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NFT (Non-Fungible Token) is an asset that you can’t hold in your hand, but you have complete ownership of that asset.
NFTs sell for millions of dollars and, as such, they have attracted the attention of investors, art lovers, gamers and tech enthusiasts from all over the world. Now everyone wants to own an NFT. However, not all NFTs fetch a high value.
The price that your NFT gets depends on your marketing strategy, which is created by NFT experts who build a community of users, reap numerous influencers, leverage content marketing, and use social media to encourage more bids. Higher bids lead to a better NFT selling price.
Check out this short Marketing School video with Neil Patel and Eric Siu on Why NFTs Will Impact the Future of Marketing:
Before we discuss the different marketing strategies for NFT, let us understand every crucial bit of information related to non-fungible tokens.
- A Few Examples of NFTs
- What Is an NFT (Non-Fungible Token)?
- Difference Between Non-Fungible and Fungible Tokens
- A Short History of NFT
- What Are NFTs Best Used For?
- Leading Marketplace Platforms for NFTs
- How to List an NFT
- How to Market Your NFT Project
- Will NFTs Revolutionize Marketing or Is This a Passing Fad?
A Few Examples of NFTs
Here's a look at some interesting bits of information to spark your curiosity for NFT creation and marketing:
- The first tweet from Twitter CEO Jack Dorsey was sold as an NFT for $2.9 million:
- Digital artist Beeple’s masterpiece creation “CROSSROADS” was sold for $6.6 million:
- An animation named Nyan Cat was sold for $590,000:
Just opened up the flood gates to the future of meme economy in the Crypto universe, no big deal~— ☆Chris☆ (@PRguitarman) February 19, 2021
But seriously, thanks for believing in Nyan Cat all these years. I hope this inspires future artists to get into #NFT universe so they can get proper recognition for their work! pic.twitter.com/JX7UU9VSPb
- A game called CryptoKitties allowed users to trade and sell virtual kittens. The below kitten named Dragon from the game was sold on the platform for $172,000:
NFTs can fetch crazy money! Some NFTs get higher bids, of course, and people are ready to pay considerable sums to own them, while others don't attract enough buyers.
I know, by now, you must be thinking: what the heck is an NFT?!
Let me get on to explaining NFTs and discussing the pros and cons, as well as providing examples. After that, I will go through the entire process of listing your NFT on the marketplace and marketing your NFT to attract the attention of art enthusiasts and NFT buyers.
What Is an NFT (Non-Fungible Token)?
A non-fungible token (NFT) is a unique digital asset that acts as a certificate of ownership for virtual or physical assets like photos, videos, Tweets, etc.. Each NFT represents a one-of-a-kind cryptographic item that cannot be interchanged with another and is maintained in a digital ledger called blockchain.
Further, as Investopedia points out, “Unlike cryptocurrencies, they cannot be traded or exchanged at equivalency. This differs from fungible tokens like cryptocurrencies, which are identical to each other and, therefore, can be used as a medium for commercial transactions.”
For example, Cryptopunk is a unique character created digitally using computer codes. Cryptopunk 4250, a female punk with welding goggles, wild hair and purple lipstick, is for sale by the owner for $223,949:
NFTs are real, and you can earn money from them, but only if you know how to create them, spot them, bid on them or sell them intelligently.
If you're still uncertain about what a non-fungible token is, this SNL skit might clear it up. 😉
Difference Between Non-Fungible and Fungible Tokens
A fungible token can be readily interchanged for another of like kind. On the contrary, a non-fungible token is unique and not interchangeable.
I know it's hard to digest this explanation, so let me give you an example to make things clearer.
Suppose you borrow $50 from your friend and return the money after a few days. Your friend will accept the payment in, say, five 10-dollar notes or maybe two 20-dollar notes and one 10-dollar note. However you pay it back, you are not obliged to use a 50-dollar note. Why? Because dollars are a fungible asset. They are not unique and can thus be easily exchanged with other notes.
Now, suppose you borrow your friend's guitar with Justin Bieber's autograph on it to show to your family. After a few days, you try to return another guitar of a different type other than what your friend gave you. Obviously, this new guitar does not have the Justin Bieber signature on it. Will your friend accept the new guitar? No, because in this case, the guitar with the autograph is a non-fungible asset that is not interchangeable.
