Recently, I have read a lot of long articles about how Web3 helps brand marketing, and I have gained a lot.But when I shared it with my friends who are still working as brands on the front line, the feedback I received was: if you still don’t understand it, just tell me what to do, how to do it, and are there any successful cases that you can refer to? Is the effect good?
This reminds me that for many Web2 marketers, the learning threshold of Web3 is indeed a bit high, and there are many concepts. There are so many things native to Web3 that it seems to have become a kind of metaphysics. Even more people dare not touch it, and I don’t know how to touch it. I heard a lot of content, but when it came to the client’s proposal, it finally became: send an NFT, and be an avatar.
Therefore, for traditional marketers, there may still be a need for a kind of guidance on marketing Web2.5: not to say too deep, not to say too big, just say it at a glance, so that Web2 people don’t think it’s too powerful, but also feel a little bit. Deja Vu – oh, isn’t this the same set we played back then? Just changed the shell, called Web3!
With this feeling, the purpose has been achieved – Web2 Web3 is not important, it is important to sell goods in another place, and it is important to be able to sell goods!
Therefore, in this article, I want to use a very practical way to make a simple guide for everyone.
I hope that after reading this, when reporting to the boss, the boss can understand it; when reporting to the customer, let the customer pay the bill; if you are your own boss, you will also have the motivation to deploy Web3.
Today, I will start the first part and talk to you about how brands use NFT marketing.
Why do traditional brands need to do NFT marketing?
[New User] Among the NFT audience, there are new users that brands need to capture
Among the NFT audiences, there are audiences that brands could not reach before—encryption enthusiasts and more and more Gen Z people who are accustomed to participating in the Web3 world; brands can reach more people who were not audiences before through NFT marketing.
[New ideas] The current dull and uninspired marketing needs new ideas
The existing digital marketing market has entered a dull and uninspired stage, and the market situation is not optimistic in the general environment, and more fresh ideas and contents are needed to stimulate consumers.
[New image] Good NFT marketing can have the effect of brand renewal
The renewal of traditional brands has been deeply explored in the Internet age. The sense of fashion and the culture represented by NFT itself can help brands quickly gain the goodwill of the Z generation crowd.
[New Community] In the coming Web3 era, brands need to build a more existential community
The co-creative nature of the Web3 community has shown its power. In the Web3 era already on the way, it is more necessary for brands to break the boundaries between communities and brands, to have better communication mechanisms, and to have a community atmosphere that can promote communication.
[New Era] The era has moved forward irreversibly, and brands need to try and accumulate experience earlier
Nowadays, many big brands have established Web3 departments or formulated Web3 strategies. On the road of brand + Web3, it may not be a question of “doing it or not”, but a question of “doing it sooner or later”.
[New Growth] NFT marketing can become a new growth point for brands
Brands have the opportunity to generate new revenue with NFTs.
How do traditional brands play with NFT marketing?
1) Cooperate with blue-chip/strong label/strongly stylized NFTs to form strong alliances
Cooperate with blue-chip NFTs and borrow the powerful influence of NFTs themselves, which can influence both the radiant Web3er and the general audience at the same time.
With the help of the joint marketing of the boring ape #4102, China Li Ning sold clothes with the image of the NFT, and held a pop-up event in Sanlitun; and made many second creations for the image of the boring ape, so that the boring ape #4102 wore the same collar as the Olympic champion. Award suit, holding a classic shoe box, made into a large statue.
Cooperating with NFTs with strong tags can help brands play a greater role in brand marketing for some special needs.
For example, an NFT such as World of Women has formed a very distinctive feature. This set of NFTs is widely recognized for its feminism, calling for tolerance and diversity, and has assembled into a very good community culture. When a brand needs to radiate influence to female users, it is a very good choice to cooperate with NFT organizations like World of Women.
Brands can also express their culture and values by partnering with strongly stylized NFTs.
Web3 itself has a subversive attribute. Since the popularity of NFTs, we have seen many NFTs with different aesthetics from the past. Many people have asked “why are such ugly NFTs popular?” Next time, maybe you can Explain to others – because in this new world, people have a desire to subvert the past aesthetics and subvert the current values.
For example, the mfer stickman, this little man who seems to draw casually, is very unrefined and casual from the current aesthetic point of view; the stickman is paralyzed on the seat, looking very sad-but it is this kind of unrefined Aesthetics represents a resistance to the exquisite aesthetics of the past; it is this feeling of mourning that caters to the tiredness of the times.
Therefore, brands can also consider how to use the lower-level cultural spirit represented by NFTs to design the marketing of NFTs. Cooperation with NFTs similar to mfer can represent an attitude in itself.
2) Let NFTs link with physical products
Why do it?
