should really place our cards and depending on where we have the activity.
268
00:12:02.456 --> 00:12:05.193
We decided to have all our engineers in Porto.
269
00:12:05.473 --> 00:12:08.487
We have now 130 engineers in Porto,
270
00:12:09.471 --> 00:12:09.933
in Portugal.
271
00:12:11.256 --> 00:12:14.413
I would say that are here like four factors very important for that.
272
00:12:15.716 --> 00:12:16.378
The talent,
273
00:12:16.459 --> 00:12:17.262
software talent,
274
00:12:17.282 --> 00:12:19.873
a bunch of software companies are in Portugal and moving there.
275
00:12:20.413 --> 00:12:22.202
The country is like amazing,
276
00:12:22.363 --> 00:12:22.704
safe,
277
00:12:23.528 --> 00:12:24.533
like it's super affordable.
278
00:12:24.813 --> 00:12:27.973
It's easy to convince people to join our company and move to Portugal.
279
00:12:28.094 --> 00:12:30.093
We have 19 nationalities there.
280
00:12:31.567 --> 00:12:32.370
Then it is like
281
00:12:32.852 --> 00:12:35.621
Textile Hub is very near to Portugal.
282
00:12:35.982 --> 00:12:40.601
We have the second largest textile hub in Europe after Turkey.
283
00:12:41.123 --> 00:12:44.641
So we can really go back and forth to factories and test things in the same day.
284
00:12:45.144 --> 00:12:48.641
We ship and test in the same day because we have the factories right next to us.
285
00:12:49.103 --> 00:12:49.586
Spinners,
286
00:12:49.646 --> 00:12:49.968
weavers,
287
00:12:49.988 --> 00:12:50.450
knitters,
288
00:12:51.556 --> 00:12:52.541
garment manufacturers.
289
00:12:52.863 --> 00:12:55.183
And the fourth is close to my mom's foot.
290
00:12:55.778 --> 00:12:58.189
and my mom lives next to Porto,
291
00:12:58.229 --> 00:12:59.153
like two hours driving,
292
00:12:59.433 --> 00:13:03.053
and it was also influenced a lot in the decision of placing the company there.
293
00:13:03.454 --> 00:13:05.133
Some investors wanted us to be in the Valley,
294
00:13:05.714 --> 00:13:07.344
but we found it a bit silly,
295
00:13:07.445 --> 00:13:08.693
and my mom's food is far away.
296
00:13:09.955 --> 00:13:12.093
I'm sure your mom really will appreciate that answer.
297
00:13:13.671 --> 00:13:13.873
Owner?
298
00:13:14.900 --> 00:13:16.023
And first of all,
299
00:13:16.063 --> 00:13:17.968
I would like to say that Gilberto,
300
00:13:18.028 --> 00:13:20.734
there are also nice fancy restaurants and clubs in Istanbul,
301
00:13:20.795 --> 00:13:21.577
Turkey as well.
302
00:13:21.938 --> 00:13:26.589
I forgot to tell you.
303
00:13:27.692 --> 00:13:29.537
The second place is actually Istanbul.
304
00:13:29.797 --> 00:13:31.163
And in our second year,
305
00:13:31.604 --> 00:13:34.596
we acquired a startup in Maslak in Istanbul.
306
00:13:34.757 --> 00:13:36.888
So it's actually my second hub.
307
00:13:37.209 --> 00:13:38.174
I have an apartment there.
308
00:13:38.777 --> 00:13:40.529
So I'm always between Porto and Istanbul.
309
00:13:40.650 --> 00:13:41.656
I forgot to say that.
310
00:13:42.040 --> 00:13:42.949
Second place would be...
311
00:13:43.110 --> 00:13:43.474
Yeah,
312
00:13:43.494 --> 00:13:44.949
Istanbul is where I come from and also
313
00:13:45.994 --> 00:13:48.306
Gozen is based in San Francisco and Istanbul,
314
00:13:48.366 --> 00:13:48.688
Turkey.
315
00:13:49.271 --> 00:13:51.647
So part of our team here based in the Bay Area.
316
00:13:52.029 --> 00:13:52.492
Obviously,
317
00:13:53.115 --> 00:13:53.738
I would say,
318
00:13:54.161 --> 00:13:55.508
I think whatever...
319
00:13:56.376 --> 00:13:59.085
type of company or whatever technology you engage with,
320
00:13:59.165 --> 00:14:07.370
Bay Area gives you access to capital and also great networking opportunities for business development as well.
321
00:14:07.370 --> 00:14:10.460
So I think it's very advantageous to be based here.
322
00:14:10.982 --> 00:14:12.768
But as Gilberto mentioned,
323
00:14:12.908 --> 00:14:15.275
in terms of manufacturing can scale up,
324
00:14:15.616 --> 00:14:19.986
it's really important for a company like ours,
325
00:14:20.568 --> 00:14:22.873
you have to have strategic advantage.
326
00:14:23.530 --> 00:14:28.909
Somehow you need to be able to create an edge for your company to be able to scale up and also serve the brands.
327
00:14:29.509 --> 00:14:30.251
In that sense,
328
00:14:30.291 --> 00:14:34.322
Istanbul made a lot of sense for us because all the founders of the company,
329
00:14:35.505 --> 00:14:36.869
we know the geolocation.
330
00:14:37.069 --> 00:14:37.555
And obviously,
331
00:14:37.555 --> 00:14:38.609
it's the heart of textile.
332
00:14:39.409 --> 00:14:41.428
I'm sure Gerberto would also confirm.
333
00:14:42.190 --> 00:14:48.029
It is so close to Europe so that you can save a lot of emissions with transportation.
334
00:14:48.774 --> 00:14:49.559
And obviously,
335
00:14:50.002 --> 00:14:50.828
when you look at...
336
00:14:53.523 --> 00:14:57.592
When you look at the manufacturing map on Istanbul,
337
00:14:57.672 --> 00:14:58.013
Turkey,
338
00:14:58.073 --> 00:15:02.081
you have great talent and access and know-how.
339
00:15:03.752 --> 00:15:09.621
And know-how is very important because when you want to scale a new technology,
340
00:15:10.041 --> 00:15:15.529
you need to also be able to borrow some concepts from the existing industry.
341
00:15:15.890 --> 00:15:19.777
So like how can I also use the existing equipment,
342
00:15:19.877 --> 00:15:26.429
machinery to be able to provide a quick adoption to fashion brands that you want to serve?
343
00:15:27.019 --> 00:15:27.509
That's hard.
344
00:15:28.347 --> 00:15:37.019
Istanbul helped us a lot to develop our manufacturing corporations and where we are also actually building the next facility,
345
00:15:37.480 --> 00:15:41.165
which I would like to share more based on the questions after this.
346
00:15:41.265 --> 00:15:41.406
Yeah,
347
00:15:41.486 --> 00:15:43.872
and actually you already used a word that,
348
00:15:43.972 --> 00:15:44.213
you know,
349
00:15:44.413 --> 00:15:45.356
I had a question about,
350
00:15:45.636 --> 00:15:45.877
you know,
351
00:15:45.877 --> 00:15:46.479
a little bit later,
352
00:15:46.479 --> 00:15:47.882
but let's go ahead and touch on it now,
353
00:15:47.942 --> 00:15:48.744
which is scaling,
354
00:15:48.805 --> 00:15:48.965
right?
355
00:15:49.105 --> 00:15:52.425
So in order to make as big of an impact.
356
00:15:53.375 --> 00:15:55.223
as possible in our fight against climate and,
357
00:15:55.343 --> 00:15:55.584
you know,
358
00:15:55.665 --> 00:15:58.195
decrease some of these numbers that we're seeing coming out of the fashion industry.
359
00:15:58.938 --> 00:16:01.287
Scaling both not just your technology,
360
00:16:01.368 --> 00:16:04.478
but your company at the right time is really critical.
361
00:16:04.859 --> 00:16:09.334
And so as I was looking through each of your individual websites,
362
00:16:09.334 --> 00:16:09.555
you know,
363
00:16:09.595 --> 00:16:09.816
Beth,
364
00:16:10.198 --> 00:16:12.549
I really like the way that you frame your mission of
365
00:16:12.930 --> 00:16:17.389
Unspun's North Star is a 1% reduction in global carbon emissions.
366
00:16:17.855 --> 00:16:19.085
Vega is how we get there.
367
00:16:19.890 --> 00:16:20.333
It's clear,
368
00:16:20.454 --> 00:16:20.938
it's crisp,
369
00:16:20.959 --> 00:16:21.725
it's a call to action.
370
00:16:22.185 --> 00:16:30.645
And so can I ask each of you how you think about scale and how that impacts your decisions for the next steps of your company?
371
00:16:33.898 --> 00:16:34.279
Yeah,
372
00:16:34.279 --> 00:16:35.741
I'll dive into that.
373
00:16:36.402 --> 00:16:37.724
And thanks for calling out our mission.
374
00:16:37.764 --> 00:16:37.884
Yeah,
375
00:16:38.205 --> 00:16:41.650
it does clarify things when things get messy all the time,
376
00:16:41.670 --> 00:16:41.851
right?
377
00:16:41.871 --> 00:16:42.872
And you have to just come back to,
378
00:16:42.912 --> 00:16:43.113
okay,
379
00:16:43.834 --> 00:16:44.695
what are we going after again?
380
00:16:45.076 --> 00:16:45.717
That's what we're going after.
381
00:16:46.059 --> 00:16:46.220
Well,
382
00:16:46.220 --> 00:16:48.417
what are you going after and how are you going to do it?
383
00:16:48.538 --> 00:16:48.766
Right,
384
00:16:48.786 --> 00:16:49.117
exactly.
385
00:16:49.537 --> 00:16:51.204
Many companies say the big picture,
386
00:16:52.328 --> 00:16:54.417
but what is that tangible solution that will get you there?
387
00:16:55.259 --> 00:16:55.439
Yeah,
388
00:16:55.580 --> 00:16:59.449
and doing the most recent LCA with GreenStory,
389
00:16:59.569 --> 00:17:01.453
we found that our technology,
390
00:17:02.315 --> 00:17:02.937
if scaled up,
391
00:17:03.489 --> 00:17:07.805
can reduce global or can reduce emissions in our industry by 53%.
392
00:17:08.470 --> 00:17:09.719
And the reason for that,
393
00:17:09.739 --> 00:17:10.544
there are a couple of them.
394
00:17:11.468 --> 00:17:13.885
One small reason is removing cut waste.
395
00:17:14.046 --> 00:17:15.675
So when you lay out a piece of fabric,
396
00:17:15.997 --> 00:17:17.445
cut it up and turn it into a garment,
397
00:17:17.926 --> 00:17:19.885
you have about 10% cut waste.
398
00:17:21.167 --> 00:17:24.057
That's the small bit that it kind of covers,
399
00:17:24.097 --> 00:17:26.305
but it also covers zero inventory.
400
00:17:26.765 --> 00:17:27.894
So our goal,
401
00:17:28.196 --> 00:17:29.225
we're not starting with this.
402
00:17:29.646 --> 00:17:31.082
We did start with this with our brand,
403
00:17:31.143 --> 00:17:31.284
but
404
00:17:31.864 --> 00:17:38.501
We'll eventually get back to a place where we have zero inventory and can make a product as soon as a customer buys it.
405
00:17:39.524 --> 00:17:41.309
But this gets back to our scale question.
406
00:17:42.211 --> 00:17:45.621
We that's that is our goal and why we started out.
407
00:17:46.423 --> 00:17:47.466
But to get to
408
00:17:49.055 --> 00:17:49.858
bigger impact,
409
00:17:49.978 --> 00:17:52.807
being able to address more of the industry more quickly,
410
00:17:53.388 --> 00:17:59.873
we decided rather than focusing on all the smaller brands who want to do custom with us and want to do on-demand,
411
00:18:00.314 --> 00:18:04.206
that we would go for the bigger brands in addition,
412
00:18:05.249 --> 00:18:06.673
but focus on those a little bit more.
413
00:18:07.253 --> 00:18:09.360
So we have a few very large brands,
414
00:18:09.400 --> 00:18:10.604
including Walmart,
415
00:18:11.086 --> 00:18:14.036
to try to get this out there as quickly as possible.
416
00:18:14.558 --> 00:18:15.261
And for that,
417
00:18:15.342 --> 00:18:15.984
you can't,
418
00:18:16.205 --> 00:18:17.973
or it's challenging to say.
