NFTs are emerging assets that offer unique ownership features to holders. Although they’ve started as entering the entertainment sector, they have now expanded to new horizons. NFTs are special simply because they’re limited, but besides their feature of being an asset, NFTs have plenty of other advantages.
Most of them are built on the Ethereum blockchain, which supports a network packed with digital tools and a community whose primary purpose is creating a better, innovative environment. Being on Ethereum helps NFTs gain popularity and allows developers to gain knowledge for creating something new that can be introduced in other industries.
For example, by using smart contracts and a rich infrastructure of digital wallets, NFTs can now be used as a marketing tool to generate revenue and develop new ways of driving advertising productivity. Here’s how these two can blend.
What features make NFTs fit in marketing?
NFTs are unique, meaning each has different attributes, so no two non-fungible assets are the same. Considering they’re kept on the blockchain network, usually Ethereum, NFTs come with an ownership certificate that allows users to prove property on multiple blockchains.
What’s also best about NFTs is that they can’t be bought or transferred as portions or divided into multiple parts, making them a complete asset compared to cryptocurrencies. Moreover, they’re protected by fraud and can be moved easily.
How can you blend NFTs with marketing?
A company’s marketing project can introduce NFTs as a way to connect with the audience. This helps many businesses build their brand as trustworthy and gather an increasing number of loyal customers. For example, music organizations or singers can sell music to fans directly through the blockchain, avoiding streaming platforms that get their share from both parties.
Even artists can have the same approach since digital paintings and creations have emerged considerably after the first collections on the market. And since tokenization is one of the best things about NFTs, anything from the real world can be transferred to the digital realms and sold or bought in a digital form.
Strategies for developing the NFT market
NFT marketing businesses still need media coverage and a little bit of effort to be helpful as a service; therefore, here are some methods of blending the two technologies for a successful marketing approach:
- NFT listing is necessary to make the asset available to others. After developing your NFT product, choose a suitable exchange and promote the product through a special campaign;
- Influencer marketing is one of the latest and most efficient ways of targeting specific audiences. That’s because influencers have a solid fanbase that will probably follow recommendations of certain products;
- Paid marketing is still going strong, even though organic is more genuine. Still, paid campaigns on platforms like Facebook or Instagram are sure to bring in more viewers and leads;
- Discord and Telegram are two of the preferred applications for people whose interests are gaming or cryptocurrency, so you can make channels there to engage with your communities after a serious NFT marketing campaign;
Is NFT marketing advantageous for a company?
There are many reasons businesses should try NFT marketing in this fast-paced world of technology. Although not all companies are suited for this method since they promote different products and services, we could see how NFT entered the fashion sector, for example, and had a pretty good outcome as a combination of high-tech and clothing.
Generally speaking, here’s why NFT marketing will do great things in your organization:
- It helps increase brand visibility by reaching newer and farther audiences beyond the NFT community;
- It builds up customer engagement by providing immersive experiences and more interesting ways to communicate with customers;
- It develops how you target your audience because this subject is very niche, meaning that reaching people with interests in cryptocurrency and NFTs is more straightforward than simply marketing the product as it is;
- It ensures a fair diversification of revenue streams through royalties and licensing, but also sales;
Still, NFT marketing is challenged by a series of factors
NFT marketing is still new to companies, so it has to go through numerous difficulties to be implemented thoroughly as well as yield considerable results:
- The competition is hard to face since NTFs have grown in popularity and the fuss of the moment is long gone, so now you have to approach NFT marketing uniquely;
- Blockchains like Ethereum are known for having scalability issues, which will show in the long term since massive transaction volumes will congest the network;
- The unstable regulatory framework might interfere with companies who base their marketing on NFTs and cryptocurrency because they might need to abide by new rules in a short time;
Still, here’s what it’s expected from NFT marketing to become in the future
Although NFT marketing is a newer strategy and needs time for development, crypto enthusiasts and analysts forecast these trends will be the future of NFTs in marketing:
- AR (augmented reality) will be integrated to offer immersive experiences for customers regarding products and services and make CX more personalized;
- Memberships for tokenized access to specific content or events for NFT holders to receive more value for their purchased products or services;
- Integrating NFT experiences within the metaverse will open the door for opportunities in virtual commerce, which will shape the market in the future;
Thorough research is vital
The world of NFTs and blockchain is still developing, so many aspects will change during your journey; whether NFTs will get regulated or banned, you must be prepared for any supposed scenario and adapt your marketing strategy. It might be risky to approach this method. However, consider your company handles technology well and promotes high-tech solutions. In that case, it still might be a good idea to try NFT marketing because it will propel the company toward many favorable circumstances.
NFT marketing is one of the latest trends in blockchain businesses that want to be the first to bring out innovative ways to promote themselves. Although it still requires time to become sure regarding development, it’s an excellent way for enterprises to try new things.