In fact, many physical products have been difficult to stimulate users’ desire to share. Through the combination of NFT and physical products, it can help brands to use NFTs that cooperate with product sales to inspire users to share on social media when promoting new products. The current trend and cool attributes of NFT give consumers an opportunity to make a second display online.
A very simple example, if it seems a bit deliberate to buy a new GUCCI bag and send it to the circle of friends, it will become more natural and simple to post the NFT gift from the purchase of GUCCI entity.
So how do you link with physical products?
a. Physical products are packaged with NFTs
b. Production of NFT-based independent entity product lines
c. Create NFT versions of physical products
d. Use NFT as a physical product exchange coupon
a. Physical products are packaged with NFTs
This should not need to explain much, let’s go directly to the case.
Gap has teamed up with artist Brandon Sines to launch an NFT bundled hoodie in mid-January 2022. The physical limit is 100 sets, and it is divided into four levels: common, rare, epic and unique. It also became the most limited edition garment ever released in GAP’s history.
b. Production of NFT-based independent entity product lines
—— Develop joint products with NFT holders
This is a relatively routine operation. For details, please refer to the cooperation between Li Ning and Boring Ape mentioned above.
—— NFT holders build derivative brands
Because holding NFTs means you have the commercial development rights corresponding to NFTs, and based on this commercial development rights, you can develop corresponding products. The well-known NFT itself has a strong potential for viral transmission, which directly has a brand effect and reduces the cost of customer acquisition.
Although the public’s first impression of BAYC (The Boring Ape) is that stars change their avatars, in fact, it has brought an innovation that affects the entire NFT ecosystem – IP business authorization. Based on this, a large number of BAYC holders have developed nearly 80 derivative brands based on BAYC IP, including fashion brands, music, trendy games, food, beverages, skateboarding, basketball, clubs, podcasts, games, etc.
The article “Yuga Labs’ IP Empire: Nearly 80 Brands, Creators, Projects and Artists” by Forj CEO Harry Liu gives a very comprehensive introduction to these 80 IPs.
(Refer to “Three Questions to Build the Soul of a Web3 Brand: Why, What, How?” by Star’s Decentralized Brief)
Some specific cases are also shared below.
Restaurateur Andy Nguyen paid nearly $387,000 for a Boring Ape and two mutant apes to decorate the store’s hamburger boxes, fryer racks and drink cups, opening the world’s first Boring Ape-themed restaurant Bored & Hungry. It was originally planned to be a pop-up store for a few months, but because of the popularity of the business, it has become a long-term store.
The employees of Kley, a studio in Los Angeles, love coffee, and just happened to have an employee who holds the NFT of Boring Ape, so they created the “Breakfast Breakfast Club”, which leveraged the “Boring Ape” IP to develop a coffee subscription service to fans. This project also has a very interesting gameplay. They released 5,000 copies of the breakfast scene NFT of the boring ape character, and consumers who purchased NFT automatically obtained a coffee subscription membership. Ordinary consumers can place an order on the official website to buy coffee beans and peripheral products, but only NFT holders can receive regular delivery of coffee beans (subscription service) and purchase special customized coffee products.
c. Create NFT versions of physical products
Create NFT separately based on physical products for sale
Case reference: Gucci, the first fashion brand to release its own NFT, launched a fashion film NFT inspired by the Aria series on the occasion of its centenary. The starting price was $2,000, and the final transaction price reached $25,000, which is the starting price. more than 10 times.
Create NFT sales based on physical products
Share an idea here:
Many traditional brands have actually done a lot of product iterations. For example, Coca-Cola has produced many versions of bottle designs. And these past designs carry not only the value of the brand, but also the user’s emotions about time and regional life.
Brands can design and create these past physical products as NFTs for sale, allowing users to use NFTs to retain products that once disappeared in time.
d. Use NFT as a physical exchange coupon
In traditional marketing, “Mid-Autumn Mooncake Vouchers” and “Yangcheng Lake Hairy Crab Exchange Vouchers” are sold every year. Brands can also refer to similar methods and use NFTs as future physical exchange vouchers.
Patrón is Bacardi’s premium tequila brand. In January 2022, Patrón launched its first NFT. Each NFT corresponds to a rare and exclusive Chairman’s Reserve physical drink – there are only 150 bottles in total, and the NFT owner has the right to redeem the corresponding physical tequila at any time. Each corresponding NFT sells for 1.5 ETH (equivalent to about $4,500). The physical tequila is stored in an undisclosed location in Singapore and is subject to 24/7 security, outside movement detection and temperature control.
This way of selling NFTs can actually be applied to all items with high exchange value: wine, tea, gold jewelry, etc. For domestic traditional old brands, Maotai, Chow Tai Fook, etc. may refer to this method to do a wave of marketing to renew the brand.