419
00:18:18.437 --> 00:18:18.598
okay,
420
00:18:18.598 --> 00:18:22.013
we're going to completely flip your business model and do everything on demand.
421
00:18:22.634 --> 00:18:23.638
So instead we said,
422
00:18:23.718 --> 00:18:27.073
we're going to commit to doing extremely large volumes with you,
423
00:18:27.655 --> 00:18:29.987
but maybe you don't have to change your business plan immediately.
424
00:18:30.228 --> 00:18:33.942
You can still do more just-in-time manufacturing,
425
00:18:33.982 --> 00:18:39.763
cutting down their lead time significantly instead of someone purchases and then we produce it.
426
00:18:40.024 --> 00:18:42.073
But the goal is to get there with Walmart.
427
00:18:42.575 --> 00:18:47.013
And then the last part is trying to make a model that...
428
00:18:48.720 --> 00:18:50.647
This is a word I can't stand using,
429
00:18:50.668 --> 00:18:52.033
but someone needs to come up with a replacement.
430
00:18:52.976 --> 00:18:53.738
That's more circular.
431
00:18:53.959 --> 00:18:58.913
So how do we take what we put into the world and turn that back into another garment end of life?
432
00:18:59.393 --> 00:19:01.215
And we're doing that kind of at the yarn level.
433
00:19:01.295 --> 00:19:03.217
And those kind of three aspects,
434
00:19:04.078 --> 00:19:05.259
the less waste,
435
00:19:05.820 --> 00:19:07.442
the closer to zero inventory,
436
00:19:07.562 --> 00:19:10.705
and the closer to circularity bring us to the 53%.
437
00:19:13.891 --> 00:19:14.093
Cool.
438
00:19:15.320 --> 00:19:15.682
Gilberto,
439
00:19:15.742 --> 00:19:16.165
go next.
440
00:19:17.735 --> 00:19:19.164
I forgot a bit what was the question.
441
00:19:19.327 --> 00:19:19.903
It's the mission.
442
00:19:20.909 --> 00:19:24.404
It's just thinking about how do you think about scale?
443
00:19:24.707 --> 00:19:26.102
How do you think about growing your company?
444
00:19:26.526 --> 00:19:35.625
How do you think about increasing what your technology can do so that it can have maximum impact on some of the challenges that we're seeing in the fashion industry?
445
00:19:36.122 --> 00:19:36.262
Yeah,
446
00:19:36.602 --> 00:19:39.207
it's actually one of the arguments I use to attract talent is like,
447
00:19:39.567 --> 00:19:41.290
if you work in this industry,
448
00:19:41.430 --> 00:19:43.713
and if you make like certain improvements in this industry,
449
00:19:43.894 --> 00:19:48.501
you have enough credits to do like to fly and things like that.
450
00:19:49.862 --> 00:19:57.975
As this industry is by far the industry that has the biggest impact in the world and emissions and things like that,
451
00:19:58.095 --> 00:20:01.461
compared with the amount of technology that is inside this industry.
452
00:20:01.883 --> 00:20:05.401
You have trillions of dollars being produced on top of pen and paper.
453
00:20:05.865 --> 00:20:07.270
on planning with pen and paper,
454
00:20:07.531 --> 00:20:08.535
on phone calls,
455
00:20:08.716 --> 00:20:10.121
and super untraceable.
456
00:20:10.421 --> 00:20:20.201
It is literally impossible for anyone in this call or anyone listening to this call to know exactly the source of everything that happens with their clothes before they bought it.
457
00:20:20.622 --> 00:20:21.587
Where the yarns come from,
458
00:20:21.647 --> 00:20:22.934
where the fibers come from,
459
00:20:23.075 --> 00:20:24.221
which factories were used,
460
00:20:24.321 --> 00:20:25.540
which processes were used.
461
00:20:25.862 --> 00:20:27.241
No way you can prove that.
462
00:20:27.321 --> 00:20:28.428
And even if you can prove that,
463
00:20:28.468 --> 00:20:30.681
lots of question marks on that data.
464
00:20:31.226 --> 00:20:34.921
So it's the largest industry in the world with less penetration of technology.
465
00:20:35.563 --> 00:20:36.346
For many reasons,
466
00:20:36.346 --> 00:20:37.309
the materials are complex,
467
00:20:37.369 --> 00:20:38.112
are subjective,
468
00:20:38.834 --> 00:20:40.640
the fibers come from far away from everything,
469
00:20:41.222 --> 00:20:42.787
it's very manual in later stages,
470
00:20:42.787 --> 00:20:43.751
the sewing process,
471
00:20:44.232 --> 00:20:47.122
so fashion brands were going always for cheap labor places.
472
00:20:47.623 --> 00:20:48.987
So lots of reasons for that.
473
00:20:49.648 --> 00:20:51.112
And because of the prices are so low,
474
00:20:51.413 --> 00:20:55.062
nobody has cash to buy technology for automation.
475
00:20:55.344 --> 00:20:57.604
So that's the current state of the art.
476
00:20:58.072 --> 00:21:00.970
The industry pollutes 20% of the global water.
477
00:21:01.691 --> 00:21:06.130
20% of the water that is polluted in the world is because of the textile fashion industry.
478
00:21:06.431 --> 00:21:08.750
One out of six people work in the textile industry.
479
00:21:09.090 --> 00:21:12.650
Sometimes we don't realize the amount of people that is involved.
480
00:21:13.470 --> 00:21:17.870
And nearly between 2% to 10% CO2 emissions come from this industry.
481
00:21:18.030 --> 00:21:20.448
Nobody really knows how to measure this number because,
482
00:21:20.529 --> 00:21:20.710
again,
483
00:21:20.931 --> 00:21:23.290
there are no ways to prove where your garments are made.
484
00:21:24.011 --> 00:21:24.132
So,
485
00:21:24.536 --> 00:21:25.041
service,
486
00:21:25.102 --> 00:21:25.870
this is the stage.
487
00:21:26.583 --> 00:21:28.190
if you can improve
488
00:21:28.592 --> 00:21:29.818
1% of this industry,
489
00:21:30.198 --> 00:21:30.581
oh yeah,
490
00:21:30.662 --> 00:21:32.618
you are going to create a dent in the universe.
491
00:21:33.279 --> 00:21:36.838
And we always design everything in SmartX to think about scale,
492
00:21:37.260 --> 00:21:40.897
not about you are going to sell it in Europe and then to Turkey and then to...
493
00:21:40.978 --> 00:21:41.106
No,
494
00:21:41.106 --> 00:21:41.170
no,
495
00:21:41.149 --> 00:21:41.234
no,
496
00:21:41.213 --> 00:21:41.298
no.
497
00:21:41.638 --> 00:21:43.918
Let's think about this like immediately in Lahore,
498
00:21:44.058 --> 00:21:44.523
Karachi,
499
00:21:45.068 --> 00:21:45.835
Coimbatore,
500
00:21:45.876 --> 00:21:46.118
Mumbai,
501
00:21:46.398 --> 00:21:49.838
like all of these places where the big desktop factories are.
502
00:21:50.457 --> 00:21:52.247
and we developed like all the cameras,
503
00:21:52.247 --> 00:21:52.750
the hardware,
504
00:21:52.990 --> 00:21:58.610
everything to be very Lego type of mounts and very cheap as well,
505
00:21:58.750 --> 00:22:00.120
very affordable for our clients.
506
00:22:00.241 --> 00:22:00.744
So they can,
507
00:22:00.825 --> 00:22:01.530
they can have ROI.
508
00:22:02.352 --> 00:22:03.519
Of course we are all here.
509
00:22:03.540 --> 00:22:05.070
I think we are all surfing another wave,
510
00:22:05.230 --> 00:22:06.702
which is the legislation wave coming.
511
00:22:06.742 --> 00:22:07.629
We can talk about that,
512
00:22:08.173 --> 00:22:11.110
but we cannot make a business counting on legislation.
513
00:22:11.290 --> 00:22:13.190
Otherwise our runway wouldn't get there.
514
00:22:14.111 --> 00:22:18.210
We need to find concrete pains in the factories that we can kill.
515
00:22:19.304 --> 00:22:20.166
And if we do have time,
516
00:22:20.186 --> 00:22:28.742
I would love to kind of dive into what we think that what role government can and should play kind of in next steps of the fashion industry.
517
00:22:28.782 --> 00:22:31.651
But I want to give Onar some time to share with us a little bit about,
518
00:22:31.712 --> 00:22:31.952
you know,
519
00:22:32.835 --> 00:22:34.862
his thoughts on how he thinks about scaling goes in.
520
00:22:35.564 --> 00:22:35.684
Yeah,
521
00:22:36.265 --> 00:22:36.525
sure.
522
00:22:36.706 --> 00:22:37.827
So in our case,
523
00:22:38.068 --> 00:22:46.902
it is a little more complicated to explain clearly because the material we bring to the market is somewhere in between textile and leather.
524
00:22:47.642 --> 00:22:47.762
So
525
00:22:48.264 --> 00:22:51.511
Lunaform looks and feels like animal leather.
526
00:22:51.551 --> 00:22:52.434
It's so beautiful,
527
00:22:52.574 --> 00:22:53.095
gorgeous,
528
00:22:53.175 --> 00:22:55.982
but it's also super thin and it's super strong.
529
00:22:56.122 --> 00:22:56.624
Therefore,
530
00:22:58.950 --> 00:23:03.422
our North Star is actually like bringing a material.
531
00:23:04.177 --> 00:23:09.191
and giving it to the hands of product designers so that they can eventually stop using,
532
00:23:09.973 --> 00:23:10.274
you know,
533
00:23:10.575 --> 00:23:14.154
the other materials that they have to use today.
534
00:23:14.474 --> 00:23:17.751
So simply enabling them to...
535
00:23:20.958 --> 00:23:25.934
design in a way that they can create impact also at scale through the materials.
536
00:23:26.756 --> 00:23:34.274
So obviously it's a hard problem to solve because it is not something
537
00:23:35.711 --> 00:23:37.419
to replace or,
538
00:23:37.760 --> 00:23:38.061
you know,
539
00:23:38.282 --> 00:23:39.226
let me tell you in this way,
540
00:23:39.307 --> 00:23:39.608
if you,
541
00:23:39.729 --> 00:23:39.970
if you,
542
00:23:40.231 --> 00:23:41.610
if you try to replace something,
543
00:23:42.293 --> 00:23:45.450
then your chances is so low to create impact at scale.
544
00:23:45.610 --> 00:23:49.689
So it has to be something new and it has to be adopted.
545
00:23:49.789 --> 00:23:50.010
Right.
546
00:23:50.570 --> 00:23:51.413
So therefore
547
00:23:52.176 --> 00:23:58.138
I would like to answer like scale up question in a way that how we can also scale up this thinking,
548
00:23:58.219 --> 00:23:59.223
this mindset,
549
00:23:59.644 --> 00:24:01.030
also from consumer side,
550
00:24:01.130 --> 00:24:03.505
how to adopt this thinking.
551
00:24:03.565 --> 00:24:03.968
Therefore,
552
00:24:04.028 --> 00:24:04.310
actually,
553
00:24:04.679 --> 00:24:05.089
we also
554
00:24:05.602 --> 00:24:09.738
I put our website transforming minds through materials.
555
00:24:10.078 --> 00:24:10.521
So simply,
556
00:24:11.004 --> 00:24:13.278
how do we transform our material world?
557
00:24:13.839 --> 00:24:19.678
And it creates a transformational impact on the minds of the consumers at the end.
558
00:24:20.418 --> 00:24:29.198
Then this is how can create a circular impact in preferences of consumers and then brands adopt these new materials.
559
00:24:29.379 --> 00:24:33.518
And then we can start talking about creating impact at scale.
560
00:24:34.285 --> 00:24:53.731
yeah these are my two cents and actually uh maybe if we can stay with you because you know as i've kind of started the conversation with this phrase of reduce reuse recycle um and you know with beth and with what beth and gilberto do you know reduce is kind of like what they you know their mantra and i feel like that phrase
561
00:24:53.751 --> 00:25:01.866
doesn't fully capture kind of what you are doing with goes in which is actually asking not just consumers but i think brands you know designers you
562
00:25:01.949 --> 00:25:08.266
to almost reimagine or rethink our relationship to biology as it relates to the material world.
563
00:25:08.567 --> 00:25:09.952
So as a microbiologist,
564
00:25:10.172 --> 00:25:11.216
I love it.
