Should NFT’s be in your marketing strategy?
It is important for companies to update marketing strategies with the ever-changing landscape of marketing online, especially with the growth of online digital assets such as bitcoin. With the new NFT’s should businesses get in early and start marketing before the trend?
What is an NFT?
A Non-fungible token (NFT) transforms “digital works of art and other collectibles into one-of-a-kind, verifiable assets that are easy to trade on the blockchain”. In other words, it is a token that represents a digital asset by using blockchain technology to record information.
Unlike cryptocurrency, NFT’s are individually unique and one NFT isn’t the same as another. It will bring new possibilities for businesses selling digital goods and physical products. Brand marketers can particularly benefit from the traceability that NFT’s bring.
Shifting towards the future of marketing:
Past traditional approaches to marketing are needed, however consumers today like to see companies and products keeping up with the current changing digital climate. Some “Old-fashion marketing models are increasingly ineffective, and businesses that stick to outdated strategies are likely to fail in the future.”
Showing that businesses should try and keep up to date with the changing marketing landscape.
Many large companies are starting to market on NFT’s like McDonald’s, Coke, Asics to name a few. To celebrate Friendship Day “Coke auctioned four multi-sensory friendship inspired NFTs.” These pieces of digital art celebrated retro merch and exceeded expectations of selling with the top piece being bought for more than “$575,000 USD.”
With large companies taking the chance of marketing on NFT’s and already seeing some great success it is only a matter of time until more companies see the great opportunity. By getting ahead of the trend there is an opportunity for brands to reach prospective consumers and turn them into customers of their products or services.
Ways NFT’s can improve business marketing strategies:
Direct customer access:
With NFT’s being direct to consumer means selling products directly to end consumers. By them buying directly from the brand there is a reduction in the chances of counterfeiting as customers know to buy only from the original seller.
The platform gives brands the creativity to market their product however suitable in the NFT’s ‘Phygitals’ which merges the physical world into the digital world. This gives an opening for customers to interact and get to know a brand in a way that hasn’t been explored before online in providing this unique experience for customers.
Staying up to date with content marketing:
A business’s content marketing strategy needs to be refined and altered over time in response to changes within the market. By selling a product on the NFT consumers will notice the company’s presence and its ability to adapt to the current online climate. Having an up-to-date presence in these changes helps ensure strategies will develop the most influential and successful results.
Should businesses use NFT’s for marketing:
Larger companies with a lot of money can take the risk of trying out new technologies, but is it a risk smaller companies can take? NFT’s can help campaigns be unique and encourage branding but with it being so new it’s hard to justify if the gamble is worth it.
You can easily grow your business by staying ahead of the technological curve in your marketing and direct-to-consumer strategy. “A marketing strategy should be over-hauled approximately every two years (or sooner if necessary) and a fresh analysis of the environment, business goals and market needs to be conducted.”
NFT’s can be a great revenue stream and a way to reach new audiences. However, it is a complicated business as well. NFT’s are projected to continue to grow and become mainstream in 2022, becoming a major player in the trillion-dollar marketing industry.