Non-fungible and fungible tokens behave in the same way. If you have an asset that is truly one-of-a-kind, you can add your item's entry on the blockchain and get a certificate of ownership. This will become a non-fungible token or NFT.
Now, let us discuss some examples of fungible and non-fungible tokens to make things even more clear.
Examples of fungible (i.e. interchangeable) tokens:
Examples of non-fungible (i.e. not interchangeable) tokens:
- Domain name
- Twitter handle
- Digital games
- An essay
- Digital art
- My Space post
- A news article
- Physical art
- Any digital collective
- Video footage of iconic moments in world history
A Short History of NFT
I don’t know whether it’s appropriate to use the word “history” in the case of NFT because every relevant major event has only happened in recent years.
CryptoPunks, released in June 2017 by Larva Labs, is the world's first non-fungible token in the Ethereum blockchain. These are unique, collectable characters created by Matt Halls and John Watkinson that were algorithmically generated through computer coding. Only 10,000 unique CryptoPunks are available:
Canadian artist Krista Kim created the world's first NFT house, called “Mars House” (which does not exist as a house or a tangible painting; the artwork exists only in the digital realm) that was sold for more than $500,000:
On December 10, 2019, Nike patented a system of blockchain-based sneakers dubbed CryptoKicks:
When customers buy a Nike shoe, a digital representation of the shoe will be generated and stored in the form of an NFT on the blockchain. If any customer sells the shoe to another person, the ownership of the digital asset will also be transferred to that person:
On March 11, 2021, a digital artwork named ‘‘Everydays: The First 5000 Days” by Beeple was sold for a whopping $69.3 million at Christie's (the first purely digital work of art ever offered by a major auction house). It is a collage of 5,000 digital images created by Mike Winkelmann:
Every day, NFT marketplaces are selling hundreds of non-fungible tokens to NFT lovers.
What Are NFTs Best Used For?
The majority of NFTs are still used to commodify digital art creations, and they are best used to obtain ownership of the work, such as digital art, music files and video games. However, anything can be sold as an NFT. It doesn’t matter if you are an artist, a buyer or a collector; NFTs are for everyone.
If you plan to invest in NFTs, start collecting digital art because some of the top-selling NFTs belong to digital artists like Beeple, Trevor Jones, Pak, Fewocious, Mad Dog Jones, XCopy, 3LAU and others.
The key lies in owning a unique piece of digital art with the highest chance of selling it online. But don’t just buy any NFT; look at the price history, its popularity, and focus on the trend. Art that is on-trend or artists who are on-trend are the ones to watch out for. Moreover, some famous NFT creations such as the CryptoPunks are evergreen, so you might also think of buying some of them as they are consistent performers in the NFT market.
A word of caution – an NFT is a risky investment, so if you plan to buy an NFT, only invest the amount of money that you can easily risk.
Advantages of NFTs:
- For gaming enthusiasts, art lovers and creative people, NFTs are an additional source of income.
- Sellers can directly connect with audiences. Therefore, the need for agents and intermediaries is reduced.
- NFTs give you the power to retain ownership of original artworks or digital collections.
- If you can buy an NFT at a reasonable price, you can sell it later when the market is high, leading to huge profits.
Disadvantages of NFTs:
- Most people don’t understand blockchain or NFT. Therefore, the chances of making mistakes and incurring losses are higher.
- NFTs run on DApps, which are controlled by blockchain. DApp stands for “decentralized application,” meaning that these apps do not run on a central server owned by companies like Google or Facebook. Instead, they run on a peer-to-peer network like Blockchain. Therefore, creating a DApp is time consuming, tricky and costly.
- Buying and selling NFTs can be risky. People buy an NFT in the hope of selling it at a later time for huge profits, but if the market collapses, they have to bear a huge loss. Hence, trading NFTs is a risky affair similar to the share market. You should play only if you can afford the risk.
Why Would Someone Buy an NFT?
Simple answer: money! If you can get hold of a highly valuable NFT at a low price, then you can become a millionaire just by selling a single piece of NFT. Sounds too good to be true, but it is!
