The world is regaining its footing after the pandemic and adjusting to new lifestyles. Technologies that once appeared like fascinating experiments have now become indispensable.
Speculation and FOMO (fear of missing out) is clearly driving the NFT ecosystem right now. However, there is something essentially novel about this. NFTs provide brands with an opportunity to rethink how they interact with their most devoted customers and followers. NFTs in marketing can be the new strategy for brand engagement.
How brands can use NFTs in marketing?
Brands are becoming increasingly public-spirited over the world. There is a growing expectation that brands, using their knowledge and market power, should help make the world more sustainable and fair. As a result, businesses are making an effort to spend their marketing expenditures on issues that they care about. Marketing experts are taking it a step further by allowing their customers to contribute to the cause.
100 Pipers Glassware recently released a 3D NFT collection with ngageN marketplace. It is created by an Indian artist to highlight the importance of wildlife and environmental conservation. Each NFT sold resulted in ten trees being planted by 100 pipers. The NFTs served as "proof-of-contribution" for contributors to post on social media and in the metaverse. A thank you poster and certificate were also delivered to NFT purchasers. The brand's most generous contributor was given the title of Chief Tree Officer. Coca-Cola and MG Motor India have both run campaigns with proceeds going to charities according to their marketing strategies using NFTs. These are some of the best examples of using NFTs for marketing.
Key takeaway: NFTs can help brands engage customers in supporting causes they care about. As a result, a marketing plan using NFTs creates an emotional connection with its customers and establishes its brand identity.
Customer engagement and customer surplus
Most marketing executives recognise that their customers are not a monolithic group. The superfans are the most important customers since they appreciate what the brand stands for, will talk about the advertisements, and will queue for the new launch. Any chance to strengthen the brand's interaction with them is essential to the brand's long-term success.
NFT marketing example: Wrangler recently released an NFT collection featuring a 3D animated classic dance move by American artist Leon Bridges while dressed in a 3D Wrangler attire. An autographed actual denim jacket, a metaverse wearable, and a VIP private performance during New York Fashion Week were all included with this limited edition artwork. Wrangler or Leon Bridge supporters, or both, were likely among the NFT buyers.
They were likely to become Wrangler and Leon Bridges fans after purchasing the NFT. As a result, both the company and the artist benefit from a positive feedback loop in terms of fan engagement.
Key takeaway: NFTs provide a means of identifying superfans who are willing to pay for premium products and unique brand experiences.
Grow community and engagement
We're heading toward a cookie-free internet, which will make tracking and advertising impossible as we've done for the previous five years. As data privacy rules become more strict around the world, digital marketers will be driven to move away from cookies and build first-party data about their customers. This would be very handy for the most valuable and loyal customers. NFTs allow businesses to begin developing a new email list in preparation for the decentralised, private web 3.0.
In the coming metaverse environment, the significance of NFTs grows even more. NFTs can assist brands in recognising users in a virtual environment without exposing their real-world identities.
Even if the brand's NFT was given to the customer as a gift or sold to them in order to provide them with exclusive experiences, it also allows brands to personalise customer experiences. As a result, NFTs are crucial to the VR experience, and their relevance will only rise as the VR metaverse develops.
Key takeaway: In digital marketing, NFTs provide an opportunity to build stronger relationships with audiences. In both the physical and virtual worlds, brands can utilise them to personalise marketing campaigns.
Stepping into Web 3 can be challenging, but with the correct NFT marketing strategy, you can effectively develop communities and increase brand engagement.