Why are brands like Nike getting into Web3? - Episode 309 - by cryptohunt.it

Why are brands like Nike getting into Web3?

Welcome to the Cryptohunt Jam, where we spend one minute a day explaining crypto. In plain English.

In yesterday’s episode, we took a deeper look at Nike’s upcoming digital collectibles marketplace called .Swoosh. But we left you hanging a bit: Because it’s still not clear why traditional brands would get into NFTs and Web3.

You might think: It’s all about the money. And sure, there is some money to be made, but Nike is also doubling down in times that crypto markets are crashing. Plus, in the grand scheme of things, the NFT revenue is still very small compared to their massive business.

So what’s the real reason? They want to have a better relationship with you. Yes, seriously, you - and of course all the other consumers who like their products.

The old way of doing that was to follow you around the web with ads, and send you tons of emails, because admittedly that’s really all a brand could do. But privacy concerns have spawned software and laws that are reducing the effectiveness of advertising. And do you really read all the email in your promotional folder?

Looking for alternatives, some companies have discovered that Web3 may come to the rescue. An NFT is sort of a VIP pass: Not only do you own a product, but it might also give you access to as many experiences as you can dream up: Maybe a sneaker-owner-exclusive chat with your favorite sports star. Or early access to a limited edition collection. Or it opens the doors to a fan-only online community.

There are tons of really smart marketers at the companies you already love who understand that including you in a community will keep you a fan of theirs for a long time. And that’s exactly why they are all so interested in Web3. Executives around the world are probably looking at Nike at this very moment, ready to follow them into the world of NFTs.

So keep an eye on things: Crypto speculation may be a thing of the past, but the experiences it’ll allow companies to craft will be the future. And here’s something else to consider: Brands have money to spend, and that’s a spark that may ignite the fire.

This podcast is produced by Cryptohunt.it, the easiest place to learn crypto. Copywriting is done by Arndt Voges, Social Media is done by Brett Holleman, design is done by Carmen Rincon, and my name is Christian Byza, Co-Founder of Cryptohunt and I am your host of this daily show.

Disclaimer: This podcast references our opinion and is for information purposes only. It is not intended to be investment advice. Do your own research and seek a duly licensed professional for investment advice.