Are NFTs right for your business?
Written by Jhasmin Vidal
NFT or non-fungible tokens became mainstream this year. Your favorite NFTs can now serve as your Twitter or Reddit profile photo, with Facebook and Instagram to come soon after. Driven in part by dotcom-era FOMO, mass-market players and luxury labels alike are launching NFT collections at a fast pace.
Sure, the great majority of mainstream consumers are still struggling to make sense of the 2021 NFT world of Bored Apes and CryptoPunks. Also, the usability of blockchain technology is still far from being user-friendly for regular people.
But don’t make the mistake of thinking that NFTs are a passing trend. Despite the fact that the NFT hype cycle is now fueled by crypto-millionaires and Discord-obsessed Gen-Z users, it could be the Web 3 killer app. NFTs can be Web 3’s gateway to traditional commerce and mass adoption.
The fascinating aspect of NFTs is the technology that powers them. This indicates their greater potential as a means for businesses to escape the platform-centered marketing environment of Web 2. Additionally, it can help businesses retake control of their online consumer interactions.
Why are NFTs so popular?
The buzz surrounding NFTs has been increasing since their introduction, but their popularity peaked in 2021. The technology behind it was praised and loved by many people. They love the idea of being in control and actually owning something, whether it’s for exclusivity or for its utilities.
When you keep an NFT in your wallet, it’s as if you’re holding a physical object because you own it completely. NFTs can also represent any mix of real-world assets, including vehicles and homes.
What are the benefits of NFTs for your business?
NFTs can transform businesses. It can help brands interact with both potential and existing customers in a completely new way. NFTs can raise brand awareness and encourage more customer interactions. Here are more reasons why NFTs can be beneficial for a business:
1. NFTs offer a new revenue stream for your business
NFTs can provide new and stable revenue streams for any business. Consider a pizza shop selling 5,000 NFTs. In return, the holders of those NFTs can get a priority lane just for them and 10% off every time they buy a pizza. The pizza shop would have new profits from NFT sales and super-loyal customers.
Why?
Because the 5,000 NFT holders will likely get the most out of their NFTs and buy pizza from that shop forever. Who doesn’t like a good unlimited 10% discount and not having to wait for their pizza, anyway?
Not only that, but the pizza shop can also earn royalties every time someone resells their NFTs. How amazing is that?
2. You can provide exclusive content through NFTs
Are you familiar with VeeFriends?
VeeFriends is an NFT collection by Gary Vaynerchuk, who is one of the most influential entrepreneurs today. VeeFriends members receive free admission to Gary’s events such as VeeCon. It is one of the most popular NFT collections today.
Similarly to VeeFriends, you can create NFT for your business to offer exclusive events or content like courses, among many other things.
3. NFTs can serve as a new way to increase brand awareness
As said earlier, NFTs are a great way to increase brand awareness. It is also a great way to build a connection and reach Gen Z customers. NFT news spreads like wildfire in the NFT community. Word of mouth can go a long way in this world.
4. NFTs offer more marketing value
Most brands didn’t know this, but NFT marketing is a beast. NFTs revolve around communities. Once done right, you’ll have an army of people loyal to your brand. They will do the marketing for you.
They’ll flex the NFTs they own on social media. They’ll post about the events and benefits that you are giving them. Your marketing efforts could go beyond any social media platforms as long as you take good care of your community.
Does launching an NFT Collection represent the best move for your business?
Whether NFTs are the right move or not for your business is something that you can only decide for yourself. Assess the information mentioned above and see how other big brands are doing it. If you still have doubts, there are other avenues you can explore.
There are numerous ways to start your own NFT collection and reap its benefits. It can cost you anything from zero to thousands of dollars, depending on how many risks you’re willing to take. Entering this new world shouldn’t be expensive or complicated.
Explore your options, then decide. You can always contact us and book a free consultation with us. We would lay out your options and guide you each step of the way.
