5 Industries That Must Use Redeemable NFTs
Redeemable NFTs enable brands to elevate their customer engagement and monetize products. Learn redeemable NFT use cases in different industries.
NFTs provide an effective channel for brands to improve customer engagement, expand their audience base, and create revenue streams. Despite the cold waves in 2022, these digital collectibles generated over $24.7 billion in sales.
One of the most unique ways to enhance customer experience is redeemable NFTs. These enable brands to offer customers unique & tangible value like real-world exclusive experiences tied to the brands’ digital collectibles.
Major brands like Adidas, Gucci, Starbucks, Budweiser, and Disney are already using redeemable NFTs to offer novel experiences to their users.
Their creative marketing campaigns, such as limited-edition releases or collaborations, foster a deeper level of brand engagement. Also, NFTs serve as a digital certificate of authenticity, enhancing brand trust and value.
So, in this article, we will explore five industries where brands should create redeemable NFTs and the benefits they brings to brand and customers.
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The fashion industry is one of the most active in the digital collectible space. Here are the ways fashion brands can leverage redeemable NFTs.
Physical Merchandised Authentication
Redeemable NFTs linked to luxury brand items offer an efficient means of verifying their authenticity. When buyers exchange NFTs for their physical products, they can use specialized apps to scan the item's embedded NFC chip or QR code to check genuinity. This will help fashion brands combat counterfeiting and build trust with their customers.
Loyalty & Reward Program
Utilizing redeemable NFTs into loyalty programs can give fashion brands a competitive edge. For instance, Dolce & Gabbana's Collezione Genesi NFT provided holders exclusive perks like an original signed sketch, a digital creation of the dress, and two-year access to Dolce & Gabbana couture events in Italy.
This way, brands can create a unique and rewarding experience for their customers, thereby improving customer retention.
Fashion brands can harness redeemable NFTs by launching exclusive digital clothing lines for virtual worlds, complemented by a tangible counterpart when the NFT is redeemed. They can also host virtual fashion shows, unveiling digital twins of products sold as NFTs.
Food & Beverage Industry
Build Brand Loyalty
Food and beverage brands can utilize redeemable NFTs as an ultimate tool to create exclusive perks and experiences for their regular customers. They can use accumulated data to tailor NFT utility to offer multiple perks such as early access to items, discounts, and free meals. This will keep customers motivated and strengthen their bond with the brand.
Access to Exclusive Events
Similarly, restaurants can offer limited-edition NFTs that, when redeemed, grant holders exclusive dining experiences, such as chef's table reservations, special menus, or behind-the-scenes kitchen tours.
Dictador rum launched 10 NFTs for its 1976 Dictador Generations rum, offering holders private dinners with Master Blender Hernan Parra, distillery visits, and luxury hotel stays in Cartagena.
Collector's Edition Products
Breweries or wineries can release special edition NFTs corresponding to limited batch releases. When the NFT is redeemed, the buyer gets the physical product, be it a rare bottle of wine or a collector's edition beverage, adding exclusivity to their offerings.
Real Estate Industry
Redeemable NFTs allow properties to be divided into fractions, enabling broader investor participation and making properties more accessible. The NFT not only provides proof of ownership but also allows for easy transferability.
Pooled funding of a commercial property is more viable using redeemable NFTs. The use of smart contracts can ensure that dividends (like rental income) or responsibilities (like maintenance costs) get automatically distributed based on the fraction of ownership.
Transparency & Operational Efficiency
The existing real estate system often takes a long time to complete paperwork, bidding, and ownership transfer of the properties. NFTs can enhance the efficiency of real estate transactions by digitizing property ownership verification and transfers. The blockchain backbone ensures transparent and tamper-proof records.
Real estate developers can use redeemable NFTs to offer additional perks with property ownership. These benefits can be special discounts on future purchases, private events access, or even the ability to customize design aspects of the development.
This enables a new way for owners to engage with potential buyers and can help derive the demand for properties.
Exclusive Dining Experiences
Redeemable NFTs enable hospitality brands to ramp up their efforts to create a truly unique and one-of-a-kind experience for their patrons.
Take, for instance, Le Bristol Paris, which released 11 NFTs with unique experiences such as secret cocktails, signature dishes by their renowned Chef, access to private rooftop pools, and Le Bristol events. By doing so, the brand combined its services to create a luxurious and memorable experience for its customers.
Automate Management Operations
Hotels and resorts can integrate NFTs with their property management systems, creating a seamless bridge between guest reservations and services. They can offer their customers an NFT that acts as a digital key, allowing them not only to check-in but also access their rooms, utilize amenities, and even make in-house purchases.
Membership & Reward Programs
Using redeemable NFTs, the hospitality sector can amplify loyalty programs, turning them into exclusive digital memberships. Hotels can tier benefits with NFT collections, offering room upgrades or unique experiences for higher tiers. Special events can release commemorative NFTs, driving guest engagement.
For example, Flyfish Club is an NFT-based private restaurant in Manhattan that offers two memberships: Flyfish and Flyfish Omakase. The NFT holders get exclusive access to the project's community, cocktail lounge access, seafood restaurant, personalized Omakase room, and events.
Creators and entertainment platforms can use redeemable NFTs to token gate content access. Audiences can acquire such NFTs to unlock exclusive content, behind-the-scenes footage, or deleted shots.
These NFTs not only enhance the viewer or listener experience but also open new monetization avenues. Resale royalties can be embedded, ensuring creators earn from secondary sales, fostering a sustainable revenue model.
Redeemable NFTs present new ways for creators & artists to and interact with their fans and generate additional revenue streams. For instance, rock band Kings of Leon released its NFTs tied to music with additional perks like exclusive access to concerts, lifetime front-row seats, and meeting with artists. These exclusive benefits created a personalized experience and enhanced fans' connection with their favorite artist.
Filmmakers and OTT platforms can collaborate with luxury brands to design limited-edition redeemable NFTs linked to physical merchandise.
The chance to own a valuable item with a link to their favorite movie can generate excitement surrounding the film. In addition, such collaborations can also expand the film's audience and appeal to collectors and fashion enthusiasts.
Create Your Redeemable NFTs with Dibbs
Essentially, redeemable NFTs are redefining how brands interact with and value their customers. By creating a blend of tangible value and unique experiences for customers, these digital assets hold enormous potential for brands to transform their marketing strategies and improve customer engagement.
Imagine your customer having the power to own a piece of your brand's legacy, not just in a digital sense but in the physical world as well. If you want to create this kind of experience for your customer, we can help you.
Dibbs is a leading tokenization platform that can convert your brand items into digital collectibles and streamline the redemption process for your customers. To learn how we can help your brand stand out in the industry and grow your revenue, schedule a call with us today.