The Evolution of NFT Marketing
Non-fungible tokens (NFTs) have exploded in popularity over the last couple of years. From art and collectibles to virtual real estate and metaverse assets, NFTs are capturing attention and value. As the NFT market grows, so does the need for effective marketing strategies tailored to this unique digital asset class.
Just as cryptocurrency marketing evolved from typical fintech and blockchain marketing, NFT marketing is emerging with its own set of best practices. While some traditional digital marketing tactics apply, marketers need a deeper understanding of blockchain technology and NFT communities to connect with this niche audience.
Building an audience that values ownership, providence and digital scarcity requires nuanced messaging. NFT artists and creators have rallied passionate communities around their projects by communicating their vision, showing behind-the-scenes artwork and providing utilities that give their NFTs real-world value. These creators pour themselves into Discord channels and social spaces to foster personal connections and loyalty.
For brands and marketers entering the NFT space, authentic community building is a must. Companies will flounder without understanding the culture and conveying a genuine respect for the technology and what makes NFTs special. Once brands establish themselves as trusted members of the community, they can experiment with launching their own NFT drops and partnerships with artists and influencers.
The most successful NFT launches combine great art with an existing audience and community. Earlier this year, Adidas collaborated with the Bored Ape Yacht Club creators to release an NFT collection called Into the Metaverse. Leveraging the BAYC’s existing fanbase and Adidas’ brand power, they generated over $23 million in sales.
Establishing an NFT marketing strategy is key for connecting with this audience and conveying value. Here are some tips:
- Foster community organically in Discord channels and social spaces
- Collaborate with NFT artists and creators
- Provide exclusive benefits with branded NFT utilities
- Don’t overhype drops – focus more on community than short-term hype
- Make roadmaps with feedback channels to show long-term vision
- Partner with marketplaces like OpenSea for wider distribution
- As Matt Hall, co-founder of Larva Labs which created CryptoPunks, explained: “In a lot of ways the art is secondary. It’s more about forming connections, creating a community.”
The Future of NFT Marketing
NFT marketing is still experimental and brands are figuring out best practices. But as the market matures, we’ll likely see more sophisticated uses of data to inform business decisions. Predictive analytics can guide brands on optimal pricing, collection sizes, referral programs and help segment audiences.
We may also see the rise of fractionalized NFTs to improve accessibility and liquidity for high-priced assets. And as virtual worlds like Decentraland and metaverse platforms expand, brands can create immersive experiences and connected NFT utilities.
The NFT space rewards early adopters and bold experimentation while penalizing shallow opportunists. There’s still plenty of room for innovation when it comes to marketing strategies and utility. As both artists and marketers lean into community-building, we’re sure to see rapid evolution with NFT marketing best practices in the coming months and years.
The potential remains sky-high. As Christina Wootton, Vice President of Brand Partnerships at Yuga Labs said on the future of NFT marketing: “We are storytellers and world builders. With NFTs the opportunities are endless.”
Afterward, you can always Exchange crypto to cash out any gains if you no longer want to hold the NFTs in your portfolio or collection. Selling NFTs usually involves linking a crypto wallet to an NFT marketplace like OpenSea, setting a price and allowing buyers to purchase them with ETH or other cryptocurrencies. As the market grows in sophistication, more avenues to sell NFTs for USD will likely emerge as well.
