European Digital Product Passport for Transparent Value Chains

Description

This IDC Perspective explores how the European Digital Product Passport (DPP) will redefine transparency, traceability, and compliance across the retail value chain. Mandated under the Ecodesign for Sustainable Products Regulation, the DPP will require every product sold in the European Union to carry standardized digital data on its materials, origin, and life cycle. The report analyzes the policy, technological, and organizational implications for retailers and highlights variations in market readiness across key European countries and retail subverticals. "The Digital Product Passport marks a turning point in European retail, transforming sustainability compliance into a data-driven engine of transparency, efficiency, and trust. Retailers that integrate DPP frameworks into their digital core will move beyond regulatory readiness to redefine customer engagement and operational excellence across the value chain." - Cristiano Quattrini, senior associate advisor, IDC Retail Insights

Product Code: US52916025

Executive Snapshot

Situation Overview

The Policy Context: From Sustainability Compliance to Data Infrastructure
- Market Drivers and the Emerging Ecosystem
- Country-Level Variations Across Europe
  - Germany: Industrial Discipline Meets Digital Fragmentation
  - France: Consumer Transparency as a Strategic Differentiator
  - Italy: Craftsmanship Meets Digital Catch-Up
  - Spain: Accelerating Through Policy Alignment and Retail Modernization
  - The Nordics: From Sustainability Leaders to Digital Pioneers
  - Benelux: A Gateway and Testbed for European Interoperability
  - United Kingdom: Alignment Without Full Integration
- Sectoral Implications Across Retail Subverticals
  - Fashion and Apparel: Transparency as a Brand Currency
  - Consumer Electronics: From Product Sale to Life-Cycle Stewardship
  - Grocery and FMCG: Data Density and Supply Chain Traceability
  - Home Improvement and DIY Retail: Material Transparency as a Market Expectation
  - Luxury and Premium Retail: Provenance and Post-Purchase Engagement
- Organizational, Technological, and Data Challenges
  - Strategic Opportunities for Retailers