Where do NFTs fit in with digital marketing?
NFTs or “non-fungible tokens” have seen an explosion in popularity recently and it has left many marketers wondering how they can be used in the digital marketing space.
NFTs will be the next big thing in digital marketing so now is the time for you to learn about them and why they will be helpful to marketers.
In this post, we will cover four main reasons why NFTs will be the next big thing in marketing.
NFTs have not come out of nowhere. They are a part of a changing movement on the internet known as web3. The mainstream push for cryptocurrencies and events such as the Gamestop short-squeeze opened up Pandora's box for technologies like NFTs to become more widely used.
Brands and consumers alike are now focused on and talking about emerging technologies and it's only logical that the world of marketing would take note.
NFTs have now become an important part of the commercial space for many brands. Celebrities and household-name brands have jumped on the bandwagon, producing their own NFTs and further fueling their popularity.
NFTs are popular and look as though they are here to stay. So in what ways will they be used in digital marketing?
Marketers can use NFTs to directly connect with the loyal customers and fanbase of their brand.
You don't need a middle man to sell your product and this can help establish a greater connection with your customers.
You can also use NFTs as a way to reward your ‘super-fans’. NFTs offer your brand a way to give unique privileges to your most loyal customer which in turn fosters and rewards customer loyalty.
NFTs are digital. You can create JPEG’s, GIFs, 3D animations, and more. Your brand is not restricted to creating a physical product but can now deliver digital products as well.
For marketers, they should look to include NFTs in their strategy to create brand advocates. There are many reasons why NFTs help to create brand advocates, but one of the major ones is that they are an asset class that incentivises self-promotion and community-building.
NFT collections are not only an asset or investment. For your customers and community, they can also demonstrate membership to an exclusive club of owners.
As these clubs become more desirable and your customers want to be included more and more, the value of your NFT increases.
This creates a powerful cycle of incentives.
The metaverse is going to be an essential part of marketing in the coming year. NFTs are the key to accessing it.
If you ‘walked’ through the streets of the Sandbox metaverse, you would be able to find plots of virtual land that are owned by brands such as Gucci and even HSBC.
These brands are betting on the metaverse being the future. We can see that popularity and interest in the metaverse is growing and these brands are betting that it is here to stay.
It has been predicted that by 2026 the global market for the metaverse will reach $42 billion, and that 25% of people will spend an hour a day in the metaverse.
NFTs are ways for marketers to get ahead in this rapidly growing market.
You can buy virtual land for your brand as an NFT. With your metaverse land you can then create a flagship virtual store.
You can sell your product in the virtual world and not only generate revenue from sales but have users in the metaverse walking around with your products which will boost your brand awareness.
You can also use your land to host invitation-only events for loyal customers and those who hold your NFTs.
NFTs are the future and they are set to be the next big thing in marketing. They give your brand so many options for creating stronger relationships with your customers and offering them exclusive content.
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