3 NFT Marketing Use Cases

NFTs, or non-fungible tokens, have been on fire for the past year. From Bored Ape Yacht Club to CryptoKitties, the most trendy collections have been picked up by collectors to add to their portfolios. Because the authenticity and rarity of the artwork is verified – and traceable – on the blockchain, NFT is a unique resource with value for the owner.

Most of the attention has been focused on NFTs as collectibles; but the future is not in collection such outstanding assets. The lasting value of NFTs lies in the opportunity they give brands to engage with their customers – to create a community of passionate users who can stand up for the brand.

And that’s what younger consumers want: When a customer experience does not live up to its promise, 70% of Gen Z customers say they have changed brands as a result. And 42% of Gen Z customers would stop buying a product if they did not feel connected to the brand.

They want a product experience with brands that share their values. Building a committed community is at the heart of getting in touch with customers in the new Web3 reality.

From Barbie to Burberry and McDonalds to Marriott, various brands have launched NFT marketing projects over the past year. However, most of these initial experiments have been focused on building buzz and creating collectibles. In fact, the standard gamebook for brands is to order artwork from Millennial or Gen Z artists, and then drive the press around NFT efforts through media outreach.

For example, the Mattel brand Barbie created new digital outfits in collaboration with a French fashion house and characterized them as NFTs for collectors to buy. The hotel chain Marriott, for its part, hired new artists to create travel-inspired art for its NFTs and launched tokens at an art fair in Miami.

But such “one-and-done” efforts around NFTs as collectibles do not fully capture the value that tokens can provide in brand marketing. At its core, NFTs can bring together a group of committed customers and turn them into passionate advocates for your brand.

The key to achieving long-term customer engagement is to expand your NFT project so that it creates a community of users. Once you’ve built that community, you can create an ongoing brand conversation by giving members a number of special benefits: exclusive content, special events, merchandise, early access products, and more.

While creating your brand’s NFT strategy, consider the following three ways you can build community.

1. Social impact

Millennials and Gen Z want brand experiences that match their values. When combined with a social influence, NFTs can both raise awareness and fund the cause that your brand supports.

Consider ordering a work of art by an artist related to the case. Or, programmatically deliver a portion of the proceeds to a non-profit organization by coding it into the smart contract that underlies your NFT.

2. Events

In addition to giving attendees a unique memory of your event, NFTs can help you expand your conversation to digital communities by only giving access to NFT holders. You can even reinvent your ticket sales with traceable tickets that are authenticated on the blockchain.

You can also deliver extended content and privileges to users who have different levels of NFTs – as a virtual meet-and-greet with NFT holders and famous celebrities from your event.

3. Loyalty programs

Re-imagine your loyalty program with NFTs that provide programmable value to your customers.

By using NFTs, you can deliver additional benefits and advantages such as digital content for members only, exclusive pop-up sales or insights into new products to customers and influencers who want to promote your brand.

And when you produce a limited number of NFTs, your loyalty program becomes an exclusive benefit that everyone will have access to.

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Of course, such examples are just a glimpse of possible NFT brand engagement uses. Blockchain tokens can reinvent the community and the strategy for customer engagement in commerce, product authentication, physical product redemption and more.

And although NFTs have made a strong debut as unique collectibles, forward-thinking brands will organize themselves around how they can take advantage of the new class of technology to mobilize their customers and engage their communities in ways that resonate with technology. -skilled Millennials and Gen Z.

More resources about NFTs in marketing

What marketers need to know about NFTs

The impact of digital currencies on future marketing efforts: Jeremiah Owyang on smart marketing [Podcast]

Can NFTs Replace Your CRM Strategy?