An often overlooked aspect of NFTs (non-fungible tokens) is their power to create and grow passionate communities. This is an immense benefit, especially for Web3 projects and even traditional businesses, where its members and consumers can be spread all over the world, speak different languages, and come from various cultures.
Global communities united by a common interest, issue, or value, need something to bind them together and create that sense of belonging which is crucial to the sustained success of brands, organizations, and others.
As awareness of blockchain technology continues to expand, NFTs are now starting to emerge as a modern, powerful tool to bridge individuals and forge strong communities.
This blog will discuss the five ways in which NFTs achieve this.
Brands, organizations, and projects trying to build an audience or consumer base face the challenge of reaching their desired target demographic. Especially if the brand or personality is rather unestablished and aiming to go global, this is often a much more complicated barrier to navigate.
There are media and marketing companies that can help to promote, but these are often fragmented across different regions and countries with cultural barriers to also consider. This can make it difficult to reach a target audience.
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For many brands, creators, and projects that are non-digital, establishing lines of direct communication can be limited and instead go through third-party centralized platforms such as social media applications. This can sometimes prevent them from portraying the exact narrative and messaging they would like to present to their customers.
This is where NFTs can serve as a solution for brands and projects by using customers’ digital wallets to identify their audience which can then enable direct content distribution without having to go through a centralized third-party platform.
Once brands and projects have a direct channel to their audience via wallets and NFTs, this can lead to the next step. Here, curated content can be distributed directly to those who have the NFTs in their wallet.
A variety of creative products and brand promotions can be crafted to enhance customer engagement and strengthen brand loyalty.
For example, a brand or project could offer larger rewards to those holding their NFTs for longer periods or allow customers/users to redeem NFTs for other in-demand goods or services.
The opportunity this type of access provides is unparalleled in the industry.
As mentioned above, NFTs can help to establish a direct line of communication with its customers or audience. They can also be used to conduct special promotional activities and fan engagement initiatives.
Once these have been established, using NFTs can also be used to identify passionate members within a brand or project’s community. Passionate and influential NFT holders could stand out in online discussion forums and social media. They can support a brand or project to take a better pulse of their community and work with them to craft additional campaigns to grow their community by meeting the wishes of their members.
NFTs can enable brands and projects to digitally monetize. They can distribute exclusive content, subscription services, licensing, etc. in the form of NFTs. By knowing their audience and having a direct communication line with them, NFTs can be the cornerstone of a whole host of new ways to monetize media and content for a brand to distribute or sell to their customers.
Once customers or users become passionate about a brand or project, they naturally become promotional ambassadors to others thereby fueling community expansion and the potential for greater sales.
Also, these strategies would be launched on top of a decentralized blockchain ledger, meaning the users then can purchase the NFTs without hidden fees and unfavorable exchange rates if using cryptocurrencies for payments.
NMKR is an NFT and Tokenization platform service leveraging the Cardano blockchain. It enables businesses and individuals to easily mint NFTs without having to code by providing simple-to-use tools.
Read more: How businesses and creators can utilize NMKR’s Launchpad
Having already partnered with Tiamonds to issue and sell NFTs of physical diamonds and Book.io to tokenize e-books, NMKR has demonstrated successful use cases for NFTs using its platform.
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You should not construe any such information or other material as legal, tax, investment, financial, or other advice. Nothing contained herein shall constitute a solicitation, recommendation, endorsement, or offer by EMURGO to invest.
