On July 15th, 2022, the automated trading platform BOTS released its first collection of non-fungible tokens (NFTs), dubbed BOTS ALPHA CLUB. There are almost 3,000 distinct NFTs in the community-focused collection. Those who purchase this NFT collection will reap the benefits of both digital and physical advantages.
BOTS believes NFTs will have a significant impact on how we express our identity. NFTs may be used in a variety of ways to express your individuality. As an example, think about how much time and effort you put into attending and participating in cultural events, clubs, etc. Your support of artists and companies, as well as the services you may access, is social evidence. Your NFT collection will serve as a reminder of all the things you’ve helped make a reality. More than just a digital certificate of ownership, NFTs are much more. Proof of your professional and personal heritage is evident in these documents. Rachid Garty, Vice President of Customer Experience at BOTS, believes “it is vital that we keep our customers up to date on this groundbreaking technology.”
Both digital and physical BOTS advantages will be available to NFT purchasers. Exclusive access to knowledge-sharing groups where the best brains in financial technology, web3, trading, crypto, and investment meetings will be included. A series of online and in-person events for NFT holders will be organized by BOTS in the future. Finally, all NFT holders may look forward to unannounced airdrops in the future.
Creating a digital community with NFTs
Unchangeable digital works like 2D artwork, films, music, and even animations may be included in non-fungible tokens. Using NFTs and blockchain technology, the ownership history of artworks may be verified, making it simpler to track down evidence of provenance. It is impossible to trade NFTs for parity with fungible currencies such as the US dollar since NFTs are non-fungible. As a result of their creation, NFTs have democratized the art market, providing artists the opportunity to earn from the resale of their work – something previously unheard of in the conventional market.
Rather than merely a work of art or a collectible, NFTs may have a long-term worth. NFTs that have long-term value and usefulness will be the most successful, according to savvy brands. We’ll use the 2022 Australian Open Tennis Championships as an example to demonstrate what we mean.
NFTs are used as money for interactions, transactions, and communication in a branded digital realm.
So your target market may interact, trade, buy, and chat with each other under the umbrella of your brand in a community environment that you create for it. There are a variety of duties that may be performed by your audience, such as selling and purchasing products directly from other members of the ecosystem and consuming material that is not available outside of the ecosystem.
You should be in charge of your digital assets and should be able to take advantage of new technologies to drive innovation as well as keep your customers satisfied. When utilized in this manner, NFTs may be an effective tool for any company trying to build customer loyalty, engagement, and a lasting relationship.
NFTs are a great way for Estee Lauder to build a community and attract new customers. Estee Lauder’s Clinique was the first to offer a No-Fee Trial (NFT) as a way to encourage customer loyalty and promote its high-end goods. Customers who join up to a rewards program may obtain free items for 10 years, as well as one of three NFT artwork editions, from the company.
When used as an entry point into a community, NFT technology has enormous potential. If a brand understands, it goes beyond merely producing NFTs to generate hype and a lot of money. They use NFTs to make customers feel like they’re part of the team. For example, Cameo recently introduced the Cameo Pass, which provides NFT owners access to art, events (virtual and real-life), and goods unique to Cameo Pass members. Access is available as long as the NFT is kept in the wallet of the owner.
More things to take into account
Increasingly, companies are recognizing the necessity to join the NFT arena, but also the added value it provides – in this instance, as a means of generating more revenue. We’ll use Dolce & Gabbana as an example to show how NFTs may open up new revenue sources.
According to a recent press release, the high-end fashion firm sold out of its nine-piece digital collection of NFTs and actual couture goods for a stunning US$6 million. In all, Dolce & Gabbana designed five items for the collection. D&G’s Milan atelier offered a chance for a unique fitting using some of the digital elements. Custom NFTs, like this one, have the additional advantage of making them more useful than merely a store of value.
NFTs are a good choice for tools and money in a gamified consumer experience because of their links to virtual settings like the metaverse and video games themselves. For people who retweeted news about the reintroduction of the McRib NFT, McDonald’s experimented using this method. To put it another way, offering NFTs in exchange for participation is enticing, especially because getting NFTs elsewhere is still somewhat costly.
International Friendship Day was marked with the release of four animated NFTs by Coca-Cola in 2012. To provide a multisensory experience, these digital artworks were designed to unlock a surprise gift for the owner of these NFTs. A “Coca-Cola Bubble Jacket Wearable” that can be worn in Decentraland (a virtual reality platform) and a Coca-Cola Friendship Card were the two surprises. Additionally, the winning bidders got a Coca-Cola fridge loaded with drinks.
Another premium company may also verify that NFTs can provide new sources of revenue. The LVMH corporation, which owns Moet and Chandon, Dior, Hennessy, and Louis Vuitton, unveiled its inaugural NFT line. Each of the NFTs, which cost a mere US$226,450, signified ownership of the first and final bottles of Hennessy 8 Cognac, a limited-edition variation from the house.
McDonald’s jumped the NFT campaign in November 2021 to commemorate the comeback of its McRib limited edition. The world’s biggest chain of restaurants has launched a set number of virtual McRib collectibles to build engagement in the short-term return of its limited edition. NFTs were up for grabs for the taking if anybody retweeted the McDonald’s collection. Around 21,000 retweeted it within a few hours, and 93,000 bidders have so far submitted their offers by the beginning of 2022.
NFTs may be utilized to secure a brand at the forefront of the digital environment in a similar way as developing new sources of revenue. It was the year of the NFT last year, and companies want in on the action. These companies have been recognized as being ahead of the curve and current, rather than being perceived as late adopters. Some companies are creating NFT collectibles or limited editions to generate new income streams for their businesses. In other cases, a company’s goal is to strengthen its connection with its customers by promoting brand loyalty or collecting funds for a worthwhile cause. Brands are using NFTs to promote their image, convey stories and even reach new audiences with NFT marketing. Some people are even using NFTs to purchase tickets for live events.
A large number of NFTs are based on fictional characters, monsters, or other cultural icons. NFTs are the access and engagement tools of your community’s ecosystem, making them the virtual avatar of your audience. To make a long story short, they’re an integral part of your customers’ sense of self when they contact your business.
As a creative medium, non-fungible tokens enable the collaboration of two distinct brands to produce something unique that may benefit both companies’ marketing efforts in some way or another. Due to NFTs being non-existent, they have no restrictions. As an example, Barbie and Balmain, a French fashion house, have collaborated to create NFTs for Barbie dolls. The claimer(s) will soon get the product in tangible form as well after they collaborated on three revolutionary NFTs.