The demand for non-fungible tokens (NFTs) isn’t fading away, instead, the market is adjusting to the value of some NFTs. There’s still life in the space. Market growth is primarily driven by considerable activity from brands such as Ticketmaster and Starbucks, not to mention the adoption of NFT gaming and sports. NFTs can be anything, whether drawings, music, real estate, or medical records. The token is unique, meaning it doesn’t have the same value as another token, so an NFT can’t be traded or exchanged at an equivalent rate. Practically, NFTs create scarcity, so the value rises automatically, even if the real/digital items aren’t in high demand.
The variety of applications for NFTs continues to grow, which adds to their value, sustainability, and future. Although NFTs have generated lots of attention, many real-world business use cases are still at an early stage. The question now is: How should you proceed? Well, recognizing that using NFTs is a good place to start. Identify ways to tie your NFT project to your brand, experiment with authenticity, and keep a close eye on the future. If you want to grow your business effectively, please consider the following examples of NFTs in use.
Drive Customer Loyalty with Limited-Edition Merchandise
Loyalty results in repeat customers, creating a steady flow of income you can rely on to plan your finances. Creating limited-edition merchandise can help grow your brand and increase sales of core products. In other words, create unique branded items and sell them for a limited time in a specific market. You can use NFTs to create a new class of assets in the metaverse, influencing how consumers engage with and experience your brand. Hand out only a few digital tokens to reward customers for their loyalty. Coca-Cola, for example, dived into the sea of NFTs by selling Friendship Boxes inspired by video game boxes.
You, too, can take advantage of your existing physical assets to create a digital community presence to promote your personal and professional brands. Turning physical objects into NFTs isn’t as complicated as it may seem at first glance. There are several blockchains that can store your NFTs, but Ethereum is more secure, has auctions, and is more popular. Learn how to buy ETH (Ether), set up an NFT wallet, and choose a platform that allows you to create NFTs (e.g., Binance). Upload the picture/media that you’ll be selling and provide a description with a focus on the unique properties of the product.
Control Your Domains Using Private Keys
Domain management is straightforward when you have one domain, but what happens if you have several domains or subdomains? Blockchain technology allows you to take control of your domains using private keys, as the domain names are operated and stored on the decentralized network; hence, they reside on the same technology as cryptocurrencies and NFTs. Since the domains are recorded permanently on the public registry, they can’t be altered or deleted by a third party. You can purchase blockchain domains from service providers, which issue an NFT, serving as proof of ownership. The domain NFTs form human-readable web addresses that also function as cryptocurrency wallets.
Manage Your Supply Chain
Supply chain management involves more than getting the merchandise into the hands of consumers. It’s about translating corporate strategies into day-to-day actions and setting goals based on your performance relative to your competitors. The best companies continue to evolve and reinvent their supply chain regardless of their market position, meaning that they better manage risk and respond to any change in the technological, economic, and competitive environment. NFTs and blockchain technology can help eliminate bottlenecks, save costs, and transparentize the supply chain. That’s in part due to their digital footprint and data tracing capabilities.
With NFT, anything can be registered on the blockchain and permanently assigned a token, the information contained in the metadata serving to determine the uniqueness of each physical/digital asset. Participants in the supply chain can access the unvarying record on the ledger, reducing or completely eliminating information flow inconsistencies. This accountability ensures better finance management, forecasting for future demand, real-time updates of SKU counts, etc. The metadata is automatically updated on the blockchain as conditions change while retaining privacy, which involves creating a hash to reference the file that stores the data.
Raise Funds for Your Business
With rare exceptions, money is paramount to get the business up and running, so if you have big plans for the future, you’ll need funding for business growth. You can generate a lot of money to help grow your organization using; supplement your marketing, and even fund your next initiative using blockchain technology. All you have to do is to create an NFT and sell it on a marketplace for cryptocurrency. There are several options to consider when putting your digital assets up for sale; such as online marketplaces and direct-to-consumer marketplaces. Of course, to list your NFT for sale, you need a digital wallet. Keep in mind that NFTs are worth what people are willing to pay for them.
You can accept digital tokens without having to do a complicated setup; so you just sell the NFT and get the money. People will want to become part of the group, so you can build up a following organically. NFTs serve a similar purpose to ICOs in the sense that they’re a popular way of raising funds; having yield returns for investors. If you want your fundraiser to be successful, reach out to an artist/creator/project, build a community; familiarize your supporters with the process, and prepare for the launch date. With novelty being a powerful way to raise capital, the ability to create an NFT is where the value lies.
All In All
Your business can use NFTs to drive customer loyalty; take control of your domain names, manage your supply chain, and raise capital. It doesn’t end here, of course. Many argue that NFTs will transform the future of business, changing the landscape by providing additional revenue streams and supplying cost-saving mechanisms. Only time will tell.