When was the last time that you tried anything new as a business?
We don’t mean starting your TikTok platform or signing up for that tradeshow you’ve been eyeing since 2019.
When we say ‘new’, we mean diving into the pool of web3, cryptocurrency, and NFTs (non-fungible tokens). You may automatically assume that it will be time-consuming to look into and expensive to execute, and we totally get it. Most new business endeavors like this are time-consuming, but they don’t necessarily have to be expensive.
We’re going to dive into using NFT art for business, and answer your question of whether or not it’s worth investing in.
But first, let’s look at some great examples of what can be done with a clever NFT strategy for businesses.
Brands that are doing it right
Pizza Hut Canada
Last year, Pizza Hut Canada released the 1Byte Favorites campaign. This was a series of pixelated pizza slices that only cost $0.18, similar to an actual bite of pizza. They launched it to promote four of their recipes that are popular in Canada.
This very limited release launch was a series of 1-byte pizzas that are highly pixelated but also highly collectible. It was launched on Rarible.
Charmin’s cleverly dubbed “NFTP” launch is a great example of brands using NFTs to raise money for charity. Their non-fungible toilet paper is the first by a toilet paper brand. They launched their colorful, garden-themed toilet paper roll on Rarible and bids reached as high as 0.15 Ethereum, or the equivalent of $268.
All of the proceeds from this NFT launch are going to Direct Relief, a humanitarian aid organization.
MGA Entertainment is known for many things like games, TV shows, movies, and toys. One of their most iconic toys to date has been the Bratz Dollz, launched in the early 2000s. In 2020, they launched a series of ‘NFT Dolls’ in the form of collectible cards and tiers, one of which could be redeemed for a real (as in physical) doll.
What makes their NFT launch interesting is that it is a great example of a brand stepping out of the box before its competitors did.
Nike’s CryptoKicks launched in 2020, before most brands realized what a lucrative opportunity NFTs could be. The idea behind CryptoKicks is very similar to CryptoKitties where users could ‘breed’ shoes to make an entirely new shoe.
Since its launch, CryptoKicks have gained an almost cult following amongst both sneakerheads and NFT art collectors alike. Recently, a CryptoKick NFT sold for $130,000 USD. Sneakers are known for their collectibility, but when produced as an NFT, this opens a whole new market for Nike.
Formula 1, or F1, is the highest international racing class for single-seater formula racing cars. Back in 2019, they launched Delta Time, a blockchain-based game where users can build a collection of NFTs ranging from car parts and drivers.
Race time has been auctioned for as high as $200,000 USD and a single car for over $100,000.
Identify your goals
Looking at the list, you can probably see that all of the brands featured dropped their NFTs for a specific reason. Whether it was to announce a new product, to engage their users, revitalize an old product, or further their philanthropic efforts.
Before deciding what your NFT drop will be or planning your marketing strategy, you need to identify your brand’s goals. If you just want to drop a collection because it’s the cool thing to do right now, you won’t get very far.
Well-known NFT artists can do that. Brands, on the other hand, need a purpose to make the biggest impact and generate engagement.
Who are you targeting? Why do you want to use NFTs to target them? What are your competitors doing, if anything? How can you make yourself stand out?
Are NFTs worth it?
If there’s one thing that can be garnered from the brands making waves in the NFT space, it’s that anything is possible. You don’t have to be confined to your brand’s style guide for your NFT drop; let the creative juices flow, explore the most out-of-the-box ideas, but most importantly, create with a purpose.
So, are they worth the hype? We definitely think so. NFTs allow brands to explore another creative facet of their business by embracing a whole new world.
Want to get started on your NFT journey? Contact us to learn more about what the best creative minds can do for you and your business.