To sum up, when NFT becomes a carrier and brands can grant various entity rights and interests through NFT, in fact, everyone can completely abandon NFT and open their imagination. Whether it’s restaurants issuing NFTs to give the rights to reserved places, or music festivals issuing NFTs to give VIP stands the rights, or holding NFTs to join high-level members and face-to-face with the founders… With NFTs, the rest is up to the brand people Play by yourself.
3) NFT as a member pass card
Brands can use NFT as an entry point for membership incentives – with NFT, they can enjoy unique entity rights.
Give NFTs more membership rights – you may ask, isn’t this just a different way of saying the points system?But when the traditional membership system has become a relatively boring exchange of points for money, and it seems that there are not so many benefits, everyone has become more and more concerned about the so-called brand membership-NFT pass card may re-attract everyone’s attention to members an opportunity for equity.
The actions of Starbucks are basically similar.
In the past two days, Starbucks announced their Starbucks Odyssey program. Starbucks will assign each NFT a rare point value that can be traded on Starbucks’ own marketplace, with benefits/experiences including: virtual espresso martini making classes; Starbucks Reserve Roasteries events; Starbucks coffee farm tours in Costa Rica, and more.
At the same time, in order to reduce the learning cost of on-chain operations for the general audience, Starbucks allows users to trade NFTs directly on its market using fiat currencies.
We also observed that compared with the original way of members redeeming points for discounts, the rights and interests of brand NFTs look more unique, rich and high-end – we can refer to the case of Prada for similar operations:
Prada has launched a new Timecapsule NFT collection, which will provide Timecapsule holders in the “Prada Crypted” Discord community with unique events and experiences, such as attending the Prada show in Milan and receiving exclusive invitations to the brand’s fashion show in September.
In addition, the brand can also set different levels of NFT rights in terms of specific gameplay, which is not fundamentally different from the platinum and silver cards in the past.
So can the original membership-based brands be converted into NFTs like Starbucks?
We feel it is necessary.
For this, we can refer to Star’s Decentralized Brief’s point of view in the article↓
Converting membership card to NFT has the following benefits, including 3 user side and 1 brand side benefits:
- User Perspective 1: Enhanced Equity
As a web3 brand, users are investors, and the membership club must protect high-quality rights and interests, consistent with the interests of users; the active participation of users also enhances the brand value and forms a win-win situation.
- User Perspective 2: Enhancing the Transaction Liquidity and Value of Membership Cards
Traditional membership cards are difficult to trade second-hand. After becoming NFT, it brings a natural trading market and liquidity, thereby enhancing the asset value of the membership card itself.
- User Perspective 3: Gaining a Personalized Identity
Embody a unique digital identity to express your personality and serve as a passport to the Metaverse.Membership cards are not necessarily static. Well-designed traits can grow with users and have special effects to increase user stickiness.
- Brand perspective: expanding the depth and breadth of users
Based on the data and behavior on the chain, on the one hand, it is possible to have a more comprehensive understanding of existing users (user A holds 5 NFTs), and on the other hand, it is easier to reach incremental users (users from a certain community are particularly suitable for this brand).
In the way of NFT as a member pass card, there is actually a lot of room for imagination, including using poap to record consumers’ activity participation, and using PFP avatars to allow consumers to do personalized display, show identity, and so on.
At the moment, maybe what we need to explore is how to make the membership system have a smooth experience after it is on the chain, and at the same time, within the scope allowed by the policy, let NFT play more tricks as a membership card.
4) NFT+ games create more gameplay for brands
NFT+ games are also a good idea. Whether it is for brands to make games, formulate game rules, or create brand areas in existing virtual game communities, it is a way to expand more gameplay.
Gucci has partnered with gaming platform Roblox to create a permanent virtual world “Gucci Town” on Roblox. Despite being open for only two weeks, the Gucci Garden has more than 20 million visits.
The Gucci store in the town sells clothing including tops, skirts, sweatshirts, jackets, etc. After gamers buy and wear them, they can achieve the same wearing effect as reality. In addition to buying clothes, the experience of the game itself is rich enough: visitors can earn double G gems through competitions, create works of art, and learn about the brand’s historical heritage and craftsmanship. When participating in events within the Gucci Township, visitors can also purchase props and Gucci clothing using the township currency.
5) NFT Secondary Empowerment – Cultivating Brand Loyalty
For this, we can refer to the gameplay of the original NFT ecology:
BAYC Ape airdrops Ape tokens for NFT holders, and Azuki airdrops 2 Something NFTs to holders. Both of these airdrops have brought great benefits to NFT holders, while also giving NFT itself a very high reputation.
In fact, brands can also refer to this secondary empowerment method. After NFT sales, consumers with branded NFTs can obtain the benefits of the second stage that were not promised before.
