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NFTs are very versatile in the business world, they can be used to represent a whole host of physical and digital assets such as virtual real estate, intellectual property, access to events, and much more. Brands can use NFTs to raise capital, offer consumers unique experiences and utility, reach a wider audience online, allow customers to own a piece of your brand’s history, provide consumers a way to earn a profit through secondary sales, earn royalties, and instill trust and transparency with other brands and consumers. How Can Brands Use NFTs? A person on their mobile device displays several elements of a brand Thanks to the wide global interest NFTs have generated, they have also created new ways for brands to promote their products, give consumers a more personal experience, and better interact with their customers. In simple words, NFTs can help your brand increase conversions and dramatically drive revenue. Regardless of which industry your brand stems from, you’re always looking for the best way to incorporate different technologies and tactics to provide the most value to your consumers and increase revenue while building a sustainable business. NFTs are a perfect example of a technology that can give your brand new opportunities to provide value, reach a broader audience, and build a sustainable business. Below are seven ways that brands can use NFTs to help build their brand even further. 1. Raise capital Both startups and established brands can use NFTs to raise capital to help build their brand. Whether you need funds to get your new brand off the ground, or perhaps you're a respectable brand and you simply want to raise funds for a new business venture, NFTs give you that ability. Brands such as Budweiser have created their own NFT project, offering loyal customers the ability to collect a piece of history through purchasing their NFTs. Generally, it’s best to provide some kind of utility or additional perks to go along with the NFTs you’re offering your customers. 2. Offer consumers unique experiences and utility NFTs, give brands some serious leverage when it comes to providing their consumers with unique experiences and utility. NFTs can be used to prove ownership of not only the digital asset itself but also any utility your brand decides to attach to the NFT. Some examples of utility include: Physical products VIP access to both virtual and physical events Classes and lessons One-on-one interactions with the brand Airdrops of future NFTs Discounts on future sales and experiences It’s up to the brand to decide what they want to offer their consumers, however, NFTs are the platform that gives brands the ability to provide a unique experience through digital ownership and smart contract technology. Also, it’s important to note that brands aren’t limited to only a single utility. As a brand, you have the ability to offer your consumers any combination of perks you desire. As well, it’s common to offer different levels of NFTs utility, similar to different membership levels. Generally, the less utility an NFT has, the less expensive it will be, and vice versa if your NFT offers several utilities. This variation of levels gives brands the opportunity to offer their consumers numerous pricing options and experiences when creating NFTs. 3. Reach a wider audience Considering NFTs are in their own category, brands can use this to their advantage by offering their goods and services in the NFT and web3 space. For example, let’s say you’re a streetwear brand and your usual customers are locals with who you have built a strong reputation in your community. Well now with NFTs, you can offer your streetwear products to the entire world in a 24/7 marketplace on the blockchain. Not only will people who enjoy streetwear apparel want to buy your products, but so will others who enjoy collecting NFTs for the sole joy of collecting. Imagine if an influencer collected your streetwear NFT, you’re brand is then held in that influencer’s wallet which is showcased publicly for the entire world to see. This might give your brand the extra edge it needs to become a staple in the fashion industry. 4. Allow customers to own a piece of your brand’s journey Considering NFTs are in their own category, brands can use this to their advantage by offering their goods and services in the NFT and web3 space. For example, let’s say you’re a streetwear brand and your usual customers are locals with who you have built a strong reputation in your community. Well now with NFTs, you can offer your streetwear products to the entire world in a 24/7 marketplace on the blockchain. Not only will people who enjoy streetwear apparel want to buy your products, but so will others who enjoy collecting NFTs for the sole joy of collecting. Imagine if an influencer collected your streetwear NFT, you’re brand is then held in that influencer’s wallet which is showcased publicly for the entire world to see. This might give your brand the extra edge it needs to become a staple in the fashion industry. 5. Provide consumers a way to earn a profit through secondary sales Just about every industry is involved with secondary sales in some way, shape, or form. Whether you’re a car salesman, an eBay flipper, or you run your own local shop selling goods, it’s likely that you are either the person selling on the secondary market or you’re the manufacturer selling to these secondary markets. NFTs are simply another opportunity to allow your consumers to make a living selling your products on secondary marketplaces. This is especially true in the NFT space considering a majority of NFT collectors tend to flip their digital assets for profits. Ultimately, if you provide a good product and build a strong brand, your consumers are able to make a living as well by re-selling your products. It’s a win-win cycle. Furthermore, as the creator of an NFT, you have the ability to earn royalties on every secondary sale. 6. Earn royalties in perpetuity Thanks to NFTs and their smart contract capabilities, NFT creators can create a contract that is carried out automatically to provide a specified percentage of every secondary sale in perpetuity. This means that you can create an NFT today with a 10 percent royalty, and continue to earn money on that product for decades to come as long as it’s being traded on the secondary markets. 7. Instill trust and transparency A huge benefit of NFTs and the blockchain technology they’re built on is trust and transparency. Since the blockchain is a digital and public ledger with records of every single transaction that has occurred on the blockchain, you can transact with other businesses and your consumers in a completely trustworthy and transparent manner. You know exactly who, what, where, and when anything happens on the blockchain before it happens, and after the transaction as well. Plus, smart contract technology allows all the rules and terms of your offerings to be included in the NFT and recorded on the blockchain. This means there doesn’t have to be any confusion as to what is being offered and accepted from either side of the transaction. If there is any kind of questionable transactions or terms, the blockchain will expose them instantly. Examples of Brands that Use NFTs McDonalds, Twitter, Coca-Cola, and a lightbulb with brand elements next to NFT logo There are a number of well-known brands that are currently using NFTs to not only earn additional revenue but also supply their loyal customers with unique opportunities and value. Here’s a list of brands that currently utilize NFTs: McDonald’s (released a digital McRib collectible) Taco Bell (digital art sold to raise money for the Taco Bell foundation) Budweiser (digital collectible cards with real-life access and experiences) Twitter (created collectible digital designs) Gap (digital clothing NFT that unlocks the physical product) Toys R’ Us (digital artwork collectibles) Coca-Cola (offering a number of digital collectibles) Pizza Hut (pixelated pizza collectible) Nike (CryptoKicks virtual and real-life shoe company) Formula 1 (play-to-earn racing game with NFT prizes) As you can see, NFTs can be used across numerous industries and in various ways. The only limitation to what your brand can offer through NFT technology is the creative mind behind the brand. You can turn anything you want into an NFT to provide your consumers with added value and expand your brand across both the collectible and web3 industries. To be fair, many brands may be hesitant to incorporate technology like NFTs, simply because of the unknowns which induce fear. Remember though, people said the same thing about the internet, e-commerce, and even social media. Of course, there are still many questions and kinks to work out with NFTs and web3 technology, but that’s not to say that NFTs aren’t here to stay for decades to come. If you are considering using NFTs to help build and develop your brand then might benefit from our other article NFT Marketing 101: How to Sell Your NFTs Successfully. Final thoughts A computer with brand and different ideas surrounding creating a brand Implementing anything new into your brand or business should always be approached thoughtfully, but with an open mind. It can be scary to try something new, especially if not everyone has jumped on board yet. But, that doesn’t mean you shouldn’t try it. Using NFTs to take your brand to the next level may be the exact boost your brand needs. As long as you ask the right questions and execute your plans thoughtfully, there should be no reason why NFTs won’t elevate your brand to some degree. Ultimately, it’s up to the brand to decide how far it’s willing to go and how many resources you use to implement NFTs into your brand-building strategy.

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