Who Should Use NFTs
As mentioned already, NFTs are a risky investment. Think twice before putting your hard-earned money into buying an NFT. Only the money you can afford to gamble (and potentially lose) should be used to purchase and trade NFTs.
How much you can earn from an NFT investment depends on how much someone is willing to pay for it. There are no guidelines for it. One can’t guess whether you will be able to sell your NFT at a price higher than what you paid for or whether you would even be able to sell it.
Therefore, people who can afford it and are willing to take the risk should invest in NFTs.
Leading Marketplace Platforms for NFTs
There are several specialized marketplaces where artists place their artwork for sale. You can browse NFTs and buy an item of your choice after placing a bid (although some listings allow you to buy outright instead of placing a bid).
Here are the top platforms to buy and sell NFTs:
This is the world's largest marketplace where you can buy, sell and discover rare digital assets. Some of the popular categories on OpenSea include digital art, virtual world, and collectibles. You need a wallet to create your account and store your digital goods and cryptocurrencies. Some of the famous wallets include Metamask, Bitski, Fortmatic, Dapper, and Torus.
The NFT marketplace from Crypto.com is a great platform to sell art, items from celebrities (like Snoop Dogg's “Snoop Dogge Coins”), games, and sports NFTs. You need to register for an account before you can begin the transactions. You are informed about every drop (i.e. event when the NFTs are listed for sale) once you subscribe to the Crypto marketplace.
You can create both “single” and “multiple” collectibles via the Rarible platform. Connect your wallet and you can list your collectibles for sale. Just upload your file, put it on sale, enter the price for which the item will be sold instantly, and provide the name, description and properties of your collectible. Moreover, you can search NFTs by entering the creator's name, collectible or the collection. The platform also has an active community where fellow members can engage in discussions.
SuperRare is a community to discover tokenized digital art. Every transaction made on the platform uses Ether, which is the native cryptocurrency of the Ethereum network. You can sign up for the platform and connect your account with the Ethereum wallet. However, not all artists are accepted. You must fill out this form to submit your artist profile, and they will send you further instructions on profile creation and acceptance. The platform will be launched for all in the next year. Keep in mind that this marketplace charges a 3% fee for every transaction done on the platform.
Enjin is a complete platform to get started with NFTs and blockchain technology. The marketplace lets you discover, buy and sell rare digital items, and you can create NFTs and integrate them with your apps, games and websites. There are around 2.1 billion NFTs on the platform, and more than 800K NFTs have been sold. Moreover, it allows you to trade NFTs using the Enjin wallet. You can easily download the wallet on Google Play or App Store.
Powered by Ethereum, KnownOrigin showcases some of the world's rarest and limited-edition digital artwork. The platform allows artists to tokenize their art and offers instant remuneration after a sale. Users can easily place bids or buy an NFT at an asking price. The Gallery showcases rare artwork by world-class artists. You can sign up for KnownOrigin using a Portis, WalletConnect or Fortmatic account.
Mintbase is an easy-to-use platform to create and sell digital assets, and charges a flat 2% commission for every sale. Users need to pay a gas fee, which is the fee paid to the Ethereum blockchain network to move data around. You should mint tokens and create NFTs when the gas price is below 12 Gwei. The marketplace lets you trade art, tickets, photography and digital arts, and users on this platform are known as “minters”. You can sign up for the platform using the Coinbase wallet.
How to List an NFT
Now comes the most exciting part of the article – how to list an NFT and become a millionaire! 😉
Ethereum is the world’s largest NFT ecosystem. You can list an NFT on Ethereum by following these steps:
Step 1: Create an Ethereum Wallet
An Ethereum wallet is like an online bank account. You can store the Ether (or ETH) currency, which is the currency of Ethereum apps, in your wallet and use it to buy NFTs. Create a wallet that supports ERC-21.
You can register on MyEtherWallet (“MEW” for short) to get started. Click on “Create A New Wallet”:
Download the Keystore File:
Set your Private Key:
Then save your Ether wallet document:
Now you can unlock your wallet and start using it:
Ether is a cryptocurrency built on the Ethereum blockchain. The wallet lets you manage your Ethereum account easily. Also, there are different types of wallets such as web wallets, mobile wallets, desktop wallets, and physical wallets.
