Utilizing NFTs in the retail industry

Feb 17, 2023
Blogs
Metaverse
5 min read
EMPERIA

Understanding the concept of NFTs

As 3D technology expands and virtual shopping becomes increasingly popular, NFTs play a crucial role in creating personalized and engaging experiences for consumers in the metaverse.

NFTs, or non-fungible tokens, are digital assets that represent ownership of a unique item or piece of content, such as a digital artwork, collectible, or game item. They are stored on a blockchain, which is a decentralized digital ledger that records transactions. This allows NFTs to be bought, sold, and traded like traditional physical assets, but with the added benefits of being easily transferable and divisible, as well as free from the problems of counterfeiting and fraud.

NFTs are being used in a variety of ways in digital retail, including providing a unique and memorable metaverse shopping experience and unlocking new possibilities for brand promotion and customer engagement.

How are brands adopting NFTs for Retail

Brands are adopting NFTs because they provide a new way for them to monetize their digital assets, such as art, music, videos, and other types of digital content. NFTs allow brands to sell unique, one-of-a-kind digital items that cannot be replicated or replaced, and to prove ownership and authenticity through the use of blockchain technology.

Benefits:

  • Unique ownership and provenance: NFTs provide a way to establish unique ownership and provenance of digital assets, which can be useful for brands looking to establish exclusive rights to certain content or merchandise.
  • Increased engagement: NFTs can drive engagement by giving fans and customers a way to collect and own unique, one-of-a-kind digital assets related to the brand.
  • New revenue streams: NFTs can open up new revenue streams for brands by allowing them to directly sell digital assets within the metaverse, such as exclusive artwork or collectibles, to customers.
  • Enhanced customer data: NFTs can provide brands with valuable data on customer behavior and preferences, which can be used to inform marketing and product development strategies.
  • Increased brand awareness: NFTs can help increase brand awareness by creating buzz and excitement around new and unique digital assets and encouraging customers to share and promote their purchases on social media.
  • NFTs can be used to track and verify the sustainable sourcing and production of physical goods, such as artwork or luxury items, allowing consumers to make informed purchasing decisions based on the item’s environmental impact.

Real examples of NFTs in the retail industry

NFTs can be a powerful tool for brands to enhance customer engagement and build a sense of exclusivity. A great example of this is Lacoste’s exclusive token-gated VIP room, accessible only to members of the brand’s Web3 community who hold a Lacoste NFT. With Arianee’s token-gated technology, this VIP room was brought to life. Customers are encouraged to return for new experiences every day, while also enjoying the feeling of exclusivity and community within the room.

Lacoste’s Exclusive NFT Room X Emperia


“The personalization of shopping experiences, whether physical, digital or immersive, is the key to the future of the Web3 customer journey,” – Arianee CEO and co-founder Pierre-Nicolas Hurstel said in a release.

The token-gated room offers multiple potential benefits – creating new value for the existing UNDW3 token-holders as well as triggering the interest of other customers, non-holders, who can’t access this specific experience.

Nike is another example of an early adopter of NFTs in the retail industry, generating 185 million dollars in NFT sales. The sportswear giant announced the acquisition of RTFKT, a company known for its innovative collectibles that blend culture and gaming, in December of last year. As part of the deal, Nike also acquired RTFKT’s CloneX NFT avatar collection, which had launched just a month prior. This acquisition exemplifies how the company is successfully utilizing NFTs to enhance its digital presence and stay competitive in the market.

​John Donahoe, the President and CEO of Nike, stated “This acquisition is another step that accelerates Nike’s digital transformation and allows us to serve athletes and creators at the intersection of sport, creativity, gaming, and culture.”

RTFKT’s NFT X NIKE


It’s clear to see that NFTs are revolutionizing the retail industry as we know it. These powerful digital assets provide a new way for brands to create personalized, engaging experiences for consumers in the metaverse. Brands such as Lacoste and Nike have successfully leveraged NFTs to drive customer engagement, create buzz and excitement, and open up new revenue streams. As technology advances, we can expect to see an increasing number of brands adopt NFTs to maintain their competitiveness and offer unique experiences for their customers. The potential for NFTs to drive customer engagement and revolutionize the retail industry is limitless, and it will be exciting to witness how brands continue to leverage this technology in the future.

Book a demo with our team to learn more about how web3 tech like NFTs will enhance your brand.

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