How NFTs are Redefining Value & Ownerships and What It Means for Marketers

What Are NFTs

Non-fungible tokens (NFTs) are a cryptographic assets displayed as digital content. They can be anything digital ranging from drawings, music, to AI. These digital assets represent real-world objects and are brought/ sold online, frequently via cryptocurrency. Specifically, non-fungible refers to a ‘unique asset that cannot be exchanged equally for an asset of any kind’. In comparison ‘fungible’ refers to something that can be exchanged for another entity. NFT owners can possess this asset online and not run the risk of it being plagiarized due to this non-fungible element of ownership.

How Are NFTs Redefining Value and Ownership

These NFTs are irrevocably redefining value within the marketing world. The concept of a metaverse is augmenting in popularity and predates that of NFTs. An example of the rise of the fascination in a metaverse and its correlation to marketing is the partnering up of Balenciaga with Epic Games.   The games that are produced by Epic Games depict virtual reality, such as Fortnite or Roblox. Fortnite has added a feature into their upgraded game; players can buy skins using an in-game currency. This partnership between Fortnite and Balenciaga that allows for this feature exposes the popularity and attraction towards a virtual economy. High-end brands are beginning to acknowledge the rise of a digital economy to excite and intrigue consumers. 

Pertaining to ownership NFT’s allow for online assets to have ‘verifiable scarcity and ownership that cannot be manipulated’. Basically, NFTs ensure validity, as only one individual can own the original. These NFTs are far more significant than purely opportunities to capture audience attention. An NFT is cryptographically authenticated, meaning that the owner of the digital artwork is verified and protected against duplicates or fakes. This has redefined online ownership of artwork, as before NFTs it was not possible to own a non-fungible asset. Original possession was difficult to regulate online due to the highly- saturated nature of the internet.

And What Does the Rise of NFTs Mean for Marketers?

NFTs are altering how brands operate on social media and are consequently reshaping the nature of brand marketing. The rise of NFTs has caught the attention of many marketers, as individuals are beginning to question, could NFT’s be useful for brand marketing in the long run?

The answer is Yes! NFTs can positively influence marketing as they can allow brands to run unique campaigns while concurrently increasing the investment value of the business. Brands can utilize NFT’s and this unique trend to their advantage, as they can ‘monetize ads multiple times over by turning them into NFT’s. There are features of NFT’s that also allow brands to offer personalized gifts, vouchers, and more to the customers. These technologies available through NFTs allow for incredible consumer experiences that inevitably would make your brand unforgettable. This in turn increases brand awareness, as impressed customers will promote your brand through sharing their experiences, and turning potential customers into new customers. Due to the benefits of adding NFT’s into marketing campaigns, marketers must be up to date with this and ensure clients are aware of these benefits.

Secondly, NFT’s are booming in popularity, as mentioned above regarding the virtual economy experience. Statistics from Harris Poll Survey evince that 40% of participants were familiar with NFTs, and 81% were aware of them. In digital marketing, it is imperative that your brand stands out against the crowd by keeping up to date with trends and ‘creating a buzz’ around your brand. However, with practically every business being online, it is deemed difficult to stick out against competitors in an overly saturated digital world, especially if you are falling behind in keeping up with the continuously upgrading technical world. NFTs are the key ingredient in how to set your brand apart from similar businesses. Your brand would appear trendy, technologically advanced, and therefore alluring to consumers. Continue to draw your customers in and potential new clients by adding NFT’s into your marketing strategies.

NFTs create memorable and extraordinary experiences for your customers, leaving long-lasting impressions regarding your brand in the consumer’s mind. It is essential that your brand is staying up to date with the perennially evolving digital world and learns how to utilize NFTS in your marketing strategies. Learn how to become equipped with NFTs by getting in contact with marketing eye today. Don’t fall behind in a constantly evolving digital world. 

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