Ocean Spray's viral TikTok moment - what happened and what brands can learn.
April Web3 news overview:
Both Bitcoin and Ethereum prices rallied in April after concerns over the centralization of the banking system increased with the collapse of regional banks, and the potential for interest rate hikes. However, they have since dropped off from the initial climb. Ethereum’s “Shanghai Upgrade” also marked the final step in the transition to Proof of Stake. If growth continues, we would expect greater consumer and marketer interest in decentralized environments. Additionally, High profile Web3 loyalty program betas are starting to drop their digital assets both Starbucks Odyssey and Nike Dot Swoosh announced they will release their First Store Stamp NFT and Our Force One NFT respectively for those consumers who have signed up for the testing of their next-gen loyalty platforms. This is a significant step as these brands continue to define how to create loyalty in a Web3 ecosystem.
Read on for Web3 trend news and case studies from April 2023.
Chapter One: Top News and Trends This Month
NFTs:
Some familiar brands continued their strategies in Web3 throughout April. Reddit successfully launched their Gen3 avatar NFT collection which has reportedly grossed over $500,000 in revenue and brought total unique holders to 7.4 million. MasterCard is continuing the trend highlighted in last month’s Spotify case study of leveraging Web3 to disrupt the status quo across the music industry with their NFT-driven “Accelerator Program”.
Finally, Airline NFTs are in Argentina? Flybondi uses NFT ticketing technology, built on the Algorand blockchain, allowing passengers to change their name and transfer or sell their “NFTickets” independently.
METAVERSE:
Coachella launched an activation in Fortnite. It is the 2nd year of Coachella in the metaverse, but this year Fortnite has replaced Decentraland. Brands are doubling down for these experiences that drive engagement and still see the value in hosting virtual versions of tentpole events for those who are unable to make it in person.
Chapter Two: Case Study
OVERVIEW:
Adidas has launched stage three of their Web3 Plan “Adidas ALTs”. The brand has been heavily involved in NFTs, both through partnerships with Web3 native brands such as Bored Ape Yacht Club, and Luxury partnerships with Prada for Fashion Week. But in stage three, Adidas is looking to solidify loyalty with an emerging digital asset (Dynamic NFTs).
STRATEGY:
“ALTs” is building on previous steps in their Web3 plan. Those who have previously purchased Adidas NFTs can “Burn” them to access the new dynamic NFTs. Dynamic NFTs are digital assets where the artwork, and underlying metadata can be changed over time. These assets can also be linked with external information (i.e., a brand’s stock price, or viewership ratings). This creates enticing flexibility and utility for Adidas, which we have also identified in our conversations with Pacifico and CBS.
WHY IT MATTERS:
Adidas has been one of the most successful brands in Web3, and so far, all brands that have been successful have tested, learned, and adjusted as they’ve grown in the space alongside the evolution of the technologies themselves. Adidas is one of many that emblemizes the importance of testing in this space and adopting new technology and tactics to stay nimble in an ever-changing landscape.
For questions about Web3 marketing/trends, AR/VR, the Metaverse, blockchain technology, and more, reach out to Info.C&V@Horizonmedia.com and follow Chapter & Verse on Twitter @CxV_HMI