565
00:25:12.420 --> 00:25:14.126
I can imagine to your average consumer,
566
00:25:14.326 --> 00:25:16.920
it is probably a harder kind of a sell.
567
00:25:17.443 --> 00:25:17.765
And so
568
00:25:19.129 --> 00:25:19.330
maybe,
569
00:25:19.450 --> 00:25:19.691
you know,
570
00:25:19.731 --> 00:25:22.579
now if you could share a little bit about your technology,
571
00:25:22.981 --> 00:25:24.124
kind of why microbes,
572
00:25:24.624 --> 00:25:24.845
you know,
573
00:25:24.845 --> 00:25:25.969
why synthetic biology,
574
00:25:26.030 --> 00:25:34.540
and how do you go about speaking about working with microbes as a unique value proposition instead of a challenge or a hurdle?
575
00:25:34.881 --> 00:25:35.302
And actually,
576
00:25:35.302 --> 00:25:38.493
I'll integrate one of the audience questions,
577
00:25:39.175 --> 00:25:39.637
which is,
578
00:25:39.737 --> 00:25:39.978
you know,
579
00:25:39.998 --> 00:25:41.664
how do you overcome the cost challenge?
580
00:25:42.546 --> 00:25:42.867
And again,
581
00:25:42.908 --> 00:25:46.244
just talking a little bit more about the technology that Underpins goes in.
582
00:25:47.573 --> 00:25:48.114
Sure thing.
583
00:25:48.194 --> 00:25:49.516
So as you said,
584
00:25:50.397 --> 00:25:52.559
it is complex to explain as well.
585
00:25:53.060 --> 00:25:58.886
And since like when you are developing a new technology and presenting it to the world,
586
00:25:58.946 --> 00:25:59.367
you also,
587
00:25:59.908 --> 00:26:00.188
I think,
588
00:26:00.248 --> 00:26:03.812
need to be careful about how you communicate it.
589
00:26:03.812 --> 00:26:04.815
If it's too complex,
590
00:26:04.895 --> 00:26:06.298
then you lose your audience.
591
00:26:07.060 --> 00:26:08.243
And even like,
592
00:26:08.243 --> 00:26:08.524
you know,
593
00:26:09.687 --> 00:26:11.993
we got some feedback in terms of,
594
00:26:12.033 --> 00:26:12.294
you know,
595
00:26:12.334 --> 00:26:13.156
like working with...
596
00:26:13.317 --> 00:26:14.241
With microbes,
597
00:26:14.402 --> 00:26:15.508
what does it really mean?
598
00:26:15.589 --> 00:26:16.956
How do we work with microbes?
599
00:26:17.676 --> 00:26:18.840
So at the core,
600
00:26:18.880 --> 00:26:20.586
we use fermentation technology,
601
00:26:20.806 --> 00:26:23.374
which is a very old technology.
602
00:26:24.258 --> 00:26:37.308
We developed a process where we use fermentation and also only utilize sustainable ingredients to advance the production of our raw material.
603
00:26:38.253 --> 00:26:41.647
our raw material in fact looks very like skin,
604
00:26:41.647 --> 00:26:41.908
animal skin.
605
00:26:45.729 --> 00:26:50.368
And then we developed processes to apply this material,
606
00:26:51.328 --> 00:26:59.827
dry it and simply convert it into an end product that product designers can make a product out of it.
607
00:27:01.710 --> 00:27:02.594
In this sense,
608
00:27:03.638 --> 00:27:06.008
we are also working very hard to
609
00:27:08.045 --> 00:27:11.434
tell this story in a very easy way,
610
00:27:11.514 --> 00:27:12.236
but also,
611
00:27:13.559 --> 00:27:13.860
you know,
612
00:27:15.126 --> 00:27:16.296
why is this important?
613
00:27:17.340 --> 00:27:21.789
Why adapting such a technology by brands,
614
00:27:21.850 --> 00:27:22.756
by consumers?
615
00:27:24.537 --> 00:27:25.240
So yeah,
616
00:27:25.683 --> 00:27:30.296
like we are doing a lot of work on this communication,
617
00:27:31.059 --> 00:27:31.604
but yeah,
618
00:27:31.604 --> 00:27:31.745
I mean,
619
00:27:31.826 --> 00:27:37.095
we will also like hear and see more as we launch with more brands on the go.
620
00:27:37.797 --> 00:27:38.020
Yeah,
621
00:27:38.182 --> 00:27:39.235
and so I do want to come back to,
622
00:27:39.356 --> 00:27:40.127
you know,
623
00:27:40.167 --> 00:27:41.535
launching with brands and working with brands,
624
00:27:41.636 --> 00:27:43.462
but could you touch a little bit more of what you're
625
00:27:44.087 --> 00:27:50.678
about the challenges in terms of cost as it relates to scaling up a company that's really based on,
626
00:27:51.439 --> 00:27:51.680
you know,
627
00:27:52.281 --> 00:27:54.164
making sure your bacteria microbes are happy.
628
00:27:55.696 --> 00:27:55.877
Yeah,
629
00:27:55.897 --> 00:27:56.602
they are so happy.
630
00:27:57.427 --> 00:27:58.353
No worries about that.
631
00:28:00.044 --> 00:28:02.371
The good thing is actually our founder,
632
00:28:02.591 --> 00:28:02.812
Jay,
633
00:28:03.674 --> 00:28:06.121
has been working on this over five years.
634
00:28:07.184 --> 00:28:16.101
She applied for the first patent and the way that our core technology allows us to make a really great reduction on the production costs.
635
00:28:16.664 --> 00:28:19.660
So this is a unique advantage that Gozen has.
636
00:28:20.504 --> 00:28:21.228
And along the way,
637
00:28:21.289 --> 00:28:22.456
we applied it to,
638
00:28:22.818 --> 00:28:23.099
you know,
639
00:28:23.140 --> 00:28:23.522
like to
640
00:28:24.403 --> 00:28:25.248
our also,
641
00:28:25.388 --> 00:28:25.630
you know,
642
00:28:25.690 --> 00:28:26.776
production facility.
643
00:28:27.119 --> 00:28:29.196
And we simply redesigned,
644
00:28:29.396 --> 00:28:34.956
literally redesigned many processes to even lower the cost further down.
645
00:28:35.697 --> 00:28:36.542
Because I think,
646
00:28:37.105 --> 00:28:39.236
like we discussed there was scale up,
647
00:28:39.658 --> 00:28:42.276
but one of the core aspects of scale,
648
00:28:42.376 --> 00:28:44.336
being able to scale up as a company,
649
00:28:44.897 --> 00:28:45.826
you also have to,
650
00:28:46.452 --> 00:28:46.795
you know,
651
00:28:49.231 --> 00:28:51.204
find the right pricing on the market.
652
00:28:51.445 --> 00:28:55.324
So when you bring something new to the market,
653
00:28:56.369 --> 00:29:01.283
if you just bring a replacement and just charge a green premium on it,
654
00:29:01.844 --> 00:29:05.144
then you have very low chances of success.
655
00:29:05.444 --> 00:29:05.786
Instead,
656
00:29:06.108 --> 00:29:06.651
obviously,
657
00:29:07.396 --> 00:29:11.124
it is very usual for every new technology work.
658
00:29:12.008 --> 00:29:13.740
the high end of the consumer.
659
00:29:14.321 --> 00:29:15.172
Brands first,
660
00:29:15.314 --> 00:29:15.720
as you know,
661
00:29:15.800 --> 00:29:17.080
like all new technologies,
662
00:29:17.501 --> 00:29:21.416
Tesla also launched like SportCard at the beginning,
663
00:29:21.497 --> 00:29:21.720
right?
664
00:29:22.103 --> 00:29:22.994
But eventually,
665
00:29:23.014 --> 00:29:23.480
you know,
666
00:29:23.600 --> 00:29:24.659
lowering the cost down,
667
00:29:24.900 --> 00:29:31.180
matching the price that your partners can work with you together and also scaling up accordingly.
668
00:29:31.360 --> 00:29:33.259
So having a plan since day zero,
669
00:29:34.122 --> 00:29:36.180
not only optimizing your technology,
670
00:29:36.460 --> 00:29:37.599
optimizing your product,
671
00:29:37.780 --> 00:29:39.140
but also like
672
00:29:39.619 --> 00:29:45.396
bearing in mind the costs and design your technology and processes accordingly.
673
00:29:45.516 --> 00:29:46.840
I think this mindset,
674
00:29:47.281 --> 00:29:48.304
this is how actually,
675
00:29:48.625 --> 00:29:52.456
this was also saying on the first day we entered in the bio as well.
676
00:29:52.757 --> 00:29:57.456
So we have always thought about how we can lower the cost down when we scale this up.
677
00:29:58.218 --> 00:29:59.220
And yeah,
678
00:29:59.361 --> 00:29:59.842
here we are.
679
00:29:59.862 --> 00:30:00.644
So we are.
680
00:30:01.306 --> 00:30:02.870
And obviously then the geolocation,
681
00:30:02.910 --> 00:30:05.436
we can also tie this topic to where you are based.
682
00:30:05.904 --> 00:30:06.406
obviously,
683
00:30:06.666 --> 00:30:06.867
like,
684
00:30:06.867 --> 00:30:07.188
you know,
685
00:30:07.710 --> 00:30:10.680
making right decisions in terms of logistics as well.
686
00:30:11.260 --> 00:30:11.401
Yeah.
687
00:30:11.702 --> 00:30:15.580
And so a few of you have mentioned kind of working with brands and securing these partnerships,
688
00:30:16.082 --> 00:30:18.851
because sometimes at a high level,
689
00:30:18.851 --> 00:30:23.025
it can feel like when there are these conversations about capitalism or consumerism,
690
00:30:23.386 --> 00:30:24.811
it is on the consumer to,
691
00:30:25.051 --> 00:30:25.292
you know,
692
00:30:25.874 --> 00:30:28.926
recycle their plastics or to mend their clothes or,
693
00:30:28.986 --> 00:30:29.227
you know,
694
00:30:29.388 --> 00:30:30.212
don't spend as much.
695
00:30:30.212 --> 00:30:33.079
And while I think there is value in those conversations.
696
00:30:34.476 --> 00:30:34.717
you know,
697
00:30:34.777 --> 00:30:39.495
how do you actually think larger brands or organizations should be working with companies,
698
00:30:39.736 --> 00:30:39.977
you know,
699
00:30:40.258 --> 00:30:40.961
both at,
700
00:30:41.021 --> 00:30:41.282
let's say,
701
00:30:41.262 --> 00:30:44.293
the seed stage or even the stage that all three of you are at?
702
00:30:44.795 --> 00:30:45.036
And,
703
00:30:45.257 --> 00:30:45.498
you know,
704
00:30:45.558 --> 00:30:48.610
can you talk to us about how those conversations start,
705
00:30:48.710 --> 00:30:48.911
right?
706
00:30:49.051 --> 00:30:49.192
Beth,
707
00:30:49.212 --> 00:30:50.418
I know you talked about Walmart.
708
00:30:50.840 --> 00:30:51.021
Oner,
709
00:30:51.041 --> 00:30:52.950
I know you have a partnership with Balenciaga.
710
00:30:53.131 --> 00:30:53.252
So
711
00:30:54.313 --> 00:30:54.575
you know,
712
00:30:55.821 --> 00:30:57.208
how do those conversations start?
713
00:30:57.428 --> 00:30:58.014
And kind of,
714
00:30:58.115 --> 00:30:58.337
you know,
715
00:30:58.337 --> 00:31:02.428
can you give some advice on our two other founders who might be wondering,
716
00:31:02.708 --> 00:31:02.870
okay,
717
00:31:02.910 --> 00:31:06.808
I have this technology that I think could make a really big impact in the fashion world.
718
00:31:07.429 --> 00:31:09.827
How do I make those connections with large brands that need to see it?
719
00:31:11.954 --> 00:31:12.283
Go ahead,
720
00:31:12.283 --> 00:31:12.406
Ben.
721
00:31:13.308 --> 00:31:13.638
All right,
722
00:31:13.638 --> 00:31:13.948
go for it.
723
00:31:14.214 --> 00:31:14.528
I'll go for it.
724
00:31:15.410 --> 00:31:18.087
Our industry is so interconnected and it...
725
00:31:19.013 --> 00:31:21.645
is tempting to just work in isolation,
726
00:31:21.846 --> 00:31:22.208
I think.
727
00:31:22.729 --> 00:31:27.728
And we actually did do that for a little while and to some extent sort of do still.
