Is NFT the Future of Marketing?
Lately, the word, NFT or non-fungible tokens, has been the latest craze and people have been gaining knowledge about digital assets. No wonder it became the word of the year according to Collins dictionary last year. But what do you gain from this piece of digital art? How’d they become so famous? Why are they gaining so much attention? Popularity looms large in Metaverses and NFTs, who does not want to be a part of a projected 3 trillion dollar industry in a few years’ time?
Photo of Beeple’s “Everydays: The First 5000 Days” which was sold for: $69.3 million at Christie’s
It makes your mind wonder why people buy millions of dollars for just a digital asset. Several factors make NFTs so special, you have the artist or the brand, the hype, the demand, and lots more. NFTs have been growing more popular and well-known brands are trying to take this opportunity to add these to their product lines. Brands are embracing these to stay ahead in technology. They envisioned that these digital assets are the key to attracting more people and increasing their income.
Here are?5 Reasons?Why NFTs are the future of marketing:
Creating a New Customer Experience
Technological and digital advancements have constantly been growing. We have new terms like cryptocurrency, metaverse, blockchain, NFTs, web3, and alike. Brands are capable to reinvent themselves with the new technology that is provided for them and gives them the ability to offer a better customer experience. Creating their metaverses is one way of giving a new atmosphere for its consumers.
With the pandemic still ongoing, it is hard to travel worldwide. Brands get to bring the world to you, providing you a virtual experience or presenting their products and services to you. NFTs are becoming like a playground for these brands and can easily tie it up with their physical products.
New Revenue Streams
Photo from HypeBeast
If you’ve been seeing NFTs on your feed, may it be on Facebook, Instagram, or Tiktok, especially just after reading this, then brands have been targeting you to either buy their digital assets, download their game, or just scroll through their website. Incorporating NFTs into their product line is a way to unlock a new revenue stream for them. Brands have been keeping up with current trends and creating new ways of tying up digital assets with their physical products.
We can’t say all NFTs are inexpensive, especially the ones coming from big brands. Some create utilities on these assets to encourage consumers to visit their brick-and-mortar stores or even get discounts on physical products. The NFTs cater to the consumer in a way that drives engagement and triggers their emotional investment, especially for the ones who have high spending power.
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Well-known brands have been collaborating or acquiring other brands to create NFTs to earn more money, one of which is?Nike. The powerhouse athletic brand bought?RTFKT?last December and launch a new NFT collection called,?CryptoKicks. Being involved in the NFT space can keep up with the modern world, and I guess this is Nike’s way of just doing it.
Attract a New Community and Reach a Larger Demographic
To widen your audience or engage in a different market, NFTs are a good way to make that happen. Tens of millions of dollars are being spent daily with NFTs that are available in digital marketplaces. This allows brands to enter a market with younger and digitally native audiences.
Photo from Coca-cola
More or less, the brand that has the most hype, would attain the highest popularity, especially if these brands are very popular already. Let?Coke?be an example where the brand started selling NFTs; A soft drink company that would sell digital assets of their product is extraordinary. It’s not a question anymore of why brands want to get involved in the NFT space but how to make use of NFTs to tap a community of trendy, digitally-inclined consumers.
Staying on Top with SEO
Photo from OpenSea
Try and search “NFT” and you’ll find?OpenSea, Forbes, and Ethereum.
Every brand’s goal is to be number one in the industry. As NFTs peaked its search interest last January, competition is rising to be on the first page on Google Search. With crypto winter still ongoing, we still have a lot to know about NFTs and what they could become in the future. Search Engine Optimization is crucial in NFTs especially when it comes to its utilities and real-life use cases. As NFTs are more accessible and growing in numbers every day, it is essential to have relevant keywords in the industry to get their product in front of their target audience. This newly-born industry has been keeping marketers awake by mixing and matching keywords and finding the right mix to attract an emerging community to attain that spot on the first page of Google and other search engines.
Leading the Charge in Innovation
Of course, when trying to be at the top of the industry, R&D and Innovation should always be prioritized. With NFT still being in its early stages, who knows what kind of utilities, use cases, and value it could bring to the consumers. Marketers should stay ahead of the game by their ideas for innovation, taking advantage of data analytics, and digitizing customer experiences. We’ve seen NFTs transform from just solely digital art to digital smart tickets to attend a concert. Marketers now have the role of also giving competitors and consumers FOMO (fear of missing out) with their ideas and how they can make NFTs work for them. Currently, most brands release NFT collections and tie up NFTs with their physical products, a lot of Fashion brands are currently doing this trend. We want to keep up with the evolution of the digital world as well as brands that use digital assets as a part of their product line. Being the leader in the Metaverse and NFT industry can go a long way with having competitors look up to you as you create outstanding uses for these digital assets
NFTs will serve as the digital bridge between brands and their consumers. NFTs have been growing each day, even if we’re at a crypto winter right now. The feeling of being left out takes a toll on consumers who are subconsciously pulling themselves into the Metaverse. Consumers are eaten by the possibility of acquiring digital objects that are unique, valuable, and recognizable. The potential for market growth is causing a twist in almost every industry and brands are seizing this opportunity to upscale their company and lead their industry.
It won’t be long before NFTs take over the world. So keep up.