All the wallets function the same way. If you wish to keep your Ether offline, you can choose a physical wallet, or if you want to keep your funds accessible from anywhere, you can create a mobile wallet.
Step 2: Add Money to Your Wallet
Once you have created your wallet, now it’s time to add money to it.
Enter your ETH address that you created in the first step and enter the amount of ETH you wish to purchase. For around $10,000, you can buy just 4 ETH.
Step 3: Create an Account on Any NFT Marketplace and Link Your Wallet
When you create an account on any NFT marketplace, you need to link your wallet with your account.
Step 4: Create Your NFT
Every NFT marketplace has an option to create an NFT. For example, OpenSea has a “Create” button that you can click to submit NFTs:
After you click on the Create button, you will see a drop-down menu. Click on “My Collections” and then on “Create New Collection“:
Now you can upload an image for your collection and describe it.
Thereafter, you can click on “Add New Item” and upload your NFT item, which can be an audio, image or 3D model:
Note: Some NFT marketplaces charge money to list your NFTs on their platform. The money is referred to as “gas” and you need to spend more gas if more people list their artwork and interact on the platform. The more traffic congestion, the higher the gas, and vice-versa. You can purchase gas using your Ethereum wallet.
When listing your item, you need to enter the amount for which you are looking to sell your NFT. The price should be in the form of Ether currency.
Make sure the NFT you create is worthy of mass attention! You should have a website, good documentation, and all the necessary technical implementation.
How to Market Your NFT Project
People won’t buy your NFT unless you market it extensively. Several NFT marketing agencies offer media PR and influencer marketing to attract buyers.
Communication is the key to manage your audience. For instance, keeping your community informed about the next drop (an “event” when your NFT sale begins) is crucial in order to encourage more bids.
Both social media marketing and content marketing plays a vital role in community building and bid participation. Marketing your NFT well is essential to driving more profits from NFT sales. Community engagement is a necessary part of NFT marketing because your NFT community comprises people who will spread the word about your new NFT and (hopefully!) buy it.
Here are some of the best ways to market your NFT project:
1) Build Your NFT Community
Create an account on platforms such as:
Then start sharing informative posts that educate people about the value of NFTs. Since NFTs are still new, you should create educational videos and adopt a storytelling approach to make it easy for people to learn more about non-fungible tokens.
Start participating in relevant discussions and help community members. Your posts, advice and comments should provide value to fellow crypto enthusiasts.
2) List Your NFT on More Than One Marketplace
You should list your NFTs on more than one marketplace to increase the chances of selling them. Make sure to choose a platform that fits according to the scope of your project. For example, SuperRare is an NFT marketplace for single-edition digital artworks, while Enjin is a marketplace for trading any blockchain assets.
Here are some of the largest marketplaces for NFT:
- OpenSea – For domains, trading cards, sports, and art collectibles.
- AtomicMarket – Marketplace for atomic assets.
- Rarible – For all forms of crypto assets.
- NBA TopShot – The Official NBA collectibles marketplace.
- MythMarket – Platform for trading cards.
- SuperRare – For unique digital artworks.
- Foundation – For buying and selling digital arts.
- KnownOrigin – For collecting rare digital artworks.
- Enjin – For trading blockchain assets.
- MakersPlace – Marketplace for selling digital creations.
3) Conduct AMA Sessions
To actively engage with the community on different digital platforms, you should hold regular AMA (Ask Me Anything) sessions.
Large Telegram chats and YouTube channels are the top preferred mediums to conduct AMA sessions. You can also offer rewards to community members for participating in the community.
4) Increase Organic Visibility via SEO
You want your NFT to remain visible to audiences browsing for NFT marketplaces or looking to buy a specific NFT in your niche. Often, NFT buyers use search engines to locate the best NFTs to invest in. This is where SEO is so helpful.
Partnering with an SEO agency can get your NFT website ranked higher in the search results, which will lead to more organic traffic for relevant search queries. Traffic improves NFT popularity, and you obtain more bids and, thus, better pricing. A small investment in SEO can go a long way to earn profitable NFT income in the long run.
Related Content: 10 Effective SEO Techniques to Drive Organic Traffic in 2021
5) Get the Help of Influencers
People trust influencers. You can collaborate with niche influencers to spread the word about your NFT on different social media platforms.
