The rise in interest in digital assets has led to a significant increase in crypto sponsorships aimed at enhancing and nurturing brand loyalty among crypto enthusiasts. These strategic alliances boost visibility and build trust in this ever-changing sector.
The panel titled "Beyond Traditional: Crypto Sponsorships & NFT Integration" during November's Finance Magnates London Summit (FMLS23) explored the growing trend of crypto sponsorships and NFT integration, offering insights into the dynamically evolving world of digital assets.
Moderated by Stefania Barbaglio, the CEO of Cassiopeia Services, the panel featured Soledad Contreras, the Director of Partnerships at CoinDesk, and Bruno Almeida, the CMO at IOVLabs.
Crypto Is a "Male Dominated" Demographic
Contreras highlighted the rapid development in crypto marketing, emphasizing the need for innovative approaches to leverage technology and reach potential users. In addition, she emphasized the importance of identifying the target audience.
"The key for any brand is to be able to identify the audience and where that audience lives, which type of content they consume, which type of events they like to go to," Contreras explained.
She pointed out that crypto tends to appeal to a "very male dominated" demographic interested in things like "Formula One, football and American football." Contreras argued that sponsoring related events can provide "great visibility" and "good recognition" for crypto brands looking to get their names out there.
Power of Community-Drive Marketing
Her co-panelist, Almeida from IOV Labs, elaborated on various sponsorship strategies, differentiating between sponsoring sports teams, influencers, events and venues. The goal is always "brand recognition," he said, but the specifics depend on whether a company want to tap into an existing audience base or associate your brand with a popular personality.
According to Almeida, decentralized, community-driven marketing can also be very powerful. "If you do something to upset your core community, they will challenge you back, so you have to keep engaging with them on an ongoing basis to keep them happy," Almeida added.
NFTs Will Bring Crypto to Mainstream
When the discussion turned to NFT integration, Contreras shared how CoinDesk leveraged NFT technology for virtual ticketing at their flagship event. Attendees could "purchase their consensus pass as an NFT" and access various perks by proving ownership on-chain. She believes mass adoption in crypto will arrive when mainstream brands like "Coca-Cola or, McDonald's or Pepsi" start offering "loyalty programs that have an NFT component."
Almeida concurred, suggesting that NFTs can transform customer loyalty initiatives if used creatively to provide exclusive experiences. Contreras also highlighted their potential to combat counterfeits and verify ownership of physical goods like luxury watches.
Crypto Marketing Is Still Growing
The panelists expressed optimism about the future of marketing in the crypto industry while acknowledging there is still much progress to be made. As Contreras stated: "it's a tough gig for Web3 marketers trying to deal with the new technology." She elaborated that the sector is constantly changing, and marketers must contend with regulatory uncertainty on top of an unfamiliar technological landscape.
However, the CoinDesk representative believes crypto marketing has a bright future. "I think it's all happening and it's not going anywhere. I promise." Her co-panelist Bruno Almeida concurred, suggesting there are many creative applications of blockchain technology still to be explored in areas like loyalty programs, collectibles, and more.
In summary, the panelists agreed that crypto marketing is still in its early stages but holds great promise as the technology matures. As Contreras put it, "The best Web 3 marketers are still training because we haven't had them before. This is such a new sector." Marketers would do well to continue educating themselves and experimenting with new applications of these groundbreaking technologies.