728
00:31:27.848 --> 00:31:31.408
Like we have a D2C brand that we've been running for the past five years.
729
00:31:31.968 --> 00:31:32.665
The reason we,
730
00:31:33.250 --> 00:31:35.808
we've always wanted to work across the industry.
731
00:31:36.113 --> 00:31:37.027
That's always been our goal.
732
00:31:37.490 --> 00:31:43.548
But we brought up our brand to start because it can be really hard to bring other brands,
733
00:31:43.668 --> 00:31:45.447
other partners on board with something new.
734
00:31:46.721 --> 00:31:48.771
especially if you have no name and you have nothing,
735
00:31:49.092 --> 00:31:49.816
nothing really to show.
736
00:31:49.996 --> 00:31:50.400
So we're like,
737
00:31:50.400 --> 00:31:50.541
well,
738
00:31:50.561 --> 00:31:51.267
let's just build it.
739
00:31:51.428 --> 00:31:52.256
Let's show it to them.
740
00:31:52.717 --> 00:31:54.005
So that's actually how,
741
00:31:54.387 --> 00:31:55.756
how we brought it to the market.
742
00:31:55.917 --> 00:31:59.056
And from there partners like H&M tried it.
743
00:31:59.156 --> 00:31:59.861
That was the way that we,
744
00:32:00.062 --> 00:32:02.055
that we pulled them in was not,
745
00:32:02.536 --> 00:32:05.536
here's a little pitch on a table and here's a presentation.
746
00:32:05.637 --> 00:32:07.064
It was come try our brand,
747
00:32:07.204 --> 00:32:08.531
try our custom fit jeans.
748
00:32:08.913 --> 00:32:09.476
If you like them,
749
00:32:09.596 --> 00:32:10.018
let's chat.
750
00:32:10.380 --> 00:32:13.476
So that's how all of our first collaborations started.
751
00:32:13.676 --> 00:32:14.113
And those were.
752
00:32:15.028 --> 00:32:16.352
ones all with custom fit.
753
00:32:16.392 --> 00:32:19.422
So not changing the way that it's manufactured,
754
00:32:19.442 --> 00:32:22.091
but changing how the patterning works.
755
00:32:22.091 --> 00:32:23.777
So that's all on the software side,
756
00:32:23.938 --> 00:32:25.544
body scan to custom fit.
757
00:32:26.208 --> 00:32:28.104
Did you feel like you had to start?
758
00:32:29.229 --> 00:32:29.571
how did the,
759
00:32:29.731 --> 00:32:30.214
because,
760
00:32:30.214 --> 00:32:30.455
you know,
761
00:32:30.475 --> 00:32:30.636
like,
762
00:32:30.736 --> 00:32:33.109
we're obviously talking about kind of decarbonizing the fashion industry.
763
00:32:33.129 --> 00:32:33.875
Do you feel like you had to,
764
00:32:33.895 --> 00:32:34.037
like,
765
00:32:34.137 --> 00:32:34.782
lead with that?
766
00:32:34.843 --> 00:32:34.964
Like,
767
00:32:35.404 --> 00:32:38.377
we built something that's good for the planet and also,
768
00:32:38.638 --> 00:32:38.919
you know,
769
00:32:39.019 --> 00:32:40.104
is a product that you want,
770
00:32:40.325 --> 00:32:41.228
or was like,
771
00:32:41.289 --> 00:32:41.550
hey,
772
00:32:42.092 --> 00:32:43.056
here's a product that you want,
773
00:32:43.096 --> 00:32:43.739
and by the way,
774
00:32:43.839 --> 00:32:45.044
it is also good for the planet?
775
00:32:45.325 --> 00:32:46.309
Or are you finding,
776
00:32:46.510 --> 00:32:46.851
and again,
777
00:32:46.892 --> 00:32:48.036
this is maybe for all of you,
778
00:32:48.358 --> 00:32:51.470
are you finding in some conversations you are surprised by,
779
00:32:51.470 --> 00:32:52.997
I don't want to say how little,
780
00:32:53.378 --> 00:32:55.732
maybe larger organizations do you care about carbon emissions,
781
00:32:55.753 --> 00:32:55.874
but...
782
00:32:58.009 --> 00:33:01.204
balancing what you lead with when you open these conversations.
783
00:33:02.489 --> 00:33:02.730
Yeah,
784
00:33:02.730 --> 00:33:03.230
great question.
785
00:33:03.270 --> 00:33:04.672
I think when we were starting,
786
00:33:04.692 --> 00:33:07.676
we wanted to say it would be sustainability driven,
787
00:33:07.736 --> 00:33:08.337
but no,
788
00:33:08.677 --> 00:33:09.118
not at all.
789
00:33:10.239 --> 00:33:11.881
That's a very nice cherry on top.
790
00:33:12.882 --> 00:33:13.182
Really,
791
00:33:13.823 --> 00:33:17.688
it's about the business and how can we make their businesses more efficient.
792
00:33:18.569 --> 00:33:22.976
For when we were starting with the D2C for directly to the consumer,
793
00:33:22.996 --> 00:33:26.161
the consumer wanted to first and foremost,
794
00:33:26.341 --> 00:33:29.867
either have the convenience and not having to like look for sizes.
795
00:33:30.187 --> 00:33:30.788
That was one.
796
00:33:31.120 --> 00:33:47.522
customer segment and another customer segment wanted like a really flattering gene that one that just looked really good on them right that's hard to find and then oh by the way we didn't make a couple other pairs of jeans in order for you to get this one because we have zero inventory it's just one-to-one so
797
00:33:47.562 --> 00:33:58.556
that was just a nice to have for the consumer same thing with a lot of the brands we're speaking with there is one particular brand that we have partnered with and they have individual carbon
798
00:33:59.584 --> 00:34:02.617
like tracking for all of their leadership,
799
00:34:02.657 --> 00:34:03.460
which is amazing.
800
00:34:03.780 --> 00:34:04.042
Usually,
801
00:34:04.083 --> 00:34:04.345
you know,
802
00:34:04.627 --> 00:34:06.420
you're tracking wins on the business side,
803
00:34:06.480 --> 00:34:08.300
but they're also tying those together.
804
00:34:08.460 --> 00:34:10.179
So there is a start to it.
805
00:34:10.520 --> 00:34:11.800
I will say they are based in Europe.
806
00:34:12.062 --> 00:34:12.605
So that's,
807
00:34:13.048 --> 00:34:13.531
of course,
808
00:34:13.611 --> 00:34:19.700
like where everything kind of starts progressive-wise for sustainability and thinking about the environment.
809
00:34:19.940 --> 00:34:22.100
But it does trickle to the rest of the world.
810
00:34:23.164 --> 00:34:23.284
So,
811
00:34:23.364 --> 00:34:23.584
yeah,
812
00:34:23.885 --> 00:34:24.867
we did start out with the
813
00:34:25.328 --> 00:34:28.155
D2C, brought in some of the brands through the D2C,
814
00:34:29.017 --> 00:34:30.500
and have worked.
815
00:34:31.140 --> 00:34:31.642
I think that
816
00:34:32.124 --> 00:34:33.168
Onar was talking about,
817
00:34:33.208 --> 00:34:33.369
like,
818
00:34:33.409 --> 00:34:36.260
starting higher end and coming down to the masses.
819
00:34:37.883 --> 00:34:40.420
And that's similar to how we've been doing it.
820
00:34:40.941 --> 00:34:45.250
And it's been fun to kind of show off what our technology can do from,
821
00:34:45.691 --> 00:34:45.831
like,
822
00:34:45.831 --> 00:34:49.619
an aesthetic and functional standpoint with the more luxury groups,
823
00:34:49.639 --> 00:34:49.799
like,
824
00:34:49.819 --> 00:34:50.300
working with.
825
00:34:50.692 --> 00:34:52.558
Eckhaus Latte we launched with them last
826
00:34:53.461 --> 00:35:11.805
New York Fashion Week and we have another collaboration happening in Paris at the end of next month but it's really the like where we replace just the standard product is is like the Walmarts of the world so with that you don't really play around with like here's here are all the fun directions we could go in one
827
00:35:11.805 --> 00:35:17.708
of the things that I really admire about unspun was really bold move is you guys created a brand
828
00:35:18.689 --> 00:35:22.544
And now you are forced always to wear the jeans from your brand.
829
00:35:22.684 --> 00:35:23.702
You cannot use other jeans,
830
00:35:23.702 --> 00:35:23.844
right?
831
00:35:24.408 --> 00:35:24.560
Yes.
832
00:35:26.305 --> 00:35:29.944
It's like the equivalent that we create a technology for textile factories.
833
00:35:30.245 --> 00:35:34.984
And I will also create a textile factory to show other people how our technology works.
834
00:35:35.024 --> 00:35:35.883
It's really a bold move.
835
00:35:37.288 --> 00:35:39.488
I don't know if it will be the right or wrong strategy,
836
00:35:39.628 --> 00:35:42.068
but it was a bold move and good on that.
837
00:35:42.648 --> 00:35:45.408
I just wanted to add a few things on the comments.
838
00:35:46.850 --> 00:35:49.248
So I don't know if this will be a surprise for anyone,
839
00:35:49.508 --> 00:35:53.048
but fashion brands don't really care about sustainability.
840
00:35:53.090 --> 00:35:53.403
Okay.
841
00:35:54.528 --> 00:35:55.008
Absolutely.
842
00:35:55.912 --> 00:35:56.587
Can I pause there?
843
00:35:56.808 --> 00:35:58.726
Because I think to your point,
844
00:35:58.766 --> 00:35:58.948
Beth,
845
00:35:59.329 --> 00:36:01.267
because all three of you are so in it,
846
00:36:02.091 --> 00:36:03.348
that it's not a surprise to you.
847
00:36:03.388 --> 00:36:04.928
But I think for many consumers,
848
00:36:04.928 --> 00:36:06.185
there's become a way that...
849
00:36:06.661 --> 00:36:08.731
It has been talked largely on social media,
850
00:36:08.972 --> 00:36:09.655
largely in my...
851
00:36:10.642 --> 00:36:10.764
Okay.
852
00:36:10.985 --> 00:36:12.798
I actually think people are surprised,
853
00:36:13.362 --> 00:36:13.604
you know,
854
00:36:14.252 --> 00:36:14.921
and it's like,
855
00:36:14.921 --> 00:36:14.982
but,
856
00:36:14.982 --> 00:36:15.124
you know,
857
00:36:15.144 --> 00:36:17.484
there are these capsule collections that are all about sustainability.
858
00:36:17.844 --> 00:36:18.066
It's not,
859
00:36:18.046 --> 00:36:18.309
you know,
860
00:36:19.098 --> 00:36:20.299
we use- Let me put the finger,
861
00:36:20.381 --> 00:36:20.504
yeah.
862
00:36:20.964 --> 00:36:22.084
Let me put the finger on this topic.
863
00:36:22.224 --> 00:36:22.879
I love this topic,
864
00:36:22.981 --> 00:36:23.124
okay?
865
00:36:23.484 --> 00:36:27.044
I don't know if there's any dirty little secrets you want to share now because it is being recorded.
866
00:36:27.792 --> 00:36:30.281
I'm just saying if you could share a little bit more insight into-
867
00:36:30.667 --> 00:36:30.894
It's fine,
868
00:36:30.894 --> 00:36:31.264
it's fine.
869
00:36:31.806 --> 00:36:33.301
I'm already burnt in the-
870
00:36:35.995 --> 00:36:39.221
So fashion brands don't care about sustainability because-
871
00:36:39.629 --> 00:36:40.115
guess what?
872
00:36:40.736 --> 00:36:42.195
Consumers also don't give a,
873
00:36:43.159 --> 00:36:45.136
don't care about sustainability as well.
874
00:36:45.897 --> 00:36:48.096
So because we humans,
875
00:36:48.196 --> 00:36:52.016
we are very consumers and we love our bodies and we love to look ourselves in the mirror.
876
00:36:52.657 --> 00:36:55.376
When we go to a shopping experience,
877
00:36:55.877 --> 00:36:57.736
we would prefer by far,
878
00:36:57.856 --> 00:36:59.295
and there are plenty of studies on this,
879
00:36:59.837 --> 00:37:04.316
by far the style and the touch of the materials or the pieces that we are buying.
880
00:37:04.917 --> 00:37:06.396
Then the second place is like,
881
00:37:06.626 --> 00:37:10.340
price if the sustainable dress is a bit more expensive,
882
00:37:10.380 --> 00:37:11.424
like nobody will touch it.