When influencers share your NFT details and urge their followers to collect NFTs, you can witness an increase in the number of buyers willing to bid higher to buy your NFT.
6) Create Educational Videos
Video marketing is a great way to generate buzz for your NFT. Remember, NFTs are still new and most people don't know how they work and what profits they could obtain by buying NFTs.
You should create educational videos to target audiences who have little knowledge about the working of non-fungible tokens. It's important to spread knowledge regarding why your NFT is unique and what benefit the buyers will get after purchasing it. Targeting people from different spheres is an intelligent way to reach more buyers and increase the selling price of your NFT.
Related Content: How to Craft a High Converting Explainer Video
7) Leverage the Power of PR
Your NFT launch should be a grand affair. Press releases are an impressive way to reach out to different media outlets and spread the news about your NFT launch — and the news of your NFT launch might get picked by other websites that syndicate content from media outlets. This will enable a better reach for your NFT, and a vast audience will become aware of your NFT marketplace.
8) Run PPC Campaigns 0n Search and Social
Social media and search platforms offer an easy medium to generate relevant inbound leads. You can target people looking to buy NFTs by creating specific landing pages and running PPC ad campaigns on different social and search platforms.
Among the social channels, YouTube, LinkedIn, Facebook and Twitter offer targeted ad placement opportunities. You can also leverage banner advertising and search advertising via Google and Bing Ads.
Related Content: How to Gauge the Success of Your PPC Campaign
9) Build Brand Visibility via Content Marketing
You need to explain your NFT project to your community in simple words. There are so many different forms of content marketing you can use to educate prospects about your product. You can create:
- Long-form research articles
- Long-tail keyword focused blog posts
- Industry interviews
You can also promote your content on platforms such as Hackernoon, Howtotoken and Cryptopanic, as well as on Pinterest, Reddit, Quora, LinkedIn and others.
Related Content: How to Create a High-Performance Content Marketing Strategy in 2021
10) Use Email Marketing
You have to keep your audience well informed about the latest happenings in your NFT marketplace and email marketing is still one of the best way to do that.
Launch drip email campaigns for every new user, send them welcome emails, inform them about every new sale made on your platform, share details about the next drops, send them educational videos, notify them about different price trends, etc. There are so many different ways you can use email marketing for NFT marketing.
Related Content: SaaS Email Marketing: 12 Best Strategies to Follow
11) Apply Different CRO Strategies
Conversion Rate Optimization (CRO) is a marketing practice that gets you more sales. If you run an NFT marketplace to list your NFTs on different platforms, make sure to apply CRO techniques to increase the possibility of faster sales.
You should convert the traffic you gain via SEO, PPC, Social Media Marketing, Email Marketing, and other channels. CRO is a great bottom-of-the-funnel marketing strategy to convert visitors into buyers.
Will NFTs Revolutionize Marketing or Is This a Passing Fad?
NFTs are rising in popularity and there is an enormous amount of money flowing around these non-fungible tokens. However, most NFT buyers are looking to make quick money. As happens with most new entrants in the market, the NFT bubble will likely burst in the next few years, but if we're talking about the current situation, NFTs will be going strong for the foreseeable future.
NFTs are a modern-day solution for artists. Digital arts are quickly gaining the audiences' acceptance, but this does not mean that physical art forms are losing value. They will still hold their significance. However, looking at the current situation, especially during these uncertain times of the COVID-19 pandemic, online museums and digital art platforms have been soaring in popularity.
Ethereum is an easy investment because it offers long-term growth potential. If you are a risk-taker, you should invest in NFT, but if you wish to analyze the current NFT trends, then you should probably wait for another year before you take the plunge.
Therefore, NFTs are not a fad. However, the current pricing trends for NFT will slow down in the future when the competition rises.
As we have laws to protect property ownership, now we have NFTs to prove ownership for digital assets in the virtual world.
Most NFTs run on the Ethereum network. They are the gold rush of the 21st century. As people get more informed, new NFTs will be launched, leading to more competition. In the near future, NFT marketing will be required to push the sales of NFT collectibles and specialized NFT marketing agencies will offer services to grow communities to pump up sales. The change has already started. Will you be participating in this NFT gold rush?