Non-fungible tokens have caused confusion in the market for blockchain and cryptocurrency-related technologies. Last year’s transactions using the NFT amounted to millions of dollars, and today there is still a debate about the real value of the new instrument. It is now worth showing the marketing and communication potential of this phenomenon.
Non-fungible tokens (NFTs) are a unique digital data unit based on blockchain technology. It can represent a wide range of both tangible and intangible items, such as sports trading cards, virtual real estate, or virtual works of art. They are digital certificates and constitute the authentication of a digital asset, which can be graphics, images, video, or a simple tweet.
Today, NFTs generally take the form of collectors’ items put up at auctions. Their owners benefit financially from the fact that over time—similar to, for example, artistic objects—they gain value due to the recognition of a specific group. In the future, non-exchangeable tokens may become one of the key trading tools in the virtual metaverse space.
How to Use NFTs in Marketing and Communication?
The interest that accompanies the NFT raises the question of whether we can translate it into marketing activities for a given brand or company. The benefits of non-exchangeable tokens have already been noticed by numerous global concerns, including Microsoft, Nike, Pizza Hut, and Samsung.
So what is the marketing potential of NFTs at the moment?
- Non-exchangeable tokens will prove themselves in building loyalty programs. They will be useful among others in the process of creating communities that, along with the decision to use this technology, will gain access to unique products, services, and values. In such an approach, tokens become a pass, a ticket, a special card, and guarantee their holders’ participation in events unavailable to others. By providing specific benefits, they emphasize the unique status of the person who has them.
- NFTs will be used by brands that care about an innovative image and whose mission is based on the use of the latest technologies. NFTs can be treated as a technology of the future, reserved for companies whose ambition is to create new technological trends.
- The NFT can be used as a way to sell collectibles. For example, Ray-Ban created an NFT for its sunglasses.
How to Write about NFTs?
As an NFT buyer or creator, you can use this skill to build your own brand and role as an expert. What elements will be necessary for the story to be credible and to effectively promote the project?
- Tell about your experience
If you have created your own NFTs or have successfully purchased and sold them, you can describe the tools and platforms you have used in this process. All the stages you have gone through and the platforms you have tested will be of interest. Even a quick guide to creating or buying an NFT can help get the recipient familiar with the topic. This way you increase the chances of strengthening your brand and your texts have educational value. So you show the trend by becoming its co-creator.
- Describe the benefits of NFTs
Critics say the NFT can only serve a lightning-fast profit multiplier. Moreover, creating a collector’s item to turn it into an NFT, put it up for auction, and wait for an amateur to buy it is business-wise. All the more, it is worth showing the various applications and possibilities of this technology. For fans—evangelists of this solution—the tokens are an opportunity for a revolution in the world of intellectual property. It can lead to the elimination of middlemen, such as agents and music labels, and create a guarantee that all profit goes to the creator. In the future, based on the NFT blockchain, they may become a useful tool for concluding the most complex contracts in which the issue of ownership plays an important role.
- Describe contexts
When writing about NFTs, it is worth referring to a wider context. You should show the importance of the trend for business and refer to the discussion surrounding it. It is good to show NFTs against the background of current technological changes as a consequence of them. The broader the background, the more understandable your message will be, and the more credible the benefits presented.
- Write about famous people
The NFT is an abstraction for many people, something completely new. So if you want to add credibility to your stories, it is worth referring to examples of people who have benefited from the NFT and have a strong opinion about this technology. It will be in line with the current trend because influencer marketing is often used in the promotion of NFTs. In 2021, thanks to the interest of many celebrities, the NFT became a symbol of prestige.
The example of Jack Dorsey, Twitter co-founder, who put his first tweet up for sale, is cited in nearly every piece of writing about the NFT. The short entry “just setting up my twttr” was a test by Twitter to function. Jack Dorsey sold the non-fungible token of his first tweet for $ 2.9 million.
- Show lights and shadows
The NFT is a new phenomenon that can be said to be undergoing a testing phase. In addition to hard facts, there is a lot of speculation and hard-to-verify opinions. On the one hand, we are bombarded with stories of how the NFT was a way to make a fortune; on the other hand, it is easy to find stories of human naivety and fraud. According to experts from large consulting companies, we are dealing with a speculative bubble, and the NFT market is exposed to sharp fluctuations. Therefore, in the message on NFTs, it is worth honestly referring to the weakness of this technology and the potential dangers associated with it.
Communicating topics related to new technologies is not an easy task. All threads should be presented as simply as possible in order to reach the largest possible audience. At the same time, one cannot forget about the curiosities and interesting examples illustrating the message. If you have technological topics that the world should learn about, please contact us. We will choose the optimal communication strategy that meets the needs of the market.