As crypto winter ramps up, why some marketers aren’t feeling the cold
The crypto winter may be causing skepticism around blockchain technology, but that hasn’t stopped marketers from investing in Web3. Instead of shying away from the concept, many marketers are redefining it and focusing on creating utility rather than speculative value. This shift in mindset has become necessary as previous NFT drops failed to deliver the expected results.
While some marketers have abandoned crypto altogether, those who still believe in its potential have shifted their approach. They now view Web3 as a direct commerce opportunity, allowing them to provide ownership of their products to a wider range of customers. Brands like Puma and Ducati see Web3 as comparable to the early days of online e-commerce and don’t want to miss out on its potential.
The skepticism surrounding crypto has forced marketers to explore the underlying technology beyond cryptocurrency and NFTs. Nike, for example, created its own Web3 marketplace called .Swoosh, where fans can bring their custom sneaker designs to life. Other companies, like Starbucks and Lufthansa, have developed loyalty programs using Web3 technology, emphasizing its broader utility beyond digital assets.
While loyalty programs are just one way companies have incorporated Web3 technology, experts believe there are even more profound uses yet to be explored. Fractional ownership of luxury goods using smart contracts on the blockchain is one area that holds promise. If luxury brands can successfully create fractionalization models that maintain their prestige, it could lead to significant growth in that sector.
The pressure from crypto skepticism has pushed companies to find ways to integrate blockchain technology into their core offerings and customer base. Merely dropping branded NFTs is no longer enough; companies must demonstrate how this technology can support their business in a meaningful way.
Although not all executive boardrooms have embraced Web3, the growing influence of technology makes it essential for brands to adapt. The younger generation is already familiar with blockchain technology and will likely be the customers of the future. To stay relevant, brands need to position themselves where their future customers are, even if it means navigating the uncertain terrain of crypto winter.