883
00:37:11.925 --> 00:37:14.459
And then like there are a bunch of other reasons,
884
00:37:14.499 --> 00:37:14.982
convenience,
885
00:37:14.982 --> 00:37:15.103
blah,
886
00:37:15.103 --> 00:37:15.223
blah,
887
00:37:15.223 --> 00:37:15.344
blah.
888
00:37:15.904 --> 00:37:20.564
And sustainability is like the reason number 11 in the list of our preferences.
889
00:37:21.165 --> 00:37:22.994
So how can we be here demanding,
890
00:37:23.075 --> 00:37:23.216
oh,
891
00:37:23.256 --> 00:37:23.1000
fashion brands,
892
00:37:23.1000 --> 00:37:24.684
you should be,
893
00:37:24.865 --> 00:37:28.544
because we don't pay one cent more for a shirt if the shirt is sustainable.
894
00:37:29.167 --> 00:37:31.284
So this all starts in the masses.
895
00:37:31.384 --> 00:37:34.364
That's where I believe the governments and the legislation can have a real impact there,
896
00:37:34.425 --> 00:37:36.064
because the incentives are completely disaligned.
897
00:37:36.731 --> 00:37:36.852
So,
898
00:37:36.912 --> 00:37:39.088
consumers don't care about sustainability.
899
00:37:39.388 --> 00:37:40.768
They don't pay about sustainability.
900
00:37:41.048 --> 00:37:43.207
There is a huge say-do gap.
901
00:37:43.528 --> 00:37:45.268
That's how brands call this term,
902
00:37:45.448 --> 00:37:47.008
like the consumer saying and doing.
903
00:37:47.589 --> 00:37:49.548
There is a huge say-do gap.
904
00:37:50.148 --> 00:37:51.126
And brands also,
905
00:37:51.831 --> 00:37:54.108
I'm not saying that they are the poor guys in the equation.
906
00:37:54.288 --> 00:37:57.207
They have lots of responsibility and of course they can do lots of stuff,
907
00:37:57.809 --> 00:37:59.347
but they are here trapped a bit.
908
00:37:59.949 --> 00:38:00.987
There is an amazing story.
909
00:38:01.308 --> 00:38:02.044
A few weeks ago,
910
00:38:02.329 --> 00:38:05.208
a public company in Europe called Renew A Cell
911
00:38:05.715 --> 00:38:06.356
from Sweden,
912
00:38:07.198 --> 00:38:15.522
they were recycling tons and tons of garments from the piles of waste and transforming it into brand new yarns.
913
00:38:16.144 --> 00:38:17.188
So it was an amazing story,
914
00:38:17.288 --> 00:38:17.749
love story,
915
00:38:17.870 --> 00:38:18.432
but guess what?
916
00:38:18.753 --> 00:38:22.812
It was 30% more expensive than regular polyester and cotton and things like that.
917
00:38:23.372 --> 00:38:25.421
So consumers won't pay 30% more.
918
00:38:25.923 --> 00:38:27.812
Fashion brands even invested in those companies.
919
00:38:29.032 --> 00:38:30.964
We also have investments from fashion brands.
920
00:38:31.064 --> 00:38:32.895
We have investments from H&M,
921
00:38:33.076 --> 00:38:34.002
from Balenciaga,
922
00:38:34.102 --> 00:38:34.344
Gucci,
923
00:38:34.904 --> 00:38:35.531
Caring Group,
924
00:38:35.571 --> 00:38:36.844
and from other groups.
925
00:38:37.246 --> 00:38:39.184
But I'm not counting on them to save my business.
926
00:38:39.324 --> 00:38:39.862
And I shouldn't.
927
00:38:40.387 --> 00:38:41.624
Because they have their agendas.
928
00:38:41.784 --> 00:38:42.704
They have their businesses.
929
00:38:42.924 --> 00:38:45.184
Their business is to create the lifestyle,
930
00:38:45.484 --> 00:38:45.867
brands,
931
00:38:46.472 --> 00:38:48.144
the goods that everybody loves.
932
00:38:49.749 --> 00:38:50.599
Just on another...
933
00:38:52.127 --> 00:38:53.451
angle on this is
934
00:38:54.133 --> 00:38:56.942
I really feel that first brands don't care about sustainability.
935
00:38:57.102 --> 00:38:58.246
Consumers also don't care.
936
00:38:58.446 --> 00:39:01.437
Brands are not ready to work with startups at seed stage.
937
00:39:02.340 --> 00:39:10.710
It's fine for us to work with brands at seed stage in some pilot projects with some sustainability officer there or some marketing guy over there.
938
00:39:11.191 --> 00:39:14.984
But these guys will never touch their core business like purchasing,
939
00:39:15.584 --> 00:39:16.389
mass production.
940
00:39:17.536 --> 00:39:18.824
It will take ages to get there.
941
00:39:19.514 --> 00:39:24.081
So I would really advise careful on getting into the infinite loops of meetings,
942
00:39:24.141 --> 00:39:26.705
endless meetings with endless people in fashion brand groups,
943
00:39:26.705 --> 00:39:31.412
because that's a loophole that I have been stuck in.
944
00:39:31.492 --> 00:39:31.672
Yeah.
945
00:39:31.993 --> 00:39:32.233
And so,
946
00:39:32.714 --> 00:39:32.954
I mean,
947
00:39:33.214 --> 00:39:38.121
I don't know if you have comments or insights,
948
00:39:38.481 --> 00:39:38.701
you know,
949
00:39:38.681 --> 00:39:46.732
in working with Balenciaga or how you think about the consumer brand kind of innovative tech relationship.
950
00:39:48.697 --> 00:39:49.359
So again,
951
00:39:49.740 --> 00:39:55.390
what you were saying earlier about how hard it is to potentially sell the story of how you're making your material to begin with.
952
00:39:55.875 --> 00:39:56.016
No,
953
00:39:56.016 --> 00:39:56.602
and by the way,
954
00:39:56.602 --> 00:39:57.006
it's great.
955
00:39:57.572 --> 00:39:58.812
We started in our seed stage.
956
00:39:58.832 --> 00:40:00.310
We have a pilot with Balenciaga.
957
00:40:00.452 --> 00:40:00.773
Trust me,
958
00:40:00.813 --> 00:40:04.046
we put the Balenciaga logo everywhere in our website.
959
00:40:05.432 --> 00:40:09.969
But from that pilot to really mass deployment on the Balenciaga supply chain and so on,
960
00:40:10.712 --> 00:40:11.731
it still didn't happen today.
961
00:40:13.230 --> 00:40:13.350
So
962
00:40:13.711 --> 00:40:19.844
I think I want to draw a more optimistic picture here to better comprehend,
963
00:40:19.945 --> 00:40:20.205
okay,
964
00:40:20.285 --> 00:40:20.506
like,
965
00:40:20.666 --> 00:40:21.488
what is the problem?
966
00:40:21.649 --> 00:40:22.053
What is the,
967
00:40:22.194 --> 00:40:22.355
like,
968
00:40:22.355 --> 00:40:22.678
you know,
969
00:40:22.719 --> 00:40:23.768
what could be the solution?
970
00:40:24.008 --> 00:40:25.953
And most importantly here,
971
00:40:26.214 --> 00:40:31.108
how can we contribute to the development of this solution?
972
00:40:31.568 --> 00:40:31.689
So
973
00:40:32.914 --> 00:40:36.188
I agree majority of things that Gilbert and also Beth shared.
974
00:40:36.650 --> 00:40:41.928
So expecting end customers to pay higher.
975
00:40:42.665 --> 00:40:46.400
and changing their mindset on how they buy things,
976
00:40:48.368 --> 00:40:50.860
it's a long-term problem we need to deal with.
977
00:40:51.683 --> 00:40:55.800
And we don't have a magic wand that we can change this.
978
00:40:56.060 --> 00:40:59.858
We know the consumer researches,
979
00:40:59.918 --> 00:41:00.220
et cetera.
980
00:41:00.360 --> 00:41:02.539
So it's not going to change in the short term.
981
00:41:02.980 --> 00:41:07.040
So when we face this relationship out into two phases,
982
00:41:07.180 --> 00:41:08.314
this is how I see it,
983
00:41:08.293 --> 00:41:08.678
to be honest.
984
00:41:09.468 --> 00:41:10.070
At first,
985
00:41:11.093 --> 00:41:11.836
like phase three,
986
00:41:11.876 --> 00:41:14.104
it is changing consumer minds.
987
00:41:14.204 --> 00:41:17.235
So expecting people to pay maybe a little more.
988
00:41:19.484 --> 00:41:20.328
Then this is phase three,
989
00:41:20.328 --> 00:41:22.298
but it's a long-term problem to solve.
990
00:41:23.404 --> 00:41:32.624
Phase two is kind of empowering brands to adopt these new technologies at scale.
991
00:41:33.434 --> 00:41:35.057
And then so that,
992
00:41:35.117 --> 00:41:35.498
you know,
993
00:41:35.738 --> 00:41:43.572
we see more and more products made out of these new technologies using these technologies on the market.
994
00:41:44.193 --> 00:41:47.116
And on the first phase,
995
00:41:49.099 --> 00:41:50.180
as innovators,
996
00:41:50.501 --> 00:41:57.089
are we able to bring not a product as good as what is on the market today,
997
00:41:57.209 --> 00:41:59.252
instead better than it is?
998
00:41:59.741 --> 00:41:59.864
So.
999
00:42:01.889 --> 00:42:03.314
I'll give the same example,
1000
00:42:03.395 --> 00:42:05.844
but because it resonates very well on my side.
1001
00:42:06.004 --> 00:42:06.867
Before Tesla,
1002
00:42:07.590 --> 00:42:11.804
we could only dream about golf carts when we think about EVs.
1003
00:42:12.765 --> 00:42:18.124
But Tesla made such a good job that now consumers want an EV car,
1004
00:42:18.865 --> 00:42:21.115
not because it is only sustainable,
1005
00:42:21.255 --> 00:42:23.364
but it feels great when you drive it.
1006
00:42:24.025 --> 00:42:26.699
I love the acceleration on the S,
1007
00:42:26.720 --> 00:42:27.343
for instance,
1008
00:42:27.343 --> 00:42:27.524
right?
1009
00:42:27.825 --> 00:42:29.184
So my motivation.
1010
00:42:30.191 --> 00:42:34.966
is not simply spending my money on a product because it's sustainable,
1011
00:42:34.986 --> 00:42:35.748
because it's better.
1012
00:42:36.389 --> 00:42:38.508
So I think this is the real challenge here.
1013
00:42:39.091 --> 00:42:39.735
And we also,
1014
00:42:40.016 --> 00:42:42.048
like we always discuss internally as well,
1015
00:42:43.452 --> 00:42:46.205
what kind of problem we are solving at Gozen,
1016
00:42:46.246 --> 00:42:46.728
for instance.
1017
00:42:47.388 --> 00:42:47.771
This is,
1018
00:42:48.214 --> 00:42:48.396
okay,
1019
00:42:48.436 --> 00:42:50.088
this is a technology problem to solve,
1020
00:42:50.710 --> 00:42:53.308
but this is also a design problem to solve.
1021
00:42:54.150 --> 00:43:02.628
So how can you really make things more beautiful than it is so that people start adopting your solution?
1022
00:43:02.768 --> 00:43:04.595
So in this scenario,
1023
00:43:05.598 --> 00:43:08.288
how this fits into our product development strategy.
1024
00:43:09.008 --> 00:43:09.930
So for instance,
1025
00:43:10.891 --> 00:43:12.474
our challenges or our goal,
1026
00:43:12.595 --> 00:43:17.143
our ambition is when you wear a jacket made out of uniform,
1027
00:43:17.784 --> 00:43:19.868
does it feel better than real animal leather?
1028
00:43:21.533 --> 00:43:23.721
And in our case,
1029
00:43:23.721 --> 00:43:24.344
it is yes,
1030
00:43:24.424 --> 00:43:25.368
like we love the feeling.
1031
00:43:26.068 --> 00:43:28.868
So this is where we see the real challenges.
1032
00:43:28.928 --> 00:43:29.049
So
1033
00:43:29.853 --> 00:43:32.748
I truly understand and I agree with all these propositions.
1034
00:43:32.768 --> 00:43:33.980
So it's gonna take time,
1035
00:43:34.000 --> 00:43:34.405
obviously,
1036
00:43:34.768 --> 00:43:37.838
like it is so expensive to build the first of a kind project,
1037
00:43:37.838 --> 00:43:38.683
we all know that.
