NFTs, or non-fungible tokens, are a relatively new tool that is quickly gaining traction in the world of marketing. While still in its early days, nfts offer a number of benefits for brands looking to engage with customers in innovative and exciting ways. Here we will take a look at what nfts are, how brands can use them, some of the benefits nfts offer for marketing purposes and how brands can get started.
1. NFTs offer brands a unique channel for marketing purposes
NFTs offer a number of advantages for brands looking to use them for marketing purposes. First, NFTs are a way to create unique, one-of-a-kind assets that can be used to promote a brand or product. This uniqueness can help to create a strong emotional connection between a brand and its customers. NFTs can ‘live’ in a platform long after the initial use has been satisified.
Additionally, NFTs offer a way for brands to reach a global audience through the use of platforms like Ethereum and Polygon . This allows brands to tap into new markets, reach new potential customers and establishes brand identity as staying with current tech trends. NFTs offer a way for brands to track and measure the engagement of their customers with their product or service often free of centralized platform data. This new data can be used to improve marketing strategies and better target potential customers.
2. How brands CAN use NFTs to engage with customers
NFTs have been used in a variety of industries, from video game collectibles to digital art. Now, brands are beginning to experiment with NFTs as a way to engage with customers and build loyalty.
There are a few ways that brands can use NFTs. One is by offering NFTs as rewards or prizes for loyal customers. This could take the form of a contest or promotion. For example, a brand could offer an exclusive NFT to the first 100 people who purchase a product. Or, a brand could randomly select people who have engaged with their content on social media and give them an NFT as a thank-you.
Another way that brands can use NFTs is by creating limited-edition collections that can only be purchased with an NFT. This could be particularly appealing to collectors and fans of the brand. For example, a fashion brand could release a capsule collection of limited-edition items that can only be bought with an NFT. Or, a car company could release a special edition of its flagship vehicle that can only be purchased using an NFT.
3. benefits of NFTs for marketing
NFTs offer a number of advantages for marketing purposes. First, NFTs can help to create a strong emotional connection between a brand and its customers. Second, NFTs offer a way for brands to reach a global audience. NFTs are digital assets that are hosted on a blockchain, making them unique and impossible to counterfeit. This makes them ideal for use in marketing, as they can help with verification and generate a sense of scarcity. For brands, NFTs offer a new way to engage with customers and create loyalty.
They can also be used to reward customers for their engagement, providing an incentive for continued interaction. The power of smart contracts is that the additional utility can be programmed in advance of the sale, so there is a time based (pre-programmed) element of interaction which could not exist before in the same way. In addition, NFTs provide a new avenue for marketing campaigns, as they can be used to drive social media buzz and attract attention from potential customers. As it is still early, any brand who is ‘first’ in a particular vertical or industry, will get a lot of attention. Ultimately, NFTs offer a versatile tool that can be used to enhance any marketing strategy.
4. examples of companies that have used NFTs for marketing successfully
Over the past two years, we’ve seen a surge in the use of NFTs for marketing purposes. Brands are using NFTs to create unique and interactive experiences for their customers. For example, in December 2020, Burger King launched an NFT-based game called “Whoppercoin.” Customers could earn Whoppercoins by purchasing Whoppers and redeem them for discounts on future purchases. The game was a huge success, with over 1 million players within the first month.
In February 2021, Coca-Cola launched an NFT-based campaign called “Spring Block” to celebrate the launch of its new line of sodas. Customers could purchase an NFT can of Coke and use it to unlock exclusive content, like behind-the-scenes footage of the soda’s production process. And in March 2021, Nike released an NFT-based sneaker called the “Air Max 1/97 Sean Wotherspoon.” The sneaker was sold via auction, with the proceeds going to charity. Nike’s use of NFTs has been hugely successful, with the company generating over $100 million in sales within the first week. There’s no doubt that NFTs are changing the landscape of marketing. Companies that are able to successfully capitalize on this new technology will have a major competitive advantage.
5. the first steps to take for brands to get started using NFTs for their marketing purposes
If you’re a brand looking to get started with NFTs, there are a few things you need to do. First, you need to understand what NFTs are and how they work. If you are just getting started, visit OpenSea or any of the other NFT marketplaces and see how other brands in your industry are incorporating NFTs into their marketing efforts. Secondly, you need to assess whether or not NFTs are a good fit for your brand and your overall marketing objectives. Because there is so much hype and a lack of clarity around the viability of long term NFT projects, companies should be careful to integrate the promotion and sale of NFTs into their existing ecosystem. And finally, you need to build a community around your NFTs and in the web 3 space this starts with building your own following on a discord server.
6. tactics to building an active and engaged NFT community
When it comes to building a community for your NFTs, there are a few things you can do. First, you need to make sure overall that your NFTs are easy to use, understand and interact with. If you are unfamiliar with the technology and just getting started it is highly advised to use an established platform like discord to build your NFT community. Discord has specific functionality, tools, bots and many skilled community leaders who can help you onramp to the space. There is an expectation that a brand will have a discord community if they are going to be marketing and selling NFTs.
Additionally, you need to make sure that your NFTs offer something unique and valuable to your community members. This could be exclusive content, discounts, or other perks. Finally, you need to be active and engaged with your community members. This means responding to questions and concerns in a timely manner on discord and providing regular updates on new developments. Some of the top NFT projects like HypeBeast have over 60 people running their discord server, so if you are a brand that is serious about getting involved in the ‘metaverse‘ space it will require significant resources.
Building an engaged and active NFT community takes time and effort, but it is essential for long-term success. By following these tips, you can give your brand the best chance of success.
7. poTENTIAL risks for brands who want to use NFTs to market their products
There are a few potential risks for brands who want to use NFTs to market their products. First, it’s important to note that the use of NFTs is still relatively new, and there is no guarantee that they will be successful in the long term. And in the short term if the marketing and sale of NFTs appears too much like a ‘money grab’ with no real utility or value, it can be very damaging for a brand’s reputation. NFTs live on the blockchain, and can’t just be erased as a failed marketing experiment.
There is a risk of customer confusion if a brand launches an NFT-based campaign without first adequately explaining what an NFT is and how it works. Most people still cannot give you an accurate definition of an NFT. And finally, there is always the risk that a brand’s NFT-based campaign will be hijacked by bad actors who will use it for fraudulent purposes. However, as long as brands are aware of these risks and take steps to mitigate them, they should be able to successfully use NFTs to achieve their marketing goals.
NFTs are changing the landscape of marketing, and companies that are able to successfully capitalize on this new technology will have a major competitive advantage. There are a few things brands need to do in order to get started with NFTs, including understanding what they are and how they work, assessing whether or not they are a good fit for your brand, and building a community around your NFTs. Although there are some risks to using NFTs for marketing purposes, these can be mitigated by being aware of them, starting small and generating a lot of customer feedback. Overall, the use of NFTs provides a great opportunity for brands to engage with their customers in a new and exciting way and market themselves to entirely new audiences.
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