The New Frontiers of Community

In a live read and discussion in the Collective Cafe about Mark Schaefer 's book, "Belonging to the Brand," Joseph Jaffe talks about the potential of Web 3.0 and the future of community building and marketing.

Today we read, Chapter 11: Web3 and the New Frontiers of Community. You can listen to the conversation here (we put this out as a podcast and you can subscribe to the week-daily podcast here)

Schaefer discusses how the obsolescence of traditional marketing strategies, the global mental health crisis, and emerging technologies are converging to make community the next big marketing idea. Web 1.0 allowed anyone with a keyboard and Wi-Fi connection to impact the world through their content, while Web 2.0 led to the rise of the creator economy, which could be manipulated by outsiders like social networks and brands. Web 3.0, driven by decentralization, aims to give creators more control over their work and revenue through their own economic communities.

Tokenization enables creators to monetize and build an audience upfront and then use that money and following to produce more content and grow their business. Token ownership can represent a stake in a person, a body of work, or a community and can benefit token holders through financial gain, exclusive commerce, and emotional rewards.

Additionally, Jaffe introduces the idea of "priceless experiences" (examples given in the actual episode) as a fourth potential benefit, referring to unique access and opportunities available to token holders. Jaffe emphasizes the importance of rewarding tenure in marketing and business plans and suggests that companies can create and enhance customer loyalty by offering exclusive experiences based on the length of their relationship.

Both Jaffe and Schaefer believe fractional ownership is critical for creators and artists, which enables people to take a stake in a personal brand or human event, essentially conceptual equity. If the creator can't benefit financially from the token, then it's a fool's errand. If people in a community do generous things to support a company, the company can reward them with tokens, which reinforces the emotional bond, creating a bi-directional customer relationship.

Web 3.0 offers marketers and brands perhaps the last opportunity to get community right. To do so, brands should not try to control the community but be invited to join and invest in existing communities to enable them to thrive. The principles and practices that will be true are not for brands to control, and community is not about the brand arriving, but it's about being invited to join.

Key takeaways:

1. Web 3.0, driven by decentralization, aims to give creators more control over their work and revenue through their own economic communities.
2. Token ownership can represent a stake in a person, a body of work, or a community, and can benefit token holders through financial gain, exclusive commerce, and emotional rewards.
3. Fractional ownership is critical for creators and artists, enabling people to take a stake in a personal brand or human event, essentially conceptual equity.
4. Companies and creators must adapt to new ways of building and maintaining communities, prioritizing the interests and desires of their audience members.
5. Web 3.0 is the last great marketing strategy and the last opportunity for brands to get community right.

Three key quotes from the conversation are:

1. "Web 3.0 is our last chance to get community right, and this is not for brands to control. Instead, brands should focus on being invited to be a part of an existing community and should invest in struggling or dormant communities to enable them to thrive." - Joseph Jaffe
2. "A creator must be able to make money from revenue streams other than the token itself. If the creator can't benefit financially from the token, then it's a fool's errand." - Joseph Jaffe
3. "In many cases, the real model is going to be when brands step in, step up, and figure out how they can help, invest, catalyze, enable, sponsor, give means, resources, tools, assets, and access to struggling or dormant communities." - Joseph Jaffe

In summary, Web 3.0 and the tokenized economy are changing the way brands and creators approach community building and marketing. Tokenization enables creators to monetize their work and build an audience upfront, giving them more control over their revenue streams. AI is emerging as a tool to help community managers manage their communities more effectively, and brands should focus on being invited to join and invest in existing communities to enable them to thrive. By doing so, they can ensure a future of mutual success and stronger, more engaged communities.

As technology continues to evolve, companies and creators must adapt to new ways of building and maintaining communities, prioritizing the interests and desires of their audience members. By doing so, they can ensure a future of mutual success and stronger, more engaged communities.