1038
00:43:39.388 --> 00:43:39.992
But then
1039
00:43:41.241 --> 00:43:42.571
I feel like also this is how...
1040
00:43:44.313 --> 00:43:54.386
We should explain the problem in the right way to the relevant stakeholders and expect everyone to collaborate with us to solve each phase of the problem.
1041
00:43:54.828 --> 00:43:56.132
And hopefully along the way,
1042
00:43:56.534 --> 00:43:58.340
we will all be successful because
1043
00:43:59.303 --> 00:44:02.784
I think everyone has more or less like same North Star here.
1044
00:44:03.388 --> 00:44:04.660
And this is the beauty of the game,
1045
00:44:04.862 --> 00:44:05.387
I believe.
1046
00:44:05.729 --> 00:44:10.028
And also like this is why I'm optimistic and hopeful.
1047
00:44:10.678 --> 00:44:10.878
Well,
1048
00:44:10.878 --> 00:44:16.391
it's always nice to have maybe something to look forward to,
1049
00:44:16.391 --> 00:44:18.396
but also something that we know we still need to work on.
1050
00:44:19.359 --> 00:44:19.808
Yeah,
1051
00:44:20.073 --> 00:44:20.277
exactly.
1052
00:44:20.717 --> 00:44:27.217
I do want to make sure I take a moment and try to get some of these audience questions in while we still have a little bit of time.
1053
00:44:27.397 --> 00:44:32.697
And so I might try to mash a few of them together and see if we can make this work.
1054
00:44:33.461 --> 00:44:34.910
But one of the first questions,
1055
00:44:35.353 --> 00:44:35.775
excuse me,
1056
00:44:35.836 --> 00:44:35.997
was.
1057
00:44:36.922 --> 00:44:38.648
kind of that we have already answered of,
1058
00:44:38.769 --> 00:44:38.990
you know,
1059
00:44:39.010 --> 00:44:41.097
can these markets tolerate a green premium?
1060
00:44:41.278 --> 00:44:43.164
And it seems like sometimes yes,
1061
00:44:43.224 --> 00:44:43.806
sometimes no.
1062
00:44:44.529 --> 00:44:52.797
But how do you handle the interplay of your technology's economics and its actual promise as a decarbonization technology?
1063
00:44:55.744 --> 00:44:55.948
Beth,
1064
00:44:55.948 --> 00:44:56.497
you want to go first?
1065
00:44:57.394 --> 00:44:57.554
Yeah.
1066
00:44:57.694 --> 00:45:05.481
And I think playing off of what owner was talking about with like presenting this in a positive light that no matter your customer,
1067
00:45:05.521 --> 00:45:07.382
whether they're actual consumers,
1068
00:45:07.402 --> 00:45:08.063
the brands,
1069
00:45:08.143 --> 00:45:08.884
manufacturers,
1070
00:45:08.904 --> 00:45:09.244
whoever,
1071
00:45:09.964 --> 00:45:14.008
they're not going to be pulled by something that you're presenting as like a negative,
1072
00:45:14.028 --> 00:45:14.248
like,
1073
00:45:14.648 --> 00:45:14.789
oh,
1074
00:45:15.009 --> 00:45:15.249
you know,
1075
00:45:15.429 --> 00:45:16.170
you're dealing with this.
1076
00:45:16.810 --> 00:45:18.291
Here's a slightly better thing,
1077
00:45:18.331 --> 00:45:20.093
or even that costs more like we're not.
1078
00:45:21.954 --> 00:45:22.094
yeah,
1079
00:45:22.114 --> 00:45:25.943
we're not seeing this kind of green premium be a pull at all.
1080
00:45:27.246 --> 00:45:27.507
Instead,
1081
00:45:27.527 --> 00:45:28.831
it has to be presented as like,
1082
00:45:28.831 --> 00:45:29.353
for example,
1083
00:45:30.016 --> 00:45:31.120
our actual customers.
1084
00:45:31.562 --> 00:45:32.928
I know we've talked about consumers,
1085
00:45:32.928 --> 00:45:33.731
we've talked about brands,
1086
00:45:33.731 --> 00:45:34.915
but our actual customers,
1087
00:45:35.276 --> 00:45:36.219
similar to Gilberto,
1088
00:45:36.761 --> 00:45:37.945
are the manufacturers.
1089
00:45:38.367 --> 00:45:44.102
So we are leasing our machines to manufacturers and they have,
1090
00:45:44.423 --> 00:45:44.884
similar to
1091
00:45:45.446 --> 00:45:46.508
Gilberto with the
1092
00:45:47.568 --> 00:45:51.301
problem of margins being extremely small for manufacturing.
1093
00:45:51.321 --> 00:45:52.525
Like you look at what,
1094
00:45:52.685 --> 00:45:53.911
what is a brand selling on the market?
1095
00:45:53.952 --> 00:45:54.555
They're going to,
1096
00:45:54.635 --> 00:45:54.756
if,
1097
00:45:55.017 --> 00:45:56.223
if they're lucky though,
1098
00:45:56.223 --> 00:45:59.415
they'll usually aim for like a 75% margin,
1099
00:45:59.516 --> 00:46:00.238
but that's insane.
1100
00:46:00.559 --> 00:46:00.840
They'll,
1101
00:46:00.880 --> 00:46:02.185
they'll end up at like 50,
1102
00:46:02.205 --> 00:46:02.847
if they're lucky 40,
1103
00:46:02.847 --> 00:46:03.228
40,
1104
00:46:03.228 --> 00:46:04.933
35,
1105
00:46:04.933 --> 00:46:05.415
more likely.
1106
00:46:06.578 --> 00:46:08.464
That's huge compared to like many,
1107
00:46:08.484 --> 00:46:08.705
you know,
1108
00:46:08.725 --> 00:46:11.161
manufacturers getting like a couple percent,
1109
00:46:11.182 --> 00:46:11.645
maybe so.
1110
00:46:12.498 --> 00:46:12.638
Yeah.
1111
00:46:12.959 --> 00:46:13.281
If they're,
1112
00:46:13.441 --> 00:46:13.662
again,
1113
00:46:13.782 --> 00:46:14.304
if they're lucky.
1114
00:46:14.746 --> 00:46:15.348
And so we're,
1115
00:46:15.609 --> 00:46:16.813
we're presenting this as like,
1116
00:46:17.074 --> 00:46:23.393
you can take back more power by automating a lot of this process and creating when the,
1117
00:46:24.034 --> 00:46:25.279
when the brand needs it,
1118
00:46:25.339 --> 00:46:26.804
not necessarily these huge,
1119
00:46:27.506 --> 00:46:29.473
these huge orders all with manual labor.
1120
00:46:30.174 --> 00:46:32.119
And so you can look at more than 10%,
1121
00:46:32.561 --> 00:46:32.821
you know,
1122
00:46:33.042 --> 00:46:37.256
margin for them because we come to them with like,
1123
00:46:37.276 --> 00:46:39.153
here's a contract that's already signed with the brand.
1124
00:46:40.289 --> 00:46:41.974
lease these machines and here you are.
1125
00:46:42.535 --> 00:46:48.693
So I think that's one of the ways that we're able to get so much traction is to say like,
1126
00:46:49.736 --> 00:46:57.225
here's your business opportunity that hasn't really been available for you in the past because you've had to rely on these old sewing machines.
1127
00:46:59.603 --> 00:47:00.124
Yeah,
1128
00:47:00.124 --> 00:47:00.766
I feel that as well.
1129
00:47:01.026 --> 00:47:02.309
And I feel in general,
1130
00:47:02.730 --> 00:47:04.293
I might look a bit pessimistic,
1131
00:47:04.313 --> 00:47:04.533
okay,
1132
00:47:04.553 --> 00:47:05.154
but I think
1133
00:47:07.058 --> 00:47:08.200
I'm very optimistic about...
1134
00:47:08.461 --> 00:47:09.289
We didn't say that,
1135
00:47:09.390 --> 00:47:09.855
Gilberto.
1136
00:47:09.936 --> 00:47:10.461
We didn't say that.
1137
00:47:12.447 --> 00:47:14.793
I'm optimistic about the future.
1138
00:47:14.793 --> 00:47:16.940
You should see my clients speaking about their futures.
1139
00:47:16.960 --> 00:47:17.461
It looks like a funeral.
1140
00:47:18.428 --> 00:47:18.608
But
1141
00:47:20.011 --> 00:47:25.884
I think it is really the best time in the world to work in this industry because it's definitely the one that is left behind.
1142
00:47:26.667 --> 00:47:29.498
If you go to an automotive factory or electronics factory,
1143
00:47:29.498 --> 00:47:30.141
you see robots,
1144
00:47:30.181 --> 00:47:30.623
cameras,
1145
00:47:30.663 --> 00:47:31.245
automation everywhere.
1146
00:47:32.108 --> 00:47:33.492
And in a textile factory,
1147
00:47:33.492 --> 00:47:35.359
it looks like you traveled 20 years or
1148
00:47:35.760 --> 00:47:36.864
50 years back.
1149
00:47:37.790 --> 00:47:39.205
So it's really an amazing opportunity.
1150
00:47:39.871 --> 00:47:44.620
I think the industry was not disrupted yet because some of the technologies were not there,
1151
00:47:44.720 --> 00:47:49.789
like the material qualities or even like the machine learning to analyze defects was not really there.
1152
00:47:49.949 --> 00:47:51.375
And even today we can argue,
1153
00:47:51.455 --> 00:47:54.829
can a machine learning be as good as a person doing analysis of?
1154
00:47:55.710 --> 00:47:59.369
But I think we are definitely seeing some tipping inflection points there.
1155
00:48:00.043 --> 00:48:03.981
There has never been so much money invested in technology and decentralized in the world.
1156
00:48:04.201 --> 00:48:04.985
So a guy like me,
1157
00:48:05.086 --> 00:48:07.841
I could raise 40 plus million dollars based in Portugal.
1158
00:48:08.161 --> 00:48:10.960
Like that was never possible to happen like 20 years ago.
1159
00:48:12.543 --> 00:48:14.299
So this is a cocktail,
1160
00:48:14.340 --> 00:48:14.481
right?
1161
00:48:14.501 --> 00:48:15.629
We have money from one side,
1162
00:48:16.293 --> 00:48:17.461
technology from the other side.
1163
00:48:17.823 --> 00:48:19.281
We have talent like everywhere.
1164
00:48:19.581 --> 00:48:22.235
Now there has never been so much people working in tech,
1165
00:48:22.376 --> 00:48:23.221
software and so on.
1166
00:48:23.561 --> 00:48:25.261
So these three things will be a cocktail.
1167
00:48:25.461 --> 00:48:27.541
And then this industry is so much left behind.
1168
00:48:28.566 --> 00:48:30.777
I think it's an amazing opportunity to work in it.
1169
00:48:30.957 --> 00:48:32.046
So if it is not now,
1170
00:48:32.227 --> 00:48:33.477
I don't know where it's going to be.
1171
00:48:34.179 --> 00:48:35.124
And I think,
1172
00:48:35.345 --> 00:48:35.586
you know,
1173
00:48:35.566 --> 00:48:43.328
I know we have about 10 minutes left and I think it would be remiss if we didn't spend just a few minutes speaking about the role,
1174
00:48:43.951 --> 00:48:44.313
Giobertto,
1175
00:48:44.353 --> 00:48:45.317
as you kind of raised earlier,
1176
00:48:45.458 --> 00:48:49.477
that government and maybe new policies could and should be playing.
1177
00:48:49.637 --> 00:48:49.778
I mean,
1178
00:48:50.362 --> 00:48:52.175
I think if you look at other sectors like,
1179
00:48:52.195 --> 00:48:52.397
you know,
1180
00:48:52.617 --> 00:48:54.337
therapeutics or pharma or even like...
1181
00:48:54.917 --> 00:48:55.720
cultivated meat.
1182
00:48:55.880 --> 00:48:56.121
You know,
1183
00:48:56.121 --> 00:48:59.273
we are seeing these challenges with regulatory hurdles,
1184
00:48:59.393 --> 00:49:00.578
with customer adoption.
