By Victoria Oladipo
Non-fungible tokens (NFTs) are digital products. They could be art, writings or music, anything that involves digital media. Because they are ‘non-fungible’, it means they are unique and cannot be replaced in any kind. NFTs are part of the Ethereum blockchain, so these digital products are mostly sold in ETH.
Most digital products, when uploaded on web 2.0 apps, can easily be replicated illegally. This often has caused the real owners not to profit from the sales of their product.
NFTs bridge the gap between digital artists and their art collectors. They also provide a unique certification and digital artists get to have royalties on sale of every art collected. These arts are kept in a decentralized technology called the Blockchain technology.
If, as a regular user of the internet, you save an NFT and use it as your phone wallpaper; you gain nothing from doing that for a digital art you admire.
People who eventually collect those arts have been given unique rights to ownership of such arts and will pay dividends to the original artistes and this makes the NFT marketplace a unique one and different from what we have on web 2.0.
For marketers, it is important to see this as an avenue to build their marketing strategies. The internet has grown from web 1.0 to web 2.0. Web 2.0 has helped marketing strategies with social media apps.
Running ads on these apps has also developed sales on various channels. The rise of web 3.0 debates around blockchain technologies and the metaverse is prone for marketers to see the need to leverage the strategies available in the metaverse.
Partnerships and collaborations are quite important in this pact. Identifying artists that are beneficial to your brand identity and working with them to upload an art in the NFT community is likely to bring more awareness to your brand in the metaverse.
NFTs sell in the community. It is important for marketers to leverage such communities for promotion and brand awareness purposes. This method is relatively new, therefore there is no or less competition.
Big brands such as Cocacola and Mcdonalds have been able to leverage the use of NFTs for their marketing. For International friendship day, Cocacola launched four collectibles in the Opensea marketplace, thus, building a powerful presence in the metaverse and auctioning for more than $575 million that benefitted Special Olympics International.
For McDonalds, it was different. They needed to launch a product, McRib, and created a limited collectible that would only be available for those that retweeted the art. About 93,000 people have retweeted the art which has helped in the product’s promotion.
Like any other marketing strategies, marketing using NFTs would cost a certain amount of money depending on the type of artist being used.
ALSO READ: The Importance of Strategic Partnerships in Business
In conclusion, while content marketing should not be neglected in the long run, it is important for marketers to know how to utilize this new wave of NFTs and the metaverse. There must be proper research before getting into how this strategy could work for brands and businesses.
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