Recently, there has been a lot of hype around NFTs and Crypto is surging in the digital world for now.
However, due to the promising future of these digital technologies, many big brands like Coke, Louis Vuitton, Dolce & Gabbana, Nike, Gucci, etc have entered the market space and others like Walmart, Adidas, Crocs footwear, etc. are planning to bite into what NFT/Crypto has to offer.
But the question that a lot of people have is “Why are brands coming into the NFT/Crypto space?”
Well, it is not rocket science why brands will want to come into the digital spaces. Every day people are spending more time in the virtual world and research shows that the number of people spending time in the virtual world will increase.
This has further reinforced the notion that there is no better market strategy than for brands to come into the space where most of their target customers are spending their time.
The covid-19 and omicron virus has also been added to the list of reason why people are going virtual.
This has led the world to improvise. Several celebrities have even had their concert in the metaverse like Ariana Grande, The Weekend, Travis Scott, etc.
The NFT/Crypto marketing strategy offers brands benefits like;
An avenue to increase their commercial and customer engagements
A lot of brands have devised innovative means, using NFT/Crypto to market new products, boost their image, and brand loyalties by creating NFT collectibles and limited editions to attract people to their brands and keep them engaged.
This development started in 2021 and is gaining a lot of attention in 2022 with more brands using it to increase their brand awareness and customer engagement
These tokens can be used as rewards to incentivize customers through gifts that are valuable in real life and access to exclusive events hosted by the brand.
Recently, Louis Vuitton celebrated their 222nd anniversary with the launching of an NFT game set in the metaverse and their loyal customers where given access to this metaverse.
An Avenue to boost their earnings
Brands bringing their products to the virtual world helps to boost their income. They can sell not just physical goods but digital goods as well.
In addition, creating their digital currency will help reduce transaction costs for their customers and increase their income since there are no third parties to pay.
Easy management of digital goods
With the Blockchain and smart contract technology brands can manage, collect and store digital collectibles without the fear of losing money to people downloading them for free.
An example of a brand that shows that digital products can sell is the RTFKT sneaker. The digital sneaker was sold on Snapchat with over 600 sales in 7 minutes, making them a sum of 3.1 m USD.
The NFT/Crypto blockchain technology has proven useful to brands and there are still more benefits yet to be experienced. imagine fashion week in metaverse…cool right!? Exactly. Digital is the future and brands that can utilize this development now will be at a huge advantage in the future.