1185
00:49:00.959 --> 00:49:01.220
And so
1186
00:49:02.164 --> 00:49:03.368
I can imagine people think,
1187
00:49:03.388 --> 00:49:03.509
well,
1188
00:49:03.529 --> 00:49:03.950
fashion,
1189
00:49:03.990 --> 00:49:05.798
like you're just making clothes or you are,
1190
00:49:05.798 --> 00:49:06.019
you know,
1191
00:49:06.280 --> 00:49:07.446
selling to manufacturers.
1192
00:49:07.506 --> 00:49:08.973
What regulatory hurdles,
1193
00:49:09.153 --> 00:49:09.394
you know,
1194
00:49:09.916 --> 00:49:10.881
could there be or what,
1195
00:49:11.222 --> 00:49:13.533
how or why the government should be playing a role?
1196
00:49:13.895 --> 00:49:16.693
And I'm sure all three of you have thoughts on this.
1197
00:49:19.894 --> 00:49:21.416
We work very closely with Brussels,
1198
00:49:21.616 --> 00:49:28.588
Eurotex and some other big groups that are lobbying or designing the next future laws for Europe and the US.
1199
00:49:28.812 --> 00:49:29.445
What are you seeing?
1200
00:49:30.851 --> 00:49:32.556
The New York fashion fact as well.
1201
00:49:33.278 --> 00:49:36.708
So what we see is first the guys in Brussels have no clue how a textile factory works.
1202
00:49:37.954 --> 00:49:40.708
So what they are requesting is like a bunch of stuff that will never happen.
1203
00:49:41.834 --> 00:49:42.577
But on the other hand,
1204
00:49:42.577 --> 00:49:44.688
we have the technology and tech guys and textile guys.
1205
00:49:44.849 --> 00:49:49.708
They are doing a great job and pushing for some legislations.
1206
00:49:49.989 --> 00:49:50.390
For example,
1207
00:49:50.470 --> 00:49:50.992
three layers.
1208
00:49:51.493 --> 00:49:51.754
First,
1209
00:49:51.894 --> 00:49:55.244
knowing where your materials come from or like the path,
1210
00:49:55.284 --> 00:49:56.688
the factories they have been through.
1211
00:49:56.934 --> 00:49:57.345
First layer.
1212
00:49:58.176 --> 00:49:59.347
And this is already a nightmare,
1213
00:49:59.347 --> 00:49:59.468
okay?
1214
00:49:59.548 --> 00:50:03.488
Because then you will need to point your suppliers and then your competitors will see your suppliers,
1215
00:50:03.608 --> 00:50:05.728
you will see your prices and nobody wants transparency.
1216
00:50:06.228 --> 00:50:06.713
Technology,
1217
00:50:06.834 --> 00:50:08.268
when it kills transparency,
1218
00:50:08.529 --> 00:50:10.268
always creates shock waves,
1219
00:50:10.588 --> 00:50:12.325
like taxis versus Uber,
1220
00:50:12.486 --> 00:50:12.628
right?
1221
00:50:12.730 --> 00:50:13.468
The classic example.
1222
00:50:14.553 --> 00:50:15.180
So first layer,
1223
00:50:15.504 --> 00:50:15.848
locations.
1224
00:50:16.429 --> 00:50:16.998
Second layer,
1225
00:50:17.261 --> 00:50:17.688
processes.
1226
00:50:17.908 --> 00:50:19.748
Which processes the garments have been through,
1227
00:50:20.272 --> 00:50:21.328
the fabrics have been through,
1228
00:50:21.408 --> 00:50:23.248
the dyes and all of that stuff.
1229
00:50:23.689 --> 00:50:24.528
And then the third layer,
1230
00:50:24.689 --> 00:50:25.988
only after these two are possible,
1231
00:50:26.273 --> 00:50:27.067
you have the LCA.
1232
00:50:27.556 --> 00:50:29.268
how much water this shirt consumes,
1233
00:50:29.468 --> 00:50:31.648
how much energy and how much stuff like that.
1234
00:50:31.988 --> 00:50:34.923
So then governments can tax things that come from air freight,
1235
00:50:34.923 --> 00:50:35.348
for example,
1236
00:50:35.428 --> 00:50:36.428
or that are made elsewhere.
1237
00:50:37.030 --> 00:50:38.067
And they can control that.
1238
00:50:38.970 --> 00:50:42.708
So that will be the three layers that everybody's getting ready to implement.
1239
00:50:44.092 --> 00:50:44.697
But as I said,
1240
00:50:44.777 --> 00:50:48.708
I think we should make our business to really kill a real pain of our clients first.
1241
00:50:48.888 --> 00:50:54.328
And then the legislation will be giving us a little push and not really count with legislation because it can take forever.
1242
00:50:55.949 --> 00:51:09.444
yeah owner do you have any thoughts about conversations you've been having around this yep so apart from the fashion industry specific regulations and you know like expected uh you know
1243
00:51:11.967 --> 00:51:14.016
implications of the regulators.
1244
00:51:14.678 --> 00:51:15.615
What I'm thinking is,
1245
00:51:16.077 --> 00:51:17.776
maybe it's a little bit speculation here,
1246
00:51:17.936 --> 00:51:23.496
but I think insetting is going to be really important for the upcoming years,
1247
00:51:23.696 --> 00:51:24.614
especially in Europe,
1248
00:51:25.659 --> 00:51:28.896
for companies to develop strategies,
1249
00:51:29.517 --> 00:51:32.796
not only in their supply chain operations,
1250
00:51:32.961 --> 00:51:33.476
but overall.
1251
00:51:33.756 --> 00:51:34.915
So simply insetting is,
1252
00:51:35.297 --> 00:51:36.196
as an organization,
1253
00:51:36.516 --> 00:51:38.035
if you simply based on
1254
00:51:38.341 --> 00:51:40.104
Based on how your operations is,
1255
00:51:40.384 --> 00:51:46.693
if you can simply implement the applications,
1256
00:51:48.135 --> 00:51:51.840
inherently reduce your emissions in your supply chain.
1257
00:51:51.920 --> 00:51:52.725
In this scenario,
1258
00:51:52.805 --> 00:51:53.348
for instance,
1259
00:51:53.368 --> 00:51:54.011
at Gozan,
1260
00:51:54.977 --> 00:51:55.560
Luniform.
1261
00:51:57.330 --> 00:52:02.362
So for a brand to use linoform instead of an animal-based material,
1262
00:52:02.923 --> 00:52:05.228
then it drastically reduces their emissions.
1263
00:52:05.389 --> 00:52:05.770
And also,
1264
00:52:05.830 --> 00:52:08.862
there can be crediting schemes in terms of,
1265
00:52:08.922 --> 00:52:09.183
you know,
1266
00:52:09.524 --> 00:52:10.488
based on insetting.
1267
00:52:11.168 --> 00:52:12.153
So similar to,
1268
00:52:12.494 --> 00:52:12.755
like,
1269
00:52:12.916 --> 00:52:13.338
I don't know,
1270
00:52:13.358 --> 00:52:15.548
maybe European emission trading system or something.
1271
00:52:15.748 --> 00:52:17.212
So therefore,
1272
00:52:17.212 --> 00:52:18.215
on the high level,
1273
00:52:18.656 --> 00:52:23.208
I think there will be more and more regulations coming in terms of insetting.
1274
00:52:23.894 --> 00:52:25.167
And this is gonna...
1275
00:52:26.391 --> 00:52:26.892
effect,
1276
00:52:26.972 --> 00:52:29.158
especially companies like us,
1277
00:52:29.198 --> 00:52:31.203
or adopting next-gen materials,
1278
00:52:32.386 --> 00:52:36.317
reducing the emissions drastically coming from the materials will be a crucial,
1279
00:52:36.397 --> 00:52:39.728
a critical point for brands to adopt.
1280
00:52:42.156 --> 00:52:42.277
So,
1281
00:52:42.277 --> 00:52:42.377
yeah.
1282
00:52:42.377 --> 00:52:42.538
Beth,
1283
00:52:43.562 --> 00:52:44.606
any closing thoughts on that,
1284
00:52:44.646 --> 00:52:45.188
on this section?
1285
00:52:45.957 --> 00:52:46.077
Well,
1286
00:52:46.097 --> 00:52:48.661
we've been following a couple of different types of policies.
1287
00:52:48.681 --> 00:52:49.442
So in Europe,
1288
00:52:49.862 --> 00:52:51.364
extended producer responsibility,
1289
00:52:51.504 --> 00:52:52.545
EPR policies,
1290
00:52:52.545 --> 00:52:52.786
and then,
1291
00:52:53.427 --> 00:52:53.587
like,
1292
00:52:53.587 --> 00:52:54.007
for example,
1293
00:52:54.167 --> 00:52:55.509
France's zero waste ban.
1294
00:52:55.729 --> 00:53:01.156
I think things that are related to not throwing out excess are ones that we're following in Europe.
1295
00:53:01.717 --> 00:53:02.959
And then we're really pushing for,
1296
00:53:02.959 --> 00:53:04.040
I think Gilberto mentioned this,
1297
00:53:04.101 --> 00:53:05.883
the Americas Act here in the U.S.
1298
00:53:05.903 --> 00:53:06.244
Of course,
1299
00:53:06.244 --> 00:53:08.227
there's the Fabric Act and the Fashion Act.
1300
00:53:08.247 --> 00:53:10.090
Those are other ones that we're also very interested in.
1301
00:53:10.150 --> 00:53:12.493
But the Americas Act is huge.
1302
00:53:12.593 --> 00:53:14.236
It would be huge if it passes.
1303
00:53:15.106 --> 00:53:19.731
And one big thing that it's really going after is the de minimis loophole,
1304
00:53:20.152 --> 00:53:21.233
which allows for,
1305
00:53:21.694 --> 00:53:22.174
for example,
1306
00:53:22.254 --> 00:53:27.941
Shein Temu to push through packages that are under $800,
1307
00:53:28.382 --> 00:53:28.562
right,
1308
00:53:28.642 --> 00:53:30.164
and not have to pay any tariffs on that.
1309
00:53:30.204 --> 00:53:33.009
And that's why we've been paying $2 for our t-shirts.
1310
00:53:33.049 --> 00:53:35.593
It's absolutely insane that this exists.
1311
00:53:35.613 --> 00:53:35.834
I mean,
1312
00:53:35.834 --> 00:53:41.463
they accidentally created this loophole again by increasing the cost or the $800 in 2016.
1313
00:53:42.833 --> 00:53:57.965
that's one we're very excited about and fingers crossed that will pass yeah and I you know again I know we only have about six more minutes left and I purposefully didn't bring up the phrase fast fashion or she didn't move because I feel like that um it
1314
00:53:58.326 --> 00:54:00.372
could go off on a tangent but if there's maybe
1315
00:54:01.334 --> 00:54:11.789
60 seconds worth of thoughts that you have about that industry at large um you know is that something that you could even you know kind of um
1316
00:54:12.275 --> 00:54:13.561
put together in 60 seconds,
1317
00:54:13.943 --> 00:54:15.370
other than maybe they shouldn't exist.
1318
00:54:16.091 --> 00:54:21.630
I'd like to point out that despite a bunch of things that people are very sad to see,
1319
00:54:21.870 --> 00:54:22.975
salaries and so on,
1320
00:54:23.035 --> 00:54:23.478
which by the way,
1321
00:54:23.498 --> 00:54:24.422
if you buy a shirt on
1322
00:54:24.784 --> 00:54:28.158
H&M, most likely the person who made it gets less than $100 a month.
1323
00:54:28.559 --> 00:54:30.306
So don't feel so much bad about Shein,
1324
00:54:30.306 --> 00:54:31.872
you might have done some worse stuff.
1325
00:54:32.414 --> 00:54:32.574
But
1326
00:54:32.935 --> 00:54:36.626
Shein has some very impressive technology behind it.
1327
00:54:36.987 --> 00:54:39.450
They can work with almost zero stock already.
1328
00:54:40.135 --> 00:54:45.022
And despite the bunch of wrong things they are doing on the social level and a bunch of environmental level,
1329
00:54:45.462 --> 00:54:53.954
there are their pieces of things that they have done that I think should be inspiring for other brands to work with almost on demand.
1330
00:54:54.054 --> 00:54:59.014
They have the shopping guys shopping and then they are producing almost synchronously without overstocking.
1331
00:54:59.454 --> 00:55:01.554
That's really impressive how they do it with technology.
1332
00:55:03.438 --> 00:55:03.899
And so actually,
1333
00:55:03.899 --> 00:55:04.300
very quickly,
1334
00:55:04.340 --> 00:55:05.845
one of the audience questions was,
1335
00:55:05.985 --> 00:55:09.254
do you still think that there is room for true innovation?