Use secondary empowerment to create more benefits for consumers with NFTs and cultivate brand loyalty; at the same time, this method is also used to create topics for brands.
6) Use NFT for brand community building
The social media of the Internet has created a two-way communication channel for brands and consumers, and the NFT community-style brand community may become the next wave of new communication channels.
Brands can build online brand communities through NFTs.
a. for communication
The NFT community actually has better and more natural communication attributes. Brands can build new communication channels through NFT, and build their own new camp and new community through NFT.
This point, if you have played NFT’s Discord community/or domestic consensus NFT projects, you may be more aware. These communities, built on their own consensus and love, are more active, and the flow of running water and spontaneous communication within the community will be more abundant. Compared with the traditional WeChat public account/Weibo/Xiaohongshu/traditional advertisements, these communities have a higher degree of participation. It is no longer “I talk”, but “Everyone talk”. By analogy with foreign platforms, compared with traditional corporate communication social media platforms (such as Facebook/YouTube), Discord, Reddit or Telegram greatly improve the interactivity of communication.
This NFT-style community opens up a playability for brands. For example, the AMA activities/meme expression creation often held by the NFT community, etc.
The NFT community can be an amplifier of brand marketing.
“Time” magazine is a very typical example, they established an independent Web3 department, with a very Web3 “community + values + culture first” way to operate the community.
Time’s operation has already paid off, and their Discord is very active, hosting daily games, challenges and even private rooms for NFT holders on Discord to showcase the brand to Gen Z readers.
b. Create a brand story
Brands can make use of the NFT community to allow community members to start a second creation around the brand image or brand story.
Based on NFT to develop a story/construct a world view for NFT avatars or characters – this is a very common practice in the traditional NFT community.
Brands can go from writing their own stories in the past to allowing consumers to build stories in the community.
For example: build a framework in the community, and the brand officials will announce different chapters and activities with different themes: each chapter has different gameplay, or a story essay written by consumers, or a treasure hunt, or a cosplay of the brand image ; Let consumers get some physical or virtual rewards while doing tap water content.
Similar activities may be in traditional brand marketing, we have also seen similar actions. However, the community culture of the NFT community itself may allow consumers to participate naturally or be motivated to join. Second, although the number of active users in the NFT community is still smaller than that of more traditional social media platforms, they have shown a higher participation rate in the community, and this high level of participation also opens up new possibilities for brand co-building.
c. Greater imagination – brand DAO
DAO may still have some barriers for those unfamiliar with Web3, but DAO has become a very popular concept at the end of last year.
(Market map of the DAO landscape in 2021)
DAO is a decentralized autonomous organization, a new collaborative organization method. We can simply understand it as an upgraded form of the community, but compared with a community, DAO has a clearer cultural identity and spiritual core, and more technical means and governance methods allow people in the community to work together and create value.
This new concept may also be an opportunity for brands. If brands can finally run their communities as a DAO, brands may gain more self-sufficient followers, and these brand followers will build brands together with the brand, forming a win-win situation.
It’s time to act on NFT marketing
At the moment, we see that many brands have tried some NFT marketing methods. But I have to say that after studying many cases at home and abroad, we can see that most brands are still thinking about how to use the popularity of NFT to hype a wave, treating NFT as a marketing event, and there is no logical and logical understanding of Web3. Culture to do in-depth understanding.
However, we believe that it is time for brands to make long-term planning and in-depth research on NFT and Web3. NFT marketing must not be a one-shot deal. The new world of Web3 requires brand owners to look at it with a longer-term perspective.
Like the article “The 4D Long Article: How Web3 and Brands Can Drive the Next Bull Market?” ” as it says:
“Today’s Web3+ brand is like the e-commerce attack on traditional entities back then. This does not mean that traditional brands disappear, but will become a new brand industry model. Today’s e-commerce has seized many traditional retail sales more than ten years ago. Market share. How much market share of traditional brands will Web3+ brands seize or even surpass. Thanks to the network infrastructure built by the developed Internet, the cycle of this brand revolution of Web3+ brands will not be as long as 10 years, maybe just as short as The market structure has been shaped in a few years.”
Therefore, there are two suggestions for the layout of the brand in NFT/Web3:
- long-term strategy
Brands need to gradually deepen their understanding of Web3 culture, and then formulate long-term Web3 long-term strategies on the basis of in-depth understanding.
- long-term education
Brand decision makers need to do long-term Web3 education from top to bottom within the team, so that decision makers understand the importance of Web3 strategy, and let each brand person involved in strategy, creativity, design and other aspects gradually recognize Web3. Know, understand, and be able to play with Web3.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/how-do-traditional-brands-in-the-web3-era-play-with-nft-marketing/
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