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With non-fungible tokens (NFTs) now entering the mainstream, Gareth Irvine, Digital & Sustainable Business Director at Oliver, explores how brands are dipping their toes in digital water.

The NFT.

It’s just what we all need, another acronym in the marketing narrative. You just can’t beat a good ol ‘TLA. 2021 can be remembered for the short-term survival of the “third-party cookie”, the introduction of “Spark Ads” or the growing up of virtual branded content marketing events. But potentially the real breakthrough global marketing opportunity is that of the NFT. The non-fungible token is simply a unique, one-of-a-kind digital (and marketing) asset.

The skeptic yells, “no more crypto fad”. With NFT sales up 18,247% year over year, rising to 2.5 billion in the first half of 2021. Like anything with big numbers, everything is relative. The total crypto trading volume was $ 5.9 trillion in June alone.

In contrast to cryptocurrencies, NFTs are a separate type of digital asset class. Just like the tangible art that hangs on walls around the world, NFTs can only be purchased as an investment, but likewise, most people buy art they appreciate and enjoy looking at, even if it is intangible digital art.

Based on observations on social media, property rights may be more of a motivator for some of the recent NFT purchases. The new owner of the very first tweet, a Malaysia-based businessman, paid Jake Dorsey $ 2.9 million for the NFT, comparing the purchase to buying a Mona Lisa painting. Dorsey immediately donated to charity.

But what do NFTs have to do with marketing and advertising? The trend of branding experimentation with NFT creation and omnichannel positioning is just beginning. Coke, with a history of “collectibles,” stepped into the metaverse this summer with his NFT debut at the intersection of crypto and culture. Interestingly, Coke exemplifies the power of the NFT by including a sound visualizer as part of the NFT, including classic Coke sounds like opening a bottle and a drink poured on ice.

The evolution of brand power in the art world is no better illustrated than through Campbell’s soup. Andy Warhol’s Campbell Soup Can Art was first painted in 1961 using 32 canvases, which were then created to celebrate the brand’s 32 flavors. Interestingly, they weren’t commissioned by the brand, but rather arose out of Warhol’s personal love for Campbell’s soup. Warhol sold all 32 originals as a collection in 1962 for a total of $ 1,000. In 2006, a single canvas from the original Campbells soup series sold for $ 11.6 million.

The Warhol Foundation had not published any new artwork since Warhol’s death in 1987 until May of this year when 5 digital pieces that Warhol created on an Amiga1000 PC in 1985 were minted as NFTs. The first sold for $ 870,000 on May 28, 2021. The origins of these pieces mean that, for many, Warhol was the first commercial artist to experiment with digital art.

Campbell’s Soup then jumped on the NFT trend to capitalize on her artistic Warhol legacy and announced an NFT collaboration with artist Sophie Chang to celebrate the launch of her new soup product labels. 100 NFTs have been minted and are currently being sold, with all profits going to Feeding America, a longtime charity partner of Campbells fighting food insecurity and poverty. Chang says: “I wanted to illustrate the nostalgia of the famous Campbells soup can and at the same time show a modern take on the brand today”.

Content that adds value and attracts attention, content that adds and creates value, helps to redefine the constantly changing art of “digital editing”. The digital asset class NFT has the potential to become a mainstream channel in the marketing mix for many brands. Just think of the potential for future brand sponsorship negotiations, especially those with built-in media assets and property rights. Brands that once put plastic collectibles in their cereal boxes or happy meals are sure to embrace brand value and consumer desire for the collectable branded NFT. Let’s not forget that the most expensive “tangible” Pokemon card was recently valued at $ 1 million after Logan Paul wore it around his neck when he went to the ring on June 6 to fight Floyd “Money” Mayweather to fight.

Interestingly, Pringles released 50 animated Golden Tube NFTs back in March. The creatives read “Can you taste it? No ”,“ Can you enjoy it, yes ”. It was a very clever bit of social voice and PR strategy, and maybe it wasn’t a coincidence that a Pringles brand rep managed to buy one for $ 2. He flipped it a few days later for over $ 1,500, with the “story” generating significant global online and offline brand mentions and reach.

I will never forget that first essay I got at university …… “Is marketing an art or a science?” Maybe, just maybe, in this era of Martech, the Brandtech world is fighting back. The art of the knowledge-led creative genius, which manifests itself as a value-adding NFT asset, could be a future, integrated campaign pillar. It wasn’t long ago that PPC and digital media lines accounted for less than 5% of most media laydowns.

The beta of Polkaplay.io has now started. Think Instagram, but every story is an NFT that can be sold and bought. It could define a new value for personal branding, especially in the celebrity world where “everyone wants to own a little bit of you”. Time, stories and roles move quickly, even in the art world. Watch this room.

Gareth Irvine recently joined Oliver Marketing as Digital & Sustainable Business Director. Oliver operates in Ireland under the umbrella of Brandtech of the parent company You & MrJones.