Why Marketers Should Pay Attention to the NFT World!
NFTs have come on leaps and bounds in the past year, going from tokenized artwork into fully-fledged utility tokens. In that short space of time, NFT sales have soared past the $25 billion mark, and there’s no sign of this trend slowing down any time soon. More and more big players are getting into the NFT market, with Coinbase and Adidas proving that just about anyone can do it.
But why should you be watching out for NFTs even if you’re not in the crypto space? Well, as Adidas proved late last year, any company can do it, and even with a pile of misfortune, can still make a ton of noise!
Can NFTs Be Used for Marketing Success?
All brands take part in marketing activities in one way or another, it’s how they use those marketing activities that really counts, though. The digital native Millennials and Gen Z lap up NFT news and content like a cat with milk, meaning that if you’re looking to grab the attention of these two generations, NFTs will be a surefire way to do it.
The proof is in the pudding, as they say, with a screenshot of Jack Dorsey’s first Tweet selling for $2.9 million, a feat that nobody would have thought possible only a few years ago. Adidas too took to the NFT scene, launching its own, albeit terrible, NFT collection on December 14, 2021. Despite all 30,000 NFTs being identical, the mint being paused, as well as a whole raft of other issues, the collection sold out in minutes, generating millions in revenue and untold amounts of publicity. This is exactly what marketers can tap into, sending their brand into the stratosphere.
Reasons to Pay Attention to NFTs as a Marketer
NFTs might not be first nature, or even an afterthought, for most marketers, but if you do decide to venture down that path, it can be incredibly rewarding. So, let’s take a look at a few reasons why you should consider looking at harnessing the power of NFTs in your marketing efforts!
– It’s an Emerging Market
The world of NFTs and blockchain is still emerging, and this is the technology that will become the standard in years going forwards. This gives you and your brand the chance to be a first mover, cashing in on all the rewards. When you’re running your next activation campaign, consider involving NFTs in some way. After all, the generations that are currently dominating are those that grew up in a digital world.
Let’s say you’re giving away mugs as part of your activation campaign. Slap a QR code on the bottom that allows each individual to collect that mug as an NFT and store it in their own digital wallet or use it in a metaverse. The time and tech required to pull this off is minimal, but the PR you’ll gain from it will be top notch. Best of all, you’ll already be fully acquainted and well-known in your industry for being a first mover. When this technology becomes more mainstream, you’ll be seen as one of the OGs, further enhancing your rep!
“The same way brands leverage social media as a means to generate conversation among their consumers, NFTs give brands a unique ability to interact with consumers, providing a means for an ongoing dialogue. By using NFTs, brands have new avenues for brand storytelling, as well as the ability to create and send value. The projects that we are doing all are use cases for what’s still to come”
Josh Katz, YellowHeart CEO and Founder
– Tons of Recent Wins
As more brands dive into the NFT space, we’re seeing more and more of these projects “winning”. Let’s take another look at the Adidas NFT launch late last year. Despite all of the problems during the mint process, and the fact that every NFT is the same, the collection sold for more than $22 million. Throw in all of the press activity, and you’ve got the ultimate recipe for success. If Adidas didn’t have any of the issues that it did, this would have been even bigger. So, if you can pull off everything perfectly, you could be staring down the barrel of the greatest marketing success of the 21st century.
– Web3 Adoption is Growing
Major brands took a significant amount of time to fully transition to Web1 and Web2, which resulted in a lot of lost opportunity. Walmart only began actively selling online in 2000, 6 years after the inception of Amazon. Still, today, major companies such as Target don’t have these capabilities ready, relying on other service providers to help them limp into Web2.
By being a first mover and getting your brand into the world of Web3, you’ll be one of the Web3 OGs, building your presence, reputation, and skills. Just like we’ve seen with TikTok, Facebook, Twitch, and Stream, those that were early to the party are now ruling the space. But you have to make sure that you dive in with full force, rather than simply ticking off a bucket list item.
– Start With Digital Collectibles
Diving into the world of NFTs isn’t easy, so stick with something simple, like a digital collectible, for your first move. This is the current NFT mindset, so most of your audience will already be comfy with the idea, and it’s also pretty simple to implement from your end. You also need to balance rarity, in that getting your hands on a Campbell’s and Coca-Cola NFT is incredibly hard. This will turn off your audience and alienate them. On the other hand, you do want it to be “limited” in some way so that it’s special. Value stems from people wanting what others want. If you can get the balance right, you’ll strike gold with your digital collectible set!
The Future of NFT and Marketing
NFT and marketing activation are going to get closer and closer in the coming months and years, to the point where they merge completely. Introducing this technology to your marketing campaigns will help build your brand identity to Millennials and Gen Z, who will soon be all in the workforce and have the most purchasing power. As such, adding NFTs to your campaigns could prove to be highly effective.
As NFTs become more and more popular, this trend and theory will continue to ring true and prove to be the best course of action. When it comes to marketing, the future is definitely digital, so incorporating NFTs in a post-pandemic landscape is the way forward!Promote NFT via Bitmedia