1336
00:55:09.565 --> 00:55:10.374
through newness.
1337
00:55:11.101 --> 00:55:11.492
He's here.
1338
00:55:11.715 --> 00:55:12.473
Here is the place.
1339
00:55:14.017 --> 00:55:21.214
Fuck like a bunch of other technologies that are like a bunch of other industries that are super optimized and you are going there to create a 0.5% optimization.
1340
00:55:21.574 --> 00:55:21.696
No,
1341
00:55:21.941 --> 00:55:22.654
this is the place.
1342
00:55:22.816 --> 00:55:24.094
Like a bunch of manual labor,
1343
00:55:24.254 --> 00:55:25.274
a bunch of pen and paper,
1344
00:55:25.394 --> 00:55:26.413
a bunch of foggy.
1345
00:55:27.038 --> 00:55:27.673
This is the place.
1346
00:55:27.794 --> 00:55:28.388
Definitely,
1347
00:55:28.388 --> 00:55:28.674
definitely.
1348
00:55:29.596 --> 00:55:29.819
Beth,
1349
00:55:29.859 --> 00:55:31.074
I see you shaking your head.
1350
00:55:31.274 --> 00:55:31.785
Yes,
1351
00:55:31.887 --> 00:55:32.234
vigorously.
1352
00:55:32.534 --> 00:55:32.657
So,
1353
00:55:32.637 --> 00:55:32.862
you know,
1354
00:55:32.862 --> 00:55:33.354
do you have,
1355
00:55:33.596 --> 00:55:36.333
is that also something that's kind of been going on in your mind as well?
1356
00:55:37.970 --> 00:55:38.293
Yeah,
1357
00:55:38.313 --> 00:55:38.696
I mean,
1358
00:55:38.877 --> 00:55:39.018
we...
1359
00:55:40.314 --> 00:55:43.808
we are trying to replace something that was invented in the early
1360
00:55:44.310 --> 00:55:45.057
1800s, a sewing machine.
1361
00:55:45.118 --> 00:55:45.543
So yes,
1362
00:55:45.584 --> 00:55:46.090
absolutely.
1363
00:55:47.672 --> 00:55:48.205
You're like,
1364
00:55:48.205 --> 00:55:48.369
yes.
1365
00:55:48.651 --> 00:55:52.751
And sometimes it does start with something as simple as a pen and a piece of paper,
1366
00:55:52.791 --> 00:55:56.106
despite all the kind of new technologies,
1367
00:55:56.588 --> 00:55:57.110
you know,
1368
00:55:57.190 --> 00:55:58.596
that are being put out into this world.
1369
00:55:58.637 --> 00:56:01.730
And so maybe to end this conversation,
1370
00:56:01.891 --> 00:56:07.250
which I thank you so much for sharing kind of both your trajectories and thoughts for the future.
1371
00:56:08.612 --> 00:56:08.832
Beth,
1372
00:56:08.832 --> 00:56:09.773
you already mentioned it,
1373
00:56:09.893 --> 00:56:12.577
but if I could just quickly go around for each of you,
1374
00:56:13.138 --> 00:56:13.739
if you could say,
1375
00:56:13.959 --> 00:56:14.200
you know,
1376
00:56:14.380 --> 00:56:21.170
one word that you would like to remove from maybe the vernacular of fashion industry and materials.
1377
00:56:22.231 --> 00:56:24.735
But then also maybe for the folks in the audience,
1378
00:56:25.015 --> 00:56:25.276
you know,
1379
00:56:25.717 --> 00:56:30.305
is there a way that they can help maybe not just your company in particular,
1380
00:56:30.405 --> 00:56:30.705
but,
1381
00:56:31.947 --> 00:56:32.188
you know,
1382
00:56:32.168 --> 00:56:33.430
the fashion industry at large?
1383
00:56:36.827 --> 00:56:36.947
Yeah,
1384
00:56:36.967 --> 00:56:38.751
I guess I'll repeat the word that I brought up,
1385
00:56:39.272 --> 00:56:39.472
which
1386
00:56:40.034 --> 00:56:40.615
I don't want to say,
1387
00:56:40.715 --> 00:56:41.937
I don't want to erase it.
1388
00:56:42.018 --> 00:56:43.320
I think it's important that exists,
1389
00:56:43.320 --> 00:56:46.046
but just like it needs to be a little more nuanced is the word circular.
1390
00:56:46.987 --> 00:56:48.048
What do we mean by circular?
1391
00:56:48.048 --> 00:56:52.635
Do we mean that this thing has an extra life and therefore it like has two loops to it?
1392
00:56:52.675 --> 00:56:54.537
Like does it have three lives?
1393
00:56:54.577 --> 00:57:00.546
Is it a water bottle that has like probably four lives as PET or is it a water bottle that turns into clothing and therefore it only has one more life?
1394
00:57:00.987 --> 00:57:06.266
So it just is a very nuanced word and nothing is really infinite except for what.
1395
00:57:06.558 --> 00:57:08.244
the natural world has figured out.
1396
00:57:08.807 --> 00:57:08.927
So
1397
00:57:09.549 --> 00:57:10.754
I would love some more time,
1398
00:57:10.954 --> 00:57:12.422
someone smart to think about that word.
1399
00:57:13.186 --> 00:57:13.467
And then,
1400
00:57:14.352 --> 00:57:14.814
oh gosh,
1401
00:57:14.894 --> 00:57:16.846
there's so many things just,
1402
00:57:18.314 --> 00:57:20.232
I think for consumers to just be,
1403
00:57:20.795 --> 00:57:22.874
to realize that they're always being marketed to.
1404
00:57:22.934 --> 00:57:24.165
And I think that this is happening.
1405
00:57:24.185 --> 00:57:25.154
And right now there's kind of.
1406
00:57:26.093 --> 00:57:28.180
this green hushing that's happening.
1407
00:57:28.220 --> 00:57:29.524
It's no more greenwashing.
1408
00:57:30.286 --> 00:57:32.654
Brands are being very careful about what they're putting out there.
1409
00:57:32.714 --> 00:57:33.717
So it,
1410
00:57:33.737 --> 00:57:34.480
we're in a really,
1411
00:57:34.560 --> 00:57:35.905
really weird time for,
1412
00:57:36.286 --> 00:57:37.691
for marketing and branding,
1413
00:57:37.691 --> 00:57:39.056
what just everything with,
1414
00:57:39.196 --> 00:57:39.818
with our industry.
1415
00:57:39.938 --> 00:57:40.801
But I would say,
1416
00:57:41.443 --> 00:57:41.664
um,
1417
00:57:42.728 --> 00:57:44.810
people just dig in more and ask more questions.
1418
00:57:49.154 --> 00:57:49.334
Maybe
1419
00:57:49.896 --> 00:57:55.150
I would really challenge people to know more about their clothes and to have more data about it.
1420
00:57:55.230 --> 00:57:57.079
I know that there is not much interest because,
1421
00:57:57.159 --> 00:57:57.360
again,
1422
00:57:57.440 --> 00:57:59.450
we just care about the fashion and the price first.
1423
00:58:00.936 --> 00:58:02.770
And the future is brighter than it looks.
1424
00:58:02.830 --> 00:58:03.594
And even for brands,
1425
00:58:04.518 --> 00:58:06.628
sometimes I talk a lot about the brands being like...
1426
00:58:07.050 --> 00:58:10.049
But there are some real great movements going on.
1427
00:58:10.331 --> 00:58:10.734
For example,
1428
00:58:10.815 --> 00:58:11.077
H&M,
1429
00:58:11.137 --> 00:58:11.419
which is...
1430
00:58:12.185 --> 00:58:12.850
Lots of people point there.
1431
00:58:13.111 --> 00:58:16.026
fingers to them about lots of stuff that people are like,
1432
00:58:16.390 --> 00:58:17.466
they don't like that they do it.
1433
00:58:17.806 --> 00:58:29.026
But the engine damage is really one of the few that is putting like putting hundreds of millions on these problems and help their supplier digitizing and become more cleaner without coal and getting electricity from the better sources.
1434
00:58:29.686 --> 00:58:30.886
So I would,
1435
00:58:30.966 --> 00:58:32.926
I would suggest the audience people,
1436
00:58:33.146 --> 00:58:36.844
which I believe a bunch of founders and tech nerds to work in this industry,
1437
00:58:37.047 --> 00:58:40.286
because it is really an amazing place to create lots of impact.
1438
00:58:41.265 --> 00:58:43.692
And is there a word that you feel like could,
1439
00:58:44.955 --> 00:58:45.617
in the fashion industry,
1440
00:58:45.758 --> 00:58:47.141
could use more nuance,
1441
00:58:47.362 --> 00:58:48.349
not necessarily be erased,
1442
00:58:48.349 --> 00:58:49.939
but use more nuance as we speak about it?
1443
00:58:51.635 --> 00:58:52.322
Owner or self?
1444
00:58:52.751 --> 00:58:53.077
One word.
1445
00:58:53.805 --> 00:58:54.329
I'm asking you,
1446
00:58:54.712 --> 00:58:55.880
is there one word that you think?
1447
00:58:56.488 --> 00:58:57.100
Data.
1448
00:58:57.549 --> 00:58:57.671
Yeah,
1449
00:58:57.692 --> 00:58:58.141
data.
1450
00:58:58.875 --> 00:58:59.161
Data?
1451
00:58:59.222 --> 00:58:59.549
Okay.
1452
00:59:00.733 --> 00:59:01.141
Owner?
1453
00:59:01.202 --> 00:59:01.585
On my case,
1454
00:59:01.605 --> 00:59:04.202
I think I don't like the word replacement.
1455
00:59:04.202 --> 00:59:04.558
I don't like the word
1456
00:59:05.485 --> 00:59:07.591
when these technologies are referred,
1457
00:59:07.631 --> 00:59:11.141
I think these technologies create a new category.
1458
00:59:12.072 --> 00:59:12.935
by themselves.
1459
00:59:13.115 --> 00:59:18.829
So a new category of material that's going to be adapted by industry and also by consumers.
1460
00:59:21.395 --> 00:59:23.640
Just to reflect on the future,
1461
00:59:23.680 --> 00:59:24.221
for instance,
1462
00:59:24.241 --> 00:59:25.143
in our case,
1463
00:59:25.344 --> 00:59:28.070
our goal is to create a specific category of a new material.
1464
00:59:28.431 --> 00:59:29.032
And also how,
1465
00:59:29.514 --> 00:59:31.258
I know we are talking about fashion today,
1466
00:59:31.318 --> 00:59:34.386
but how material can be used in automotive industry,
1467
00:59:34.526 --> 00:59:35.047
for instance,
1468
00:59:35.047 --> 00:59:35.930
or in home goods.
1469
00:59:36.190 --> 00:59:40.688
So how we can scale this up to create even bigger impact.
1470
00:59:41.687 --> 00:59:42.010
globally.
1471
00:59:44.031 --> 00:59:44.174
Well,
1472
00:59:44.174 --> 00:59:44.462
thank you.
1473
00:59:44.724 --> 00:59:45.087
And Beth,
1474
00:59:45.430 --> 00:59:46.722
I completely agree with you.
1475
00:59:46.782 --> 00:59:50.562
I do feel like there has been a flattening almost of some of these words.
1476
00:59:50.622 --> 00:59:54.918
I feel like my word would be sustainability because I'm always like,
1477
00:59:55.079 --> 00:59:57.122
what do you actually mean when you're saying that?
1478
00:59:58.145 --> 00:59:58.489
So again,
1479
00:59:58.671 --> 00:59:59.682
I'm just looking at the time.
1480
00:59:59.782 --> 01:00:02.193
We ended right on 12 p.m.,
1481
01:00:02.575 --> 01:00:02.877
at least
1482
01:00:03.359 --> 01:00:03.640
12 p.m.
1483
01:00:03.660 --> 01:00:04.002
my time.
1484
01:00:04.542 --> 01:00:08.217
And so just want to once again thank the founders for joining us,
1485
01:00:08.258 --> 01:00:09.262
for sharing their insights,
1486
01:00:09.825 --> 01:00:11.476
the audience for joining,
1487
01:00:11.496 --> 01:00:12.462
for asking your questions.
1488
01:00:12.925 --> 01:00:19.822
And I do hope everyone took away a little something about our conversation in decarbonizing the fashion industry.
1489
01:00:20.527 --> 01:00:21.261
Thank you so much.